Both Osborne and Carney want interest rates to be the weapon of last resort. What we have instead is a walk down memory lane
Britain has form when it comes to housing bubbles. Since the early 1970s, there have been powerful booms that have been followed by painful busts. Between them, George Osborne and Mark Carney are trying to avoid a fourth.
The problem is simple. Britain is a relatively small island with a relatively large and growing population. It has tough planning controls that prohibit development on green belts around the country's major cities, and it has a tax system that provides incentives for people to buy bricks and mortar.
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