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Lawson was obviously and clearly correct too

Lawson set out his beliefs in his Mais lecture of 1984. In a speech that turned the postwar economic consensus on its head, Margaret Thatcher’s second chancellor said that traditionally macroeconomic policy (the big picture stuff involving interest rates and tax) had been designed to deliver growth and full employment, while micro-economic policy (the nitty-gritty stuff such as regulation and price controls) had been used to keep inflation in check.

He argued the reverse should be the case: the job of macroeconomic policy was to keep inflation in check while micro-economic policy should be used to boost growth and employment.

Sort out the basic rules about markets and incentives and just make sure the big picture doesn’t go too far off the rails. Job done.

6 thoughts on “Lawson was obviously and clearly correct too”

  1. I thought it was amazing that the Graun noticed that Lawson might be worth an obit, then when I followed the link I saw they equated him with the one eyed porridge wog. Like writing an article reminding us all that a Ming vase can also be used as a sophisticated crapper for storage purposes.

  2. Macro economics (keeping inflation in check) has been devolved to the bank of England. (And what a great job they’re doing.)
    Micro economics is about windmills and taskforces and eating out to help out. (and what a job…)
    Is it time to abolish the treasury? Maybe a “tax at the point of use” for any interaction with government?

  3. Spud couldn’t stop himself and put out a sour tweet on the day Lawson’s death was announced.

  4. I’ll open a good bottle of champagne for the one eyed Jock. Be even worth the flight to piss on his grave.
    Blair I wish a long, lingering & painful one. So I’ll regret his passing.

  5. Rhodda @ 9.21. One of the very few.
    Christopher Chope, Philip Davies, Peter Lilley, Andrew Tyrie, and Ann Widdecombe – out of 650, the only MP’s who voted against the 2008 Climate Change Act. The rest are all in on the grift.

    And didn’t Lawson have a policy of scrapping a tax every Budget Day?
    If so, he would never fit in todays’ conservative party.

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