We have been or are, depending on your point of view or choice of statistics, in the midst of a recession. The faint glimmer at the end of a long tunnel is that the economy apparently grew in January, although 0.2% isn’t exactly storming ahead. The thing is, both the likely and vaguely possible next (for which read current) chancellors are pinning their colours to the mast of Economic Growth, for which they have investment and/or tax-cutting plans; I think. The more philosophical question is whether that should be everyone’s goal. Economic growth is not the way to solve all problems, and its problem is that it often sounds great for everyone but actually benefits but a few; often those who need it least. The low interest rates we enjoyed for over ten years should certainly have stimulated quite a bit of growth. They did, but, along with QE (Quantative Easing, another lengthy article in its own right), only served, I’d say, to make the rich richer and the poor poorer. We could do without more of the same; is taxing and spending really such a bad thing, as long as the spending actually happens?
“Reaction: UK economy returns to growth as GDP rises by 0.3%”
OK, this sounds like good news, doesn’t I? Last month’s figures showed a fall in GDP, and three of those in a row equals ‘technical recession’.
