jiltedjen Posted January 18, 2018 Share Posted January 18, 2018 Dan Snows history of railways covers the boom and bust in the railways, he even draws a few parallels to the modern day housing market. Covers corrupt MP's and everything. Including the bail out and second collapse, think the third and final episode covers this. Its strange that a final episode on railways is a 'must watch' for us on HPC, but i massively recommend it. Can buy it on i-tunes. the BBC didn't seem too keen on showing it more than once, perhaps too close to the bone. Quote Link to comment Share on other sites More sharing options...
jiltedjen Posted January 18, 2018 Share Posted January 18, 2018 10 minutes ago, Toast said: That's an interesting thought! I can't find anything in the Wikipedia article about a bail-out of the 1845 bubble - although it's clear that some of the large companies (and presumably their well-connected owners) benefited from the crash by buying assets at a deep discount; but that's a different mechanism (but clearly a way for those "in the know" to profit, if they keep their powder dry). Do you have a link to a more comprehensive history of the crash? Also, if this is indeed what happens with housing, one would expect the elite to have divested following 2007/8 (assuming that can be seen as the "first" crash). Do we have any evidence for that? Lastly, 10 years seems like a long time for our poor masters to have to wait before rinsing us commoners, so they must be getting quite antsy, if that's what they were expecting. as per my comment above - dan snows history of railways final episode Quote Link to comment Share on other sites More sharing options...
jonb2 Posted January 18, 2018 Share Posted January 18, 2018 6 hours ago, Wayward said: more laughs from the comedy factory.... See City AM page 2 and DT business page 4 today.... Falling immigration to drive wage growth Michael Saunders, a member of the Bank of England’s Monetary Policy Committee, has said that record low unemployment may start to drive wage growth as companies find it harder to hire foreign workers amid Brexit talks. He said that easy access to foreign labour may have, until recently, limited “the extent to which pay growth responds to low UK unemployment”. But I thought immigration didn't lower wages ??!!! They are forgetting the script.! What a laugh ! Of course it does WW. But then after a while it doesn't https://www.theguardian.com/business/2018/jan/17/nearly-half-a-million-uk-firms-facing-significant-financial-distress Quote Link to comment Share on other sites More sharing options...
whome_yesyou Posted January 18, 2018 Share Posted January 18, 2018 Is there any point of the BOE over the last 10 years and counting? If all they do is issue warnings, then you only need to read this forum to get as many warnings as you want... much cheaper solution. Quote Link to comment Share on other sites More sharing options...
zugzwang Posted February 13, 2018 Share Posted February 13, 2018 UK CPI unexpectedly sticky, cost of zoo visits blamed. https://uk.news.yahoo.com/uk-inflation-proves-stickier-expected-start-2018-093156985--business.html Quote LONDON (Reuters) - British inflation unexpectedly held close to its highest level in nearly six years in January, highlighting the challenge the Bank of England will face as it tries to return price growth to target over the next two years. Consumer price inflation remained at an annual rate of 3.0 percent in January, unchanged from the month before, after reaching its highest since March 2012 in November at 3.1 percent, the Office for National Statistics said. The figure was above economists' average expectation in a Reuters poll for it to fall to 2.9 percent. The BoE surprised financial markets last week by indicating that it wanted to bring inflation back to target faster than before, aiming to return price growth to 2 percent within two years rather than three. BoE Governor Mark Carney and his colleagues on the Monetary Policy Committee said interest rates would need to rise sooner and by somewhat more than the BoE had previously expected. This prompted markets to price in as much as a 70 percent chance of a quarter-point rise in interest rates by May, and a roughly 50 percent chance of a further increase in rates to 1 percent by the end of the year - a level last seen in 2009. Inflation has surged in Britain since the decision by voters in June 2016 to leave the European Union hammered the value of the pound and pushed up the cost of imports. The combination of high inflation and limited wage growth - as well as uncertainty about the terms on which Britain will leave the European Union in 2019 - is expected to mean Britain's economy grows more weakly than other EU economies this year. However, consumer price inflation is expected to start to wane as the peak impact from sterling's sharp fall in mid-2016 drops out of annual comparisons. The historic measure of retail price inflation, which is still used to calculate payments on government bonds, student loans and many commercial contracts, edged down to 4.0 percent from December's six-year high of 4.1 percent - adding to pressure on the government's already stretched budget. Tuesday's CPI data showed downward pressure on inflation from a slower pace of increase in the cost of fuel than a year ago. But the ONS highlighted a smaller than usual seasonal decline in the cost of visiting zoos and gardens as pushing up on price growth. Quote Link to comment Share on other sites More sharing options...
Si1 Posted February 14, 2018 Share Posted February 14, 2018 On 18/01/2018 at 12:18 PM, Wayward said: more laughs from the comedy factory.... See City AM page 2 and DT business page 4 today.... Falling immigration to drive wage growth Michael Saunders, a member of the Bank of England’s Monetary Policy Committee, has said that record low unemployment may start to drive wage growth as companies find it harder to hire foreign workers amid Brexit talks. He said that easy access to foreign labour may have, until recently, limited “the extent to which pay growth responds to low UK unemployment”. But I thought immigration didn't lower wages ??!!! They are forgetting the script.! What a laugh ! Corporate doublespeak, horrendous. Quote Link to comment Share on other sites More sharing options...
rantnrave Posted February 14, 2018 Share Posted February 14, 2018 27 minutes ago, Si1 said: Corporate doublespeak, horrendous. BoE sees wage growth as the ultimate evil and have hinted that this, more than anything else, will drive interest rate rises. In their missive, pearls of wisdom, they seem to believe the rest of the population is as repulsed by the thought of wage rises as they are. Quote Link to comment Share on other sites More sharing options...
darkmarket Posted February 14, 2018 Share Posted February 14, 2018 The Bank published it's Agents Summary of Business Conditions, including a few interesting points missing from coverage. Lending to construction is down: Quote Finance remained readily available, particularly for medium-sized and larger corporates, though banks’ risk appetite towards construction and retail had fallen slightly. Provision of trade credit insurance had tightened for some firms in these sectors. Insolvencies had increased, albeit from a very low base, and there were reports of strains in payment along supply chains, particularly in construction and retail. The way to rate hikes continues to be paved with wage pressures: Quote A survey showed that companies expected the average pay settlement rate to increase to 3.1% in 2018 from 2.6% in 2017 (see the box on page 2). Total labour cost growth continued to pick up, largely due to a combination of recruitment difficulties, the rising cost of living and the increase in the National Living Wage. And that fall in CPI still looks far from certain: Quote Materials cost inflation remained elevated, driven by commodity price increases (Chart 5). Business services price inflation remained a little below normal. Consumer price inflation held steady, reflecting the ongoing impact from the fall in sterling (Chart 6). Retailers had sought to recover higher input costs gradually in the face of cautious consumer demand. Consumer services price inflation had edged down, but remained under upward pressure from increases in regulated prices, such as rail fares, in addition to firms passing on higher input and labour costs. Quote Link to comment Share on other sites More sharing options...
Si1 Posted February 14, 2018 Share Posted February 14, 2018 2 hours ago, rantnrave said: BoE sees wage growth as the ultimate evil and have hinted that this, more than anything else, will drive interest rate rises. In their missive, pearls of wisdom, they seem to believe the rest of the population is as repulsed by the thought of wage rises as they are. Since they seem to consider that inflation is an abstract measure that they have the divine right to declare and nobody else, then the fact that real inflationary pressures (which of course don't exist outside the CPI measure) are upsetting the horses must be shock indeed. Quote Link to comment Share on other sites More sharing options...
Noallegiance Posted February 26, 2018 Share Posted February 26, 2018 Watching Select Committee from last week. Carney states that real household incomes are down 3.5% since 2016 and will end this year likely 5% down. Weren't we told a few weeks back that wages were on the way up? Quote Link to comment Share on other sites More sharing options...
Kosmin Posted February 26, 2018 Share Posted February 26, 2018 36 minutes ago, Noallegiance said: Watching Select Committee from last week. Carney states that real household incomes are down 3.5% since 2016 and will end this year likely 5% down. Weren't we told a few weeks back that wages were on the way up? Over decades wages have increased and household income has fallen due to change in the composition of households. I'm not sure this would explain the change over a year or two though. Quote Link to comment Share on other sites More sharing options...
Noallegiance Posted February 26, 2018 Share Posted February 26, 2018 What a shower. (Paraphrased): Q: Why has 50% of the UK growth in the last year been attributable to trade? The drop in the £? Haldane: It has helped. Depreciation works, and that's how it works. Q: Isn't it how to make people poorer? Speak to Argentina. Carney: Depreciation doesn't work. It has never worked. It is how to make your people poorer. So.....it's intentional with inflation, unintentional but welcome for trade and growth due to (allegedly) Brexit, and undesirable as it makes people poorer. Fck me. There are so many lies interwoven from these people. I still can't decide if they're incompetent or deceitful. And I can't believe nobody on the panel picks this up. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted February 26, 2018 Share Posted February 26, 2018 (edited) 4 minutes ago, Noallegiance said: Carney: Depreciation doesn't work. It has never worked. It is how to make your people poorer. It's how you make rich people poorer. Carneys definition of "people" must be different from mine. Us actual people probably dont matter to the real people. Edited February 26, 2018 by TheCountOfNowhere Quote Link to comment Share on other sites More sharing options...
Freki Posted February 26, 2018 Share Posted February 26, 2018 Inflation does not make people poorer. Wage growth below inflation does. Return on assets below inflation kill the rentiers. Quote Link to comment Share on other sites More sharing options...
Noallegiance Posted February 26, 2018 Share Posted February 26, 2018 Ben Broadbent: I see no evidence that QE has inflated UK asset prices. Quote Link to comment Share on other sites More sharing options...
frankvw Posted February 26, 2018 Share Posted February 26, 2018 Quote Link to comment Share on other sites More sharing options...
winkie Posted February 26, 2018 Share Posted February 26, 2018 3 hours ago, Freki said: Inflation does not make people poorer. Wage growth below inflation does. Return on assets below inflation kill the rentiers. Surprising out of total of working population how many actually work, even worse the numbers who work full time 35 plus hours a week. https://data.oecd.org/pop/working-age-population.htm Quote Link to comment Share on other sites More sharing options...
Maynardgravy Posted February 26, 2018 Share Posted February 26, 2018 1 hour ago, winkie said: Surprising out of total of working population how many actually work, even worse the numbers who work full time 35 plus hours a week. https://data.oecd.org/pop/working-age-population.htm Interesting chart. Take a look at Korea! Quote Link to comment Share on other sites More sharing options...
Wayward Posted March 27, 2018 Share Posted March 27, 2018 In today's press...Interesting I think... "UK Finance added that around 45% of the UK’s £66.5bn credit card debt is not generating interest at present, leading experts to warn that families will struggle to pay off their debts once the interest-free period ends." See Daily Mail page 66 Quote Link to comment Share on other sites More sharing options...
whome_yesyou Posted March 27, 2018 Share Posted March 27, 2018 13 minutes ago, Wayward said: In today's press...Interesting I think... "UK Finance added that around 45% of the UK’s £66.5bn credit card debt is not generating interest at present, leading experts to warn that families will struggle to pay off their debts once the interest-free period ends." See Daily Mail page 66 So, you have ultra low rates which has made money cheap for years, therefore causing high levels of unsustained credit card and household debt. And they now need rates to stay low because people in said situation would not be able to pay their debt off? Hmm, surely that is not going to resolve the root-cause of the spiralling debt problem. If only we had regulation for this type of stuff... Quote Link to comment Share on other sites More sharing options...
Maynardgravy Posted March 27, 2018 Share Posted March 27, 2018 5 minutes ago, TonyJ said: I suppose the country is now caught in a debt trap. It pains me to say it, but the only way out is a debt jubilee great big ******ing war. Quote Link to comment Share on other sites More sharing options...
cnick Posted March 27, 2018 Share Posted March 27, 2018 So when this 'debt' is not 're'paid ..... which people suffer loss. Not forgetting the 'debt' was created from thin air..... according to prof. werner. Quote Link to comment Share on other sites More sharing options...
cnick Posted March 27, 2018 Share Posted March 27, 2018 54 minutes ago, TonyJ said: The creditors would suffer the biggest loss, and would therefore be unwilling to lend again for many years. So at least a debt jubilee would bring the global debt bonanza to a screeching halt for a long time. How do they suffer loss if the credit is created from thin air tho? Quote Link to comment Share on other sites More sharing options...
Fairyland Posted March 27, 2018 Share Posted March 27, 2018 (edited) Telegraph: Families will struggle if interest rates rise to just 2pc, Bank of England fears Edited March 27, 2018 by Fairyland Quote Link to comment Share on other sites More sharing options...
guest_northshore Posted March 27, 2018 Share Posted March 27, 2018 BoE staff blog on "How does monetary policy affect the distribution of income and wealth?" https://bankunderground.co.uk/2018/03/27/how-does-monetary-policy-affect-the-distribution-of-income-and-wealth/ Quote Link to comment Share on other sites More sharing options...
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