The great thing about Capitalism is if you missed the last recession then you don't have to wait very long for the next one and as we are still desperately trying to clamber out of the gigantic hole left behind by the last one, the next one is waiting in the wings according to a the Bank of England, Office for National Statistics and IHS Markit who measure these things.
Growth in the services, manufacturing and construction sectors shrunk in the last quarter and if there is another downward turn in the next quarter, the UK would officially be in a recession and as a 0.2 drop is being forecast, time to worry.
A decade of austerity measures has failed to lift the UK back to where it was in 2010 which not only begs the question what have the Tories been doing with all those savings from closing libraries, National Insurance increases and cutting all those public sector employees?
Unfortunately, it is not just the UK who is looking towards a bleak downturn but the global economy is heading into recession with the finger being pointed at the US/China trade war, a sluggish German economy, Brexit, enormous debts in Argentina, Iran, South Africa, Turkey and Venezuela.
The Bank of England point to the main marker being the international money markets getting jittery and the bond market selling their short-term loans to get ready for an imminent recession so it seems that the belt that has been tight ever since the crash of 2008 won't be getting any looser soon and the system that facilitates it will still be protected by the same people who profit most from it.
2 comments:
That would be ups from career ending and home and life threatening lows.
People lose their jobs through no fault of their own, big businesses are going bust almost weekly. I know people who worked like dogs to build a business themselves and lose it all when the economy flattened. Austerity cost many people their jobs so capitalism does fine in making everyone poor and then when you have lost everything, kicking you some more but the real kicker is you can build it all up again and the same thing will happen again a decade later.
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