"Is a shrinking economy in recovery?" Blog Discussion

MSE_Martin

This is the discussion to link on the back of Martin's blog. Please read the blog first, as this discussion follows it.

Read Martin's "When did a shrinking economy count as a recovery?" Blog.

Click reply to discuss

irrelevant

It's a bit like the way they often say things like "inflation fell by 0.5% this month". Or "inflation is half the rate it was" ... That's not prices falling .. just the speed they are increasing isn't as much as it was! Percentages of percentages; it's pure massaging of the statistics to make things look better than they really are.

liamsquire

It appears there is a major effort by various sources to dupe people into believing lies, all in the hope to fuel more spending whether that's at the shops, on commodities, or stocks and shares, etc.

If there is a recovery why aren't I seeing it in terms of interest on my savings?

Too many people at the top are trying to milk us for every pound. Unfortunately there are huge numbers that fall for it or are too lazy to care.

DervProf

The propaganda continues.

House prices are rising - better buy one while you can !

The economy is recovering - what, you`re not spending ? What`s wrong with you ?

The BBC`s news coverage on the economy is almost laughable. And it really irritates me that they get so excited about reports of house price rises, telling us it`s good news. Try telling that to a first time buyer who is struggling to save a deposit for a place to live. Try telling that to the 2.5million (reported) unemployed.

Did the media/government not learn anything from the events of 2 years ago ? Unless I`m mistaken, we had a very serious crisis in the financial sector. Now, we seem to be starting to go along the same path that led us to that point.

poppysarah

The media needs to stop implying high house prices are good.

Gordon should also realise 2007 was a peak of excess in consumerism which was actually very damaging to the economy. 40% of mortgages in 2007 were mortgage equity withdrawal. A house is not a cashmachine.

And don't start me on how they claim PFI is good for building schools and hospitals. It's not. It's an expensive way of borrowing money whilst keeping it off the balance sheet in some bizarre nulabour fiddle way.

Gasman2

Perhaps a better analogy would be to say that the cars you describe are going in the wrong direction. The car might have been doing 70 mph and might now 'only' be doing 50 mph, but it is still heading the wrong way!

manrow

The media have been at it again today claiming that 'the worst of the recession is over'. 'That 'unemployment figures are down'. So what?

We haven't seen the worst of the unemployment figures yet.

Private industry has had no choice but to reduce employee numbers immediately a financial crisis bites. But public industry, the government employees, councils etc., are working with budgets set months ago and as usual will set out to spend their budgets between now and next April. Councillors are not very good at looking at the way that private industry is contracting and realising that it is no longer good enough to keep public expenditure at around inflation levels; it now needs cutting drastically as there are less and less of us able to pay our council tax bills.

In fact it needs remembering that the real reason that unemployment figures have been as low as they are is because public sector jobs have been increasing at a furious rate throughout the life of the New Labour government. It has to stop and stop soon.

avinabacca

http://www.thedailymash.co.uk/news/business/bbc-dismantles-robert-peston-200909092043/

...and if you can't trust the BBC, who can you trust?

MiserlyMartin

Martin you need to also have a word with the people who write the, "LATEST MSE NEWS". The headline today was, "Unemployment up, but pace of rise easing".

I agree the BBC coverage is shockingly biased and misleading, but have a word with your researchers too, they are also at it!