Economics

By Prof Mary Mellor The justification for austerity is that the public sector must live within its means. There is a plausibility in the claim that the state is like a household that should not spend more than it earns. This kind of ‘handbag economics’ draws its analogy from a mythical household. Real households do not live within their means. If they did the economy would grind to a halt. Modern prosperity is built upon debt and the main aim...

By Joe Mellor, Deputy Editor Tory Minister Anna Soubry made a shock admission as pressure grows to save the port Talbot steel plant. Business minister Soubry says 'temporary ownership' of Tata steel's assets could be an option. This comes as the company made the shock decision to put up for sale the loss making arms of its UK operation. The Tory minister said there is "huge sympathy" for the steel giant, but also added it is losing £1m a day....

By Joe Mellor, Deputy Editor This is an animated interview with IMF whistleblower John Perkins, author of "Hoodwinked" and "Confessions of an Economic Hitman." This short film manages to squeeze in a lot of information into a couple of minutes. Have a watch and see if you agree with his theory. Watch Video Here

By Joe Mellor, Deputy Editor The global stock markets have had a tough time of late and the largest corporations in the world dwarf some countries stock market valuation. For example Google and Amazon have a combined worth of $747bn, Netflix is $40bn and McDonald’s is around $109bn. These figures are pretty hard to get your head around, so Bank of America Merrill Lynch has created a map to help illustrate the size of these companies compared to stock markets...

By Joe Mellor, Deputy Editor A recent report for PWC (PricewaterhouseCoopers) for the CBI claims that the economy faces serious damage if the UK opts for Brexit. If the UK moved out of the EU it would shock the UK economy, which could see up to 950,000 job losses and make the average household £3,700 worse of by 2020, the report warns. The analysis by PWC also said Leaving the EU could cost the UK economy £100bn (equivalent of 5%...

By Joe Mellor, Deputy Editor A Tory wheelchair user, who has voted Conservative for 40 years, handed in his membership in protest after yesterday’s budget. He claimed the party is “destroying lives.” Graeme Ellis even went so far as to sabotage his own party’s website, in disgust at Osborne’s cruel budget and the damage it will do to disabled people. Ellis a disability campaigner took the entire website of the Conservative disability group with him, in its place he left...

By Joe Mellor, Deputy Editor Conservative MPs voted to slash nearly £1billion from tax credits, even though the Chancellor swore he wouldn’t cut the benefit; that helps millions of hardworking families across the UK. A little-known catch will hit hundreds of thousands of people and was approved in a very brief vote and with no debate. It was a massive U-turn over his attempts to slash tax credits for over 3 million families by £1,300 in a year, however he...

By Joe Mellor, Deputy Editor The number of UK workers on zero-hour contracts is now at 801,000 up 104,000 in only a year. The Labour party tried to outlaw these types of employment deals, but instead they have increased sharply. It could be seen as a blow to job recovery, as verging on a million people are on contracts that don’t necessarily guarantee even one hour’s work in any given week, and can have hours taken away or added at...

By Joe Mellor, Deputy Editor A report says cutting huge salaries would not hurt the economy as analysis reveals top CEOs earn on average £4.6m per annum. The groundbreaking study by top headhunters has shown that Britain’s chief executives are grossly overpaid, and there would be little impact on the economy if their salaries were cut, which disproves the fear of a “brain drain,” if pay were to be slashed. The report by the London School of Economics report bring...