Brexit, the economy and house prices (Part 3)

HAMISH_MCTAVISH

But at least that devalued banana-republic pound has resulted in the trade deficit closing so all that pain from higher import prices is worth it?

Surely there's no way our trade deficit just surged to a record high despite the fall in the pound boosting exports?

Breaking: Britain’s trade in goods deficit with the rest of the world has hit a record high.

The gap between what the UK bought and sold widened to £14.245 in August, the Office for National Statistics reports.

That’s much bigger than expected, and up from £12.8bn in July.

https://www.theguardian.com/business/live/2017/oct/10/markets-uk-trade-manufacturing-growth-productivity-imf-global-economy-business-live?page=with:block-59dc853ce4b0c8da8831d6c7#block-59dc853ce4b0c8da8831d6c7

Oooops....

“We were repeatedly told that crashing the pound would result in a major boost for British exports. But 15 months on we are still waiting, as Britain’s trade deficit with the rest of the world continues to widen.

“These figures only serve to underline how reckless it is for the Government to be wrenching the UK out of the Single Market, our largest export market right on our doorstep, in pursuit of fantasy trade deals on the other side of the world.”

https://www.theguardian.com/business/live/2017/oct/10/markets-uk-trade-manufacturing-growth-productivity-imf-global-economy-business-live?page=with:block-59dc853ce4b0c8da8831d6c7#block-59dc853ce4b0c8da8831d6c7

Moby

fatbeetle wrote: »

Your data source?

http://www.oecd.org/economy/g20-gdp-growth-second-quarter-2017-oecd.htm

Thrugelmir

ilovehouses wrote: »

I'm probably being slow on the uptake but how does this demonstrate UK investors are short-termist?

Then we have different outlooks on life.

System

Thrugelmir wrote: »

Then we have different outlooks on life.

May well be true but irrelevant.

You asserted UK investors are short term and haven't come close to sharing your logic let alone evidence.

You've mentioned some German brands have been around a long time (so what?) and that companies in the UK have foreign ownership (so what?).

You've a belief (that has been held so long you've stopped questioning it) that UK investors are out at the first sign of a profit.

You've confused German branding with investment. If you hadn't you might have dug a little deeper and realised that the biggest German companies as represented by the DAX are more than 50% foreign owned.

Even today we hear Bayer (22% German owned) are selling parts of their business to BASF (40% German owned).

You've spotted open and successful economies are attractive to capital inflows and have conflated that to prove your 'theory'.

Thrugelmir

ilovehouses wrote: »

May well be true but irrelevant.

You are missing my point entirely. :beer:

Tromking

Malta being described by some as a 'm-a-f-i-a State'. Spain jailing Catalunian secessionists without due process and suspending autonomy. Another bunch of fascists on mainand Europe doing well enough in another national poll to be probable 'King-makers' in Austria at the weekend also.
Brexit Britain is looking like a good place to be at this rate.:)

fatbeetle

Not forgetting that the Czechs are going to throw another spanner in the EU works.