Bank of England Rational Expectations Hypothesis as promulgated by Walters The handing over of monetary policy to the Bank had been a key plank of the Liberal Democrats' economic policy since the 1992 general election. Conservative MP Nicholas Budgen had also proposed this as a private member's bill in 1996, but the bill failed as it had the support of neither the government nor the opposition. Mark Carney assumed the post of Governor of the Bank of England on 1 July 2013. He succeeded Mervyn King, who took over on 30 June 2003. Carney, a Canadian, will serve an initial five-year term rather
Mervyn King, Baron King of Lothbury received in audience with Queen Elizabeth II. After becoming Bank governor, King explained that Bank of England policy was "similar to that of the Federal Reserve" under Alan Greenspan. Greenspan described his approach as "mitigat[ing] the fallout [from the bursting of a bubble] when it occurs". King agreed with Alan Greenspan that, "It is hard to identify asset price 'bubbles'." Other warnings about the UK housing market followed, including from the National Institute of Economic and Social Research in 2004 and the OECD in 2005. King noted the "unusually large" difference between the RPIX and CPI at the beginning of