Italian and German Governments Cautious on Fiscal Stimulus

Labour’s spin line repeated incessantly is that the Tories are a “do nothing” party, Mandelson’s genius with a soundbite for the frontbench to chant shows. Leaving aside whether it is better to do nothing than do the expensive wrong thing, is it really true that the rest of the world is going down the path of massive fiscal stimulus?

Labour’s benches laughed arrogantly when the Tories retorted that little Ireland and Latvia were taking a Cameroon path. However, bigger European right-of-centre governments in Germany and Italy are not, contrary to Gordon’s claims, embarking on massive fiscal stimulus programmes. Poul Nyrup Rasmussen, the Danish Socialist party leader in the European parliament is complaining that “Angela Merkel and other conservative leaders such as Berlusconi may well water down the plan and refuse to make the necessary national investments…”. The “plan” is the European Commission’s €200 billion fiscal splurge proposal. Another top down taxpayer funded folly.

Gordon, in full on Global Saviour delusional mode at PMQs yesterday, claimed that everyone backs fiscal stimulus except the British Tories. If you don’t read the foreign news you might believe him. The fact is that across the world left of centre politicians back that approach, right of centre politicians are more sceptical. The need to be seen to “do something” means that right of centre governments are doing token symbolic gestures. Mandelson knows that philosophically the conservatives are wary and is capitalising on this with the “do nothing” soundbite.

Confidence won’t return until the property market bottoms out first, corporate balance sheets are recapitalised and personal indebtness reduced. Governments can do nothing to force those things to happen. Politicians just can’t accept their impotence.




Tip offs: 0709 284 0531
team@Order-order.com

Quote of the Day

Corbynista media cheerleader Aaron Bastani says his friend Clive Lewis’s “b*tch” comment was:

“beneath any parliamentarian”

Sponsors

Guidogram: Sign up

Subscribe to the most succinct 7 days a week daily email read by thousands of Westminster insiders.
Lewis: “I Apologise Unreservedly” Lewis: “I Apologise Unreservedly”
Clive Lewis: “Get On Your Knees B****” Clive Lewis: “Get On Your Knees B****”
Heads Up: Parliament Tells MPs It’s Too Windy To Inspect Falling Masonry Heads Up: Parliament Tells MPs It’s Too Windy To Inspect Falling Masonry
Corbyn Stands By Disgraced Lavery Corbyn Stands By Disgraced Lavery
Mandelson Lies About Single Market Mandelson Lies About Single Market
Merkel: “Absolutely No Doubt” There Will Be A Deal Merkel: “Absolutely No Doubt” There Will Be A Deal
Sweden Drawing Up Brexit Trade Plans Sweden Drawing Up Brexit Trade Plans
Car Windscreen Smashed Inside Parliament Car Windscreen Smashed Inside Parliament
Russia Today Presenter Fibs With First Word on #BBCDP Russia Today Presenter Fibs With First Word on #BBCDP
Shameless Poetry Shameless Poetry
John Healey: Then and Now John Healey: Then and Now
Linesman MP Has Attended 96% of Votes, Better Record Than SNP MPs Linesman MP Has Attended 96% of Votes, Better Record Than SNP MPs
On The Red Carpet Last Night On The Red Carpet Last Night
Red Sky at Night, Jez’s Delight Red Sky at Night, Jez’s Delight
Arms Folded in Unity Arms Folded in Unity
Cliffe Quits Radicals After 12 Hours Cliffe Quits Radicals After 12 Hours
Davis: Brake Leaked His Own Letter Davis: Brake Leaked His Own Letter
Brake Misleads Bercow About Guido Story Brake Misleads Bercow About Guido Story
Labour Charge Electric Campaign Vehicle in Parliament Labour Charge Electric Campaign Vehicle in Parliament
Mr Rayner’s Alternative to Badger Cull Mr Rayner’s Alternative to Badger Cull