§ Mr. Austin MitchellTo ask the Chancellor of the Exchequer what is his assessment of the transmission mechanism between a fall in interest rates and any increase in the rate of inflation in terms of(a) the money supply, (b) the fiscal balance, (c) labour unit costs and (d) the cost of living, including mortgage costs.
§ Mr. RyderMonetary conditions need to be considered as a whole and it is neither sensible nor possible to give precise estimates of the effects of interest rate changes working through each individual channel.