How to boost the economy - new idea

[Mr. Charts]

Deja vu all over again......

First the Tories have an "original idea", then Obama.....
Obama administration pushes banks to make home loans to people with weaker credit - The Washington Post

When will they ever learn....

 

[BobbyBB]

This proves what a complete joke Obama is -

Obama Proclaims April the Month to Teach Young People

 

[Splitlink]

Deja vu all over again......

First the Tories have an "original idea", then Obama.....
Obama administration pushes banks to make home loans to people with weaker credit - The Washington Post

When will they ever learn....

I have heard that it would be a good idea to bung all the old folk over to us. That way, Spain would have another industry and British hospitals would be less congrested..

 

[0007]

Politicians will only face up to the facts and deal with them when the voters are prepared to do likewise. Hence all the wacky schemes.

The voters will only get real when it's too late .......... 'twas ever thus.

 

[Mr. Charts]

You've got the germ of a good idea there.
Send senior citizens to Spain which has better health care and warmth so they live longer (no longer neglected in geriatric wards and left starving and thirsty and wallowing in their own excrement) and that would free up hospital beds here and then their houses could be seized by the govt to house malingerers and welfare scroungers here in the UK.
Don't know why Gordon Brown didn't think of that. Red Ed might take it up. Would buy Bad Old Labour plenty of votes if they disenfranchised expelled senior citizens at the same time.

 

[0007]

You've got the germ of a good idea there.
Send senior citizens to Spain which has better health care and warmth so they live longer (no longer neglected in geriatric wards and left starving and thirsty and wallowing in their own excrement) and that would free up hospital beds here and then their houses could be seized by the govt to house malingerers and welfare scroungers here in the UK.
Don't know why Gordon Brown didn't think of that. Red Ed might take it up. Would buy Bad Old Labour plenty of votes if they disenfranchised expelled senior citizens at the same time.

They could also take away any state pension (that you've paid for) if you have any other income or pension. Sort of balls-up that both Eds might be interested in.

 

[Purple Brain]

The US currently spend 18% of GDP on health care. That's 8% more than your average OECD. If they could utilise that 'surplus' 8% they'd cut their deficit virtually overnight.

As it has always been, the way to boost the economy is to cut benefits and invest in infrastructure; Roads, railways,bridges and broadband. If we widen the discussion to the UK, stick a few extra runways on Heathrow's western flank The multiplier effect virtually ensures the money spent on these types of initiatives come back at least £ for £ into increased GDP. Money for nothing.

 

[Splitlink]

You've got the germ of a good idea there.
Send senior citizens to Spain which has better health care and warmth so they live longer (no longer neglected in geriatric wards and left starving and thirsty and wallowing in their own excrement) and that would free up hospital beds here and then their houses could be seized by the govt to house malingerers and welfare scroungers here in the UK.
Don't know why Gordon Brown didn't think of that. Red Ed might take it up. Would buy Bad Old Labour plenty of votes if they disenfranchised expelled senior citizens at the same time.

It's not my idea. A noble British taxpayer mentioned it to me. We have a stack of golf courses that we could build hospitals and nursing homes on.

 

[neil]

I have heard that it would be a good idea to bung all the old folk over to us. That way, Spain would have another industry and British hospitals would be less congrested..

Gotta spare room then Split ?

 

[new_trader]

As it has always been, the way to boost the economy is to cut benefits and invest in infrastructure; Roads, railways,bridges and broadband. If we widen the discussion to the UK, stick a few extra runways on Heathrow's western flank The multiplier effect virtually ensures the money spent on these types of initiatives come back at least £ for £ into increased GDP. Money for nothing.

GDP is a misguided way of measuring the "growth" of an economy and that is why people are lured into the belief that big public works programs are the answer. They are NOT. All they do is waste societies resources on projects that the free-market would never touch because demand for them didn't exist.

The way to boost an economy is to get the Government out of the way and let the economy rebalance itself naturally.

Murray Rothbard, explains like no other economist can:

Murray Rothbard on Economic Recessions - YouTube

 

[neil324]

Translation - Desperation to blow another bubble, thus dropping enough money into the economy creating an impression on growth.

They have known no different since off shoring the manufacturing base and building a bloated service economy which requires ever increasing amounts off money to feed it.

Did you know that ONS in the UK while compiling the GDP figures, include a component called 'imputent rents' (The theoretical amount owner occupiers pay to themselves for the accommodation services they receive from living in their own homes) reached a new record as a percentage of nominal GDP in Q4 2012 (8.4%)

8.4% of UK GDP is theoretical.......................?........................WTF???

Also notice the big increase since the recession/depression started in 2009.

 

[Purple Brain]

GDP is a misguided way of measuring the "growth" of an economy and that is why people are lured into the belief that big public works programs are the answer. They are NOT. All they do is waste societies resources on projects that the free-market would never touch because demand for them didn't exist.

The way to boost an economy is to get the Government out of the way and let the economy rebalance itself naturally.

I totally agree that the free market mechanism will generally find the optimum from a commercial economic viewpoint. However, this doesn't address the fact that we do have governements which inherently are 'in the way' and will do their best to employ our resources as they see fit. Given the reality rather than the Utopian ideal, it would serve us all (in the UK) for our governement to spend on infrastructure projects for the reasons I outlined above. There is also that fact that the new kid on the block (Carney) has been given a clear mandate to utilise GDP (nominal or otherwise) and in meeting the proscriptions for those data will clearly have to ensure continued pressure on benefits reductions and equal pressure on real growth and stimulus, such as that provided by large scale infrastructure projects.

 

[neil]

GDP is a misguided way of measuring the "growth" of an economy and that is why people are lured into the belief that big public works programs are the answer. They are NOT. All they do is waste societies resources on projects that the free-market would never touch because demand for them didn't exist.

The way to boost an economy is to get the Government out of the way and let the economy rebalance itself naturally.

Murray Rothbard, explains like no other economist can:

Murray Rothbard on Economic Recessions - YouTube

Would people be prepared for the financial pain of seeing house prices fall to levels affordable by the majority of potential buyers? To see prices drop to levels that promote further consumption by buyers? The approach of past governments seems to be to stretch the financial system, rather like an elastic band but forgetting that the elastic may snap back to a more balanced level of tension.Hence the need for Govt. interference to promote house buying etc to maintain prices at an over bought level - result of deregulation and a nod and a wink to greed.

 

[new_trader]

I totally agree that the free market mechanism will generally find the optimum from a commercial economic viewpoint. However, this doesn't address the fact that we do have governements which inherently are 'in the way' and will do their best to employ our resources as they see fit. Given the reality rather than the Utopian ideal, it would serve us all (in the UK) for our governement to spend on infrastructure projects for the reasons I outlined above. There is also that fact that the new kid on the block (Carney) has been given a clear mandate to utilise GDP (nominal or otherwise) and in meeting the proscriptions for those data will clearly have to ensure continued pressure on benefits reductions and equal pressure on real growth and stimulus, such as that provided by large scale infrastructure projects.

I am not talking about a utopia. I'm saying that big public works programs might add to GDP but they don't necessarily improve our standard of living. They usually make us all poorer.

What GDP Leaves Out: An Austrian Look - YouTube

 

[neil]

I totally agree that the free market mechanism will generally find the optimum from a commercial economic viewpoint. However, this doesn't address the fact that we do have governements which inherently are 'in the way' and will do their best to employ our resources as they see fit. Given the reality rather than the Utopian ideal, it would serve us all (in the UK) for our governement to spend on infrastructure projects for the reasons I outlined above. There is also that fact that the new kid on the block (Carney) has been given a clear mandate to utilise GDP (nominal or otherwise) and in meeting the proscriptions for those data will clearly have to ensure continued pressure on benefits reductions and equal pressure on real growth and stimulus, such as that provided by large scale infrastructure projects.

Would be nice if the UK could act like a business and make things,or supply knowledge that buyers outside the UK desire; thus bringing in new money rather than using re-circulating exisiting money to build a road or three.
Having said that, I do realise that the UK could seriously improve the rail (freight) links and school stock etc.

 

[neil324]

Would people be prepared for the financial pain of seeing house prices fall to levels affordable by the majority of potential buyers? To see prices drop to levels that promote further consumption by buyers? The approach of past governments seems to be to stretch the financial system, rather like an elastic band but forgetting that the elastic may snap back to a more balanced level of tension.Hence the need for Govt. interference to promote house buying etc to maintain prices at an over bought level - result of deregulation and a nod and a wink to greed.

No and the policies of the government confirm this. But as demographics change and less people can afford to own the government will pander to this vote. Remember the young don't tend to vote get shafted by policy and pensioners get pandered to.