Tuesday, November 18, 2008

David Cameron's Economic Policy - Sleepers Awake!

Dave Has Blown It. Cameronomics falls at the first hurdle.

By promising to curb Government spending in a recession, Dave has shown himself to be unfit to govern. Unless, of course, he qualifies his ill-researched utterances later on, and backs the Green New Deal.

We in the UK have been sleepwalking towards a Cameron Government. All the signs point to it. Labour have been in for years, the economy is in a mess, the Tories have a big poll lead (down to 3 points today though. But that by no means spells a Labour victory.

Up to now, I have faced a Cameron government with resignation. Labour have shown themselves to be such a disappointment. They have done some good things for low-income families, but divergence has still grown. They are less irritating than the Tories, but this may be because the Tories were always putting their faces up against our TV screens.

Anyway, under the creaking edifice that is pleased to call itself the First Past the Post FPTP electoral system, Cameron is favourite to win. But. Gordon Brown could find himself seized of the conviction that to have a real modern democratic system, the UK should have some form of Proportional Representation.

One swift and popular electoral reform would bring Britain into 21st century politics. It would also increase voter turnout.

And the result might or might not defeat the Tories, but it would at least dilute the worst excesses of the neo-Thatcherist tendency that seems to be holding a gun to Dave's head at the moment.


Anonymous said...

I am the anonymous who posted about Uzbekistan and also militarism.I have been following your blog for a few weeks - it is very interesting regarding the financial crisis.

You didn't comment directly on the change of direction of the US bail-out.Have they not decided to buy bank shares instead of the toxic debt?And does that not show incompetence?Or something - after the political trouble they had getting it accepted.?

Did you notice Willem Buiter in the FT saying that Obama's Transition Economic Advisory Board has a noticeably protectionist element? -JMac

DocRichard said...

Hi JMac

Thanks for the correction about Uzbekistan. Very helpful. You must have gone back to the PTS data.

Yes, interesting that Paulson has changed tack, and left the toxic assets alone. Maybe they learned from Lehmans that the CDSs cancelled each other out (netted out), and the damage was not as bad as feared. The next hurdle is December 31st when the derivatives have to be accounted for.

Thanks, I will take a look at Buiter. I was a bit obsessed with derivatives (you may have noticed), but recently I have got a life again. Also working on the Index of Human Rights Report.

Have a nice day. Or, if like Grouch Marks, you prefer to have exactly what kind of day you choose, have that kind of a day.