The Rise and Fall of QE

Apparently QE is working, say analysts based on the latest data release.

QE or quantitative easing is the process whereby a country's government boosts its economy with fresh money.

Sometimes referred to as a money-printing scheme, it is often controversial thanks to the similarities it often draws to incidences in modern history where inflation rose to uncontrollable levels.

Both in Weimar Germany (in the 1920s) and in recent Zimbabwe, so much money was injected into their economies that hyperinflation resulted - making money as good as worthless.

Yet this current QE programme - which the governemnt is using 200 billion GBP for - is apparently much stricter and unlikely to lead to such drastic conditions.

They'd better be right about that!