The story of Edanomics

If only this was a fairy tale, in truth it's a horror story.

Back in 1997 when the "New Labour" boys go the keys to the treasury they took one look around and said we have won the lottery!

Conservatives were mired in so much sleaze there was no way back for at least 2 sessions so there was 8-10 years of making hay time. So they took one look at the ever increasing tax revenues and decided to go for Gordons socialist agenda, Tony was more interested in feathering his nest for the lecture tours when he left No10, so Tony went off making friends in high places leaving Gordon and Ed in charge of the UK PLC credit card, because even back then the UK did not have any cash, just our word we would pay it back "sometime"

Everything was rosy. Light hand on the tiller, start to use the credit card, with the caveat of "Balance the budget over the fiscal period" When things started to look a little tight one month they came up with the old accountants trick of "off balance book funding" or the dreaded Public Private Partnership. Where the private sector builds a hospital and rents it back to the Public Sector at a profit of course. So they had managed to finance the Ferrari on the credit card and call it monthly instalments. Nice!

Now cast your mind back to the days of the 1.70 euro days, remember them? The money boys do not like to lose money so they looked at UK PLC and said, the money you are borrowing has to be paid back "sometime", so they started to sell £'s so pushing the pound lower. Did this increase exports? Er no! Take note Mr Osbourne, you need a manufacturing base to do that! So the money boys decided the Euro zone was a better bet than UK PLC, yes its true, the Euro zone was a better bet than UK PLC.

But the boys in the treasury were not worried, for Gordon had proclaimed he had abolished "Boom and Bust" so they continued their merry little spending spree, bribing voters with shiny projects, remember Gordons favourite "x billions to this scheme, x billions to that scheme" the same money mind, with Ed grinning like a young Prescott behind him.

So 2008 and Tony has seen the writing on the wall and bails out, leaving Gordon his dream job of PM. Then the world realises what normal people have known all along "sometime" is now and meltdown happens. With Gordon & Ed in charge the £ against the Euro crashes to almost parity, 70% down from its peak! So realising  they are beaten they leave a smoking gun cleverly disguised in the small print of Treasury documents of projects that they had announced with no means to fund it.

Fast forward to 2011, Ed has re invented himself and professes to Keynesian Economics. This basically states in years where tax take is high government spending is reduced, ready to borrow when times get tough. So we are OK to keep spanking the credit card in Eds eyes. In Eds time in the Treasury they spent £350 billion more than what they got in. That was not in a recession where spending is deemed necessary in Keynesian Economics but in the boom years. So when the bust came, we had a maxed out credit card, payments on the Ferraris still coming in and we have some serious decisions to make.

So the next time Ed says he knows anything about the economy ask him this, "as an advocate of Keynesian Economics which years were the highest tax takes and by how much did you reduce sovereign debt?"

If I were a Tory MP I would love to keep Ed at the treasury, he is an incompetent buffoon as proven by his already shameful economic record.

Thanks for reading, remember we are all in this together and Gordon? He agrees with Nick!