Guest 640- Registered: 21 Apr 2007
- Posts: 7,819
#1
The second quarters recovery took everyone by surprise, being far better than expected. After a dismal first quarter, the second quarter left the experts and TV pundits scratching their heads as to what exactly had gone right. Yes right! Growth in the region of 0.6% was expected by economists, but this almost doubled to 1.1% , hence the massive surprise.
Since the Coalition took over with its shakily elastoplastic government, we have been swamped nightly by every single one of them at ministerial level, telling us how ghastly and awful the last government were. Bog standard spin of course, but used to soften us up for what was/is to come. Big Cuts. The Coalition proposed cuts are unprecedented in scale, hidden under something called The Big Society, and their prophecies of doom and gloom have reached biblical proportions, and attached to every single one of these prophecies comes the drearily standard PR spin that it was all the "last governments fault".
But gobsmackingly.. and surely with an element of pure gold embarrassment for George Osborne...here we have good figures, fab figures even, and all the product of the last government, who were in control for almost all of the quarter and who's foundations will have led to this recovery. There cant be any other explanation.
Alastair Darling himself said the figures made a "mockery" of the current spinning, which talks down the economy at every turn, so that these severe Coalition cuts can be implemented.
Labour themselves knew that the recovery would take care of much of the deficit in time and although Labour recognised cuts would be needed, the cuts were not to be as stringent as currently proposed, and most importantly now as it turns out, not to come immediately, not to come right now as the economy begins to recover. This was the main difference between the two parties at the election...the timing of the cuts.
Now the economic experts are telling us on TV that one of the pitfalls now to this good news continuing into the third quarter, are the George Osborne cuts. Gulp!
As my old mother used to say...put that in your pipe and smoke it!
Guest 696- Registered: 31 Mar 2010
- Posts: 8,115
#2
Old Holborne, Paul!
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
#3
i saw that about the improved economic performance, according to reports mr obama expressed his disquiet to dave about the cuts during the recent visit.
only time will tell if the propsed cuts will actually cut the deficit substantially.
Brian Dixon
- Location: Dover
- Registered: 23 Sep 2008
- Posts: 23,940
#4
only because labour didnt cut,but watch it dip in the next quarter.
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
#5
that is what the majority of "experts" are saying brian.
Brian Dixon- Location: Dover
- Registered: 23 Sep 2008
- Posts: 23,940
#6
howard thats the way to go.
Guest 640- Registered: 21 Apr 2007
- Posts: 7,819
#7
I thought I might ruffle a few Coalition feathers with the top post as its quite a purposeful poke in the ribs....but all quiet so far. Are the Coalition supporters lurking in wait? Not everyone's cuppa tay talking about the economic recovery second quarter..I know I know..
#8
Nice to have some good news for a change. Let us all just hope the improvement can be sustained.
Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
#9
PaulB - Good news indeed but lets strip out Labour's absurd spin.
Of the 1.1% growth just 0.1% was down to government spending. If anything this totally justifies George Osborne in tackling the UK's main problem, the huge deficit, mainly through public spending cuts.
Whatever Labour apologists claim the government cannot continue to spend £4 for every £3 of income. Failing or delaying dealing with this would see a financial crisis against which the credit crunch would pale into insignificance.
George Osborne is actually supported by the consensus of opinion among economists. The minority who disagree are led by David Blanchflower who I met in January. His case was exemplified by a single quote 'the price of 5% plus inflation per years for 5 years is a price worth paying'. He, unlike me, is not living in the real world advising elderly people manage their finances many of whom would see their living standard plummet 30% or more if he got his way. It is not a price worth paying, allowing inflation to reduce the debt burden while people get thrown to the dogs.
Labour's way of spend, spend, spend is simply the economics of the madhouse.
Brian Dixon- Location: Dover
- Registered: 23 Sep 2008
- Posts: 23,940
#10
wellcome to the real world barry.