TJC1 Posted August 18, 2015 Share Posted August 18, 2015 would like to see slower cuts and higher public spending. I think post 2020 corbyn would actually be a good move - people will be sick of austerity and ready for a change. especially, as i suspect the deficit won't be reduced to surplus by 2020 and unemployment will be rising. Link to comment Share on other sites More sharing options...
unbeliever Posted August 18, 2015 Share Posted August 18, 2015 (edited) would like to see slower cuts and higher public spending. I think post 2020 corbyn would actually be a good move - people will be sick of austerity and ready for a change. especially, as i suspect the deficit won't be reduced to surplus by 2020 and unemployment will be rising. Interesting. An even softer landing that we have now. Under the current approach, the total state debt will peak at around 100% of GDP. How much state debt do you think is acceptable? Bear in mind that the current cost of debt interest is around £57billion/year and is already on course for around £67billion/year before it starts to go down. This incidentally is about half the budget of the NHS. Also, consider that what you're suggesting will probably be seen on the bond market as a relatively high risk strategy. Therefore debt interest on new debt, and on old debt when it is rolled over, would probably be significantly higher. Edited August 18, 2015 by unbeliever Link to comment Share on other sites More sharing options...
TJC1 Posted August 18, 2015 Share Posted August 18, 2015 Interesting. An even softer landing that we have now. Under the current approach, the total state debt will peak at around 100% of GDP. How much state debt do you think is acceptable? Bear in mind that the current cost of debt interest is around £57billion/year and is already on course for around £67billion/year before it starts to go down. This incidentally is about half the budget of the NHS. Also, consider that what you're suggesting will probably be seen on the bond market as a relatively high risk strategy. Therefore debt interest on new debt, and on old debt when it is rolled over, would probably be significantly higher. Govt missed 2010 target by half. What makes you think raising NMW will stimulate jobs and wages? what makes you think the govt will hit 2020 deficit targets when all evidence is to the contrary. I'm not being ant-tory or left wing, but a projection is just that. Link to comment Share on other sites More sharing options...
unbeliever Posted August 18, 2015 Share Posted August 18, 2015 Govt missed 2010 target by half. What makes you think raising NMW will stimulate jobs and wages? what makes you think the govt will hit 2020 deficit targets when all evidence is to the contrary. I'm not being ant-tory or left wing, but a projection is just that. What evidence would that be? The deficit has been falling steadily. The 2010-2015 projections were optimistic, but the 2015-2020 projections are just based on extending the current trend forward. Link to comment Share on other sites More sharing options...
TJC1 Posted August 18, 2015 Share Posted August 18, 2015 plus china is stagnating and in trouble on the markets - we are in for a few shocks yet. there could potentially be another recession in the next 5 years. Link to comment Share on other sites More sharing options...
unbeliever Posted August 18, 2015 Share Posted August 18, 2015 plus china is stagnating and in trouble on the markets - we are in for a few shocks yet. there could potentially be another recession in the next 5 years. China is still in healthy growth. The real problem is the perpetual €Z crisis. Link to comment Share on other sites More sharing options...
drummonds Posted August 18, 2015 Share Posted August 18, 2015 Labour won the 2005 election, what would have been different had the Conservatives won? The Conservatives started off the books borrowing such as PFI and thought that the banks needed more freedom than Gordon Brown gave them. Does off the books borrowing matter, I understand it is now on the books? What were the Conservative promises in 2005? you just need to come to terms with the fact that the labour government overspent and led us into deep recession and no other party can be blamed, anymore than you could say if corbyn had been in charge of russia he would have invaded the crimea. labour borrow too much. balls solution in 2010 was to borrow , borrow borrow. that's what they did in greece. if you want to go off on flights of fantasy it's pretty clear that if brown and his labour collegues had been in government in greece they would have screwed up there as well. Link to comment Share on other sites More sharing options...
TJC1 Posted August 18, 2015 Share Posted August 18, 2015 What evidence would that be? The deficit has been falling steadily. The 2010-2015 projections were optimistic, but the 2015-2020 projections are just based on extending the current trend forward. no way will we hit deficit targets. Governments are not as powerful as you think they are. Businesses and people will decide the outcome. There could be an all out rejection of austerity. ---------- Post added 18-08-2015 at 11:55 ---------- China is still in healthy growth. The real problem is the perpetual €Z crisis. growth is stagnant, it's got the same problem as Japan in the 1960's. The issue is China is important now, and with the UK's place in europe in jeopardy so many other factors could derail the recovery. It's all tied up in Business and the markets / confidence. Link to comment Share on other sites More sharing options...
unbeliever Posted August 18, 2015 Share Posted August 18, 2015 no way will we hit deficit targets. Governments are not as powerful as you think they are. Businesses and people will decide the outcome. There could be an all out rejection of austerity. This is the modern socialist definition of austerity again which means "continuously increasing public spending but not as fast as we would like". The UK people are going to have to get used to what you laughably refer to as "austerity" which is in reality a sensible sustainable rate of increase in public spending which doesn't put us on course of end up in a worse mess than Greece. Link to comment Share on other sites More sharing options...
TJC1 Posted August 18, 2015 Share Posted August 18, 2015 this is also why I don't want trident and foreign wars...not some hippy-dippy lefty reason. Stuff like that sets the country back. Link to comment Share on other sites More sharing options...
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