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Guest KingCharles1st

So The B.o.e. Have Got Themselves Into A Tangle-

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Guest KingCharles1st

They have backed themselves into a corner with ridiculously low I.R's, QE isn't working, where can they go next?

Maybe what we are seeing is the BOE and the CITY perceiving a "store" of money in Hp's and equity equally as much as the public at large.

I think we are fast approaching "the" tipping point now.

If you were suddenly given the job of sorting this mess out- what would you do-- seriously..

What steps would YOU take

For the object of this exercise emigration is NOT an option

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Well since you ask...

1/ Sack half the public sector

2/ Deport enough foreigners to give every Brit including the sacked public sector workers a job.

3/ Use the savings to balance the budget.

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They're so deep in, that it's hard to say what to do.

Firstly, I'd slash public spending, including NHS and Education, but mostly welfare.

Reverse QE. It's just storing up problems for another day.

Would probably still require higher taxes and some borrowing for a while.

Take the hit. After a few years of pain, we'll find a bottom and build from there. This

would also wipe out most of those that got us here, so the next bubble might not be so bad.

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Well since you ask...

1/ Sack half the public sector

2/ Deport enough foreigners to give every Brit including the sacked public sector workers a job.

3/ Use the savings to balance the budget.

Coming out of the EU then ?

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Well since you ask...

1/ Sack half the public sector

2/ Deport enough foreigners to give every Brit including the sacked public sector workers a job.

3/ Use the savings to balance the budget.

doing what?

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Cut spending and increase taxes.

Sure as eggs is eggs, whoever wins the next general election, that is what is going to happen.

yup time to be prepared for being the most taxed nation on earth with feck all to show for it

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I think its time to pick up the phone and call Ocean Finance for a consolidation loan.

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I suspect the next step will be a death-or-glory attempt to engineer a technical 'coming out of recession' story along the lines of France and Germany, in a last ditch attempt to gain popularity for Labour before the GE.

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Well since you ask...

1/ Sack half the public sector

2/ Deport enough foreigners to give every Brit including the sacked public sector workers a job.

3/ Use the savings to balance the budget.

What about the MP lynchings?

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Well since you ask...

1/ Sack half the public sector

2/ Deport enough foreigners to give every Brit including the sacked public sector workers a job.

3/ Use the savings to balance the budget.

yeah but what's the 'final solution'?

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They have backed themselves into a corner with ridiculously low I.R's, QE isn't working, where can they go next?

It looks like it has worked to me, dampening the worst effects of the crunch/recession. Both IR/QE have also helped weaken the pound, a necessary adjustment.

I think house repo's would be much higher if IR's were higher and stock market would be lower if QE had not been done.

Together with the bank bailouts, only a severe recession should now be expected, rather than anything worse. The cost of all this however, is long-term public debt with kill any quick recovery. I expect low growth (if any) for decades.

VMR

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yup time to be prepared for being the most taxed nation on earth with feck all to show for it

Rubbish: We've got some very well-off people, who've got even richer, to show for it. :(

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It looks like it has worked to me, dampening the worst effects of the crunch/recession. Both IR/QE have also helped weaken the pound, a necessary adjustment.

I think house repo's would be much higher if IR's were higher and stock market would be lower if QE had not been done.

Together with the bank bailouts, only a severe recession should now be expected, rather than anything worse. The cost of all this however, is long-term public debt with kill any quick recovery. I expect low growth (if any) for decades.

VMR

the pound is up.

IRs are up

repos are going up

QE is not for you. Its for banks only.

in that respect, it is doing its job. Adding nothing to wealth, but keeping bankers in the game....

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I suspect the next step will be a death-or-glory attempt to engineer a technical 'coming out of recession' story along the lines of France and Germany, in a last ditch attempt to gain popularity for Labour before the GE.

I wonder if Labour really want to win the next election? They must know how bad it is and how bad it

will get?

For them, an upturn before the GE, but still lose would be perfect. They could pretend the depression is

nothing to do with what they did.

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I wonder if Labour really want to win the next election? They must know how bad it is and how bad it

will get?

For them, an upturn before the GE, but still lose would be perfect. They could pretend the depression is

nothing to do with what they did.

Of course they do. A lot of those fine Labour MPs will be out of work otherwise.

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yeah but what's the 'final solution'?

IR's at 10%. Avoiding this pain will only lead to armageddon.

(which is where we're heading if someone doesn't get their finger out pronto.) :rolleyes:

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I wonder if Labour really want to win the next election? They must know how bad it is and how bad it

will get?

For them, an upturn before the GE, but still lose would be perfect. They could pretend the depression is

nothing to do with what they did.

would anyone buy that tho??

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Of course they do. A lot of those fine Labour MPs will be out of work otherwise.

Ive heard many are leaving...course, they are waiting till an election to resign as otherwise they would miss out on the 75K or so "decomissioning" expense.

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Of course they do. A lot of those fine Labour MPs will be out of work otherwise.

True, but Brown looks destroyed. Can't see him making it another 4 years.

Darling can only hope to get away with some bit of dignity left.

There's a small window where they've a chance of getting out without being the most hated people

in the country. It's only small, for a short time next spring.

After that they'd be forced to:

- cut spending

- raise rates

- raise taxes

And futher in the future

- reverse QE.

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