0.1% Growth Makes Mandelson Lose The Plot

[Britney's Piers]

I saw that as well. Mandleslime trying to push his face into the camera shot - all very strange.

[Trampa501]

There's often a point when a regime begins to crumble and the leaders start to realise their end is nigh and they panic looking for their helicopter to take them out of the country. The Ceausescu moment. It may be we're very close to that point with the current cabal.

[dances with sheeple]

True.

Seriously though, how, how, HOW? Has he become so powerful. If you read a brief summary of his 'career' it is littered with shame, scandal, embarrassment and failure. Add to this the undeniable fact <crazed, hypnotic, spinning, satanic eyes> you agree with me, YOU AGREE WITH ME </crazed, hypnotic, spinning satanic eyes> that nobody would leave their child in a room with him, even for a moment (think about it -you really wouldn't would you?) due to his almost Biblical creepiness, how has he become more than a despised headmaster (which is what I imagine he would have become without his 'powers')?

Serious question - anyone know how he has managed it? Or does the Government have that much contempt for us they will inflict him upon us as an all-powerful demi-god politician with a shrug of the shoulders and a 'fukc them, they'll never notice' smirk?

As I`ve said many times he is the re-awakened corpse of IMF-HO-TEP an ancient Egyptian caught with his finger up the Kings ring and mummified alive for his trouble. If you want to see the inspiration for his hypnotic camera technique, see the Boris Karloff classic "The Mummy"

[shedfish]

i've seen Mandelson in person, and can confirm his stare is really quite creepy...

he reminds me a bit of Gollum

and Hitler

...and Kaa the snake from Jungle Book

none of these are good

[dances with sheeple]

There's often a point when a regime begins to crumble and the leaders start to realise their end is nigh and they panic looking for their helicopter to take them out of the country. The Ceausescu moment. It may be we're very close to that point with the current cabal.

Oh, if only, Brown Blair and Mandelson, backs to the wall and video`d for You Tube. I jest, but these guys need some Jail time, I`m serious about that.

[Cinzano Bianco]

So we have 'Who Cares' and 'So What' in our ruling cabinet. God help us

There seems to have been a number of music videos posted on here today, so I thought I would add this:

[shedfish]

There's often a point when a regime begins to crumble and the leaders start to realise their end is nigh and they panic looking for their helicopter to take them out of the country. The Ceausescu moment. It may be we're very close to that point with the current cabal.

the trouble is, they'll be replaced by the new lot, who, after a couple of years, will be just like the old lot.

this time though, not once will the cameras turned on us, pause or even blink

lately i often find myself reflecting on how much i perceive this place has changed. at home, abroad, in the pocket. Domestic Policy. Foreign Policy. Fiscal Policy. it appears to me that there were cornerstones to this little country; and that they have been systematically removed, for short term profit and political favour. then there's the expenses scandal, the rape and larceny perpetrated on 'The Taxpayer' (me, for example).

"THE RIGHT THING TO DO"

"HARDWORKINGFAMILIES"

"WHATEVER IT TAKES"

f*ck off

[fallingbuzzard]

£50bn, April to July. Certain to be announced in March, unless election is called prior end of Feb for mid March. Have noticed Mervyn starting to get really angry in his very reserved way.

.

On t'other thread someone said I was wrong when I said QE will go on now they have a perfect excuse.

Who's right?

QE or not QE, that-is-the-question...

TLB

Edited January 26, 2010 by fallingbuzzard

[wish I could afford one]

My thoughts on the GDP numbers

Firstly, some quotes to think about:

1. "Now in Britain, we are saying, as you know, that inflation is low, interest rates are low and we expect there to be growth.” – Gordon Brown, 2008

2. "We have a strong economy, its momentum will carry us through." – Alistair Darling, 2007

3. "I think the choice is becoming pretty clear. Between a government that is determined at all times to maintain the stability and growth of the British economy. “ – Gordon Brown,2007

4. “...a weak currency arises from a weak economy which in turn is the result of a weak Government.” – Gordon Brown, 1992

So the UK today emerged from recession. What an excellent [sic] job the current government and the Bank of England has done managing the UK economy over the business cycle. Today we find that the UK economy (GDP) has grown by 0.1% in the final three months of 2009. To get these outstanding [sic] results they’ve only had to lower VAT to 15%, lower the Official Bank Rate to 0.5% (the lowest rate in the history of the Bank of England), quantitative ease to the tune of £200 billion and introduce a car scrappage scheme to name but four.

This has all resulted in:

- house prices that are within 13% of record peaks. Of course that’s great news if you’re a “hard working family”, sorry, hard working politician with multiple houses partly paid for by the tax payer.

- a heavily devalued (weak) pound.

- low returns from bank deposits / bonds for those people trying to live on savings or save for retirement.

To go with this we have the Consumer Price Index (CPI) increasing at a rate of 2.9% including the largest month on month in history and a Retail Prices Index (RPI) increasing at a rate of 2.4%.

Now I’m going to get my crystal ball out and predict how the Bank of England is going to respond. I’m betting that they will leave the Official Bank Rate on hold at 0.5%. This in turn will lead to the next big issue for UK PLC. Firstly inflation will take off, then salary inflation will start as the public sector unions negotiate first just before the election and then others join the band wagon. This will then lead to built in inflation which the Bank of England will struggle to get back in hand.

I have one word for where I think the UK economy is headed – stagflation.

To conclude I’m going to modify the four quotes above a little. “Inflation is not low”, “we do not have a strong economy”, “we do not have stability and growth” however we do have “a weak currency”.

http://retirementinvestingtoday.blogspot.com/2010/01/stagflation-and-uk-q4-gdp-numbers.html

[Constable]

I don't think I've ever seen Ken Clarke so exasperated. I think he too was shocked at Mandleson's performance. He's lost the plot and has started to repeat bullsh*t phrases such as "lock in the recovery" in answer to any question, just like his boyfriend Brown.

Edited January 26, 2010 by Constable

[Pick It Down]

£50bn, April to July. Certain to be announced in March, unless election is called prior end of Feb for mid March. Have noticed Mervyn starting to get really angry in his very reserved way.

Can't see it, with inflation taking off they'll not be able to justify any more QE.

King has a semblance of reasonability.

[wish I could afford one]

It will be seen as just a blip caused by the VAT change, the underlying inflation figure is unchanged and we need the QE to 'lock in the recovery'. If necessary they will need to adjust the way inflation is measured.

The VAT change hasn't kicked in yet. We see that in the inflation figures next month.

[Pick It Down]

I know that as you do, but I think it was the BBC that actually reported that the increase in Dec inflation was because of the VAT rise!. So it could be they have had a 2.9% rise in Dec that was in reality was only say 1%, this gives them 1.9% to play with in Jan. Same as when companies are having a bad quarter they can decide to have a really bad quarter and bolster results going into the future.

How the BBC reports things is irrelevant to the MPC's decisions. We'll know next week anyway!

[cockrobin]

At the beginning of News Night they showed hundreds of people cheering with ticker tape pooring over them after the announcement of the end of the recession!!

Get the credit cards out everyone!!

[Bruce Banner]

Did anyone else just watch the interview with Peter Mandelson and Ken Clarke on Channel 4 News?

I think I just saw a man have a nervous breakdown on the screen. Peter Mandelson couldn't stop talking, interrrupting Ken Clarke, and repeating the same inane drivel over and over again. No need for cuts, growth is going to save the day. Over and over and over again.

Then to top it off he started talking about himself in the third person: "Peter is going to do this", "Peter is going to do that.".

Maybe the clip will be posted on youtube. It was a classic.

The man's a nutjob. The country appears to be crashing with madmen at the helm.

And three, or was it four "Lock in the recovery"s. I'd wondered where that line originated from.

[OnlyMe]

The VAT change hasn't kicked in yet. We see that in the inflation figures next month.

Increasing VAT will spur on growth! Only in the minds of the monetary maniacs.

[bugged bunny]

'kin hell. 0.1 % is just noise. It's pathetic.

Feels like I'm a character in a George Orwell novel. Who believes this sh1te?

And is this seasonally adjusted, I mean doesn't the economy expand every 4th quarter due to Xmas?

[Woot]

C4 site with excerpted video: LINK

Love this bit...

"At one point Mr Clarke told his rival: "Peter, for heavens sake. I know you're worried, this is very bad news for you, but for heaven's sake behave yourself.""

[scepticus]

oh dear. All three of them on that clip were utterly clueless, and squabbling like housewives.

Mandelson was spooked and had nothing new to say, clarke was just wrong if he thinks cutting the deficit is going to lead to growth (even though the deficit does need to be cut), and wossname interviewing had no control at all.

very poor all round.

the fact is none of them, tory or labour can concepualise a long period of secular stagnation and contraction.

I have yet to see any major party politican or central banker from the UK, US, or europe who has publicly faced up to the reality.

[Guest spp]

Can't see it, with inflation taking off they'll not be able to justify any more QE.

King has a semblance of reasonability.

You will threaten the fragile recovery if we don't continue propping up the ponzi...how dare you!!

Back to the OP - You agree with me, you agree with me...WTF!! Creep! :angry:

I'll get the pitch fork!

[CokeSnortingTory]

oh dear. All three of them on that clip were utterly clueless, and squabbling like housewives.

Mandelson was spooked and had nothing new to say, clarke was just wrong if he thinks cutting the deficit is going to lead to growth (even though the deficit does need to be cut), and wossname interviewing had no control at all.

very poor all round.

the fact is none of them, tory or labour can concepualise a long period of secular stagnation and contraction.

I have yet to see any major party politican or central banker from the UK, US, or europe who has publicly faced up to the reality.

Yes. It's a historical inflection point. This is the meme that needs to be spread.

[ravedave]

What i found astounding is the bit where Ken Clarke says :

Ken: ... we have the biggest, fastest rising debt

and then under his breath but caught on the mic Mandelson replied : Who cares?

Astounded i was just stunned.

It sounds more like "but Ken..."

It is at 15 seconds into the second video in the C4 link.

[OnlyMe]

Nice Beeboid staged event, incredible.

[scepticus]

Yes. It's a historical inflection point. This is the meme that needs to be spread.

the meme that needs to be spread is that this time it aint gonna be fixed by either:

1) keynsian tax and spend

2) fiscal conservative cut and raise rates.

there is a legitimate argument to be had about the best short term course of action but any such short term actions needs to have the longer term solutions and issues in mind. Further, the solutions advanced need to incorporate the reality of the modern economy which means:

1) a more or less pure credit economy

2) a technologial base which is dependant on (1) and also dependant on a given level of consumption to sustain it.

3) a recognition of demographic and energy realities

4) a recognition that mass democracy is here to stay and thus that basic common welfare must be respected

5) a recognition that unsustainable income inequalities in britain and internationally must be corrected over time

6) a recognition that banking needs to be yoked to serve the real economy

7) a recognition that future growth rates are likely to oscillate between -2 and +2%, best case.

There are no political parties anywhere that are even close to getting to first base, which is to tick all boxes above. I suspect that in private the political establishment in japan is closest to admitting reality, for obvious reasons.

[CokeSnortingTory]

the meme that needs to be spread is that this time it aint gonna be fixed by either:

1) keynsian tax and spend

2) fiscal conservative cut and raise rates.

there is a legitimate argument to be had about the best short term course of action but any such short term actions needs to have the longer term solutions and issues in mind. Further, the solutions advanced need to incorporate the reality of the modern economy which means:

1) a more or less pure credit economy

2) a technologial base which is dependant on (1) and also dependant on a given level of consumption to sustain it.

3) a recognition of demographic and energy realities

4) a recognition that mass democracy is here to stay and thus that basic common welfare must be respected

5) a recognition that unsustainable income inequalities in britain and internationally must be corrected over time

6) a recognition that banking needs to be yoked to serve the real economy

7) a recognition that future growth rates are likely to oscillate between -2 and +2%, best case.

There are no political parties anywhere that are even close to getting to first base, which is to tick all boxes above. I suspect that in private the political establishment in japan is closest to admitting reality, for obvious reasons.

I think your scenario is plausible, but my inkling is that 1, 2 and 4 are going to be greatly affected by the energy portion of 3.

Which means that 1, 2 and 4 are only at the scale they currently are due to the availability of cheap energy. I see relocalisation as the most plausible future path. That said, as this is all totally hypothetical, please don't make me argue over 10 pages with you.