'Austerity' is killing economies when they are already in a weakened state!
Why aren't Obama & more democrats highlighting these facts?
Cameron Evokes Black Wednesday as Pound Weakens 7%: U.K. Credit
By Gonzalo Vina & Lucy Meakin - Mar 20, 2013 7:40 AM ET
The pound is bearing the brunt of a loss of confidence in the economic policies of U.K. Prime Minister David Cameron.
Sterling has weakened more than 7 percent against the dollar this year. In the week through Sept. 16, 1992, when investor George Soros earned $1 billion by helping to force the pound out of the exchange-rate system that preceded the euro, sterling dropped by 9.5 percent. Black Wednesday, as the day became known, damaged the Conservatives’ reputation for economic competence. Economists and investors say a similar judgment faces the present Tory-led government unless it gets the economy moving. Gilts are among the world’s worst performers this year.
Chancellor of the Exchequer George Osborne delivers his annual budget to Parliament at 12:30 p.m. today amid calls from the opposition Labour Party and even his own Cabinet colleagues to spur an economy at risk of falling into a third recession in five years.
Britain has recovered only half of the output lost in 2008-2009, and the country forfeited its top credit rating at Moody’s Investors Service on Feb. 22. Output in the U.S. is back above its pre-recession peak and the recovery is gaining pace.
“The chancellor’s policy is bankrupt -- he is going to have to face that,”
Robert Skidelsky, a member of the upper chamber of Parliament without party affiliation and biographer of John Maynard Keynes, said in a phone interview on March 14. “The economy is not growing, the pound will go on slipping and we will lose further credit ratings.”
more:
http://www.bloomberg.com/news/2013-03-20/cameron-s-weakening-pound-shows-austerity-doubts-u-k-credit.html
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