Friday, Oct 17, 2008
That's it then Tories back in soon
Whitehall News: Cameron attacks PM over economy
Almost plausible, well present speech. The sheople wil fall for it hook, line and sinker.
Posted by malct @ 08:35 AM (603 views) Add Comment
22 Comments
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1. Breck said...
It's about time he did to be fair.
Not sure why you say the sheople will fall for it though. Fall for what? He's stating fact here. A politician telling the truth, whatever next?
2. renting2 said...
"In contrast, Mr Cameron said he would entrench fiscal responsibility in government by setting up a new independent body - the Office of Budget Responsibility - to hold ministerial spending to account."
Another public body to pay for, independent from who and for how long? Just like the BoE? What's the Treasury for?
3. planning4acrash said...
Oh help us. Headlines about rate cut to 1% today. Can somebody post it please? I have no access at work. Its scary to see them actually destroying the currency infront of your face. As i was saying yesterday. Get out of debt, get real assets. Gold is just
4. planning4acrash said...
One asset. More useful are things like pressure canners to store food. Jeez, headlines about forcing home bill reductions. This means shortages. Backup power may be necessary. This is starting to get scary.
5. Luckjim said...
Deregulation in the city, a culture of greed and an obsession with home ownership are all things we associate with the Tories. I know they've dug out a few quotes this morning but basically they kept quite while this trouble was brewing. They can't honestly say they would have done anything different. Their best bet is to keep schtum - as they have done for the last four years.
6. str 2007 said...
This is a casual observation from someone who doesn't know their arsh from there elbow (although I saw the HPC and Stock Market Crash coming).
But when they use the blunt instrumesnt of interest rates to keep things going (ala 2001 and again in 2005) the problem seems to be the unrestricted flow of cash.
IE Joe Plumber for example with his 100k mortgage and £500 per month repayment doesn't use the spare £50 per month when his repayments drop to £450 per month to spend in the shops. He goes right out and Mews his mortgage back upto £500 per month taking on another £10k of debt. Which agreed he puts into the economy. But this is too much and is what leads to the Boom and Bust.
I'm sure there's a simple phrase for what I'm saying (like restricting M3 money supply) or some such.
But to me the answer is described as above to keep things more stable in the future. (IE to give someone a £50 per month boost in their pocket, not a £10k one)
Perhaps one of you clever chaps can give me the phrase I'm looking for.
7. Luckjim said...
planning4crash
That chicken isn't going to fry itself.
8. Superruss said...
prudence?
9. Luckjim said...
str 2007
When an economy has high unemployment or underutilised resources, pumping money in stimulates growth - more goods and services being produced. The money can either be pumped in through fisacal policy (tax cuts) or growth in the money supply.
When an economy has low unemployment it is difficult to produce more goods and services so more money just produces inflation - same amount of widgets + more money = higher monetry value per widget.
The Brown boom is something of an optical illusion because the money supply has been growing, the amount of goods and services has barely changed and yet we don't have inflation. How come ? Because house price inflation doesn't count as inflation. I sold my house for four times it's original value. Was I four times better off before I sold? No. But according to official statistics my standard of living had improved. Our standard of living in the UK has increased massively. Don't YOU feel much better off than your parents?
What you say is true - lower interest rates would make mortgages affordable but prices would rise again to the point where new entrants can barely buy a shoebox. It is a bit like when they build a new motorway - it is great for a few months but soon the traffic builds up to the point where it is just about tollerable.
10. nooneo said...
I suspect that everyone, even leading Tory politicians, have seriously over-exposed themselves to debt and will suffer if the "drug dealers" which are the money lenders, turn of the economic taps. "If only I can get one more decent fix I can get outta this mess". Cameron is a junkie, just as Bliar and Brown are. The Labour party, consiously in my opinion, milked this cash cow for 2 re-elections. They are all corrupt, and the problem is endemic in the British political system.
Tories = Self serving liars
Labour = Self serving liars
Lib Dems = Former balroom dancing champions and liers about their sexual orientation - oh that makes them self serving liers.
Don't vote for them, it only encourages them
11. Daniel said...
All that was needed was a guarantee on deposits and interbank lending with the banks given minimum capital targets within certain daytes--this was all that was necessary. However, Brown gave us no choice whatsoever. He nationalised because that was the 'socialist' thing to do.
In every problem there is opportunity, and he swiped it.
He has STOLEN the money of shareholders. Then he calmly lies about it. {I dont thin they wil get away with this though}
Oh Yeh!
The great British Bail out was not even Browns idea.
See here:
http://www.telegraph.co.uk/finance/financetopics/financialcrisis/3205088/Standard-Chartered-chief-Peter-Sands-was-quiet-architect-of-Britains-bank-rescue.html
It was the brain child of Mr Sands and by Richard Meddings, Standard Chartered's finance director. Although theyre plan did not involve stopping all dividend payouts.
Im sorry, but I absolutely hate Labour.
12. mark wadsworth said...
Dave is a vacuous moron.
I just finished off my critique of his speech, which I don't have time to repeat here.
13. Emily said...
If the choice is between Brown and Cameron - admittedly hardly a good choice - at this point I'd prefer to give a bloody nose to the person responsible for this mess, Brown. As much as I worry about Tory rule, I would worry far more if the economically illiterate and authoritarian nulabourites were to win another election. That really would be Game Over.
14. malct said...
nooneo, you're well on form this morning
several beautiful, creative and enlightened comments
oh, and I forgot - amusing!
15. matt_the_hat said...
>>Another public body to pay for, independent from who and for how long? Just like the BoE? What's the Treasury for?
>>ts scary to see them actually destroying the currency infront of your face.
>>This is starting to get scary.
>>No. But according to official statistics my standard of living had improved. Our standard of living in the UK has increased massively. Don't YOU feel much better off than your parents?
>>Don't vote for them, it only encourages them
>>He has STOLEN the money of shareholders
>>Im sorry, but I absolutely hate Labour.
>>Dave is a vacuous moron.
I've gone through this entire thread and not one comment on action just a load of old steam... Please someone give a suggestion of some action we can do to improve things...
What about that bank in Sweden that doesn't charge usury
16. mark wadsworth said...
@ Matt, OK, here's the MW plan
1. Sort out 'financial crisis' via sensible write downs and debt-for-equity swaps.
2. Allow house prices to crash and then keep them low and stable by replacing Council Tax and all other property-related taxes with Land Value Tax.
Is that enough to be going on with?
Dave has made it crystal clear that he won't do either of these (see my previous link).
17. matt_the_hat said...
Sounds OK to me if you were PM but my question was what can we do? Its blatantly obvious the politicians will do whatever keeps them in office. But my horizon is not the next 5 years its the next 50-100. We have to make things better, otherwise I might as well go join the lines outside curries and have a fight - Capitalism at its best
18. mark wadsworth said...
@ Matt
I agree, my steps 1 and 2 are urgently needed in the short term.
In the long term
1. All bank bonds issued will contain the proviso "If the bank suffers losses (as defined) then the corresponding fraction of these bonds will be cancelled and you will be issued with new shares as compensation". A sort of rolling ad-hoc 'debt for equity swap'. FInancial crises will thus by definition hardly ever arise.
2. Land Value Tax will keep property prices low and stable for evermore.
Ah ... that's the same two steps... I can't think further ahead than that, I'm afraid.
19. matt_the_hat said...
Ok mark I see I need to define 'we'. I don't mean we as the collective country I mean we as individuals or small groups.
"Never doubt that a small group of thoughtful, committed citizens can change the world. Indeed, it is the only thing that ever has."
Margaret Mead
20. mark wadsworth said...
Matt, I email and write to politicians and newspapers, I post on 'blogs, I help UKIP with their policies (Labour Land Campaign kicked me out, unfortunately), I talk to people about these most tedious subjects, I try to spread the word.
That's all I can do, bearing in mind that all political lives end in failure, mine actually started as a failure and it hasn't got much better since. Will I ever achieve anything? Probably not, but it is my beholden duty to try.
21. matt_the_hat said...
Mark all that sounds very admirable (not taking the pi55). I was just looking for 1 project that people could work on. A new way of banking maybe that excludes buy now never pay brigade. The Jaf bank with a slight modification looks like a good starting point (maybe gold deposits to hedge against inflation - i.e. borrows borrow gold convert to fiat currency then return the gold in repayments). I don't know. It seams sometimes that people like to moan but don't want anything to change. Too much VI in the current system.
22. Luckjim said...
Matt the hat.
You could start a building society. A proper building society in line with the originals. It's just a group of people sharing their resources without having the cream skimmed off by bankers. In the old days they were groups of people from the same town - nowadays they could be groups of people who met on facebook.