tag:blogger.com,1999:blog-2948538160252327076.post1816825717310653669..comments2023-11-02T15:48:50.381+00:00Comments on UK Bubble UK Economy: The terrible tyranny of public debt dynamicsAlice Cookhttp://www.blogger.com/profile/05753570123987780947noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-2948538160252327076.post-75566233341004311352011-02-26T12:08:34.853+00:002011-02-26T12:08:34.853+00:00'There are assets that one should place agains...'There are assets that one should place against those bank liabilities.'<br /><br /><br />No-the reason that you don't include the bank liabilities is that the nationalised banks are limited companies. <br /><br />The reason why the national debt has risen so sharply is that the private sector has suddenly stopped borrowing.james cnoreply@blogger.comtag:blogger.com,1999:blog-2948538160252327076.post-28075220071930705642011-02-25T23:50:47.863+00:002011-02-25T23:50:47.863+00:00Why does the government have to borrow anyway? Why...Why does the government have to borrow anyway? Why does n't it just create money the way the banks do?Why do governments pay banks to create credit for them to borrow off them at interest?DBC Reednoreply@blogger.comtag:blogger.com,1999:blog-2948538160252327076.post-17722309770338546762011-02-24T14:18:15.017+00:002011-02-24T14:18:15.017+00:00What I would really like to see is projections of ...What I would really like to see is projections of how much interest payments will make up of the budget, taking into account how much new borrowing, and debt roll over, is planned for the next few years. And to see how those figures vary if long term interest rates rise above current ones.<br /><br />Thats the smoking gun - when debt payments get above a certain % of your budget you're toast. From memory I think its 30%, but I'm not sure.Jimnoreply@blogger.comtag:blogger.com,1999:blog-2948538160252327076.post-40046880860645148272011-02-24T09:46:48.253+00:002011-02-24T09:46:48.253+00:00This shows that we have had two horrible episodes ...This shows that we have had two horrible episodes in the last century and a half: the two-round battle with Germany, and the two-twats surrender to Blair and Brown.deariemenoreply@blogger.comtag:blogger.com,1999:blog-2948538160252327076.post-13718491352895579392011-02-24T06:31:25.071+00:002011-02-24T06:31:25.071+00:00But how much of the CPI rise is due to monetary in...But how much of the CPI rise is due to monetary inflation and how much to tax increases and supply shortages?<br /><br />Interest rate rises will do UK plc no good at the present time and the MPC is right to be cautiousAgainsTTheWallnoreply@blogger.com