June 19, 2011

Spleen venting in progress

Ed Balls wants Plan B, but is that plan B for Balls or plan B for Bankruptcy. At least he has admitted now that there will probably not be a double dip recession, though I’m sure that certain lefties are going to continue wibbling on about how it is inevitable. He has also finally learned that if you want to help the economy tax cuts work far better than state spending. Not that he would ever continence less state spending, being a lefty. Unfortunately there is no money left to spend, Labour has already spent it all.

Labour not only spent all the money the state has, they spent all the money that the state could borrow, and then printed more money and spent that. The money has all been spent, its gone, the deficit needs to be cut and the only way to do that is to cut what the state does. Thanks to Labour’s massive overspending the only choices are cutting the bloated state down to size, and cut by more than the fractions of a percent that George Osbourne plans, or the state going bankrupt.

Then there is Jeff Randall of the Telegraph who has woken up to the fact that the Bank of England is trying to stealthily default on the massive debt that Labour created through inflation. Hello! It really took you this long to figure that out? The Bank of England spent the entire last year of Labour’s term of office printing money simply to stop the government going bankrupt. Of course there has been lots of inflation, and of course there will continue to be lots of inflation. Lots of inflation is what always happens when the state starts printing money to sustain itself, and under Labour the state printed a lot. Only once all of that money has worked its way into the system and reduced the value of money until it balances with the amount of value in the system will we go back to more normal inflation rates.


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