Leaving your own interests to one side, can you answer this?

illgetthere

We all have our own VI's, but leaving them to one side, and whether is helps or hurts your own personal situation, can anyone actually come up with a proper solution to our current economic crisis?

There are many on here who try to sway these debates, but has anyone actually got a detailed or mature response to resolving this mess and to getting the country back on track again?

thoughts...?

good luck!......

DaddyBear

illgetthere wrote: »

We all have our own VI's, but leaving them to one side, and whether is helps or hurts your own personal situation, can anyone actually come up with a proper solution to our current economic crisis?

There are many on here who try to sway these debates, but has anyone actually got a detailed or mature response to resolving this mess and to getting the country back on track again?

thoughts...?

good luck!......

In short, no. We had our chance in 2007 but the labour government, desperate to win another term whatever the cost, opted for decades of slow death rather than a short painful reset.

wymondham

I'm no economist etc, but I would start by doing a classic MSE - look at UKPLC income and outgoings!

These are all simplistic and probably silly ideas, but....

Seems silly to give aid to nations who no longer need it (ie they spend on space/nuclear programmes rather than feed their people)
A realistic view on housing - forget mass building overpriced shoeboxes - sort the property that lies empty first.
stop immigration - seems odd to encourage others here to make the problem of unemployment worse
long hard look at government employees - the coutry worked well last week during the strike!
cap rental prices

I'll think of others tonight after a few beers!

shortchanged_2

I don't really know what the answer is now apart from fact that we are going to have to tough it out for many years.

Growth is coming to a standstill in the UK and Eurozone, which is seriously going to effect any form of recovery. I would pretty much say we are heading for a period of depression.

All the developed countries have these massive debts which there is no possibility of getting rid of, particularly while their economies remain so weak.

I never was and still are not convinced the severe cuts implemeted by the tories were the right answer. I did believe that cuts were needed, just not to the extent they did because all it has done in my eyes is knock consumer confidence and therefore ruined any chance of growth.

The way things are going I can see the UK heading the same way as the likes of Greece where we are just going to end up cutting more and more as we continue to fail to hit growth targets.

As I stated earlier I think we are in for some very tough years ahead.

justjohn

Protect the people not the large business's.
Let the banks go bankrupt.
let the houses get repossessed that cannot afford the mortgages.
And build the info structure based on small business so all the eggs are not in one basket.

One of the worst things that has happened in the UK in the last 30 odd years is the consolidation of business's and banks to create a monopoly,

This is just the tip of the iceberg. There are many other problems but in my opinion above sorts the main ones.

As for the empty properties ...yes get them back in use...however the gov is not building as much as they used to. So give grants for refurbs like they used too.

We are british however the goverment keeps pushing the people then the people will react. It is already happening in a small scale with riots and demonstrations. We are no different too any other country when push comes too shove.

abaxas

Genocide of lazy people/chavs/oap/anyone with a pension would be the best option.

Not sure it's the preferred option yet.

justjohn

abaxas wrote: »

Genocide of lazy people/chavs/oap/anyone with a pension would be the best option.

Not sure it's the preferred option yet.

Think thats a bit hardline...and defo against EU law.

abaxas

justjohn wrote: »

Think thats a bit hardline...and defo against EU law.

If we got to that stage, EU law wouldn't really apply.

Generali

The best I've managed to come up with so far is systematic debt forgiveness. By necessity that would include writing off a chunk of peoples' savings as one man's savings are another man's debts. It's safe to say that it isn't very popular round these parts.

TBH I suspect it will happen anyway, one way or another. If the Greeks and Icelandic people can walk away from their debts and get away with it, what Government would insist on paying her creditors?

michaels

As the debts can not realistically be repaid they will end up written off one way or another. The creditor nations hold most of the card sunder the current 'rules' and will no doubt try and grind every last cent out of the debtor nations future earnings but politically it just isn't going to happen. At which point the fact that the loans are not asset backed comes in to play (I don't think Germany has a large enough army to repossess Greece?).

I guess one plus of doing it slowly over time is that gradual write-offs over many years may not bring down the current financial system, the dislocation caused by which would see many sound businesses fail as well as the unsound. For example the UK is trying to inflate its way out of the situation, as trying to achieve real price and income reductions is politically hard and has the drawback that fixed nominal debts will increase in real terms with deflation.

Where the UK needs to be is having a functional housing market where supply can increase to meet demand and thus housing costs bear some resemblance to the materials and labour required to build houses, this would sole many of the low income and benefits trap issues currently distorting the economy and making the lower paid even worse off than globalisation on its own. However top get to that point asset prices would need to fall to the point where the financial system would collapse and many of those individually taking the losses would not be those who benefited from the housing shortage induced hpi. I am not in the camp who things we should control demand via stopping migration (or shooting chavs).

It is a bit like the joke about asking directions in Eire and being told 'you don't really want to start from here as it is very difficult' - the end point is there but how to reach it without destoying the economy and arbitarily shifting realtive economic positions is unclear.

Generali wrote: »

The best I've managed to come up with so far is systematic debt forgiveness. By necessity that would include writing off a chunk of peoples' savings as one man's savings are another man's debts. It's safe to say that it isn't very popular round these parts.

TBH I suspect it will happen anyway, one way or another. If the Greeks and Icelandic people can walk away from their debts and get away with it, what Government would insist on paying her creditors?

chewmylegoff

Resource wars and a return to the silver standard.