http://www.bloomberg.com/news/2011-...-buying-program-to-stimulate-u-k-economy.html Pound crashing against dollar.
As expected...It seems, there is not only an European debt crisis, but a UK growth crisis and government debt crisis, too. It would be better for all G10 countries to cordinate their growth efforts!
Didn't they already try that? Prior to the 2008 crisis, central banks were pumping money at 15-25%/yr for several years. Money Pump => Bubble => Crash... then, more money pump?
There are other ways you could achieve this without debasing the currency. It explains in the my book page 49 onwards. http://morganisteconomics.blogspot.com/p/publications.html They would use the techniques in the liquidity efficiency or fluidity section. They could try capital investment from abroad. Lower taxes for foreign businesses. They could try to increase the tax base. They have many choices.
bank of england like all central banks should stop attempting to bail out the politicians. the country like the US and the eurozone needs structural change and time for the current economic cycle to play out. large banks need to die a natural death and new ones to be started.
Here is another alternative to QE. http://www.leftfootforward.org/2011/09/earnings-based-rent-control/