BFM 89.9

HIGHLIGHTS 
Podcast  >  Enterprise  >  Enterprise Explores  >  Are Central Banks (Inadvertently) Causing Economic Crises?

Are Central Banks (Inadvertently) Causing Economic Crises?

Dr Carmelo Ferlito, CEO, Center for Market Education

07-Jul-25 12:00

Are Central Banks (Inadvertently) Causing Economic Crises?

Central banks globally are tasked with maintaining price stability, typically by managing interest rates. But what if this entire approach is fundamentally flawed and the source of the very economic instability it's meant to prevent?

Economist Dr. Carmelo Ferlito, CEO of the Center for Market Education, joins us to make the case for a radical rethink of modern monetary policy. He argues that by interfering with market forces, central banks create "monetary disorder," leading to distorted investments, asset bubbles, and unsustainable booms.

We discuss:

  • Why monetary policy must look beyond just price stability.

  • The definition of "monetary disorder" and how it manifests.

  • The argument for abolishing central bank-directed interest rates.

  • Why fiscal discipline is essential for any sound monetary policy.

  • The case for moving from discretionary to rule-based frameworks.

    For economists, policymakers, and anyone interested in the fundamental debates shaping our economy, this is a challenging and thought-provoking exploration of monetary reform.

Produced by: Roshan Kanesan

Presented by: Roshan Kanesan


This and more than 60,000 other podcasts in your hand. Download the all new BFM mobile app.

Categories:  economy

Tags:  central bankingmonetary policymacroeconomicseconomic theoryinterest rates





Play / Pause

Listen now : A Bit of Culture: This week, Kam Raslan, Sheryll Paul and Sudais...

Today’s Shows



6:00 AM

The 6AM Stretch

Thought-provoking discussions on ideas, people and events shaping our lives.

7:00 AM

World Market Watch

Laurent Lequeu, Independent Market Analyst & Writer, The Macro Butler Newsletter tells us where international markets are heading.

7:15 AM

Morning Brief

We recap global and local headlines from today's papers and portals.

7:30 AM

Morning Brief

Peter Chia, Senior FX Strategist, UOB discusses the performance of both the US dollar and regional currencies.

7:45 AM

Morning Brief

Shazrul Ariff Suhaimi of Khazanah Research Institute shares his views on Malaysia’s efforts to reform TVET through SKM framework changes and improved apprentice wages.

8:00 AM

The Breakfast Grille

Dato' Lee Gaik Cheng, Managing Director, PMCK Bhd

8:30 AM

Morning Brief

Varun Mittal of Fintech Nation talks about the latest developments in the global crypto space.

8:45 AM

Morning Brief

(REPEAT) We dive into the local and international news that matters to you.

9:00 AM

Opening Bell

(REPEAT) Laurent Lequeu, Independent Market Analyst & Writer, The Macro Butler Newsletter tells us where international markets are heading.

9:15 AM

Opening Bell

(REPEAT) We take a look at the FBM KLCI as well as regional capital markets.

9:35 AM

Pinnacle Perspectives

Tania Tai of Deloitte discusses how brands can capture and maintain consumer attention in today’s fast-paced social media landscape.

10:05 AM

Open For Business

Angeline Mahsuri Cheah, Director of Citrus Cloud, on growing a B2B tech consultancy from solo freelancing to multi-million ringgit revenues.

11:05 AM

P&L

Project Manager Preeta Nair explains why projects fail and how AI is becoming a critical tool to prevent costly mistakes and ensure success.

12:00 PM

Enterprise Explores

Economist Dr. Carmelo Ferlito challenges modern monetary policy, arguing why a focus on price stability is not enough and what a truly stable economy requires.

1:00 PM

The Breakfast Grille Repeat

Dato' Lee Gaik Cheng, Managing Director, PMCK Bhd

2:05 PM

Discovery Hour

3:05 PM

Earth Matters

The Bonn climate talks concluded with more gaps than gains, raising concerns for developing nations and the 1.5°C global warming limit on the road to COP30. Meenakshi Raman, the President of Sahabat Alam Malaysia, helps to unpack these implications.

4:05 PM

Health & Living

Are students today under too much pressure, or simply not able to cope with stress? We get thoughts and tips from a licensed counsellor.

5:00 PM

Top 5 at 5

6:00 PM

Today I Learned

Are you constantly in search of the rare and ultimate Labubu? Or maybe you’re one of those who doesn’t understand why people are? We unpack this trend.

7:00 PM

BBC World Service

This episode focuses on H5N1 bird flu cases with deaths rising sharply in Cambodia, raising concern among experts.

8:00 PM

A Bit of Culture

This week, Kam Raslan, Sheryll Paul and Sudais Ferhard talk about fitness classes, actors speaking in foreign accents, and physical media