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Gdp Negative


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HOLA441

Yes, they changed the base year from 2005 to 2008. The equivalent statement is now:

Index of production for manufacturing was 102.8 in Q2 2007, 94.9 in Q1 2012.

Output index for business services & finance was 99.3 in Q2 2007, 99.5 in Q1 2012.

Thanks for that.

And they keep saying trashing the currency and interest rates is to rebalance not just enable the financial sector to keep the bonuses rolling in.

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HOLA442

I'm sure someone else must be feeling like I feel. I'm turning into a cynical old man at the age of 32. I swear at the television. I swear at the news. I can't hack any of the morning news shows that my wife wants to watch.

I just need to ...stop reading news. Stop following HPC. Not engage in any political discussions.

I need to drop out, get some LSD, get on my mountain bike and just numb my brain away. This sort of stuff isn't good for you.

Perhaps when you sign up to HPC Fubra should offer some sort of health warning like on a pack of fags. I was 33 before I realised lot's of things I accepted as normal were in fact a shower of shite.

Edited by Mr. Miyagi
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HOLA443

Construction is farked

Construction is ...

Happened to visit a major aggregate quarry and concrete supplier a few times recently for a project I am working upon.

Got chatting to the manager. Apparently demand dropped off a cliff the night of Northern Rock, orders were suddenly being cancelled and at the time they didn't know why. It wasn't until the news broke about NR that they understood. Demand has been 30% down ever since and has shown no sign of recovery yet.

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HOLA446

You mean depression?

It's a depression, though it won't be named as such until long after it is over.

More Austerity on the books, stick to that neo-classical dogma, ignore the evidence, plough on ahead,

stiff upper lip and all that, what what.

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HOLA448

It is really unbelievable the mess that the BoE has goten us.

5 years after the start and we still have not recovered.

All the other major economies are doing better than us (Even France FFS)

And it is all because of the BoE base interest rate which has allowed rampant inflation.

And still the politicians dont do anything about this, since they are the BtL elite..

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HOLA4410

i thought the number would be positve on the basis that the trade gap has shot up in the last couple of months (it normally tends towards balancing when GDP slows). They seem to have reached the economic nirvana of extending the negative trade gap whilst moving towards technical recession, no mean feat, not even Gordon managed to do that. these boys are taking rebalancing to a whole new level

Good observation.

We are following the same old economic mismanagement, except all the damage that has gone on before is still having its effect and they are piling more on top. Look at the recent jobs losses, nothing has been fixed, the worl is your oyster if you are looking to cut costs, cream off the top and slice and dice expensive employees here and emply much cheap employees elsewhere. We will get successive waves of headcount reduction until a totally different path to growth is taken.

Whereas house and land infaltion has been an economy destroying force it has now been joined by gerenal inflation too - they are piling the shit up hoping that pile will morph into something of value, it won't, they can;t even fudge the GDP growth via infaltion as that infaltion is simply taking more and more potenitally productive money out of the system and sypohing it to either banksters here or producers elsewhere.

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HOLA4411

It is really unbelievable the mess that the BoE has goten us.

5 years after the start and we still have not recovered.

All the other major economies are doing better than us (Even France FFS)

And it is all because of the BoE base interest rate which has allowed rampant inflation.

And still the politicians dont do anything about this, since they are the BtL elite..

Merv's golden rule don't try and lean against the wind during a boom even if private debt triples in a decade and will cause a certain cataclysmic bust, the inflation target is sancrasanct. (except once we have the bust)

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HOLA4412
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HOLA4415

Victoria Derbyshire discussing this now. Says the construction industry is suffering. Talking to a brickie who has taken out a loan to pay his mortgage this month. Stating that it costs them £5,000 labour to build two houses which will then get sold on for £0.25m.

http://www.bbc.co.uk/5live/

10:00 - 12:00

Call 0500 909 693

Text 85058 cost info

Email victoria@bbc.co.uk

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HOLA4418

The Bank of England said last week that it could not rule out "GDP falling for three successive quarters," because of the weak construction sector and the extra bank holiday associated with the Queen’s Diamond Jubilee celebrations.

http://www.telegraph.co.uk/finance/financialcrisis/9225414/Britain-in-double-dip-recession-as-growth-falls-0.2pc.html

Not the weather this time. It is the bank holiday

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HOLA4419

It is really unbelievable the mess that the BoE has goten us.

5 years after the start and we still have not recovered.

All the other major economies are doing better than us (Even France FFS)

And it is all because of the BoE base interest rate which has allowed rampant inflation.

And still the politicians dont do anything about this, since they are the BtL elite..

Let's see how France is doing when the love-in with Germany stops. I don't think they are truly doing significantly better than us with unemployment near 10% and 20% of the population voting fascist. The US is doing better than us because they are the US. Germany is doing better due to having an artifically low currency due to being in a currency union with Club Med. Australia and Canada are resource export countries tied to the unsustainable Chinese investment paradigm. Dutch disease doesn't even begin to cover it. Let's see how brilliantly they are doing when the music stops with that one and they are left swinging in the breeze with an almighty housing bubble. I cannot think of any other country that can be described as doing much better than the UK, in terms of GDP growth or unemployment. Perhaps Japan.

3.5% inflation is not rampant by any means. It is, in historic terms, low. The inflation was mainly caused by the currency falls (which were pre-QE, not post) and VAT going up.

I believe the govt could and should have done much better as outlined above, however without the stimulus the UK would be like Greece or Spain at the minimum. I personally suspect that it would be like the London Riots on steroids. Perhaps some on HPC like to delude themselves that you can have youth unemployment at 50% and it magically won't affect them, but personally I doubt it.

Edited by FaFa!
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HOLA4423

Why don't we just spend our way out of the depression? Borrow some more money to invest in the public sector, create the jobs and get people spending, then they will buy houses and fit them out with new stuff and manufacturing will recover. This is what Ed and Ed would recommend, why will Boy George not listen to basic common sense?

The other solution, rather than borrow, is to print. What's wrong with that?

....another good excuse to ease.........another good excuse to tighten belts further.....the more they crash our pound, inflate the prices the less people will spend, the only way to try and maintain some sort of value to it........ ;)

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HOLA4425

Or the other way round?

To be honest I have yet to hear the BBC mention the disgustingly close ties of the Blairs and Labour with the Murdochs as yet. Like Blair being godfather to Murdoch's kids, attending their baptism in the River Jordan dressed in a white robe...why do we not hear about that - or is it deemed by the Blair's lawyers as being 'private' and an invasion of privacy?

I just noticed channels 501, 502, 503 and 505 were all Murdoch live rather than anything about us being back in recession.

BBC logos are red!.

Tinopolis also like red though Mentorn are green.

http://www.tinopolis.com/the-group/tinopolis.aspx

http://www.mentorn.tv/programmes/categories/current-affairs.aspx

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