The Ranting Kraut

19.3.2006 – 27.9.2010

Archive for April, 2010

Can 77 Economists get it Wrong?

Posted by rantingkraut on April 15, 2010

Apparently 77 economists have sided with Brown in the following letter:

As expected, a key election issue concerns how much to cut government expenditure in 2010/11. The main opposition party now proposes to cut an extra £6 billion in 2010/11, on top of the measures already planned by the government. This cut is described as efficiency savings. But in macroeconomic terms it is just a cut by another name. It will lead directly to job losses and indirectly to further falls in spending through the standard multiplier process. At a time when recovery is delicate, it could even affect confidence to the degree that we are tipped back into recession – with much larger job consequences. Read the rest of this entry »

Posted in In The News, UK politics | Tagged: , , | 1 Comment »