ECONOMIC GROWTH FOR BEGINNERS
A STATEMENT
in association with BLEEDING OBVIOUS PRODUCTIONS - proud sponsors of the Truss-Kwarteng Institute for Those in Need of Remedial Learning)
A PRIMER FOR THE AGES
Star Trek, the Final Frontier. Much the same could be said of the UK’s pursuit of economic growth – it’s out there somewhere.
During a period last year, the phrase “economic orthodoxy” became rather newsworthy promoted as it was by Right Dozy Liz Truss and her faithful, if somewhat naïve, pet, Khazi Kartoon.
Her objective was to declare war on such orthodoxy and provide a means by which the economy could reach its full Brexit potential.
First, let’s be clear, in the Northern hemisphere at least, “economic orthodoxy” comprises ageing, mainly white men pursuing economic strategies that ultimately assist in the maintenance and increase of both their wealth and power. We, that is the hoi polloi, have no say in this process unless or until the strategy goes to shit, in which case these grey men turn to us and order us to shoulder the responsibility for paying down the debt by reducing our wages and/or reducing some to penury; needless to say those who caused the downturn are left financially untouched or in too many cases for comfort increase their wealth through a complex process of hedging their bets - don’t ask!
Anyway, credit where credit’s due, at least “In God we Truss”took on the money men and in this endeavour she and Khazi had a head start in that she was female, and he wasn’t white. Unfortunately, her plan involved nothing more than uncosted tax cuts with the result that the money markets crashed and that was the end of that - and the Liz and Khazi show.
Side Bar:
This outcome also demonstrated once and for all that, whilst we might be a so-called sovereign state, the belief that we can go out in the world and determine our own future regardless other’s demands is complete and utter nonsense.
But I digress.
The first and most important lesson in challenging the economic orthodoxy – and dealing with the cost-of-living crisis is to drive the economy from the bottom up not the top down.
Here’s how
- Increase taxation on the income of the wealthy - especially if they are white, male and ageing – and end the anachronism that is nom dom status.
- Incorporate Social Care as an integral arm of the NHS -problematic? -get over yourselves and find a solution.
-
ProvideThe outcome of these simple changes will be revelatory.
It is fair to say that the increase in taxation will not cover the whole cost of these changes but remember the government will recoup some of the cost through personal taxation of the workers involved who will, in turn, spend more money thus bolstering the economy.
In any event, we are a rich country – allegedly – not subject to the restrictions of a household budget and can carry debt without it being too much of a drag on our potential for growth as long as those from whom we borrow have confidence of our stewardship of the economy; think back to the situation after World War II, debt did not prevent the Labour government from achieving great things.
Secondly, substantial increase in pay will attract applicants to these public services and fill the many vacancies. This in turn will ease the pressure of existing staff and, over time, staff retention will improve.
For goodness sake, when people are treated with respect and provided with a decent salary and working conditions they will respond and will, in addition, increasingly respect themselves and strive to repay the trust others place in them.
Sound like humbug? I don't think so, sounds more like a potential economic orthodoxy and a recipe for growth. - Provide all NHS and Social Care staff with an immediate and unconditional 12% pay rise.
NB: Amended conditions of service to be subject to negotiation at a later date.
The outcome of these simple changes will be revelatory.
It is fair to say that the increase in taxation will not cover the whole cost of these changes but remember the government will recoup some of the cost through personal taxation of the workers involved who will, in turn, spend more money thus bolstering the economy.
In any event, we are a rich country – allegedly – not subject to the restrictions of a household budget and can carry debt without it being too much of a drag on our potential for growth as long as those from whom we borrow have confidence of our stewardship of the economy; think back to the situation after World War II, debt did not prevent the Labour government from achieving great things.
Secondly, substantial increase in pay will attract applicants to these public services and fill the many vacancies. This in turn will ease the pressure of existing staff and, over time, staff retention will improve.
For goodness sake, when people are treated with respect and provided with a decent salary and working conditions they will respond and will, in addition, increasingly respect themselves and strive to repay the trust others place in them.
Sound like humbug? I don't think so, sounds more like a potential economic orthodoxy and a recipe for growth.
Ramblin'Syd andThe Clemantics Team
