As a Council Member of the Progressive Economy Forum I was involved In drafting this letter to the FT, published this morning
OK, not quite, but isn’t that just rubbing shoulders with the high and mighty?
The OBR’s focus is on how the government might pay for the consequences of the coronavirus crisis. We do not think that this is appropriate. That is because this approach is essentially microeconomic, and assumes the government is an entity independent of the economy as a whole. The implication is that the government is an agent too small to influence the direction and level of activity in the economy.
We do not agree with this view. In the macroeconomy the government shapes the direction and size of the economy through its regulations and decisions on spending, taxing and borrowing.
OK, so how about loosen the strictures of regulation so as to increase the size of the economy?
Patrick Allen (Chair),
Ain’t that a set of people you don’t want to be agreeing with? And look at Will Hutton, so important he has to sign twice.