"Grim warnings of Britain's worst recession since the Second World War... ...outpit will fall by 2.8 per cent.The IMF says GDP will shrink in the US by 1.6 per cent, France by 1.9 per cent, Germany by 2.5 per cent and Japan by 2.6 per cent.But it is the IMF forecast for 2010 that will worry the Government the most. It reckons that the UK growth will come in at a dismal 0.2 per cent for the year..." (Benedict Brogan, Daily Mail, 29 January 2009)"So why 2009 and not 2008? Well, the big guys may not like this but it seems that the impact on the world is not what is felt by big business or by governments. The Barbault Scale seems to register the zodiacs effect on the masses – the little people – and while the credit crunch has begun in 2008, we the little people will start paying the price nearer to 2009 and beyond." (Shane Ward 'The Barbault Scale' 17 September 2008).
I don't know about other Goverments but what I was saying back in September 2008 (and earlier than that but not still in public domain) is now finally being admitted. What was being called an 'economic downturn' in 2008, a 'credit crunch' and other fancy names no doubt, is now recognised not only as a recession but a deep recession. It is estimated that the UK may stil be paying for it by 2030. According to the Barbault Scale it is more likely to be 2024 give or take one year. And it is possible that worse than we have experienced to date is yet to come.
It is interesting to note that the Chinese have commented on the dangers of unregulated capitalism in the finance and banking sector. I believe it is fair to say that the world no longer has a firm economic foundation and things must change to stop the pursuit of ever greater profits at the expense of global financial stability.
And why shouldn't those who created this problem pay for it? It would be easy to spot the culprits; they are the ones who gambled on hading out ever higher loans to those who couldn't afford it and those who packaged and sold toxic debts when they started to realise what could happen if they held onto them all. Individuals have gone to prison for less.
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