Ex-Tory Chancellor warns of double-dip recession

Sounds more like Ken Clark making excuses in advance on the off chance we do have a double dip recession. At least now he can say "we told you so - and it's not our fault."

Politicians, meh.

Because this is the first time that double dip has been mentioned....
 
well, it seems the condems(ed) think that the private sector will grow as required to fill the employment void left by the public sector cuts. It will be interesting to see how this pans out, after all you can't argue with all those expert economists can you?

Of course, if that doesn't happen then the deficit reduction spreadsheet will have to have an adjustment. They really do think that in 4 years time, despite the required cuts unemployment will be similar to now and the voters will see how wonderfully they have managed the economy.:D

for the person who thinks the deficit is 60%, best keep quiet mate. If it is 60% we will be toast next year.

(it's actually 11%, you mean the national debt which is charging up towards 80%)
 
More Conservative bashing? How novel.

umm,.. he is singing the praises of that **** Ken Clarke who seems to think that talking rubbish loudly over the top of someone makes you correct. He's being a tad optimistic about the prospects of a double dip though.

bit like some people on here.
 
obviously though this is due to the action of the previous labour govt.

Well unfortunately no matter what your political views, the leaders of the country will always be responsible or at least held accountable for problems that arise. Whether or not it's directly Labour's fault or not I don't know, however, I don't believe their entirely innocent either. However, I am not a Labour supporter - but I don't blame everything on Labour, but as I said some of the things need to have responsibility for irrespective of whether it was something directly initiated by them or not.
 
obviously though this is due to the action of the previous labour govt.

No, it isn't, they were much more negative in their previous report based on the proposed savings and cuts by Labour. Remember, this is a report that looks forward based on proposals.
 
I don't think we'll have a double dip, there is too much riding on the economy in general to let it slide, and if we were going to have one we would have had it already. I think a long drawn out recovery is on the cards though.
 
I don't think we'll have a double dip, there is too much riding on the economy in general to let it slide, and if we were going to have one we would have had it already. I think a long drawn out recovery is on the cards though.

interesting, you are correct, but you assume they know what to do. Which they don't, in fact they haven't got a clue.

Georgie boy even said in 2006 or something that he thought the Irish economy was a miracle and should copied in the UK.
 
Well, it seems the ConDems think that the private sector will grow as required to fill the employment void left by the public sector cuts. ...
I'm not entirely convinced that they do. I believe that they accept that there will be a significant increase in the unemployment figure and that this will bring down the average wage. Whilst this is unlikely to reach the levels in China or India, the lower labour cost will help to increase profitability for big business and this will please the people who fund the Tory party.

Whatever happens, I think that the Tories will face a huge problem in four or five years time.
 
I would not be surprised if in the next 18 months we have 2 consecutive periods of negative growth which would technically be a recession. We won't have another "crunch" though.

Its in the governments interest to get inflation up so it can inflate itself out of debt. With the BoE recently telling savers to go out and spend and talks of more QE it seems its not the population spending that is keeping inflation high but the government. Once public sector layoffs begin and unemployment rises (the tories will tell the masses that public sector employees will just jump into private sector just as they will tell the masses that those "trapped" on benefits will jump off the sofa watching Jezza Kyle into employment) if we get lots of strikes it could be the shock Ken is talking about. Incidental spending will reduce even more and we could see deflation.
 
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