Asset Quote by Raghuram Rajan
“Endorsing unconventional monetary policies unquestioningly is tantamount to saying that it is acceptable to distort asset prices if there are other domestic constraints on growth.”
About This Quote
Source Speech: Economic Forum, 2020
Blindly accepting unconventional monetary tools normalizes market distortion despite other growth limits.
In simple terms: Unquestioned policies distort markets.
Critically evaluate monetary innovations.
Themes
Mood
Type
When to use this quote
- central banks
- investors
- governments
- academics
Key Concepts
Questions to Reflect On
- When is unconventional policy justified?
- What safeguards prevent distortion?
Overreliance on policy can ignore underlying structural issues.