- Sep 4, 2006
- 2008 A150 SE Classic, 2007 Saab 9-3 Sportwagon
Nope, not old enough for that....the country managed to inflate it's way out of that one though...the same trick won't work this time.I don't mean the house price bubble in 1988, I mean the deep recession from 1980 to 1986. It was bad, people really were living in Cardboard City.
I'm not wholly sure what's going to happen this time around, the banks have made an unprecedented mess of themselves...that's a bit of an oddity and is effecting ever single walk of life, not just manufacturing.
That's why I'm so pessimistic, the fundamental basis of capitalism is banking, and they are still in a an unholy mess, until that is shaken down then nothing much is going to get better.
Great Britain PLC operated on borrowed money, secured and unsecured. With no lending there's no spending....it's a chicken and egg situation which is now completely based on sentiment.....
We will simply have to wait until people and banks "Feel" better about the economy...on average this means we wait for the next generation of kids to grow into 20 somethings who all have no comprehension of what happened this time around as "It's different now"......add to that the number of people that have short memories and we ride the wave of bubble economy again.
We've got a year or two of hurt minimum...8-10 years of flat growth or stagnation, then off we go again.....