Are we really heading for a double-dip recession?

DervProf

RenovationMan wrote: »

Isn't that an oxymoron?

No, I don't think it is.

ILW

RenovationMan wrote: »

Perhaps a paradox then?

Could you explain how more attractive savings rates will encourage me to pull money out of my savings accounts and spend it?

##Many are happy to spend the interest on their savings as they consider it income, whereas that do not like to reduce their capital. Simple really.

bo_drinker

So we are out of a recession then are we ????? could have fooled me.

wherediditallgothen

bo_drinker wrote: »

So we are out of a recession then are we ????? could have fooled me.

It's not always the recession that gets you. Sometimes the recovery isn't all cupcakes and fluffy bunnies either.

Mallotum_X

RenovationMan wrote: »

Perhaps a paradox then?

Could you explain how more attractive savings rates will encourage me to pull money out of my savings accounts and spend it?

Depends on who you are, if your an older person living off the interest then more interest = more money to spend.

Some others may well save more with a better rate, but thinking about that from the other side does low rates mean such people would have spent rather than saved.

Not sure interest rates themselves have a huge impact on whether people 'save' or 'spend' but rather will influence where they save/invest if they are so inclined.

As to the topic, we do seem to be teetering on the edge of another dip, although i would think this balancing act will continue for some time yet. I can see years of conditions similar to today, no massive crash in the economy again, but any boom being a long way off.

Thrugelmir

ukonlineshopping wrote: »

I just have that feeling that the UK will dip back into recession again this year.

No one said that recovery would be easy.

No point worrying about issues beyond your own control. Be prudent and over time the worst will pass.

As for rising prices. Consume less. Be more economical. We waste a considerable amount in our consumer driven society.

geneer

RenovationMan wrote: »

Good advice thrugelmir. All anyone can do is put themselves in the best financial position they can and ride out the storm. So many on here and in the wider world are worrying about things outside their control, making themselves miserable.

What great advice!

Would have thought not buying at or near the peak of the largest housing bubble in recent history would be a suitable way to assist in finding the optimal financial position.

DervProf

RenovationMan wrote: »

Good advice thrugelmir. All anyone can do is put themselves in the best financial position they can and ride out the storm. So many on here and in the wider world are worrying about things outside their control, making themselves miserable.

Indeed.

I reckon the best way to ride out a financial storm is to not have too much debt, and keep one's overheads low. That's what I have done, and so far, so good.

shortchanged_2

Right this is what I can't get my head around as it doesn't seem to make any logical sense.

If, as almost all the research and surveys show, that a large proportion of people in the UK are financially worse off now than they were a few years ago how can there be growth in the economy.
It seems a bit of an oxymoron to me.

Thrugelmir

shortchanged wrote: »

If, as almost all the research and surveys show, that a large proportion of people in the UK are financially worse off now than they were a few years ago how can there be growth in the economy.
It seems a bit of an oxymoron to me.

Define worse off?

Attend fewer premiership football matches, eat in cheaper restaurants, switch off unnecessary lights and turn down the heating, think twice before driving somewhere they could walk to.

Life still goes on.............

The economy is still functioning.