UK Recovery?

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UK Recovery?

Postby Pixel8r » Tue Mar 25, 2014 9:57 am » Safari 7.0.2 Safari 7.0.2  Mac OS X Mac OS X  Screen Resolution: 1920 x 1200 1920 x 1200

Quiet round here lately so I thought i'd try and start some conversation on the current economic situation.

The media is full of the recovery that is supposedly happening in the UK, have been reading about the new "Business is GREAT Britain" campaign which has recently got started in the UK.

To me this so called recovery is completely based on the government doing all it can to keep house prices going up and not much else. House prices have been stoked much higher by the HTB scheme and now the changes to the pension's will only make things go further still.

Can a recovery in the economy actually just be created by making house prices go up via increased debt levels?

Perhaps I am just looking at things in the wrong way, due to my bias for Austrian rather than Keynesian economics, but all I see is they are making exactly the same mistakes that got us into this crisis. Namely thinking house prices can not go down and lending evermore money against them. The problem being this time when the crash finally happens, as it will because price earnings cannot continue to rise while rates can go no lower, it is going to completely bankrupt the UK government and people.

Or am I just looking at this through my grey coloured glasses and not seeing that actually there is a recovery and business will again go back to being great, where we see wage increases to match the stratospheric house prices?
"Money is Gold, and nothing else"
(As John Pierpont Morgan once stated under oath before the USCongress and the Pujo Commission in 1912)
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Re: UK Recovery?

Postby warpig » Tue Mar 25, 2014 12:39 pm » Google Chrome 33.0.175 Google Chrome 33.0.175  Windows Seven 64 bits Windows Seven 64 bits  Screen Resolution: 1680 x 1050 1680 x 1050

Just because a patient is recovering doesn't mean they will recover. Yes technically it is recovering, but it's pretty meaningless when they lower the threshold a patient must pass to prove they're not dead.
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Re: UK Recovery?

Postby Laura » Wed Mar 26, 2014 12:42 am » Google Chrome 33.0.175 Google Chrome 33.0.175  Windows Seven Windows Seven  Screen Resolution: 1366 x 768 1366 x 768

Pixel8r ยป Tue Mar 25, 2014 9:57 am wrote:
Can a recovery in the economy actually just be created by making house prices go up via increased debt levels?



The power of kidology is immense as is now being proved to us.
Big mistake I made in 2008 was being convinced 'they' would never pull it off. Winding property up to three times where it was before without anything economically sound to justify it? Not sustainable. I'd seen boom & bust since the U.S. ditched the gold standard. It was guaranteed to bust again in the UK wasn't it. - Wrong!
Not with the - 'Do anything to prevent the early 90s debacle happening again' - bankster default setting.
:yawn: ...... & then Pix posted the Roota derivative big news of the month.....so no point waffling further
Let's have an interlude:
A Spanish vid. of what should have happened in mighty Britain:
Watch on youtube.com
Sai Baba, when asked the question "What is the purpose of physical life?" responded: "To learn not to do it again."
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