DOOOOOOOOOOM: Is the UK screwed?

[mos]

This is all theoretical. Every economy has its inherent risks. More than anything UK consumers are experiencing a crisis of confidence and the UK media is relentless at doing its best to ensure nations psyche stays negative.

+1000

[yetanotherbob]

The most likely scenario is that the worst version of our systems will flourish uncontested in Asia. It is like the liquidation of one gang creates space for the next, perhaps a more oppressive and destructive one.

I can sense that happening already. The Asian systems are to a great extent following the same model - just lagging by a few decades, even years.

We here need to think of newer, better paradigms.

[AtW]

This is all theoretical. Every economy has its inherent risks. More than anything UK consumers are experiencing a crisis of confidence and the UK media is relentless at
doing its best to ensure nations psyche stays negative.

LOL

Crisis of confidence? Nice way of saying that people have high debts and not enough income - prices going up as well.

[rambaugh]

LOL

Crisis of confidence? Nice way of saying that people have high debts and not enough income - prices going up as well.

It's very easy to make passing statements but you either forget or are ignorant to the fact that consumer spending is a major component of GDP.

We've had 5 years of ultra low interest rates which is more than enough time for most personal and company debts to come under control. I would say most people and companies are cashed up but are too afraid to spend. And, why would you when everything you hear from the media and our politicians are doom and gloom.

Sooner or later the polly's and the media will change their tune and when they do the economy will bounce back - just a matter of timing.

[BrilloPad]

This is all theoretical. Every economy has its inherent risks. More than anything UK consumers are experiencing a crisis of confidence and the UK media is relentless at doing its best to ensure nations psyche stays negative.

+1000

I beg to differ gentlemen. The UK is losing out to Asian countries. Too much red tape, beaurocracy and taxes. And all the government does is put money into bankers bonuses instead of where it will do any good.

The economy is flatlining at 3% below where it was in 2008. It is possible to reverse this - but not under the current government or prospective labour government.

[Robinho]

It's very easy to make passing statements but you either forget or are ignorant to the fact that consumer spending is a major component of GDP.

That is the problem with our economy.

We've had 5 years of ultra low interest rates which is more than enough time for most personal and company debts to come under control. I would say most people and companies are cashed up but are too afraid to spend. And, why would you when everything you hear from the media and our politicians are doom and gloom.

Sooner or later the polly's and the media will change their tune and when they do the economy will bounce back - just a matter of timing.

You have the idea that all we need to do is start blowing up the bubble again. This is not the case.

The 5 years of ultra low interest rates has meant companies that should never have existed in the first place, still exist.

In order to get our house in line it's not a case getting Brits to spend more on products. It's a case of getting foreigners to spend more on British products.

I think the media are being too positive. We really are ****ed as a nation, we're on a big downward trend, and i think only about 5% of people actually realise how FUBAR we are.

Breaking an economy can be done very quickly, sadly it takes a long time to mend.

[OwlHoot]

.. I would say most people and companies are cashed up but are too afraid to spend. And, why would you when everything you hear from the media and our politicians are doom and gloom. ...

Why also would you spend on non-essentials, or discretionary things like moving or redecorating, when the prices of these seem to be creeping down slightly all the time?

If this attitude takes hold, and people start postponing spending as a result, then it would cause further price drops and so on, and we'd be in a deflationary spiral.

[minestrone]

Like most on here I can ride out the storm, rates are good for me and there is still a strong financial sector where I can earn a very decent crust. But...

... the country is a mess really, and I don't want to be paying taxes to be spent sorting it out so it looks like we are off to the states next year.

[Robinho]

Why also would you spend on non-essentials, or discretionary things like moving or redecorating, when the prices of these seem to be creeping down slightly all the time?

If this attitude takes hold, and people start postponing spending as a result, then it would cause further price drops and so on, and we'd be in a deflationary spiral.

No such thing

[OwlHoot]

No such thing

Read this tutorial and discussion before sounding off on things about which you evidently know next to nothing