An economist makes sense of it...

With special thanks to Braveheart who in breaking from his usual habit of defending Labour's economic illiteracy, has found an economist who has managed to compute that the reason why inflation is so high is a result of government policy and a rise in the price of International raw materials "fuelled by City based speculation" ( No doubt he means those wankers in London who find it appropriate to award themselves millions of our pounds in bonuses ) - Fucking Bravo! An economist who can count!

More than an ability to count, this chap can actually think a wee bit too! Check this bit out! Apparently "real incomes in the UK may be under pressure because of a fundamental rebalancing of the overall economic equation within the world economy" and so he gets to the humdinger of a conclusion

"if there is a reaction within the UK which sees ordinary consumers penalised for something that is entirely beyond their means to rectify through altering their pattern of consumption the consequence is that we will, inevitably, see an exacerbation of the fall in household income, and the creation of the environment for a double dip recession, which will inevitably follow.

So people getting shafted all ways because of government policy and having their disposable income rapidly diminished by those government policies are unlikely to need or respond well to further reductions in their disposable income, particularly not when the excuse for that (2nd shafting) is an alleged need to address the rising prices caused by the government policy (original shafting) in the first place.

All that does though is further enhance my view that economics is nothing more than opinion and occasionally some common sense. I don't know why I'm surprised, it is an arts degree after all. What I really don't understand though is why they seem to be held in such high esteem.