• The post you are reporting:
   
  OK Keith - look at it the other way around.
  
  The government does not deal with the deficit and stops the planned spending cuts.
  
  The deficit grows, debt grows and we get downgraded, interest rates shoot up. Businesses have higher costs, mortgage rates are up to perhaps 15% or even more, bankruptcies multiply, negative equity and repossessions soar. Inflation takes off because more and more QE is needed......
  
  How will that help keep down unemployment? How will that help anyone?
  
  You have to view this also in the background of the international problem, all caused by the same issues, debt and government deficit spending. It is true that in the Eurozone the problem is made even worse because they cannot inflate or devalue to ameliorate the problem. This makes it even more important for us to deal with the deficit, if we dont the problem will bet compounded up by the Eurozone impact.
  
  If you want 8 million more on the dole then you will get them your way.
  
  The fact is we are between a rock and a hard place.
  
  The only responsible way forward is to do what is needed that will give the best base for the future and that is to reduce the rate at which we are borrowing as quickly as possible and repay debt. That means public spending cuts.
  
  If you want to blame anyone then you have to blame those who thought they had banned boom and bust and as a result did not balance the current account during the economic growth phase leaving room now to be able to deficit spend. It is those who you need to blame.

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