Jump to content
House Price Crash Forum
Sign in to follow this  
Sour Mash

Sentance: Merv And The Mpc Are "selling Britain By The Pound"

Recommended Posts

Grauniad

A furious war of words has broken out on the Bank of England's monetary policy committee, with the hawkish Andrew Sentance accusing Mervyn King and his colleagues of "selling Britain by the pound".

Speaking in London at the Institute for Economic Affairs, Sentance, who has been voting for higher rates since last June, delivered his sharpest criticism yet of the Bank's failure to tackle 4% inflation, in a direct riposte to Mervyn King's wait-and-see approach, laid out in the Bank's inflation report press briefing on Wednesday.

Sentance accused the Bank of being too optimistic about how quickly inflation will fall back to its 2% target, and warned that the longer the MPC delays, the faster it will have to slam on the brakes to prevent inflation running out of control.

Maybe Sentance's warnings are not just a PR exercise after all ...

Edited by Sour Mash

Share this post


Link to post
Share on other sites

"Selling England by the pound".

My favourite Genesis album 1973

Not much changes.

Except Phil Colin's hairline.

So, lots of tense silences, strategic use of seating arrangements and petulant childishness at the next MPC meeting?

MERV: "Tell Mr. Sentance to pass me the sugar please".

Andrew Sentance: "Tell him to get it himself. He could use the excercise, the fat twunt".

Mr. Bean: "Oh for fcuks sake, tell him your bloody self, I'm not your bloody mother".

<LONG SILENCE>

Martin Weale: "So, erm... another hold this month then?"

Paul Fisher: "Suits me. Anyone fancy a pint?"

Share this post


Link to post
Share on other sites

Grauniad

Maybe Sentance's warnings are not just a PR exercise after all ...

I think Sentance may actually 'get it'. He seems to understand that we are not in control of the price of commodoties, inflation and high prices are a global phenomenon. Just because we choose not to buy as much crap from China, doesn't mean that Chinese crap automatically becomes cheaper. We are becoming a smaller player in world terms and are in grave danger of becoming a bystander as the world economy surges onwards.

Because of low interest rates, the purchasing power of our currency has been wrecked. We buy oil in Dollars and most of our energy is imported, we have a huge trade deficit,,, so how does destroying the value of Sterling help the country? Ah, export led recovery I hear you say, well unfortunately most of the raw materials and energy used in our manufacturing processes are currently imported; take steel for instance, or resins for that matter.... Add to that a punitive tax regime, relatively high wages, soaring commercial property costs, elf and safety etc. and the cards are firmly stacked against our manufacturing industry to grow us into real positive growth in the future.

Just increase interest rates, get some foreign money flowing into our banks, boost the buying power of the pound, reduce energy costs and get the country moving again. They are so busy screwing around, trying to avoid upsetting debt laden middle England. Whilst the reality is, they are actually killing them with kindness...

Sentance gets it...

Share this post


Link to post
Share on other sites

I think Sentance may actually 'get it'. He seems to understand that we are not in control of the price of commodoties, inflation and high prices are a global phenomenon. Just because we choose not to buy as much crap from China, doesn't mean that Chinese crap automatically becomes cheaper. We are becoming a smaller player in world terms and are in grave danger of becoming a bystander as the world economy surges onwards.

Because of low interest rates, the purchasing power of our currency has been wrecked. We buy oil in Dollars and most of our energy is imported, we have a huge trade deficit,,, so how does destroying the value of Sterling help the country? Ah, export led recovery I hear you say, well unfortunately most of the raw materials and energy used in our manufacturing processes are currently imported; take steel for instance, or resins for that matter.... Add to that a punitive tax regime, relatively high wages, soaring commercial property costs, elf and safety etc. and the cards are firmly stacked against our manufacturing industry to grow us into real positive growth in the future.

Just increase interest rates, get some foreign money flowing into our banks, boost the buying power of the pound, reduce energy costs and get the country moving again. They are so busy screwing around, trying to avoid upsetting debt laden middle England. Whilst the reality is, they are actually killing them with kindness...

Sentance gets it...

It makes our houses cheaper for foreigners, those same people who have been excluded from the immigration cap. The aim of the government is to attract as many crooks as they can from around the world because they have the most money.

In David Cameron we have a leader whose job is to quietly legitimise a semi-criminal, money-laundering economy.

http://www.guardian.co.uk/commentisfree/2011/feb/07/tax-city-heist-of-century

Share this post


Link to post
Share on other sites

I think Sentance may actually 'get it'. He seems to understand that we are not in control of the price of commodoties, inflation and high prices are a global phenomenon. Just because we choose not to buy as much crap from China, doesn't mean that Chinese crap automatically becomes cheaper. We are becoming a smaller player in world terms and are in grave danger of becoming a bystander as the world economy surges onwards.

Because of low interest rates, the purchasing power of our currency has been wrecked. We buy oil in Dollars and most of our energy is imported, we have a huge trade deficit,,, so how does destroying the value of Sterling help the country? Ah, export led recovery I hear you say, well unfortunately most of the raw materials and energy used in our manufacturing processes are currently imported; take steel for instance, or resins for that matter.... Add to that a punitive tax regime, relatively high wages, soaring commercial property costs, elf and safety etc. and the cards are firmly stacked against our manufacturing industry to grow us into real positive growth in the future.

Just increase interest rates, get some foreign money flowing into our banks, boost the buying power of the pound, reduce energy costs and get the country moving again. They are so busy screwing around, trying to avoid upsetting debt laden middle England. Whilst the reality is, they are actually killing them with kindness...

Sentance gets it...

Bingo, Bingo.

Sentance gets it...

and so do you sir. there is so much correct about this post that it hurts my very eyes.

killing them with kindness.

So true.

Share this post


Link to post
Share on other sites

It makes our houses cheaper for foreigners, those same people who have been excluded from the immigration cap. The aim of the government is to attract as many crooks as they can from around the world because they have the most money.

don't be such a cynic...

Their real aim to get re-elected, so they can milk it for longer... There is only one thing on David Camerons mind right now, how do we cling on to power (maybe also 'how do we jettison these damn lib-dems before the next general election')? Hence the u-turn on flogging the forests, not popular so lets not do it. IDS on the news this morning sounding like the front page of the Daily Mail.

This government same as the last, it's all politics...

Share this post


Link to post
Share on other sites

don't be such a cynic...

Their real aim to get re-elected, so they can milk it for longer... There is only one thing on David Camerons mind right now, how do we cling on to power (maybe also 'how do we jettison these damn lib-dems before the next general election')? Hence the u-turn on flogging the forests, not popular so lets not do it. IDS on the news this morning sounding like the front page of the Daily Mail.

This government same as the last, it's all politics...

I used to be a cynic but now I'm a realist.

Share this post


Link to post
Share on other sites

I used to be a cynic but now I'm a realist.

Talk about cynicism, have you just put Madoff in your sig recently? If his lips get any looser (no metaphor about jail there) regarding the banks complicity in his dealings, he will go the same way as his number 2 son... Actually, he is a dead man walking already... They almost got to Alan Stanford...

Share this post


Link to post
Share on other sites

Talk about cynicism, have you just put Madoff in your sig recently? If his lips get any looser (no metaphor about jail there) regarding the banks complicity in his dealings, he will go the same way as his number 2 son... Actually, he is a dead man walking already... They almost got to Alan Stanford...

The ponzis made my sig in Aug 2009.

If you think I am cynical about our politicians what percentage would you apportion to these questions e.g. 90-10, 50-50 etc about why such as Cameron & Osborne want to reach office?

a) They want to make the UK a better place to live for the majority of the population

b.) They see office as an opportunity to make vast amounts of money

Edited by Redhat Sly

Share this post


Link to post
Share on other sites

The ponzis made my sig in Aug 2009.

If you think I am cynical about our politicians what percentage would you apportion to these questions e.g. 90-10, 50-50 etc about why such as Cameron & Osborne want to reach office?

a) They want to make the UK a better place to live for the majority of the population

b.) They see office as an opportunity to make vast amounts of money

haha, when I was a student I was constantly being told there was no such thing as a stupid question... Reality bites...

Share this post


Link to post
Share on other sites

How do IR help bring down inflation? Surely higher IR mean higher prices for everything to which higher rates are applied.

To deflate an economy you lock wages and watch demand tumble along with prices.

If the world is heading toward a double dip, which I think is happening, the commodity bubble will pop and lower prices for everything will follow. Especially if demand is crippled by wage freezes caused in turn by massive unemployment.

If wage push inflation takes off we can all run for the hills.

Share this post


Link to post
Share on other sites

How do IR help bring down inflation? Surely higher IR mean higher prices for everything to which higher rates are applied.

We are facing cost push inflation so rising IR's won't be to try and diminish demand but rather to keep down inflation expectations (mainly for wage bargaining purposes).

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 285 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.