UK 2Q GDP surpasses all expectations - Fastest Pace In 4 Years

Really2

tomterm8 wrote: »

The reason I find it hard to accept that the 'massive deficit' before the election was not the cause of the problem is that prior to the recession, we had debt to GDP of around 37.5%... lower than the 42% odd that the last conservative government racked up, and roughly at the average of what the deficit had been in the last 30 years.

So it is OK to include a recession in the conservative figures and not labours?

On your above logic labour have racked up a deficit of nearly 70% and that will still increase.
(labour came in power when the deficit was virtually gone.)



It is a odd point to make as it is clear you seem think it is OK to change how you view a deficit depending on the party involved?
To put it another if you want to included recession in Debt to GDP labour are clear winners (or losers)

Generali

To the relevativists:

http://online.wsj.com/article/BT-CO-20100708-710381.html

German GDP is up 1.4% on the quarter.

I'm an absolutist myself.

RenovationMan

Gawd, this is terrible news! My mortgage plan requires economic stagnation and 0.5% rates for 3 years! Hopefully this recovery wont last and we'll get back to normal.

Really2

RenovationMan wrote: »

Hopefully this recovery wont last and we'll get back to normal.

Now thats the oddest thing I have ever read. (not a go but recovery is good for jobs and the value of your asset etc)

tomterm8

I don't think I understand the point of your last post? (post 105) That graph, by the way, flatters labour from what I can see. It doesn't appear to include inflation, and so the performance of the Tory governments in terms of deficit look worse than they really are.

My point was that after Lehmens went bust, the government debt burden as a percentage of GDP has increased by more than 1% every single month.

Excluding the world wars, there has not been an increase in debt that bad since 1870. It is equivalent to the amount of debt America incurred during the great depression.

Given that, the nickpicking over a few percentage points of deficit prior to 2008 seems rather insignificant.

Generali

RenovationMan wrote: »

Gawd, this is terrible news! My mortgage plan requires economic stagnation and 0.5% rates for 3 years! Hopefully this recovery wont last and we'll get back to normal.

On a positive note, if the UK's economy recovers and interest rates rise then hopefully your income will rise too....

RenovationMan

Generali wrote: »

On a positive note, if the UK's economy recovers and interest rates rise then hopefully your income will rise too....

Naturally, I was only joking about the positive news. Honest! :eek:

Unfortunately as things stand, it'd require a huge increase in my salary to make up for a small increase in interest rates!

Really2

tomterm8 wrote: »

That graph, by the way, flatters labour from what I can see. It doesn't appear to include inflation,

Why would it need to be it is nominal figure vs nominal figure in the same period.
GDP growth (%) is inflation adjusted but spending vs income would surely not need an inflation adjustment as they are happening at the same time using the same thing (GBP).
So both should be inflating the same as they are occuring in the same period of time . (not sue if that is what you mean or if it is right)

For the sake of the thread I will bow out though (it has all got a bit political)

I think we have as much chance of seeing eye to eye as The krankies

Generali

RenovationMan wrote: »

Naturally, I was only joking about the positive news. Honest! :eek:

Unfortunately as things stand, it'd require a huge increase in my salary to make up for a small increase in interest rates!

This is just a datum point. Many a slip twixt cup and lip etc....

RenovationMan

Generali wrote: »

This is just a datum point. Many a slip twixt cup and lip etc....

Exactly, without rate rise speculation my challenge wouldnt be any fun and without any actual rate rises, it wouldnt be any challenge at all!