“the fact that governments have such good access to credit
is hugely useful since it allows them to run deficits during tough times,”
Is this some sort of elaborate joke? “Governments can run deficits”? Brilliant! EXACTLY what we need. What about governments spending the money they have and not running up vast debt?
If I run a small business and customers dry up (I hope temporarily) I have to cut costs and spend less. If I borrow loads of money at high interest to keep going just as before then I will pay very heavily for it and risk eventual failure.
Mrs Thatcher was EXACTLY RIGHT. If governments ran the economy more like a prudent family treasurer we wouldn’t be in this mess.
“hugely useful”? YOU COULDN’T MAKE IT UP. Was it “hugely useful” to Greece to have “good access” to credit? No wonder we’re in this shambles if the unintelligentisia think like this. Now they all want someone else to bail us out.
Merkel is going to “recapitalize the banks”. Why do they persist with this insulting jargon? If you mean, “bung a load more taxpayers’ dosh at them so that they can continue paying themselves bonuses”, then SAY SO.”
QE? If you mean “print and borrow more money to cure the problem of printing and borrowing too much”, then SAY SO; don’t give us this “Quantitative Easing” tosh. Perhaps “Non-Qualitative Headless-Chicken Thrashing About” would be better.
Soon after the euro started, France went way over the 3% of GDP debt limit, saying “that rule was meant for little countries, not those like France”. These politicians have NO IDEA about prudent financial management; they will NOT cut their cake according to their cloth. France has 56% of its workforce working for the government, is drowning in debt and has no growth. None of them seems to understand that the money to pay for all this state employment must come from the private sector, upon which ever more costs and regulations are dumped by people who mostly have never done a real job in their lives. Juncker, Borroso, Trichet et al.
But the streets are quiet; we seem to lap all this up like sheep on spliff. Meanwhile, our savings and pensions go up the spout.
Where is Brown? Can’t they parachute him in to help? At least that would finish us all off very fast and put an end to these drawn-out and ludicrous death-throes.
The writer should go and work for the Treasury; he’d be welcomed with open arms.