http://baldysblog.co.uk/2009/06/10/reality-bites-at-last/ Mainly Political, Right of Centre and Personal, not Party Political Mon, 10 May 2010 04:28:14 +0000 hourly 1 http://wordpress.org/?v=3.0 http://baldysblog.co.uk/2009/06/10/reality-bites-at-last/comment-page-1/#comment-1896 Sheumais Fri, 12 Jun 2009 12:58:34 +0000 http://baldysblog.co.uk/?p=1082#comment-1896 Even a very basic understanding of demand and supply would tell anyone who's interested why Brown was an unmitigated disaster as Chancellor. The "economic miracle" for which he was widely congratulated was caused by a huge increase in spending and supply of money to be spent. Complacency over accumulated debt levels was shattered by the dawning realisation that inflation, in the form of a rocketing oil price, could cost many people their homes. It is utter nonsense to say house prices are stabilising, as they remain far too high relative to income and, as these houses still represent the only security on some of the massive public debt, this country is a great deal poorer than it appears even now. Those who are dribbling rubbish about green shoots and economic recovery still have no real appreciation of how far above long-term trends consumption had risen before the recession and how hard it will be all around before any sustainable recovery can occur. It was pointed out to Brown in 2003, by Vince Cable, that the domestic property market had already boomed and was at unsustainable levels, Brown said he was wrong and repeated that recently. It is not just that Brown is wrong, he knows he is unable to argue his case, which is why he always changes the subject when challenged. There is no rational argument in favour of Brown's time in 11 Downing Street and it is truly shocking he has been allowed to be an even more inept Prime Minister. Even a very basic understanding of demand and supply would tell anyone who’s interested why Brown was an unmitigated disaster as Chancellor. The “economic miracle” for which he was widely congratulated was caused by a huge increase in spending and supply of money to be spent. Complacency over accumulated debt levels was shattered by the dawning realisation that inflation, in the form of a rocketing oil price, could cost many people their homes.
It is utter nonsense to say house prices are stabilising, as they remain far too high relative to income and, as these houses still represent the only security on some of the massive public debt, this country is a great deal poorer than it appears even now.
Those who are dribbling rubbish about green shoots and economic recovery still have no real appreciation of how far above long-term trends consumption had risen before the recession and how hard it will be all around before any sustainable recovery can occur.
It was pointed out to Brown in 2003, by Vince Cable, that the domestic property market had already boomed and was at unsustainable levels, Brown said he was wrong and repeated that recently. It is not just that Brown is wrong, he knows he is unable to argue his case, which is why he always changes the subject when challenged.
There is no rational argument in favour of Brown’s time in 11 Downing Street and it is truly shocking he has been allowed to be an even more inept Prime Minister.

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