After a Storm, Britain’s Economy Finds Itself Rudderless
https://www.nytimes.com/2022/10/21/business/uk-economy-liz-truss.html
https://www.nytimes.com/2022/10/21/business/uk-economy-liz-truss.html
Truss implosion shows big change in financial climate
https://www.washingtonpost.com/us-policy/2022/10/20/financial-markets-united-kingdom-interest-rates/
https://www.washingtonpost.com/us-policy/2022/10/20/financial-markets-united-kingdom-interest-rates/
Liz Truss joins ranks of shortest-serving world leaders
https://www.theguardian.com/politics/2022/oct/20/liz-truss-joins-ranks-of-shortest-serving-world-leaders
Liz Truss's fall was brutal – but inevitable
https://www.telegraph.co.uk/news/2022/10/20/liz-trusss-fall-brutal-inevitable/
Liz Truss Believed in Markets, but the Markets Did Not Believe in Her
https://www.nytimes.com/2022/10/19/opinion/liz-truss-kwasi-kwarteng-uk.html
Will the UK’s economic gamble pay off? BY VIVEKANAND JAYAKUMAR | The Hill, 09/28/22
https://thehill.com/opinion/finance/3664758-will-the-uks-economic-gamble-pay-off/
Initial reaction from the bond and currency markets was dramatic and demonstrated a stunning lack of confidence in the fiscal agenda of Prime Minister Liz Truss. Investors are rightly concerned about the impact of the fiscal largess on the country’s public finances.
Unfunded tax cuts and substantial energy subsidies will also act to boost aggregate demand even as the Bank of England is attempting to curtail spending to ease inflationary pressures. The disconnect between fiscal and monetary policy is likely to add to already heightened levels of economic uncertainty and complicate the ongoing battle against high inflation. …
Since 2008, rising income/wealth inequality, economic and policy uncertainty, and subdued expectations regarding future aggregate demand growth have all contributed to low levels of actual and desired investment. This has contributed to chronically low productivity, which in turn has limited the actual and potential growth rate of the UK economy.
Instead of relying on tax cuts, the UK economy would be better served if the Liz Truss-led government undertook structural reforms that were aimed at boosting productivity and enhancing the potential growth rate of the British economy.
https://www.theguardian.com/politics/2022/oct/20/liz-truss-joins-ranks-of-shortest-serving-world-leaders
Liz Truss's fall was brutal – but inevitable
https://www.telegraph.co.uk/news/2022/10/20/liz-trusss-fall-brutal-inevitable/
Liz Truss Believed in Markets, but the Markets Did Not Believe in Her
https://www.nytimes.com/2022/10/19/opinion/liz-truss-kwasi-kwarteng-uk.html
Will the UK’s economic gamble pay off? BY VIVEKANAND JAYAKUMAR | The Hill, 09/28/22
https://thehill.com/opinion/finance/3664758-will-the-uks-economic-gamble-pay-off/
Initial reaction from the bond and currency markets was dramatic and demonstrated a stunning lack of confidence in the fiscal agenda of Prime Minister Liz Truss. Investors are rightly concerned about the impact of the fiscal largess on the country’s public finances.
Unfunded tax cuts and substantial energy subsidies will also act to boost aggregate demand even as the Bank of England is attempting to curtail spending to ease inflationary pressures. The disconnect between fiscal and monetary policy is likely to add to already heightened levels of economic uncertainty and complicate the ongoing battle against high inflation. …
Since 2008, rising income/wealth inequality, economic and policy uncertainty, and subdued expectations regarding future aggregate demand growth have all contributed to low levels of actual and desired investment. This has contributed to chronically low productivity, which in turn has limited the actual and potential growth rate of the UK economy.
Instead of relying on tax cuts, the UK economy would be better served if the Liz Truss-led government undertook structural reforms that were aimed at boosting productivity and enhancing the potential growth rate of the British economy.