From the TUC

Web links for 10th July 2009

10 Jul 2009, by in Web links

  • David Lipsey on the British North America Committee report on public sector pensions that claims the cost of public sector pensions is 85 per cent of GDP: "It is a statistical howler that would make an “O” level student blush to compare this with the figure for GDP for a single year. To make matters worse, we can safely expect GDP to increase over the years to come (if it does not neither will pensions, reducing the actual liability). So the proportion of present GDP represented by the liabilities is even less relevant. What matters if anything is the proportion of future GDP that they represent.

One Response to Web links for 10th July 2009

  1. Matt Dykes

    Matt Dykes
    Jul 15th 2009, 4:42 pm

    I notice this hasn’t stopped The Economist regurgitating this nonsense in its dubious article “Dodging the bill” (Economist July 11th – 17th).

    “In Britain the liability adds up to 8%% of GDP” it boldly claims.

    The tag line on the article “It is time to recognise the full costs of public sector pension schemes to the rest of us” gives you a flavour of the level of debate taking place on their op ed pages.