Deficit

Your first point starts you off in the wrong direction. The idea that the recession was caused by something other than government policy is misleading and false. Exposing the Tories and Liberals support for the policies does not detract from the fact that it was a Labour government that left us bare and vulnerable to the financial services. While the perpetual motion machine was racing along throwing out money Labour were more than happy to lord it and declare that there would ‘be no more boom and bust.’ The economic collapse was inevitable. So to somehow pretend that it was an anomaly of economics is nonsense. Brown followed the Tory model, who had followed the Friedman doctrine and we ended up with much of the same with a bit more poison to boot. The ‘deficit reduction’ budget is nothing of the sort. It’s more about reducing living standards and employment rights. Rights that were so blatantly abused by the New Labour Project. In the long term, as Thatcher found to her own detriment, the deficit will eventually grow larger as benefit payments and compensations to industries begin. At the same time taxes will reduce, due to lapse taxation laws and insufficient staff to collect and investigate taxes and tax ‘avoidance’ schemes.

This will, inevitably, lead to a reduction in healthcare provision, education support and training allowances. Which, in turn, will reduce employees skills, undermine professional apprenticeships and aid in the dumbing down of the workforce. The banks will be back at the door and demanding more tax money to bail them out, due to defaults in mortgages and their exposure to debt from CDS’s and CDO’s two lovely financial tools that are yet to come home to roost.

As for Social Democrats, ( a term that seems as meaningless as New Labour) questioning each cut as it comes, seems as irrelevant a task as I can think of. There is  no point in questioning which benefit or service is being cut and whether it is necessary. This leads to the wrong perspective. The entire concept of deficit reduction should be the starting and finishing post for the debate. 1)Why do we need to reduce the deficit? 2)Is there an alternative to it? 3)What genuinely does it mean? 4)Should we pull up politicians and commentators when they try to compare a country’s budget to a household budget?

1) We only need to if one believes that real money is being loaned to us by an individual. If, as we know, the monies are promised through funds and bonds then we don’t need to pare down the deficit.

2) In fact, bearing in mind that the money is coming from pension funds and insurance premiums, working from a capitalistic perspective, keeping the deficit increases pension fund pots and reduces Insurance premiums to the majority.

3) It’s a meaningless statement and is being used to push through an agenda based on the greed concept of ‘free market economics. (Yes. I am talking about the same economics that allowed industry to die because it couldn’t get government support, because it’s not allowed. Yet the same support was allowed when it came to the banks. Banks that owe us as much as the deficit and are still not paying back their debt. In truth, the majority of that debt is now ‘ring fenced’ which means that tax payers are the ‘sole beneficiaries’ of it.

4) We should pull them up about it; we should shake them that hard that they faint and crack their necks. A country’s economics aren’t in the remotest like a household and any comparison therein is futile and misleading.

To conclude: Labour run by Miliband, either would have been the same, will not change its position on the economic model it believes in. (Gordon Brown showed us that) They are not an alternative to the Condem-all government. They, like the brothers Miliband are the same. New Labour, because that’s what they are, have no counter argument for they believe in the same economic model. A cut of £40 billion or £80 billion means the same when you have lost your job and home. Not one of them are willing to bite the hand that feeds them, (Corporations and the filthy rich) even though that very same hand will eventually drag them by the collar down the corridor for the ‘long walk.’

Brown sold his soul for the Blairite dream but didn’t realise he wasn’t part of the club and would be left outside in the cold, exposed to the ridicule and lambast of the public and the press. Miliband thinks they’ll let him join, but again he is deluded. Education can only give you knowledge. Schooling is what will give you power and protection.

 

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