From the TUC

A couple of links

27 Jul 2011, by in Web links

US academic Lane Kenworthy gets a lot into this post.  Is there a viable progressive politics that doesn’t hinge on a strong labor movement? (hat tip Chris Dillow)

And Chris Dillow in his own post points out just how cheap it is for the UK government to borrow.  As he says:

The average yield on index-linked gilts with a maturity of over five years is below 0.4%. When borrowing is so cheap, doesn’t it make sense to do more of it?

One Response to A couple of links

  1. StevenL
    Jul 28th 2011, 3:53 am

    The yield on non-index linked bonds is blow the current rate of inflation, free money. And yes, if I could borrow money on those terms I would borrow it, take a risk and buy blue chip stocks.

    What you are suggesting though is that it is a good time for the government to take more risks. Risks that if they go wrong will not really affect the average government minister or mandarin all that much.

    Large scale government borrowing carries a lot of macro-economic risks. When these risks go bad they tend to adversely affect the people unions purport to care most about more than anyone don’t they?