Lurked and Hover
Lurked writes to me:
^Bronze's constants attempts to appear to be reasonable whilst maintaing a stance which is emotive, illogical, relies on flights of fancy regarding trade, and in certain post verges on xenephobia (nice reference to immigrants opening corner shops there, well done indeed).
Posting about patriotism, when it's actually nationalism.^
I’m patriotic, yes and what is wrong with being a nationalist or is that also not politically correct nowadays?
I have illustrated 2 scenarios using both car hire businesses and corner shops. Pulling the race card suggests you’ve run out of steam and can’t counter my comments with meaningful and logical arguments.
For a country to become wealthier, it needs to import money. How does it do this? It exports goods and services. So my argument that any person working for the UK, be it a native, EU migrant or non EU migrant, unless they end up being responsible for importing money, they are not contributing to making the country richer. All they are doing is shuffling the existing wealth around.
Hover writes to me:
Bronze - have you ever heard of taxes? You know, the money that isn't there in your brown envelope at the end of the week? I presume you think the government has spent it all wisely? Perhaps they could even have applied for grants from the EU! Maybe if some of you hadn't been so incredibly stupid as to elect MEPs who had actually stated that they were going to collect their money but not actually partake in the democratic process, nor fight for our country, we may have been able to negotiate something to benefit us...
Ignoring your sarcasm and insults, let me illustrate a simple situation.
You and 4 friends want to go out for a night out. You each have £100. So between you you have £500. No matter what happens, you can only afford to spend £500 between you.
On the way you meet 5 friends and they invite themselves to come with you. By chance, they have among them another £500. So there are 10 of you with £1000 among you which still leaves £100 each to spend.
However, if your friends have no money but still insist on coming with you, the 10 of you now have only £500 between you. Therefore, the increase in people without the commensurate increase in money has reduced the amount you can now spend per head which is now £50. You’re individually and collectively poorer and not going to have such a good time because now you’ll have to eat in a cheaper restaurant and maybe get the bus home rather than a cab.
Now imagine we double the workforce of our country but none of the workers (whether it be native, EU migrants or non EU migrants; I’m not xenophobic because I’m illustrating that even before we consider uncontrolled immigration, we can get poorer even with static GDP) were responsible for exporting goods and services but merely shuffling round money that is already in the country, on balance, everyone will become poorer by 50%.
So to Hover.
Your point about EU grants is nonsense. The reason is the we send the EU £350m per week and out of that they send us back £240m in “grants”. They are not grants, they are refunds. Calling them grants gives everyone here who does not understand the mechanics a warm feeling we are getting something for nothing. We are not. They are only giving us back our own money and keeping £110m of our money to themselves. So we’re worse off by £110m per week. If we didn’t give them the £110m per week, using the average house price figures, we would be able to build 35,308 new homes per annum (excluding land costs).
You also say the money to pay for the infrastructure of the country will come out of taxes. I’m glad you said that because you’re correct. However, you have overlooked the point that the new labour force did not bring with it money nor did it import money though exports. The Government has to pay for all this infrastructure with taxpayers money. As each taxpayer is poorer because we’re spreading out the existing wealth among twice as many people, the percentage of tax you pay will percentage wise be higher of your now dwindling income. Dwindling income, does that sound familiar?
The Government can’t really increase VAT to 40% (if the EU would allow it to but that is another argument) for fear of electorate unrest and getting voted out next election and it can’t raise tax by 10p in the pound for the same reason. So what does it do, it borrows money. Sound familiar, that £69.5bn deficit we keep hearing about. That’s because the country is getting poorer, having to borrow money to keep the lights on. We won’t feel that in the pocket just yet. That just kicks the can down the road and our children will pick up the tab plus interest. Actually there is something else it can do, it can print money (quantitative easing as they so eloquently describe it). This seems like a great idea however there is a downside which is not so apparent. Printing more money only serves to devalue the money already in circulation which means prices increase. So that doesn’t work. Did the country get any better off after all that money printing (QE) some £275bn. No. All that did was devalue the pound in my pocket and give an advantage to the person that printed the money. And I’m miffed because they didn’t share out the newly printed money; I don’t remember getting my share of that £275bn some £4583 to compensate me for the devaluation of the pound in my pocket. Money printing is wealth transfer by stealth from poor to rich. And isn't the ECB doing that too?
There’s another measure of wealth which is more meaningful than just the GDP and that is gross domestic product (at purchasing power parity) per capita. Sort of the wealth per person of GDP.
Depending on the source, the UK is between 22nd and 30th. Using World Bank actual data, we’re 23rd. So though we are 5th or 6th largest economy, we’re not 5th or 6th when it comes to GDP per person. This means our wealth is spread more thinly per head than the previous 22 nations.
Here are some of the other counties in that table and their rank:
2 Luxembourg
7 Norway
8 Switzerland
11 Ireland
12 Netherlands
13 Austria
14 Germany
16 Denmark
18 Sweden
21 Belgium
23 United Kingdom
28 Italy
31 Spain
38 Portugal
42 Greece
45 Poland
46 Hungry
59 Turkey
68 Bulgaria
In 1973 before we entered the common market, there were only 5 European countries ahead of us. Now there are 10. That means as a population, per capita we are getting poorer than our European neighbours.
Even with our social security system, UK foodbanks are on the increase now at record levels as hunger remains major concern for low income families.
Does that sound like the sort of headline a county with an improving per capita wealth level. Not to me it doesn’t and rising reliance on foodbanks is one of the visible proofs. Million of people in this country cant even feed themselves. What an unmitigated disgrace.
So since we joined the common market in 1973, we’re worse off.
What on earth makes you think that situation will improve any time soon being politically and economically shacked to an economically decaying, indebted union of countries that wants to on board even more poor countries. I wonder why no rich countries are gagging to join.
Less of our exports go to the EU because money is flowing from west to east. The west is borrowing and getting poorer, meanwhile the East is getting richer, stocking up on gold.
Then we hear that Osbourne, who can't even predict next years GDP figures is trying to convince us he can see 14 years in the future and workout our GDP will be 6% less by2030 if we leave the EU. In 14 years time, there just as much chance that our GDP will be 6% more - no can make that call. Specially a bloke who I remember said he was going to balance our books by 2015 and is still digging us further into a debt hole, this year alone to the tune of a whopping 69.5bn. I can't take the guy seriously.
What there is more chance than not of happening if we remain, is that we'll slowly but surely get sucked into deeper political union, our membership fees will increase to pay for the subsidies to the new poorer nations waiting to join. As our population increases at a faster rate than our GDP we'll slide down the per capita wealth league and we won't just be easting cheaper meals and getting the bus home, we'll be walking to the nearest foodbank sitting on the pavement eating a handout meal reminiscing of the good old say when we could afford to get the bus to get a meal out.
This is why I want my country back and I'm voting to leave the EU.