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    Aid is probably justified in some circumstances but only recently wasnt there broad criticism of the UK giving vast amounts to India who now have more millionaires than anywhere else, with the possible exception of Monte Carlo who have more millionaires per square mile than anywhere else...This is part of our heritage of empire I suspect, dolling out the dosh to the lowly menials.

    But the boot is on the other foot now...the menials have risen from the ashes of destructive empire and are launching rockets to the moon and before long will be taking passengers into outer space.

    I was listening to homespewn economics on the radio this morning. Ed Balls, genial and lovable economist of the Labour government, was locking horns with economist and radio presenter Euen Davis, but all the political economic tooing and froing came across as muddled mayhem to the listener.

    Here it is in simple terms.
    A guy buys a car on the installment plan. Under the Labour installment plan he borrows 10,000 and pays it back over say 7 years. His regular pay pack costs are low and this leaves him more money in his pocket on a daily basis to spend in Boots and M&S and in fact in all High St stores. Very good for the economy all round...but the loan for the car costs him more over the longer term, as it takes him longer to pay it back. Interest is higher and so on, so overall it costs more. The upside was his payback terms were softer so it left him with more daily cash in his pocket.

    A guy buys a car under the Conservative installment plan. He pays it back over three years. During those three years he is borassic lint skint because the costs of the payment are almost too high for him to bear. He cant go spending in the shops like he used to, as all his money is going on servicing the debt for the car, so sales in the High St shops become flat. Of course where he gains is this...the cost of the car over the full term of the debt is lower, as its paid off sooner. He also gets rid of the debt sooner so when the debt is gone, he returns to a semi shangri-la life and can now again go to the High St and buy CD's and Books and even Food just like he used to.

    So...which is best? Well...each system works. Its a question of choice, political choice in this case as to which is the better route.

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