Bank of England: Britain is in 'the first lost decade since the 1860s'

[mentalfloss]

Britain is in 'the first lost decade since the 1860s'

LONDON - Bank of England Governor Mark Carney thinks Britain is facing "the first lost decade since the 1860s" when "Karl Marx was scribbling in the British Library."

Carney said in a speech on Monday in Liverpool that stagnant wage and productivity growth means Brits are no better off today than they were prior to the onset of the financial crisis in 2008.

He added that, with Brexit looming, low real wage growth is set to continue: "The only question is how this comes about: either through a compression of nominal wage growth and higher unemployment, or through faster growth in consumer prices and a smaller rise in joblessness."

Carney said central bankers and governments must do more to look after those who feel left behind by the forces of globalisation, saying: "The combination of open markets and technology means that returns in a globalised world amplifies the rewards of the superstar and the lucky. Now may be the time of the famous or fortunate, but what of the frustrated and frightened?"

As well as name-checking Karl Marx, one of the founders of communism, in his introduction, Carney also suggested a solution to the problems that he identified that could be seen as communist.

He appeared to reject the "trickle down" economic theory favoured by those on the right - saying "while trade makes countries better off, it does not raise all boats" - and called for at least some limited wealth redistribution.

Carney said: "For free trade to benefit all requires some redistribution." He called on politicians to develop a system of "inclusive growth where everyone has a stake in globalisation."

Bank of England governor Mark Carney says Britain facing 'lost decade' - Business Insider

 

[TenPenny]

He appeared to reject the "trickle down" economic theory favoured by those on the right - saying "while trade makes countries better off, it does not raise all boats" - and called for at least some limited wealth redistribution.

Carney said: "For free trade to benefit all requires some redistribution."

I think Carney is the first person in power to publicly acknowledge what many already know, and lead to Brexit and Trump's victory.

 

[Blackleaf]

Carney should be sacked after his Remoan stance and sent packing back to Canada.

 

[Cannuck]

Absolutely!! Anybody that says anything that could cause Brexiters to hyperventilate should be immediately dismissed.

 

[TenPenny]

I can see why the Brits would want to get rid of someone who knows what they're doing. It would ruin a long streak of incompetence.

 

[Blackleaf]

Absolutely!! Anybody that says anything that could cause Brexiters to hyperventilate should be immediately dismissed.

The fellow should have been sacked for failing to observe impartiality and for partaking in the now discredited Remaniac scaremongering.

 

[Cannuck]

The fellow should have been sacked for failing to observe impartiality and for partaking in the now discredited Remaniac scaremongering.

How dare that facker have an opinion. Fire his ***.

You'd make a SJW blush

 

[Blackleaf]

How dare that facker have an opinion. Fire his ***.

You'd make a SJW blush

He should have kept his opinions to himself and observed the public political impartiality that is usually demanded of the Bank of England governor as it is also demanded of the monarch.

He should have been sacked months ago.

 

[Cannuck]

He should have kept his opinions to himself ...

I completely agree. We can't have people going around expressing opinions willy nilly. For one thing it disrespects your humanity. In fact, it could even be considered hate speech in some places.

 

[Curious Cdn]

Carney should be sacked after his Remoan stance and sent packing back to Canada.

Yup. He's too damned good for the British.

 

[Blackleaf]

Yup. He's too damned good for the British.

BRITAIN’S economic Brexit bounce was made official today as the Bank of England was forced to admit it had been too negative about the financial impact of the vote to leave the European Union.

Mark Carney admits Bank of England was too negative about Brexit | UK | News | Daily Express

TWO leading figures behind the EU Remain campaign’s “Project Fear” admitted yesterday their predictions of Brexit doom and gloom had not come true.

George Osborne and Mark Carney admit wrong, Brexit predictions not true | UK | News | Daily Express

 

[Curious Cdn]

BRITAIN’S economic Brexit bounce was made official today as the Bank of England was forced to admit it had been too negative about the financial impact of the vote to leave the European Union.

Mark Carney admits Bank of England was too negative about Brexit | UK | News | Daily Express

TWO leading figures behind the EU Remain campaign’s “Project Fear” admitted yesterday their predictions of Brexit doom and gloom had not come true.

George Osborne and Mark Carney admit wrong, Brexit predictions not true | UK | News | Daily Express

You haven't Brexited yet, Einstein.

 

[mentalfloss]

Absolutely!! Anybody that says anything that could cause Brexiters to hyperventilate should be immediately dismissed.

The idiocy of Brexiters and Trump fans knows no bounds.

 

[HarperCons]

Britain is in 'the first lost decade since the 1860s'

LONDON - Bank of England Governor Mark Carney thinks Britain is facing "the first lost decade since the 1860s" when "Karl Marx was scribbling in the British Library."

Carney said in a speech on Monday in Liverpool that stagnant wage and productivity growth means Brits are no better off today than they were prior to the onset of the financial crisis in 2008.

He added that, with Brexit looming, low real wage growth is set to continue: "The only question is how this comes about: either through a compression of nominal wage growth and higher unemployment, or through faster growth in consumer prices and a smaller rise in joblessness."

Carney said central bankers and governments must do more to look after those who feel left behind by the forces of globalisation, saying: "The combination of open markets and technology means that returns in a globalised world amplifies the rewards of the superstar and the lucky. Now may be the time of the famous or fortunate, but what of the frustrated and frightened?"

As well as name-checking Karl Marx, one of the founders of communism, in his introduction, Carney also suggested a solution to the problems that he identified that could be seen as communist.

He appeared to reject the "trickle down" economic theory favoured by those on the right - saying "while trade makes countries better off, it does not raise all boats" - and called for at least some limited wealth redistribution.

Carney said: "For free trade to benefit all requires some redistribution." He called on politicians to develop a system of "inclusive growth where everyone has a stake in globalisation."

Bank of England governor Mark Carney says Britain facing 'lost decade' - Business Insider

Marx was right.

But he wasn't the founder of Communism, Communism was the natural human action ,, i.e. working together towards a common goal.

..w ell before Marx's birth.

 

[Curious Cdn]

Marx was right.

But he wasn't the founder of Communism, Communism was the natural human action ,, i.e. working together towards a common goal.

..w ell before Marx's birth.

Yeah ... sorta like the Catholic Church did during the Middle Ages ...

 

[darkbeaver]

The Bank of England lost nothing. Just the rabble, the BoF has a real good record I guess. Bank of England lost money, you must be stupid.

I guess they'll have to rejoin the EU somehow, maybe pile of dead limeys attacking Buckingham Palace with pitchforks and AK 48,5s. Everyone must bow to EU .

 

[Blackleaf]

The idiocy of Brexiters and Trump fans knows no bounds.

I think us Brexiteers will eventually be proven right.

 

[Bar Sinister]

The fellow should have been sacked for failing to observe impartiality and for partaking in the now discredited Remaniac scaremongering.

Really? You apparently don't know what the job of the Governor of the Bank of England is. Why is that not surprising?

 

[tay]

Paul Mason takes note (link is external) of the obvious implications of Mark Carney's warning against inequality, particularly as it relates to the proliferation of low-wage and precarious work:

Carney’s solutions, though couched in language eviscerated in order to avoid offence, boil down as follows.

First, economists have to accept that the current form of capitalism is failing the 99percent. Gains from both technological progress and globalisation flow more to the rich than the poor.

Second, he says, we have to stimulate growth by relying less on creating money, and more by creating growth: governments have to start using taxpayers’ money to invest, and redesign the economy so that our dire productivity is reversed.

Third we have to redistribute wealth downwards instead of upwards.

If Theresa May’s government was actually listening to Carney (instead of trying to undermine him as in reality), they should scrap Philip Hammond’s austerity targets, raise tax revenues, shut down tax havens and take decisive measures to end the creation of low-wage, low-productive jobs. To do that you would have to re-regulate the economy and hard.

It would, in short, have to be somebody’s responsibility that 20,000 low-wage cash business appear out of nowhere; somebody has to care about it other than the police, whose raids on such businesses frequently scoop up just enough trafficked migrants to hit the headlines, but never enough to actually put the traffickers out of business, nor to raise wages.

At the same time, you would have to redistribute wealth aggressively. Not all of that needs to be done through taxation. If, instead of privatising public services, you ran them as non-profit corporations, providing rail, broadband and energy at prices below the cost of production, the redistributive effect would be significant. People on rock-bottom wages would suddenly have a lot more to live on.

On top of that you need to actively raise wages. That needs more than a worker on the board: it needs a recognised union rep in every workplace. If Amazon, Pret a Manger, the courier industry and the construction firms were obliged by law to negotiate with unions, and to cease repressing them, there would be upward pressure on wages across the whole economy. Another way of creating that pressure would be for local and national government to hike public sector pay.

Call it what you will, it would no longer be globalisation as we know it, and it would reverse 30 years of ' free market labour reforms'.

 

[Blackleaf]

Carney should have been sacked months ago.