donderdag 24 november 2011

Ed Miliband believes that cuts plan has locked the UK into vicious cycle
The Prime Minister David Cameron and the Labor Party do not have the same ideas about the economical plans. Mr Miliband believes that the government was wrong to blame the euro zone crisis for slow growth but the scale of shrinking domestic demand was the reason. According to Mr Miliband the economical plans of the government will lead to a deficit while Mr Cameron asks how it is possible that the answer to the debt problem is more spending and more borrowing! Mr Miliband says that inflation is above 4% and unemployment has been growing since March 2011 so the promises of the government have come to nothing.
My comment: It seems in some aspects the government’s plans did not work because of the increasing unemployment and the growing inflation and on the other hand it is also not wise to borrow more if you are worried about the debts. Some people reacted to this policy of Labor- and I am also for this opinion- that they are right if they want to borrow for the essentials and then think about the debts.

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