so uk is not going to join the euro?

[wu_trax]

deflation and negative is what is going to happen right now. lower interest rates wont help much to avoid it. atm lower interest rates would have close to no effect (because everyone has negative expectations about the future), thats why it makes no sence to do it now, the ecb will just wait a little longer (other than that on average inflation is still above the target of 2%).

if you want to fight deflation the natural reaction would be to lower the interest rates and to skip the stability and growth pact, so that the single states can waste lots of money.

[Chrism]

We won't have referendum yet (or a referendum at all on this Constitution crap) for one simple reason: they'd lose and no one in their right mind calls a referendum with a virtual certaintly of losing it.

[pablissimo]

Senor Brown's been surprisingly shrewd about the handling of this whole issue. He doesn't want to repeat the mistakes made in the 80's and 90's with the ERM, but has the unfortunate problem that having left it late to enter we've now got to wait to get in synch with the other Eurozone economies, something that could take a fair while on the basis that action is taken to steer the UK economy towards Euroland compliance (which wouldn't be a politically wise decision to make, especially with elections between now and what could be reasonably expected to be entrance to the Euro).

Case in point: the Republic of Ireland who were, still are, feeling the strain of centrally determined monetary decisions not being suitable for desynchronised member states.

It's the reason I predict the Tories won't be getting in to Gov't in the next term; they're publically putting pressure on a decision to be made when even most of the public realise that it's just not that simple.

[pablissimo]

Originally posted by wu_trax
atm lower interest rates would have close to no effect (because everyone has negative expectations about the future), thats why it makes no sence to do it now, the ecb will just wait a little longer (other than that on average inflation is still above the target of 2%).

Listen to this man. And see this for historical suggestions along those lines; interest rate cuts work only assuming consumer confidence in the economic mid-term and industry confidence in the longer term, neither of which exist, with things such as the supposed end of the housing boom being suggestive of it at least in this country.

[Marilyn Manson]

Originally posted by pablissimo
It's the reason I predict the Tories won't be getting in to Gov't in the next term;

heh. It's likely going to be in two elections time before they stand a chance of getting in at the absolute minimum. Personally, I'm looking at three or four elections.

[pablissimo]

Originally posted by Marilyn Manson
heh. It's likely going to be in two elections time before they stand a chance of getting in at the absolute minimum. Personally, I'm looking at three or four elections.

It can only be a good thing.

Would you want IDS running your country? I'd rather have Dubya.

[Marilyn Manson]

Originally posted by pablissimo
Would you want IDS running your country? I'd rather have Dubya.

They should ditch him and install Letwin ASAP. He's the only person who is of any ability, moderation and sense in the shadow cabinet, and incidentally the only reasonably moderate person who will stand a chance of being voted in by the party. Oh, and he won't horribly divide it like Clarke would if he got in.

Oh yes, and he has a personality. Whilst a lot of the shadow cabinet don't.

[pablissimo]

Originally posted by Marilyn Manson
They should ditch him and install Letwin ASAP. He's the only person who is of any ability, moderation and sense in the shadow cabinet, and incidentally the only reasonably moderate person who will stand a chance of being voted in by the party. Oh, and he won't horribly divide it like Clarke would if he got in.

Heh, Ken Clarke.

He's got this look of evil about him. That smile. Yep. Definitely the smile.