“Diocletian tried to combat inflation by fixing prices through laws. In reality, inflation was the product of the fiscal and monetary profligacy of the Roman emperors during the third century A. D. Dr. Daniel Lacalle’s book exhibits how in the years after the global financial crisis, Governments and Central Banks have performed similar measures to those of the Roman emperors. This book shows the consequences of repeating past mistakes, and what can be done to limit such dire consequences.”
—Ignacio de la Torre,
Professor and Academic Director at IE Business School.
“There is a Management model that I tried to explain to my students nationally and internationally. This model is based on the principles of subsidiarity, reciprocity and solidarity among people, business and policy makers. Lacalle’s book “Escape from the Central Bank” explains in detail the consequences of massive intervention in the markets through monetary expansive measures, and why it is not the right way to proceed. This book is an absolutely must for those of us who believe in free markets and free society.”
—Prof. Francisco J. Lara,
Busch School of Business, CUA Washington D.C.
“Researchers have written extensively on the topic of how money and monetary policy affect society and the international economy. Nevertheless, although the theory has been thoroughly examined, few best practices and recommendations have been put forward.
Each analyst has his or her individual point of view regarding the context that surrounds us. In his book Escape from the Central Bank Trap, the eminent economist and insightful thinker Dr. Daniel Lacalle reflects upon the most relevant internationally significant economic events of recent times. Lacalle conducts an original and visionary analysis that provides rich insights for evaluating future business decision made under high uncertainty. The value of this book is unquestionable; congratulations, Dr. Lacalle. Scholars, students, consultants, business managers, policy makers, and many others will find useful recommendations on the key issues dealt with in this book.”
—Domingo Ribeiro-Soriano,
Professor of Business Administration, Universitat de València-Spain.
“In this book, Daniel Lacalle unveils, in a precise and clear way, proper uses (and misuses) of monetary policy and money creation, as perils associated to monetary gluts and what he coins as the “monetary laughing gas,” when the healing power of monetary policies turns to be simply a placebo effect on the real economy. This challenging approach is particularly when potential imbalances fed by inconsistent policies hit a macroeconomic environment subject to hysteresis, reducing the room for maneuver in the future. In a transgressive way, he states that categories “conventional” or “unconventional” for monetary policy should be replaced by consistent (or not) policies, making monetary policy effectiveness depend mainly on its credibility and transparency.”
—Juan Sapena,
Dean at Faculty of Economics, Catholic University of Valencia.
“To escape the trap of money printing, one has to understand why the trap didn’t work to begin with. Lacalle is one of the leading next generation economists who can simplify the complex. He’s neither a mainstream academic nor a flailing economic pundit. His teachings come from a market practitioner’s perspective. This book is about the economic truth.”
—Keith R. McCullough,
Chief Executive Officer, Hedgeye Risk Management.
“Escape from the Central Bank Trap provides a penetrating framework for understanding the co-dependencies among today’s monetary policy, the economy and the financial markets. Lacalle’s book draws out how these co-dependencies developed, the risks that have since evolved, and outlines the necessary tough medicine needed to return to a more sustainable condition. By distilling today’s complex economic and monetary challenges succinctly, Lacalle provides us with a road map that an economist, market practitioner, or anyone who cares about long term economic health can grab hold of.”
—Michael Purves,
Chief Global Strategist, WEEDEN & amp; CO.
“Professor Daniel Lacalle has done a wonderful job by providing a new interpretation of how central banks have contributed to worsening the financial crisis that we have all suffered during these recent years. Furthermore, the clarity of his explanations has provided a deeper understanding for practitioners and all those interested in monetary policy and its complex impact in the financial markets and the real economy. Ultimately, I do consider that this book will become essential reading material.”
—Alvaro Martínez-Echevarría,
Dean and Director of the IEB Business School.