http://johnredwoodsdiary.com/2008/10/20/guardian-comment-is-free/ Incisive and topical campaigns and commentary on today's issues and tomorrow's problems Thu, 09 Feb 2012 11:18:17 +0000 hourly 1 http://johnredwoodsdiary.com/2008/10/20/guardian-comment-is-free/#comment-7231 skigogops Fri, 30 Jan 2009 09:44:07 +0000 http://www.johnredwoodsdiary.com/?p=1857#comment-7231 <a href="http://www.johnredwoodsdiary.com" rel="nofollow">www.johnredwoodsdiary.com</a> - cooooolest domain name))) http://www.johnredwoodsdiary.com – cooooolest domain name)))

]]> http://johnredwoodsdiary.com/2008/10/20/guardian-comment-is-free/#comment-7230 mikestallard Mon, 20 Oct 2008 19:00:44 +0000 http://www.johnredwoodsdiary.com/?p=1857#comment-7230 If the government had saved a lot of money for a rainy day, things might have been different. A huge project like the Hoover Dam, or a large reduction in taxes might have kick started the economy (Keynes). As it is, not only is the national debt mounting towards £2 trillion - fast - but there seems to be no realisation at all that we ought to be reining in our public spending. In fact, we are gong, apparently, to spend our way out of it. The government figures, of course, have been massaged so that they are still talking in billions. This means that when they appear on TV and in the media, they are saying that the debt is nothing near its real total (including the new bank liabilies and the PFIs). What is going to happen, sooner or later, is the credit is going to run out. As the currency devalues, inflation will, of course, rise sharply. This is going to mean that the vast army of public servants will find that they need more money to survive. There will be a lot of strikes. Once again the rubbish will not be collected, the dead not buried and the Police will not be there to stop the mounting crime spree. And at that point, no doubt, the lights will go out (literally) because the wind will have stopped blowing across this once lovely country and the many, many windmills will not be giving us their power. If the government had saved a lot of money for a rainy day, things might have been different. A huge project like the Hoover Dam, or a large reduction in taxes might have kick started the economy (Keynes).
As it is, not only is the national debt mounting towards £2 trillion – fast – but there seems to be no realisation at all that we ought to be reining in our public spending. In fact, we are gong, apparently, to spend our way out of it.
The government figures, of course, have been massaged so that they are still talking in billions. This means that when they appear on TV and in the media, they are saying that the debt is nothing near its real total (including the new bank liabilies and the PFIs).
What is going to happen, sooner or later, is the credit is going to run out.
As the currency devalues, inflation will, of course, rise sharply.
This is going to mean that the vast army of public servants will find that they need more money to survive. There will be a lot of strikes.
Once again the rubbish will not be collected, the dead not buried and the Police will not be there to stop the mounting crime spree.
And at that point, no doubt, the lights will go out (literally) because the wind will have stopped blowing across this once lovely country and the many, many windmills will not be giving us their power.

]]>