Economic news brings fresh disaster to section of population!

HAMISH_MCTAVISH

Britain's recovery is on track, with the economy in better shape than any of the world’s other leading nations bar the US, according to the Organisation for Economic Co-operation & Development.

Oh dear.

Thrugelmir's head may explode.

shortchanged_2

HAMISH_MCTAVISH wrote: »

Oh dear.

Thrugelmir's head may explode.

Do you believe this now Hamish?

So do you now think George Osbourne should continue with the current plan?

[Deleted User]

quote:
Despite the improvement, the OECD slashed its growth forecasts for the UK in November from growth of 0.5pc in 2012 to a contraction of 0.1pc, and from 1.9pc growth in 2013 to just 0.9pc.

the oecd cant have it both ways,either growth or no growth,my bets on a stagnant economy in 2013 with inflationery pressure reducing living standards for another year,and more high profile businsess collapses

Thrugelmir

Originally Posted by HAMISH_MCTAVISH
Oh dear.

Thrugelmir's head may explode.

Why? Merely pondering over the possible moves. As the global game of multi dimensional chess continues.

Thrugelmir

woodbine wrote: »

and more high profile businsess collapses

That's the nature of recessions. Better that the lame ducks are allowed to die. So that new businesses can grow to take their place.

Conrad

Thrugelmir wrote: »

With a likely balance of trade deficit of $54 billion in 2012 (around 3% of GDP). Expect the £ to sink further. Thereby increasing price pressure on imported goods further.

There's some rough seas ahead.

Exports to the world outside Europe have been accelerating. A falling pound will help exports further. It should also mean more demand for our own products at home.

China swears by a cheap currency!

Whilst we might be more indebted than some, you need also to look at personal assets which often run a lot higher than other nations. We own a lot more real estate accross touristic parts of Europe compared to any other nation for example.

Conrad

woodbine wrote: »

quote:


reducing living standards for another year,and more high profile businsess collapses

Again your'e still hooked on this idea that the boom was reality, it wasn't. Debt made up for lack of production so of course living standards seem lower when the debt tap turns off.

Also get used to this idea we're no longer in the club of a few nations exporting to the world. We've competetion these days.

Any political party telling you your'e still entitled to a false paradigm needs a labotomy.

As to firms going bust. It's happening right accross the world as we change shopping habits. You must know this?

Thrugelmir

Conrad wrote: »

Exports to the world outside Europe have been accelerating. A falling pound will help exports further. It should also mean more demand for our own products at home.

10% of GDP is tied to the motor industry.

Honda shows how difficult a market Europe is becoming.

New car sales in Italy dropped 22.5% in 2012.

A falling pound may help exports but add additional inflationary pressure. So unlikely to increase demand as disposable incomes remain under pressure.
Public sector is entering another year of 1% pay rises remember in 2013/14. Perhaps with more of the same in future years.

Conrad

Thrugelmir wrote: »

10% of GDP is tied to the motor industry.

Honda shows how difficult a market Europe is becoming.

New car sales in Italy dropped 22.5% in 2012.

A falling pound may help exports but add additional inflationary pressure. So unlikely to increase demand as disposable incomes remain under pressure.
.

Why focus on Honda, the one depressing UK car news story?

What about the fact we had record car exports last year and that the industry as a whole is in rude health?

A cheap pound is great for exports, for me thats the take home point. Supressed home demand isn't the end of the world - some nations like S Korea actualy used that one as a way to secure thier growth.

In any event I see home demand picking up despite PS pay increases. Don't forget we have very cheap mortgages to help offset such things.

BobQ

Devon_Sailor wrote: »

Again true, but a more general sense of optimism would go a long way to help bump the economy in general.

It is like the whole "cuts" issue. If you believed the hype spread by Unions and other interested parties, you would think a red hot knife has been slashed through budgets. That simply isnt the case - overall Government spending is STILL RISING - they are not increasing spending by as much as the earlier forecasts.

D_S

Blue coloured spectacles........

HMV, Comet, Jessops, Honda.......

The policy is to starve the patient and see if it survives, reasons to be cheerful are not that great.

Instead of sitting in a US hotel room watching the drivell that passes for news on whatever local TV you were watching, you should have asked the US citizens about how cheerful they are.

Although they do have the benefit of a Government spending on infrastructure, they are still in a mess almost as bad as us.