Finance

Financial Repression

Financial Repression

Financial Repression is a term that describes measures in which governments channel resources to themselves as a type of debt reduction. This specific concept was launched in 1973 by means of Stanford economists Ed S. Shaw in addition to Ronald I. McKinnon. Financial repression can incorporate such measures while directed lending towards government, caps on interest levels, regulation of funds movement between countries and also a tighter association concerning government and banking institutions.