RTTNews - Thursday, the Bank of England's monetary policy committee member Tim Besley said the policymakers do not know whether the GBP 125 billion quantitative easing programme has been directly effective in supporting nominal demand growth and a definitive assessment right now would certainly be premature.

Speaking at the London School of Business, Besley said given the usual long and variable lags in the transmission process, it is difficult to assess whether quantitative easing is working to reverse the fall in the growth rate of nominal GDP and to avoid the threat of a period of below target inflation, or even deflation.

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