In recent years, the interrelationship between ‘free markets’ and morality has become increasingly apparent. Stories of corporate corruption, unethical animal testing and the exploitation of workers in third world countries arise frequently in the media.
This article was featured in the 2013 edition of Equilibrium, our annual print publication.
‘The salient failure of the current financial crisis is that it was not caused by some external shock … the crisis was generated by the system itself.’—George Soros
With Janet Yellen firmly in the reigns of the world’s largest central bank, many are looking to the legacy left by her predecessor Ben Bernanke. Love or loathe him, Bernanke undoubtedly pioneered a new style of central banking based on large scale direct market intervention, mainly through policies such as quantitative easing. With the policy now being scaled down, it is useful to ask whether QE and more broadly whether the Federal Reserve has been successful in supporting the US recovery.