UK Q4 GDP contracts unexpectedly by 0.5 pct qq

smeagold

StevieJ wrote: »

Does that include all your gold and silver bits and bobs?

Amazingly no, gold and silver are both commodities and money and tend to track inflation. when the pound dropped today gold went up.

lvader

I'm very well hedged against stirling drops, so it doesn't really bother me either way. At least we can forget the nonsense about interest rates hikes.

shortchanged_2

I wonder what Clegg and Cable are thinking right now?

Mrs_Bones

shortchanged wrote: »

I wonder what Clegg and Cable are thinking right now?

Where's the exit?

StevieJ

This is total overreaction just like happened after the 1.2% rise in Q2.

doire_2

shortchanged wrote: »

I wonder what Clegg and Cable are thinking right now?

They cant think. Thats their problem

Generali

smeagold wrote: »

right so when dozens of companies produce millions of competing items and floods the market with said items, the consequence of oversupply is a rising price ?

Most of our leading economists are keynesians, no wonder we're in such a mess.

Well orthodox Keynsians take short term supply as fixed, pretty much, and so it's all about demand for them. They kinda neglect supply, I think mostly because Keynes is a bit incomprehensible on it.

He was certainly a bright lad. He predicted that trying to cripple Germany financially after WW1 would lead to WW2 (I guess he realised it was called the First World War because there was going to be another). He also invented a lot of tools used widely by statisticians.

He also made a fortune twice (and lost it once) using a theory of bond pricing he invented himself.

Towards the end of his life he appeared to reject a lot of his ideas on Government intervention and became increasingly in favour of free markets.

He reputedly said on his death bed, when asked if he had any regrets, "Yes, I wish I'd drunk more Champagne". He was apparently great fun and even contemporary arch critics spoke highly of his intellect and personality.

Generali

StevieJ wrote: »

This is total overreaction just like happened after the 1.2% rise in Q2.

Most probably. The snow won't have helped with either GDP itself (it's hard to make stuff when your workers can't get to work) or the job of collating the data.

wolvoman

Butterfly_Brain wrote: »

It just proves that the Tories policy of cut , cut and cut deeper isn't working they should have concentrated on encouraging the economy to grow instead of slashing everything in sight

Simple question - where do you propose the extra money comes from that may prevent the cuts from happening?

Remember, Labour went a bit wild with the credit card in the last 10 years.

And before you go on about bankers causing the deficit - have a think about why other countries with big banking sectors managed to rack up smaller deficits than we did.

StevieJ

wolvoman wrote: »

Simple question - where do you propose the extra money comes from that may prevent the cuts from happening?

Remember, Labour went a bit wild with the credit card in the last 10 years.

And before you go on about bankers causing the deficit - have a think about why other countries with big banking sectors managed to rack up smaller deficits than we did.

You mean like Ireland? or even the US?