Something For Nothing!

[drew]

How can my post be spin when it's a simple statement of unpalatable and unbelievable fact. Britain is broke, has been for decades, and successive Governments have had to borrow more and more money just to pay State commitments. How can that be spin?

It's spin because you spouting stuff that is half truths and rubbish. It's like someone has read a headline and nothing else! The national debt is not 900% of GDP. And just to remind you, under Major, the National Debt went from 40% of GDP upto 50%. Under Labour, it was paid off and came down to about 38% but rose to about 45% immediately prior to the global meltdown. Also, why do you imply there is still a global recession? Aren't most economies growing again? I agree that if we were in recession then the interest rates we would be charged to borrow money would be higher but that isn't the case. Even in 2010, at the height of the recession we could borrow at 3%!

As for national debt, we've had that for over 300 years, ever since the time the Bank of England was formed in 1694. Like every debt, it is only a problem if it is unserviceable. Unfortunately, due to the 2008 financial crash, the economy shrank and money was pumped into the system with quantitative easing. However, despite the scaremongering of Cameron and Osbourne, we are not in anyway broke. In 2010 we were able to borrow money to bail out Ireland but we could do it because we weren't broke, in other words, we could borrow at about 3% and lend to Eire at about 6% thus making a profit. If our economy was any where near the state of Greece, Spain or Eire then we would have to pay higher interests rates on what we borrow due to the fear of default. That doesn't mean we can borrow indefinitely and at ever increasing amounts however, back in 2007, the Labour gov plans were funded by the growing economy but then the meltdown hit.

 

[downham seagull]

It's just no feasible to be unemployed and doing nothing. It's the best way to get people back into employment. I would say this is the best policy brought out in the last 20 years

 

[The Wookiee]

It's the cheating scumbags who claim benefit for a so called illness that needs clamping down on

 

[beorhthelm]

Meanwhile a saving of £12B p/a (based on government figures, not mine) could help fund job creation.

how? government does NOT create jobs, at least not economically sustainable ones. they can only expand the state (ie employ more people in various govenment departments) or they can encourage companies to invest. how do they do this? usually by offering tax incentives. or, apparently now known as tax avoidance. oh. tax avoidance doesnt "cost" anything, its simply a number to represent what the government thought it might collect and what it did actually collect after companies used the tax system efficiently. if you wish to get on a high horse about companies doing this, consider first that they are only using the law as provided and just about every man and woman in the land does the same at any given opportunity.

 

[Govinda Tim]

It's just no feasible to be unemployed and doing nothing. It's the best way to get people back into employment. I would say this is the best policy brought out in the last 20 years

Its an unworkable policy that has not been thought through. All it would take is for everyone that has to take part in the scheme to choose the same option such as attending the Jobcentre or training 5 days a week, the whole thing would fall apart within a month. Hardly anyone will choose the option of working for their benefit.

 

[LargeHadronZugzwang]

how? government does NOT create jobs, at least not economically sustainable ones. they can only expand the state (ie employ more people in various govenment departments) or they can encourage companies to invest. how do they do this? usually by offering tax incentives. or, apparently now known as tax avoidance. oh. tax avoidance doesnt "cost" anything, its simply a number to represent what the government thought it might collect and what it did actually collect after companies used the tax system efficiently. if you wish to get on a high horse about companies doing this, consider first that they are only using the law as provided and just about every man and woman in the land does the same at any given opportunity.

Slough of despond. The history of Capitalism makes for interesting reading: some prefer not to let it bother them; Ayn Rand, Hayek, Freedman and those who follow a similar philosophy to which you espouse, are those who gave carte blanche to some of the worst dictators. The idea that Big BUSINESS is somehow replete with benign interests, is reactionary claptrap. Tax should be paid by all to contribute to the wellbeing of society. Typically enough, you say nothing about external costs that Companies are increasingly trying to avoid. Pollution and exploitation are on the rise, and if we are to carry on with the current disastrous custodianship the incumbent administration are endorsing, then you can forget about leaving a habitable planet to any Grandchildren. Vilifying the poor at the expense of vested interests and the wealthy is morally wrong.