esme Posted July 13, 2010 Share Posted July 13, 2010 but spending money that has no value, thanks to quantitative easing, isn't generating any GDP it's just artificially inflating the economy to make the numbers look better from a distance once you look a bit closer you realise that the numbers don't reflect the value, the value of the money in circulation is somewhat less than the amount of money in circulation thanks to quantitative easing so the government spending money distorts the GDP figures by making it look like we're doing better than we are it's a bit like borrowing money from a loan shark, if you find you can't pay it back as quickly as you'd like you do everything you can to make it look like you are doing well and do have the means to pay back the loan, because if you don't then they'll come calling for their money back, with several heavies in tow Link to comment Share on other sites More sharing options...
truman Posted July 13, 2010 Share Posted July 13, 2010 And in the case of the OP it comes from part of the growth calculation, which includes public and private growth (or lack thereof). So the claim that really we are still in a recession is wrong, because you have to take part of the calculation out in order to get that figure. The OP claims that it was hidden that we were in a recession, when in order to say that we are in a recession you have to ignore part of the calculation. All the government spending did was to paper over the cracks.....with borrowed fivers... Link to comment Share on other sites More sharing options...
mossdog Posted July 13, 2010 Share Posted July 13, 2010 And in the case of the OP it comes from part of the growth calculation, which includes public and private growth (or lack thereof). So the claim that really we are still in a recession is wrong, because you have to take part of the calculation out in order to get that figure. The OP claims that it was hidden that we were in a recession, when in order to say that we are in a recession you have to ignore part of the calculation. Whether or not you agree that the formulae is correct is a different matter, because it has been calculated including private and public at least since i did economics A level in the late 80's. Some of us are very rightly wary about" A Level Economic" Shhhhtudents and the mess some have gone on to make of things!....If you don't think we are in recession or just round the corner,then my suspicions are correct Link to comment Share on other sites More sharing options...
Jason Bourne Posted July 13, 2010 Share Posted July 13, 2010 I have the popcorn ready and am sat patiently for the pro-Labour posters (apologists)..... It's not Labour's fault, it's the Global Economic Meltdown™ that's to blame. x Link to comment Share on other sites More sharing options...
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