"The money from a helicopter" - a direct transfer of funds from central banks to consumers - has been touted as a radical form of incentive to increase the level of inflation. A study of ING, suggests that this measure will not have a significant impact on inflation.
If people will receive 200 euros ($ 220) to your bank account each month for a year, they will most likely save money and to save, rather than spend it. Thus answers of respondents from 12 European countries. The results are based on a survey of 12,000 consumers conducted online by Ipsos in June from 3 to 24 numbers.
Only 26% of respondents said they spend most of the money, while 52% said that they will keep the money for investment or leave untouched the principal amount. 15% said they would be allowed the money to pay off debt.
"If people did exactly as they said in the survey, you must have questioned the effectiveness of such policies," - said Ian Bright, senior economist at ING. He said that the alternative may be money allocated to states for infrastructure, tax cuts or for the payment of the national debt. But this option is not appropriate for the European Central Bank, which prohibits government funding.
While the whole idea of "helicopter money" may seem strange, it is currently being seriously discussed by economists, after central banks around the world started up trillions of dollars into the financial markets in recent years, but it was not conducive to economic growth and higher inflation .
ECB President Mario Draghi called the money from a helicopter "very interesting concept," although he and his colleagues say that they have not discussed it as a course of action.
Bank of Japan Governor Haruhiko Kuroda has repeatedly ruled out "money from a helicopter", arguing that they are not subject to review and are prohibited by applicable law. The head of the Bank of England Governor Mark Carney called the idea "of money from a helicopter" flight of fancy.
Based on materials WELTRADE
