Where Would We Be Now If Brown Had Won Last May?

[Chil1234]

Genuine question. Pre-election, the Labour manifesto pledges on budget management were very similar to the ones on offer from the other parties. Darling, in a speech not long after the election, seemed to be very much a 'deficit believer' and criticised Brown for failing to tackle the subject head on, instead getting sidetracked into a debate between investment and cuts. Would things be fundamentally different now if we still had a Labour government? Better or worse?

In serious trouble I suspect, the bond market would have pushed up the interest rate on our borrowing due to a lack of confidence in Brown to deal with the deficit. This could have caused the economy major problems and at worst could have put us in a compound interest trap.

HH -
I was under the impression that most of the bonus research is 'experimental' behaviour type - and as such is fairly controversial. Please link if you have some conclusive 'real world' research - I would be interested to read that.

ttosca
In terms of total salary - it seems to me that the more impact a worker has on 'the bottom' line (the short term profit) the higher the salary. Which is why in most businesses, sales people earn more than engineers. This effect also leads to disproportionately large senior salaries.

I'm not making a value judgement on this - it's just my observation. If we want to find a way to level salaries to some degree - we must first understand the reasons why they have diverged.