Reality check: we cannot consume our way to balanced recovery

Rejoice. Like the economy, the UK public finances are at last moving in the right direction. October is an important month for corporation tax inflows, and most of the anecdotal evidence is that with an improving economy, they are picking up nicely. Add in expected increases in taxes from the housing market – and with […]

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Reports of the survival of the eurozone may have been greatly exaggerated

Just when you thought it was safe to go back into the water… Last week’s surprise interest rate cut by the European Central Bank(ECB) may have been taken as good news by the markets, but it was largely a response to the looming danger of deflation in the eurozone. And that is not good news at […]

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Factional conflicts have the power to destroy empires – and republics

“The US Founding Fathers abhorred factions. The 10th Federalist Paper by James Madison in 1787 is a study of how to defend the fledgeling republic against the dangers of organised zealotry, the curse that blighted earlier republics in world history.”   Continue reading on telegraph.co.uk

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Triple shocks threaten Europe's sickly and deformed recovery

“The complacency of those dictating Euroland’s policies – though not its victims – is breathtaking. “Europe, it seems, has become anaesthetised to bad news,” says Simon Tilford from the Centre for European Reform. Tentative signs of life after six quarters of contraction are deemed a vindication of shock therapy, even as the underlying crisis gets […]

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So you think Europe's debt crisis is finally over? Time to think again

“One of the factors underpinning renewed confidence in the UK economy is the belief that the crisis in Europe is now essentially over. The immediate threat of banking and fiscal meltdown in the southern periphery has receded, and after one of the longest recessions on record – six successive quarters of economic contraction – there […]

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