Estonia proves that it’s possible to cut spending and continue to grow September 27, 2012 THE on-going Eurozone crisis proves all those who highlighted the design flaws of the single currency were right. They said it would be impossible to maintain common competitiveness between disparate economies like Germany and Greece without fiscal transfers. The result would be significant and damaging imbalances. This was not inevitable, but it was always unlikely [...]
Facts may be slippery but the most important human qualities remain true September 27, 2012 FACTS aren’t what they used to be. When I started school, Pluto was a planet and carbon came in just three flavours: diamond, soot and graphite. By the time I left for university, a fourth kind of carbon had been announced, football-shaped buckminsterfullerene. And, thanks to Pluto’s reclassification six years ago, there are now just [...]
JK Rowling’s new book puts politics before originality September 27, 2012 IWAS never totally convinced by Harry Potter. Evil was a little too obvious – it would appear with a theatrical dimming of the lights, dominating, cruel and selfish. And good was too obviously good. JK Rowling likes to neatly marshal her leading actors, and to draw her readers along a pre-determined path towards an inevitable [...]
As crisis deepens in Spain, could Catalonia succeed in its desire for full independence? September 27, 2012 YES Yogesh Chandarana Political regimes collapse when governments no longer command the people’s respect. So, when approximately 1.5m Catalonians, of a total population of 7.5m, take to the streets demanding independence, we should take note. Catalonia has disproportionately born the brunt of cuts, with public investment by the national government cut by 45 per cent [...]
Rapid Responses September 27, 2012 Pensions fiasco [Re: Auto-enrolment will fail unless it fosters a broader savings culture, yesterday] The main reason why we’ve seen a decline in long-term savings is government interference in the economy, and a similar lack of willingness to tackle the scourge of inflation. Most savings have lost their real value over time, partly due to [...]
Auto-enrolment will fail unless it fosters a broader savings culture September 26, 2012 WE ARE on the brink of a revolution in workplace pensions. From 1 October, new laws designed to address the dramatic decline in long-term saving will force all employers to provide pensions for their staff. Employers will automatically enrol them, and employees will have to opt out if they don’t want to contribute to pensions. [...]
Events, dear boy, events: Romney’s last hope of ousting Barack Obama September 26, 2012 FOR Republicans, the daily polling page on the RealClearPolitics website makes for dismal reading. Democratic blue adorns each swing state poll, with Barack Obama markedly ahead in Ohio. At this stage, some didn’t even expect the President to be competitive in North Carolina. Instead, he finds himself up and outside the margin of error. Mitt [...]
In the real world high taxes restrict economic growth September 26, 2012 HIGHER taxes and higher spending are associated with weaker economic growth. That is the clear conclusion of a wealth of increasingly sophisticated studies conducted over decades. The final report of our 2020 Tax Commission summarised 18 studies from the 1970s, which found higher spending or higher taxes diminished the level or growth of national income. [...]
As reform of Libor begins, can London retain its dominant role in the interbank market? September 26, 2012 YES Ian Harris Martin Wheatley’s Financial Services Authority (FSA) report into Libor will reportedly result in a regulated, transaction-based replacement system. The British Bankers Association’s (BBA) role will end. It is good that Wheatley is set to move swiftly and in the right direction – this change is not before time. This week, my firm [...]
Rapid Responses September 26, 2012 Clegg on housing [Re: The ideas emerging from Lib Dem conference dissolve under scrunity, Tuesday] Nick Clegg, and the coalition more broadly, are failing to pursue sufficient supply-side reform in the housing sector. The reason approved sites are lying idle is because the current planning system limits supply. The really big money is to be [...]