Monday, 26 November 2012
Rather worryingly they seem to think tax rises are the answer. Already the UK has some of the highest personal taxes in the whole OECD and now, with a nasty budget deficit, the idea is to raise more in taxes.
The far and away more obvious thing to do is to cut spending. Little progress has really been made in cutting spending and those with their hands out are adept at showing the difficult cuts that are made to say disabled services. Less point is made about say, closing libraries in the age of the Internet.
The real truth is that the Government is still far too big and is spending more money than it has by a colossal amount. The crisis of 2007/8 will forever be a denouement moment for the ear of socialist spending for it came as the endgame for social welfarism was beginning due to the ageing of Western societies.
The better news, not that any political party is currently thinking it, is that all is not lost. There are plenty of ways to save money, cutting aid budgets, reducing welfare spend on the middle classes and others (e.g. the butty tax credits), reducing money spent on the NHS by regionalisation and privatisation, encouraging Scotland to go its own way and taking its welfare insanity with it. Not to forget pushing a planning-led boom, building new airports and railways together with exploiting cheap energy sources like shale gas - all of which will help renew our manufacturing capacity over time.
So there is plenty of hope, lots that can be done. Rather worryingly, none of the politicians we have are ready for this. All are in thrall to the often state-sponsored special interest groups and also, dare I say it, the Group-think position of economists who see Keynesian demand problems everywhere and think the UK is like Greece (these being the same economists who did not see the Credit crisis coming).
of all the UK parties only the Tories and UKIP even come close to trying a few of these ideas out and they get roundly criticised for it. MY my question is what will be the trigger for sanity - do we only get sanity with another crisis?