Sunday , October 21 2018
Home / Economy (page 16)

Economy

UK tech renaissance or DotCom 2.0?

Tech Bubble

The UK tech firms are driving economic growth according to Chris Papadopoullos at City AM: “The so-called flat white economy of media, internet and creative businesses is now the second largest business sector in the UK. It accounts for 8.7 per cent of GDP.” The tech sector has overtaken retail …

Read More »

Is a Chinese banking crash imminent?

Chinese currency

Chinese central bank governor Zhou Xiaochuan has raised concerns about the high level of private debt to GDP.  Chinese corporate debt is around 160 percent of GDP while private debt as a whole is around 230 percent; leaving Chinese banks at considerable risk from defaults. The Bank for International Settlements …

Read More »

Reality hits back

Donald Trump

In the wake of the 2008 crash, we developed a form of schizophrenia.  We began talking about two economies: the “real economy” – the manufacturing and trade of goods and services that we mere mortals engage in – and the “monetary economy” – the daily exchange of computerised electronic numbers …

Read More »

UK Budget: how ‘peak oil’ plays out in practice

Buried beneath George Osborne’s cuts to disability benefits and his damascene conversion to a sugar tax was a measure that should alarm us all.  Osborne has made the tacit admission that energy is more important than the public finances. Between 1979 and 1999, Britain had been self-sufficient in fossil carbon.  …

Read More »

Does Britain have a savings crisis or a credit crisis?

Savings

It will not be a climate crisis or an energy crunch that will mark the start of our collapse.  Credit will be the first casualty of our predicament Claiming that Britain has a “savings crisis” is a bit like saying that someone infected with the Ebola virus has a fever.  …

Read More »

European banks still too big to fail

European Central Bank

MEPs from the European United Left/Nordic Green Left European Parliamentary Group have criticised the first annual report of the Banking Union for failing to deal with the structural problems plaguing European banks.  GUE/NGL Co-Shadow Rapporteur on the report, Rina Ronja Kari, explained: “When the big banks were saved during the …

Read More »

Is banking about to go supernova?

Supernova

“Why would someone lend money to a borrower with the certainty of getting less money back at a future date?” That’s the question posed by Bill Gross from Janus Capital group in his March newsletter to investors.  Comparing the contemporary state of the banking industry to the state of the …

Read More »

The flaw in Britain’s dash for gas

fracking rigs

When they were elected with a small majority in May 2015, Tory ministers salivated at the prospect of generating a hydraulic fracturing (fracking) boom similar to the one in the USA.  It was meant to be a win-win.  The Bullingdon Boys and their chums in The City could get rich …

Read More »