BoJo banished - Liz Truss down. Is Rishi next for the toaster? **threadbans in OP**

Reminds me of this but in super fast forward mode

Low value is good if you are a net exporter, if (like the UK) you import more than you export then things are going to get very expensive.

Oil for instance is bought using the $, Lets say one week you are getting a barrel of oil for $150, because your £ is worth $1.50 then a barrel of oil costs you £100.

When your £ plummets and is now only £1 = $1 then the same amount of oil is going to cost you 50% more or £150. This cost is passed onto consumers, these consumers have less money to spend because as the £ plummets the interest rate rises, this puts costs on everything especially mortgages which means less spending, less spending means less tax taken in which further weakens the £, the weaker the currency the more expensive things get.

Hopefully I have managed to word that right, T'is early and I'm still only half way through my first coffee.

One has to assume that they had a pretty good idea that this market reaction could happen. Maybe they thought it wouldn't, but it must have been raised as a possibility, surely?

Given that assumption, and with the government it might well be a fool's assumption, what must be the thinking behind this? In the middle of a cost of living crisis, they have ignored the poor and middle classes, instead going full-on to help the rich. They have done nothing in terms of putting in place plans for productivity growth, education, and skills training.

Truss yesterday is rumoured to be planning to lift immigration rules to allow foreigners to work in the UK, which they need to do since increased investment should mean more jobs but the UK is pretty close to full employment anyway.

Growth seems to be the plan, that rising waters will lift all boats, but at the same time, they are fighting the unions over pay claims! They want a high-wage economy but are aghast at anyone looking to get a pay rise.

It doesn't make any sense to me.

Maybe Truss or someone close to her has put in big bets on the market crashing in response to her policies

Make a quick buck then get voted out of office

I think they must have had some idea that this might happen but maybe they thought value of the £ would rebound quickly? I don’t know, their perspective is hard to imagine and I don’t really understand economics.

I had a feeling this government would be short lived but the wheels appear be coming off even faster than I had anticipated.

You're making the mistake of thinking that the people making these decisions aren't imbeciles. We (I am British but have been in Ireland for nearly 25 years) have a cabinet whose only talent is "would vote Brexit through no matter what". That is literally the "skill" they were picked for. Rees-Mogg? James "personally destroyed the concept of Nominative Determinism" Cleverly? Are these the intellectual titans to guide us through these turbulent times? They are not, they are dangerously stupid people.

What is the cost of lies?

Like Brexit, it's the self-imposed nature of it that is so confusing. There was no cry for a cut in the top rate of tax. No cry for the increase in bankers' bonuses. They had just announced the energy price cap. Truss' answer to every question about the unfairness etc of it with the pithy "I'm happy to take the unpopular decisions' screamed of arrogance and also she knew this wasn't what people wanted.

But she failed, utterly, to articulate why she was taking it. Growth. That was it. Everything at the altar of growth. They were unfortunate in the timing of the energy price cap announcement that it was largely forgotten about due to the Queen's death, but they have completely obliterated any goodwill from it now as they appear callous and not caring about those that will suffer the most this winter.

What's the proportion of Goods to Services?

Nate

She appointed her own advisors. I honestly think truss main interest is the expense account at her disposal. She has a strong track record of absolute profligacy in this regard

Current, and future. No matter what happens, after she's PM she'll be on various corporate boards and think tanks and raking in money for herself for no work, being too stupid to actually provide value to these organizations. Her children likely won't have to look hard for jobs, either and probably grandchildren. Definitely pulling the brass ring for being an artful liar and prevaricator.

No different than the rest of them, tbf. BoJo might spaff out an article once in awhile to keep his name in the press.

About half and half. Some of the figures look a bit dated though.