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Errol

Those Government Cuts In Full

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Actually the guy has a PhD in political history. Not that most economists have any idea how to run the economy anyway.

The best chancellors have been the ones with some kind of hinterland. Roy Jenkins and Ken Clarke.

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Those Government Cuts in Full

1. Government spending to rise by £50 billion by 2014.

2. Budget deficit to continue increasing by £3 billion a week.

3. No one to mention any of the above, as all media continue to describe cuts as savage, drastic, immoral etc.

4. Er ...

5. That's it.

- Just thought this was particularly amusing.

Check out the official Private Eye site: http://www.private-eye.co.uk/

Makes a change for a government to say they are going to hurt you and then not do it.

It's usually the other way round.

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Actually the guy has a PhD in political history. Not that most economists have any idea how to run the economy anyway.

Nor do most who study politics or history strangely enough. And what they know about political history will be some facts in the middle of a load of unproven theories strongly coloured by their tutors political leanings combined with whatever bias they bought with them when they first arrived at university.

The guy is a PR man. A professional bullshine merchant and he comes across as exactly that. I couldn't give a toss what kind of degree daddy's cash provided him with. Especially something as lame as political history.

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I'm not sure what that has to do with the price of cheese or indeed economics?

His PHD was titled The Labour Party and Political Change in Scotland 1918–29.

Mmmmmmm

The fact that you can narrow your studies down to what happened to one party in just one part of Britain over just 11 years reinforces what I said in my previous post.

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There are some very depressing PFI figures in the latest edition.

Is this the issue that's currently on newsagents shelves?

(I ask because sometimes subscribers get copies in advance of them hitting the shelves.)

Might pick up a copy tomorrow.

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However with inflation running at 4% that equates to about a £40bn real terms cut.

Also bear in mind that the total spending figure includes interest payments on the debt, so if you borrow another £500bn between now and 2014 that's another £20bn that you need to find out of other budgets.

Very good points.

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Just a word for perspective:

UK population = 61,792,000

Economically active UK population = 31,713,000

Source:

https://www.nomisweb.co.uk/reports/lmp/gor/2092957698/report.aspx

Additionally weekly UK debt = £3 billion (as quoted by Nick Clegg on BBC News - Deficit is over £400 million a day)

So:

£3,000,000,000 ÷ 31,713,000 = £94.60

So, that's £94.60 per week the government is spending for every working person in the country and one day it needs to be paid back with interest.

Think you can spare over £400 quid extra in tax a month for near perpetuity to pay this back? Sucking out all that money from the economy to pay this debt is going to cause a hell of a lot of problems, economic depression anyone?

Never mind, you don't need to pay it back. The government will do it on your behalf via inflation. Of course there will be the minor problem of a stagflationary depression to deal with, but don't worry about it.

The other solution (the real one) is default. Stiff our creditors and start living within our means. It means lower standards of living, but that is coming anyway, so best pick the best poison that will hurt least.

Anecdotally, I went into Oxford yesterday. 8 out of 10 people in the shops that served me were foreign. Fair enough, it's an international city, but the second largest sink estate in Europe is on the doorstep (Blackbird Leys) and is teeming with people being paid to be idle. Just saying.

GC, this isn't like you. That £100 per WEEK per working person is not to pay the debt back, it's actually only to stop it getting any bigger.

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The fact that you can narrow your studies down to what happened to one party in just one part of Britain over just 11 years reinforces what I said in my previous post.

That's pretty standard for a Ph.D. actually,

Peter.

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  • 317 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%



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