EXPERTS have warned of a looming recession and accused the Bank of England of failing to do enough to boost the flagging economy after it trimmed the base rate by only a quarter percentage point.
Here's the first one:
Julian King, of the National Homebuyers organisation, said the "timid" interest-rate cut was a "cruel snub" to thousands of British homeowners struggling to meet their mortgage payments.
Frank Blin, head of UK Regions at PricewaterhouseCoopers, also warned the Bank needed to do much more.Next:
And Stephen Robertson, the director-general of the British Retail Consortium, said that because changes take months to have an effect, further cuts were "needed sooner rather later to avoid a hard landing"And an economist (sic):
Economics professor David Bell, of Stirling University, said: "The rate cut will bring some benefit to the Scottish economyAnother one:
Iain Duff said the cut would "help maintain positive sentiment and reinforce the housing market, and make sure that the Scottish economy comes in at around trend rate of growth this year". He expected more cuts.And how about this?
Liz Cameron, chief executive of Scottish Chambers of Commerce, said the organisation hoped the cut would boost confidence and investment, and added that it would "come as some comfort" to Scottish firms facing rising transport and energy costs.And finally:
But the British Chambers of Commerce said the cut was "overdue" and called for a cut next month to 4.75 per cent.Let's get this straight. The house price bubble has been caused by money printing. In today's world, that means as a result of the Bank of England keeping interest rates artificially low. That's why the money supply is growing at more than 10% a year and this money has to go somewhere. Lots of it has gone into the housing market. And the "solution" from all of the above is more of the same!
Those who are going to pay for this mess are the prudent, those who haven't lived beyond their means. Their savings will be inflated away to bail out the welfare bums, many of whom are economic illiterates infesting the business world.