The party in power in the UK right now is called the Condems. It’s a cross between the Conservatives or Tories and the Liberal Democrats. The Lib Dems have the support of about 1 The Tories ran on a platform renouncing the extremely unpopular policy of Thatcherism. Note that Thatcher was not able to push through much of her agenda. The wildest thing she tried to do was the poll tax, basically a regressive tax on the poor and working class, and the protests against that nearly caused a street revolution in the country. She’s probably the most hated British politician of the past 100 years, although she does have some supporters. I’ve always felt she had more supporters among conservatives here in the US than she did in the UK. Since the end of Thatcher, the Tories have been backtracking on Thatcherism and saying that they want to moderate their line. The Lib Dems are some of kind new age, pro-environment, pro-gay rights, SWPL type party that’s also more to the Right of Labor on economic stuff, though not nearly as much as the Tories. Their main claim to fame was opposition to the war in Iraq. Their supporters are these hip yuppie types who make good money but don’t want to be associated with Tory assholiness. The Lib Dems basically hate the Tories, so this is a marriage made in Hell. Nevertheless, they are going along with the worst cuts to the British welfare state that the UK has ever seen. I’m not sure what the rationale is for these devastating spending cuts in the middle of an economic downturn. Maybe someone more versed in British politics can enlighten me. Spending cuts in the middle of a downturn is always a bad idea. All it does is make the downturn worse, and far from reducing the deficit, it often grows the deficit because the spending cuts harm the economy so much that tax revenues crash. Hence what we have seen in Ireland and Greece, the idiot countries who have tried to cut their way out of a deficit problems. Both countries made devastating cuts to their budgets, but the more they cut, the more the deficit grew! This is because, as I noted, the spending cuts wreck the economy, causing tax revenues to collapse, paradoxically worsening the deficit! Anyway, for whatever crazy reason they have cooked up, the Condems are determined to go ahead with these cuts. But their rationale for doing them is truly insane. According to the Condems, by making massive cuts British state spending, they will somehow stimulate the private sector, and hence begin to grow their way out of the downturn. I’m not aware of any valid economic theory on Earth in which huge cuts to the state “stimulates the private sector.” Why would it? Unless it’s some whack Libertarian theory that doesn’t even make sense on paper. Anyway, that’s the official rationale. As I noted, it makes no sense at all. Hence, it’s a lie. Thence, we wonder why they are cutting government. They must be cutting the state for some sort of ideological reasons, or perhaps they have a deficit reduction agenda. Anyway, it looks like not only a bad, but an unnecessary idea. And they dressed it up in crazy clothes to sell it to the gullible masses.
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