there are two normal cures for an ailing economy which have been shown to work throughout history. Expanding the money supply through expanding government debt, and what we now know as austerity.
Neither have worked.
Since 2008 there has been a previously unthought-off amount of money injected into the financial system by our government. This has not ‘trickled down’ into the every day economy that you and I live in and has made no discernable difference elsewhere either. It is very convenient to blame bankers, and clearly many find having someone to shoulder blame as more of a necessity tan solving the problems that we have. Bankers work within a framework created by politicians. Put the blame where it lies, at Westminster.
Austerity has been tried too and made no difference to some key economic facts.
National and personal endebtedness in the UK continues to rise. Just the interest repayments upon our national debt are nearly the largest item of government expenditure.
Even unprecedented fraud hasn’t helped. The Treasury creates government debt which is bought by the Bank of England with ‘money’ that it has ‘created’ from nothing. This debt is added to the national debt figure and the interest paid by the Treasury to the Bank of England is added to the national balance sheet as income. As the Bank of England is a massive holder of British government debt that would remain otherwise unsold (and render the nation bankrupt) a latge figure of our governments ‘income’ is a fraud. This means clearly that our economy is in even worse shape than most think it is.
Economic remedies that are quite acceptable to Nationalists remain totally out of play for all of the main stream political parties so there is an interesting spot of history ahead of us. Whereas our forthcoming decade will be compelling, indeed maybe compulsory, reading for economists of the future it is going to be unpleasant to live through.
I do find it interesting to see what our leaders will do next. i do not however expect it to be effective. If you do, then I fear, you will be sadly disappointed.