Great news, our economy grew in August! Well, only on the face of it, apparently. You might think that a growing economy would be a good thing, a sign of prosperity, proof, as our esteemed Chancellor would say ‘that the naysayers are wrong’. O.2% growth, however, is not enough to show that we’re likely to avoid a recession as the economy shrunk in July by more than it grew in August. And another however, had it grown by more than 0.2%, the Bank of England might well choose to put up interest rates again to make sure there is a recession and so bring inflation down. The only time, it seems, that a boom can be a good thing is when it follows a bust. Inevitably, it then becomes a bad thing and we need another bust to cure it. There has to be a better way. Surely.
“UK slips into recession as economy contracts 0.1% in December”
This week’s big economic and bad election news is that we are, or certainly have been, officially in a recession. You may not have thought you were, or you may have thought you have been for some time, as we and its effects are all different.
