by Suff » 24 Sep 2013, 09:48
If you look at the figures after 2008, Brown borrowed massively to create a huge bump in the economy. He was intending to keep fuelling that bump with nothing below it whether the economy was actually OK or not. We were already at 78% of GDP. Hollande did this in France, 76% of GDP to 98% of GDP in one year. Crucnch, he can't borrow and he can't spend. Everyone hates him, France is, in reality, in recession regardless of what the official stats say.
If you look at what Cameron and Osborne did, they turned down the drip feed of money, made everyone throttle back. Took out the non viable companies and reseeded the field of the economy. It has been no sine wave. Brown was the sine wave, Boom, Bust, BANG fuelled by debt. Since Cameron and Osborne have taken over, the economy has been growing slowly but steadily on a very minimal path. Whilst, internally, businesses reset and the whole cycle starts again.
I know which one works for me.
I can tell you that, for me, the only place in the entire EU that jobs are strong is the UK. Even Germany is flatlined or shrinking in the jobs market for me.
Merkel's Germany may have had a really good 10 years. But it was largely fuelled by the debt of the rest of the EU, buying German goods.
What this portends for the next decade. In an Austerity EU, where countries can't afford to borrow, can't afford quality but expensive German goods, is an interesting question. Will they remember that having their own car companies producing their own cars, bought at home and sold cheaply abroad, will ease their economic woes and boost their employment and GDP?
Because that is the path I see Merkel's Germany "Saying" it wants the EU to go. Do I believe it????? Well now that's an interesting question.
There are 10 types of people in the world:
Those who understand Binary and those who do not.