Quote Originally Posted by Wheeze View Post
Spot on summary as I understand it CL. Frankly, I think we would have ended up here whatever government was in power. Its evolution of economic theory. Sometimes, the theory turns out bad. Hopefully, the economists will have learnt a thing or two. My hope is that our 'nation of shopkeepers' is not harmed by all this.
Wheeze if the pound was tied legally to a certain amount of gold which the government was forbidden to interfere with, then they couldn't borrow money.

They could still tax us, but as income tax is reduced during difficult times the government would be forced through necessity to lower taxes I.e. cut the funding for the welfare state.

What's happening today didn't have to happen, but it did in relation to the type of government and opposition parties we have in this country.