As has been noted here before, the world is witnessing an experiment of sorts in economics. In the
United States fiscal
policy has been expansionary with a target of job creation, while in Britain the
policy has been austerity, with a target of reducing deficits. Wonder which country has the better
George Osborne on Tuesday ordered ministers to come up with £2.5bn of extra spending cuts, as he scrambled for money in what is expected to be one of the bleakest British Budgets in years.
Faced with stagnant growth, disintegrating debt targets and dismal opinion poll ratings, the chancellor will on Wednesday attempt to put himself on the side of “people who want to work hard and get on”.
But not to worry Conservatives, things like empirical results are not relevant to your policies anyway, are they.