Simple Economics ?

[JemimaMuddleFuck]

I have cut back on everything.
I am going to cut back futher.

I will not be buying anything because I do not know what the future holds.

It's the Thatcher recession all over again. Tories. Cuts will hurt eveyone that works for a living; but not them.

Normally I would buy from John Lewis; Boden; Vertbuadet; La Redoute, Next.

I have spent not a penny; because the household budget is too tight.

It's a typical Tory recession. Look after your own is the Mantra. Those that have money will make more money.

Interest rates will rise. Production and unemployment will increase; but be carefully hidden in statistics.

Because I am not spending; like thousands of others; jobs will be lost..

Verbaudet, Boden, John Lewis. No sales.

No sales mean more unemployed. It fits the Tory profile because we will all be working for a pittance

Well, we all knew that would happen with the Tories, didn't we.

Yay for the tory bashing thread.

You do realise the reason the Tories are having to make all these cuts and such like is because Labour went and spent us into trillion pounds worth of debt right? The government is doing what you are doing but on a bigger scale.

They could tax big business more but thats by the by.

Cuts are essential. This country is on its knees.

Woe for Boden it's overpriced crap anyway.

You normally shop at Boden and John Lewis?
You sound like you're well versed with looking after yourself then.
Have to slum it with the rest of the riffraff now.

Quite. Just had our letter from HMRC telling us that if we want tax credits this year we're onto plums.

onto plums? Que?

When the interest rates rise it will be a tory re-run. Thatcher the sequel, but without the handbag.

Someone commented on another AIBU thread the other day, "Only in Britain would someone respond to being strapped for cash by considering reducing their working hours and claiming tax credits".

I'd add to that: "Only in Britain would someone's definition of a recession be 'no longer able to shop in Boden and John Lewis'."

Oh. My. God.

Completely agree violethill and i'm still chuckling at the notion.

agree with you violethill

I don't think the OP is complaining about not being able to shop there any more.

I think she's just making the point that the effect of the recession is that jobs in the "nice to have" sectors will disappear, because no-one is buying luxuries any more.

I'm not quite sure why this makes it a typical Tory recession, as opposed to just a typical recession.

Everything that hardhat said. Maybe I should go and hide but as far as I can see, that's how it is.

Well not Everyone in the UK buys cheap clothes?

I'm with hardhat too.

Bloody Labour mess we're dealing with now and I don't know how anyone can pretend otherwise.

Recession following total mismanagement by labour party, just as in the early 80's. The Tories have to put right years of waste and overspending on the wrong priorities. It hurts and if there had been a little more caution between 1997 and 2010 it would be rather less painful. Tony Blair has as much to answer for as Wilson and Callaghan - all that spending and NO improvements in education or the NHS. The Tories are trying to put right the very sorry mess they have inherited.

And of course there were huge improvements in the NHS/education between 1979 and 1997 weren't there. Nu Labour didn't really inherit underfunded and dilapidated schools/hospitals etc..

And it wasn't the tories who sold off council houses, privatised utilities, introduced relaxed banking regulations.

The 18 years of tory misrule weren't exactly utopia

I believe Labour fucked up the education system first time around hence the lack of funding for their lovely new all inclusive sparkly system.

What.

I remember the tories selling off school buildings, playing fields and not providing capital investment for silly things like repairs to leaky roofs and text books. At the same time 'yuppies' were making a fortune in the city.

Prefer labour messes to tory messes TBH.

I don't.

Labour messes result in a generation (or two) of childrens education being royally fucked over, the NHS being mismanaged and run into the ground and a new underclass developing that believe they owe society nothing and society owes them everything.

I'm no tory but i can see just how shite labour were and are.

I remember the 18 years of tory misrule very well. It was shit. Unless you were well off.

Funny, i don't recall being well off but it was far from shit for us :) i do think some people recall previous governments (all governments) through weirdly tinted glasses and not look at them objectively. Socialism is bad news for this country.

I also remember the 1970s. It was far from being a Golden Age wrecked in the 80s.

alistron1: will they choose to raise interest rates though? Inflation fell this month.

The government is doing what you are doing but on a bigger scale.

When will people realise the budget of a country is not the same as a household budget? If the government 'tighten the country's belt' and don't spend and invest there can be no growth.

Labour messes result in a generation (or two) of childrens education being royally fucked over,

What utter tosh. I remember being at school in the 80s- there were never enough books, the school was in a dreadful state, school buildings were delapidated etc etc.

Labour made a lot of mistakes but Tories do not give a toss about state education and the NHS. They are just glad they have an excuse to tear it all apart in the name of 'sorting out Labour's mess.' Piffle.

Very simple economics, OP.
So if we all went out and eat bought cake then there would be no recession. Is that really your theory?

Perhaps we are in a mess because we have been wasting money on fripperies, with nothing to show for it, instead of investing in the future. Do you really think that it is your economic duty to spend, spend, spend? That you can take the moral high ground because you like to buy frocks?

If nobody buys anything, all sorts of industries and sectors are pretty much stuffed. Why is that hard to undstand?