Thursday, Jun 26, 2008
The Understatement of the Century
Telegraph.co.uk: Mervyn King: Expect a 'one-year pause' in living standards
Bank of England Governor Mervyn King warned Britons to expect a "one-year pause" in the growth of living standards as rising energy and food bills continue to tighten their grip on household incomes.
Mr King also signalled that this year's jump in petrol and food prices left the Monetary Policy Committee little room to cut interest rates from 5pc, and that rates may need to rise should inflation spread across the wider economy, particularly to wage demands.
Posted by plato @ 02:14 PM (706 views) Add Comment
9 Comments
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1. drewster said...
Does he mean a one-year pause, followed by business as usual? I forecast a one-year pause, followed by decades of decline. King is focusing on the economy. He doesn't know about the energy problems that lie ahead.
The Oil Drum: A State Of Emergency
2. Neo-serf said...
I have never heard anything so stupid in my life.
This guy is priceless. Pause? A pause?
A protracted depression lies ahead due to his policy decisions.
The British public duped again. Thinking about it this guy is no fool he just knows how to protect the mighty rich who will ultimately benefit.
3. Steve99 said...
1 year pause? many have had a 10 year pause, in fact a 10 year retracement. Must live in a different dimension.
4. tyrellcorporation said...
If this graph is right these guys have utterly failed to strategically protect the UK and it's citizens. This is the primary reason for elected leaderships - disgraceful bordering on criminal IMHO.
5. another alan said...
A pause! I think that's brilliant. I was laughing when I read that.
Great euphemism Mervyn.
Yes it will still be problematic after the pause, but Mervyn cannot say so in public. He knows what's going on.
A pause! Brilliant.
(although the economy does not do pauses: still 10/10 for the statement!)
6. Another Alan said...
Too much ignorant Mervyn bashing above. Okay, maybe rates should be a little higher given the inflation rate but he's done okay and he hasn't slashed rates when many wanted him to.
7. another alan said...
Too much ignorant Mervyn bashing above. Okay, maybe rates should be a little higher given the inflation rate but he's done okay and he hasn't slashed rates when many wanted him to.
He's not secretly protecting the rich (yawn), and some other thoughts a bit related to another pose
(1) if the graph is right - no graph that has future years on it is right.
(2) it is a bloody good job that the BoE governor and members are not elected - if so base rates would be much lower and we would be in a bigger mess caused by populist short term thinking.
(3) bordering on criminal - wow! a stupid statement - yes politicians etc have many, many faults but can't be called criminal for the above
8. Neo-serf said...
Another Alan - you are bang on he isn't 'secretly' protecting the rich it he is explicit about it.
Mervyn King is not fit for purpose. He has condemned us to a decade of stagflation because of his inability to apply the right policy.
End of sorry story.
9. enuii said...
Tyrell, by the time this whole sorry mess has worked through the populace of this little corner of the globe Gordon Brown and his cohorts will be wanted for Treason.
16/17th Century standards of living will see 16/17th Century justice being meted out!