Sharp contraction for UK economy

Rochdale_Pioneers

Thrugelmir wrote: »

(D) G. Brown - Prudence. The ability to move Government borrowing as a % of GDP in any direction depending on the projected tax revenues generated by the Governments increased investment spend in the economy using money that the nation doesn't actually have other than borrowing it from abroad without ever cutting services. Or alternatively known as the theory of eradicating boom or bust.

An egotistical Chancellor presiding over a great economic boom, telling everyone how his personal economic miracle had ended the dark times of recession and brought never-ending bounty for all. Followed inevitably by a bust. Fits Brown all right. Fits Lawson as well. Funny how things go around.

Thrugelmir

Rochdale_Pioneers wrote: »

An egotistical Chancellor presiding over a great economic boom, telling everyone how his personal economic miracle had ended the dark times of recession and brought never-ending bounty for all. Followed inevitably by a bust. Fits Brown all right. Fits Lawson as well. Funny how things go around.

All joking apart. I really don't care for any political party colour. But very soon we need some clear long term strategic policy.

I would prefer the best talent from all parties plus top business people to run the country.

abaxas

Rochdale_Pioneers wrote: »

An egotistical Chancellor presiding over a great economic boom, telling everyone how his personal economic miracle had ended the dark times of recession and brought never-ending bounty for all. Followed inevitably by a bust. Fits Brown all right. Fits Lawson as well. Funny how things go around.

Correct me if I'm wrong, but Lawson never went on to become prime minster / Fuhrer.

Rochdale_Pioneers

abaxas wrote: »

Correct me if I'm wrong, but Lawson never went on to become prime minster / Fuhrer.

Correct, he resigned when Thatcher brought in an economic advisor who basically told Lawson that his policies were stupid. Sadly for all of us Lawson was replaced by Major who held the same views as Lawson about fixed exchange rates. Our entry into the ERM - opposed by Walters and Thatcher - and its effects, are well documented.

Sadly for Brown we'll never know whether his investment during the economic cycle policy worked - the liquidity crisis interrupted and crashed the world.

abaxas

Rochdale_Pioneers wrote: »

Correct, he resigned when Thatcher brought in an economic advisor who basically told Lawson that his policies were stupid. Sadly for all of us Lawson was replaced by Major who held the same views as Lawson about fixed exchange rates. Our entry into the ERM - opposed by Walters and Thatcher - and its effects, are well documented.

Sadly for Brown we'll never know whether his investment during the economic cycle policy worked - the liquidity crisis interrupted and crashed the world.

So bascially you saying that we'll never find out if 'things can only get better'?

I'm sure Brown is loving it!

Graham_Devon

I think it's only fair we compare this to the 70's and 90's, as it's often pointed out the 70's was worse.

So, anyone got any data?

StevieJ

Graham_Devon wrote: »

I think it's only fair we compare this to the 70's and 90's, as it's often pointed out the 70's was worse.

So, anyone got any data?

Are we not comparing it to the 30's any more

Graham_Devon

StevieJ wrote: »

Are we not comparing it to the 30's any more

No, cus that was a depression

When we have one of those, we can compare them

tomterm8

It's not really fair to compare peak-to-trough yet, because we are still in the middle of the recession, but the Q1 contraction was the worst quarterly result since Q2 1951.

EDIT: YOY comparisons are probably fair... so, looking it up, In terms of YOY GDP was 4.9pc lower compared with the first quarter of 2008, the worst since quarterly records began in 1948.

Crabs

This was perhaps the most Striking comment "The annual rate of decline for the first quarter was revised to 4.9% - the worst contraction the British economy has ever seen."

It is just so patently obvious that the Economy has a way to go down, & with it Property prices, which are still way too high in many areas ..