Ok so Brown is responsible for the sub prime market collapse in America and the subsequent finaial meltdown because the FSA replaced the SIB in 1986 ...thanks for sharing
Ps when did the B of E ever regulate?
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(Political) music to my ears
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Posted 2 years ago #
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Political music to my ears would be seeing Blair on trial in the Hague, together with laws brought in to ensure that any government official who lies to the electorate or who refuses to truthfully answer a direct question is denied salary for a year together with their pension pot for starters.
Seeing other political spin masters lose their ill gotten gains regardless of their allegiances would be a massive boost to people power IMHO.
Posted 2 years ago # -
Ps when did the B of E ever regulate?
Here's what the Bank of England's website says:
http://www.bankofengland.co.uk/about/history/major_developments5.htm
In 1997 the Government announced its intention to transfer full operational responsibility for monetary policy to the Bank of England. The Bank thus rejoined the ranks of the world's "independent" central banks. However, debt management on behalf of the Government was transferred to HM Treasury, and the Bank's regulatory functions passes to the new Financial Services Authority.
Posted 2 years ago # -
Ok so Brown is responsible for the sub prime market collapse in America and the subsequent finaial meltdown because the FSA replaced the SIB in 1986 ...thanks for sharing
Brown did preside over a massive increase in public and private debt, along with a huge housing bubble, and didn't put the brakes on. I think it's clear that we would all be far better off if we weren't a hugely indebted nation with a reliance on constantly rising house prices when the crisis hit.
Posted 2 years ago # -
Disadvantaged kids 7 times less likely to get to university etc etc. System gravitates against them blah blah. Thats the real problem. Basically we need to kick out the jobs for the boys, and get on with getting the best out of the best people. Can't see the Oxbridge/Eton crowd going along with that, sadly.
Not totally true. Smart people generally become better off, and have smarter kids, therefore the majority of kids at good unis are from better off families. And there are still plenty chances for the smart kids from poorer families to do well. With a bit of luck Cameron will re-introduce the assisted places scheme so less well off families can get bright kids into good schools.
Posted 2 years ago # -
It is TRUE Eton confers no advantage to the pupils that go there due to the standard of edcuation it delivers as it all it genetic. If these intelligent affluent people still pay the £25 k per year fees surely that makes them idiots?
Posted 2 years ago # -
Thank **** Conversatives are slashing through the waste mountain of surplus.
The Association of HIPS providers are threatening legal action as it will have 3,000 staff out of work.
Loving it!
Posted 2 years ago # -
Brown did preside over a massive increase in public and private debt, along with a huge housing bubble, and didn't put the brakes on. I think it's clear that we would all be far better off if we weren't a hugely indebted nation with a reliance on constantly rising house prices when the crisis hit.
Well it was mainly Blair that was PM. How can the govt put the brakes on housing?. We should only measure our politicians in how they respond to the situation no one caused it other than boom and bust is in the nature of capitalism as the greed always goes too far and goes wrong once the elusive confidence goes.Posted 2 years ago # -
Not totally true. Smart people generally become better off, and have smarter kids, therefore the majority of kids at good unis are from better off families.
Not totally true. Better off people are generally better at providing the environment required for education, buying books, speaking to their kids etc. and as a result, their kids do well in education.
Posted 2 years ago # -
How can the govt put the brakes on housing?
By using a measure of inflation that takes into account the cost of housing, rather than CPI, a change which Gordon Brown instituted. The house price bubble would have driven inflation up, and the BoE would have increased interest rates to correct. End result is that house prices are managed as part of the inflation control system.
I think Gordon Brown famously said something about boom and bust, and how he'd beaten it.
There was this bloke called Kanute once...
Posted 2 years ago # -
The house price bubble would have driven inflation up, and the BoE would have increased interest rates to correct.
So what effect would the "increased interest rates" have had on the rest of the economy then ?
And you are basically saying that the higher interest rates would have increased mortgage repayments to such a level, that many people would no longer able to afford the monthly payments, and therefore the rise in house prices would have slowed down.
Well if it was that simple and people could be just put off by the increased cost of buying a house, then house price inflation would never have occurred to the level which it did. The market would have regulated the price.
People were not clamouring to buy houses because they were "dirt cheap".........that was not the problem. They were buying houses because they were mortgaging themselves up to the eyeballs.
What you are basically suggesting is that the government should have interfered with the market and in effect, brought in price controls for housing. Well that is certainly an option, but one which is unlikely to appeal to the free-marketeers of New Labour and the Tory Party.
So how about the other option then ? If there is too much money chasing not enough produce, how about increasing the supply ? An increase in supply always drives down prices - so we are told.
So build more houses then ! There is after all a desperate shortage of housing - is there not ?
Posted 2 years ago #
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