119m a day would build new primary school every hour

[WeX]

so that may mean that you had a different government every year..

 

One thing is certain, governments like to stay in power, so they will soon wise up to their requirements and do as needed.

 

We have seen the damage caused by sovereign debts to the likes of Greece, Iceland and Ireland. It is not an issue we can sweep under the carpet or a subject governments should take lightly.

[Rupert_Baehr]

Quantative easing indefinitely?

 

If the government prints money, the value of the pound will go down, the price of imports will rise, inflation will go up and the interest rate on future loans will go up.

 

That would just be digging the hole deeper.

[espadrille]

If the government prints money, the value of the pound will go down, the price of imports will rise, inflation will go up and the interest rate on future loans will go up.

 

That would just be digging the hole deeper.

 

I know. I was replying to Vague Boys question asking what could possibly go wrong and I replied quantative easing indefinitely

[espadrille]

One thing is certain, governments like to stay in power, so they will soon wise up to their requirements and do as needed.

 

We have seen the damage caused by sovereign debts to the likes of Greece, Iceland and Ireland. It is not an issue we can sweep under the carpet or a subject governments should take lightly.

 

I agree.I was just thinking how it would allow them enough time to do what they needed to do in just 1 year when you bear in mind that we have almost reached the end of the first year of this administration and they have acted quite quickly but we still havent felt the force yet of the actions taken.

[Wildcat]

It is all very well you keep posting links from these fringe websites. We have to live in the real world. Regardless of what mt False Economy thinks in 2010 our credit rating as a nation was being downgraded by the credit rating agencies. No matter what you think of these agencies the guys who buy UK bonds and gilts take notice of them. They couldn't give a toss what Mr False Economy posts on a blog. Because of this the UK was in very real danger of being required to pay ever higher rates of interest on its borrowings.

Countries like Ireland are now deep in the brown stuff because the interest rate on their borrowing has increased to around 6% compared to our 3.5%. This is because their perceived ability to meet its obligations had slipped.

If our ratings slipped to the point where we too were required to pay 6% it would almost double our interest repayments without us even looking at paying off a penny of our debts.

 

But you are right. If we did default on our debts we would be treated like Zimbabwe for the next 30 years.

 

Ireland is an interesting example, unlike us being threatened with downgrading, they actually were downgraded because instead of investing to keep the economy going they bought in to an austerity package almost as extreme as George Osborne. The lesson to be learned is that neglect employment and the economy in favour of just looking at debt figures and imposing austerity, means you are missing half the equation, missing the fact a solution to paying off debt is much easier to achieve in a growing economy with people in paid emnployment.

[depoix]

put an end to foreign aid and filling the pockets of the non deserving then pay off the national debt with the savings

[vinyl]

Ireland is an interesting example, unlike us being threatened with downgrading, they actually were downgraded because instead of investing to keep the economy going they bought in to an austerity package almost as extreme as George Osborne. The lesson to be learned is that neglect employment and the economy in favour of just looking at debt figures and imposing austerity, means you are missing half the equation, missing the fact a solution to paying off debt is much easier to achieve in a growing economy with people in paid emnployment.

 

Like I say. I do prefer mainstream links. This is an interesting article from the Guardian when there were thoughts that Labour and the Libdems might cut a deal last May. It seeem diametrically opposite to what you suggest.

 

Like I say. I prefer to go with reputable sourced material.

 

http://www.guardian.co.uk/business/2010/may/11/uk-credit-rating-downgrade-threat-lib-lab-deal

 

 

UK credit rating set for downgrade under Lib-Lab deal,

 

City analysts warnLab-Lib government the least liked option by markets and would almost guarantee a downgrade of UK debt – BNP Paribas

 

 

 

HM Treasury. BNP Paribas analysts say the UK's credit rating is under threat if the Liberal Democrats agree a deal with Labour. Photograph: Cate Gillon/Getty

Britain would most likely suffer an expensive and potentially damaging downgrade to its debt rating if the Liberal Democrats form a coalition with Labour, City analysts warned today amid ongoing uncertainty about the creation of a new government.

 

As the Institute of Directors called on political parties to focus on the economy rather than the need for electoral reform, analysts at BNP Paribas reckoned that a "Lab-Lib government is the least liked option by markets and would almost guarantee a downgrade of the UK sovereign [debt]".