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It mostly covers my work as UNISON Scotland's Head of Policy and Public Affairs although views are my own. For full coverage of UNISON Scotland's policy and campaigns please visit our web site. You can also follow me on Twitter. I hope you find this blog interesting and I would welcome your comments.

Thursday, 21 October 2010

Stiglitz on defict reduction

In light of the CSR I would recommend reading Joseph Stiglitz's comment piece in the Guardian earler this week. Probably the most credible economist in the world saying that the UK economy needs a stimulus, not the deficit reduction slash and burn we got yesterday.

The concluding para of this piece says it all:

"Britain is embarking on a highly risky experiment. More likely than not, it will add one more data point to the well- established result that austerity in the midst of a downturn lowers GDP and increases unemployment, and excessive austerity can have long-lasting effects. If Britain were wealthier, or if the prospects of success were greater, it might be a risk worth taking. But it is a gamble with almost no potential upside. Austerity is a gamble which Britain can ill afford."

The Nobel prize winning economist has agreed to join the Scottish Government's Council of Economic Advisors. He is a massive improvement on the current Chair of that group Sir George Mathewson, arguably one of the authors of the banking collapse, and certainly a man with little credibility left.

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