For help, advice and discussion about stuff not related to aviation. Play nice: no religion, no politics and no axe grinding please.
#1771437
To my shame I realise I don't actually understand what it means to say that in April the UK borrowed more than it ever has before
https://www.bbc.co.uk/news/business-52766487
So how to I explain what it means to a primary age child?
Who actually has borrowed £61bn in April?
Who did they borrow it from? How can anyone/anywhere afford to lend it?
How will it be paid back, and when?
#1771480
stevelup wrote:I thought they had the lumberjacks hacking away at the magic money tree? That's not borrowing is it?


Essentially it is the Bank of England buying government instruments with money it creates out of thin air, so it's sort of borrowing, but the repayment is to tear up the bonds and make the money disappear :-)
#1771660
When the ‘richest’ nation on earth has a national debt of 24 trillion dollars (look up just how many zeros that is) then you know that the whole debt/public spending debate is and always has been smoke and mirrors.

I hope (in vain) that the public remember that the Govt cut spending on children’s services, disability payments, the NHS and even had people move out of council flats because they had a spare room after their kids had left because the nation ‘couldn’t afford it’.

The cat has always been out of this particular bag but I really think that people just don’t want to believe that our whole economy is based on a confidence game. The reality must horrify them too much so they have allowed themselves to be infantalised by generation after generation of political snake oil salesmen and their supporters.
johnm, lobstaboy, nallen and 2 others liked this