Today's economic news.

Nice to see the usual reaction here. Any speculation about what could be or might have been is pure speculation, unless it involves derogatory remarks about the Labour Party.

The news item in particular isn't even that interesting. As already pointed out, the government is still on track to hit its target for the year.
 
Freakbro said:
We've just spent years printing billions and have a 0% inflation rate, so you really know what you're talking about on that one....
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That is because the money went straight onto the banks balance sheets, thus reducing the inflationary impact. Corbyn is not talking about buying back bonds from the banks, he's talking about using it to fund infrastructure etc. This is a very different proposition because it sends the money into circulation, thus triggering inflation.
 
Thompson_NCL said:
Isn't the OP a Labour supporter? If so, I fail to see what his criticism is. I thought they wanted to see more borrowing and less austerity.
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I think the argument is you need to speculate to accumulate.

wildman said:
so what would Corbyn's answer be ? probably do exactly the same
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He's going to print our way to prosperity.

Tbh, if we have a serious slump there maybe no other option. We sure as hell can't survive another crash on the scale of 2008 without some seriously creative accounting.
 
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jsmoke said:
Is the deficit really relevant, I mean you have external and internal debt. The deficit measures the internal debt however the government just keeps borrowing and adds it to the external debt[which we never hear about]. So even though they can say the deficit is going down, or it seems here not, then the external debt is still rising.

Truth is that you'll hear Cameron say the deficit is going down however the Tories have borrowed way more then Labour did. Maybe some of that borrowing has to do with the financial crisis and QE, I am not sure however they have borrowed many hundreds of billions over the last few years.
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Is it relevant in relation to it being at all necessary to eliminate the deficit to have a healthy economy? No, not at all. But it's important to keep track of stuff like this so we can understand what the government is actually trying to do in the name of austerity, and so that we can challenge the idea that they're somehow trustworthy when it comes to the economy despite not having the backing of most well respected economists.
 
PermaBanned said:
Is it relevant in relation to it being at all necessary to eliminate the deficit to have a healthy economy? No, not at all. But it's important to keep track of stuff like this so we can understand what the government is actually trying to do in the name of austerity, and so that we can challenge the idea that they're somehow trustworthy when it comes to the economy despite not having the backing of most left-leaning well respected economists.
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Just adding a little balance to your lecture/party notes. ;)
 
Thompson_NCL said:
Isn't the OP a Labour supporter? If so, I fail to see what his criticism is. I thought they wanted to see more borrowing and less austerity.
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What we've got is more borrowing and more austerity. Instead of borrowing to cement the recovery and invest for the future, we've got more of Osborne's failed austerity programme continuing to sap the life out of the UK economy and thus failing in its stated aim.

Does anyone seriously believe his predictions for the next five years after he, and his lapdogs at the OBR, were so wildly wrong throughout the entire of the last parliament?
 
Mr Jack said:
What we've got is more borrowing and more austerity. Instead of borrowing to cement the recovery and invest for the future, we've got more of Osborne's failed austerity programme continuing to sap the life out of the UK economy and thus failing in its stated aim.
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We don't have austerity under the Tory's. Government spending has grown per capita year on year since 2010.

In 2010 we spent the following per capita:

Pensions - 1869
Health - 1878
Education - 1421
Social Security - 1778

Now in 2015 we're spending

Pensions - 2329
Health - 2084
Education - 1310
Social Security - 1727

So £162 less on Education and Social Security, but £666 more on pension and health.

It ain't like we're seeing massive cuts!
 
Mr Jack said:
What we've got is more borrowing and more austerity. Instead of borrowing to cement the recovery and invest for the future, we've got more of Osborne's failed austerity programme continuing to sap the life out of the UK economy and thus failing in its stated aim.

Does anyone seriously believe his predictions for the next five years after he, and his lapdogs at the OBR, were so wildly wrong throughout the entire of the last parliament?
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The Tory aim is to destroy the welfare state whilst further enriching those at the top by redirecting wealth, anything else they claim to be doing is just lip service for the ignorant masses.
 
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