Yahoo Answers is shutting down on May 4th, 2021 (Eastern Time) and beginning April 20th, 2021 (Eastern Time) the Yahoo Answers website will be in read-only mode. There will be no changes to other Yahoo properties or services, or your Yahoo account. You can find more information about the Yahoo Answers shutdown and how to download your data on this help page.

With the highest unemployment since the recession of 1983 under Thatcher, is it a good idea to make more cuts?

Won't public sector cuts merely make things worse - they will reduce tax revenue coming in, add to the money claimed by the unemployed and reduce people's spending power, as well as cutting vital services?

Is the government's approach completely wrong? Should Labour councils refuse to cut services and launch a campaign to force the government to back down (as Liverpool did from 1983-87 and Poplar in the 1920s)?

If this is not done, the alternative is a deeper recession, isn't it?

Update:

"Huge savings in salaries" will offset any increase in benefits - you are forgetting the other part of the equation, which is the reduction in people's purchasing power. If we cannot afford to buy anything, then companies will go to the wall and the economy will suffer. Private sector jobs which supply the public sector, will also be at risk. See below, for example:

http://www.newstatesman.com/blogs/the-staggers/201...

Update 2:

If Labour councils WERE proposing Keynesian economics, that would be good - the problem is that they aren't - they are just passing on the Tory cuts. I think the Labour party is just as complicit. they have even expelled a councillor in Barking for refusing to support their budgetary constraints.

Update 3:

Actually, I'm not proposing Keynesianism - I'm proposing socialism - but even Keynesianism would be better than making hundreds of thousands of people redundant. However, Labour are not putting up any fight. We urgently need a party for ordinary people, like the United Left Alliance in Ireland.

Update 4:

Well said Celia and Raving Ricky - at least some people are seeing through the Tory lies!

7 Answers

Relevance
  • 9 years ago
    Favorite Answer

    If there were still a real Labour Party, this is most certainly what they should do - resist. Unfortunately, the Labour Party has been hijacked by Tory entryists. Pink Ed, for example, would betray any such council the way he betrayed the London firefighters and is still betraying every low paid public service worker.

    The Trade Union movement should now withdraw all support from these Tory traitors, and issue a rallying call to all socialists and social democrats to join a united front for justice, democracy and the redistribution of the quality of life. The Newscorp Labor PLC rump would suddenly find themselves a party of chiefs with Oxford PPE firsts, but with no Indians to do the essential work. And all the lost core support would rally to the Real Labour Party and set out to restore the decent, caring state and society that Attlee and Bevan built, and consign the criminals and sadists of the Thatcher and Blair years to history, and hopefully, to porridge and mailbags - but in renationalised jails.

    A propos of cuts, though. The only useful cuts now would be immediate evacuation of British troops from Afghanistan, cancellation of the replacement for Trident, and, of course, the sort of cuts that might be made with a guillotine in Parliament Square!

  • 9 years ago

    As you may well agree the idea of 'making things worse' involves the question of who you are making things worse for. If the people who are really in charge benefit that would explain the action, making things worse for the general population, and this is a bad thing, involves assuming that the general population controls things. They do not. Noam Chomsky repeatedly makes the point that economic crises are manufactured and a large part of the reason for doing so is that in the aftermath you can say: 'It's the last thing we want to do but we must now impose austerity measures.' It is difficult to win elections by saying 'we will kick you in the balls' so you legitimize the kicking in this way.

    Not the only, but the biggest thing that the people who run things depend on is fractional reserve banking. PLEASE look at this forty seven minuit cartoon if you have not already done so:

  • Anonymous
    9 years ago

    Yes, let Labour councils refuse, drag the country down further, as they always do.

    You want Keynesian economics, where the government employ people just to keep them off the dole, instead of making real jobs.

    Labour always goes for the employ the unemployed approach, but where does the money come from? Easy, print more.

  • DATA
    Lv 5
    9 years ago

    TORY Governments LOVE high unemployment as it keeps all the "little people" exactly where they want to keep them. At the very bottom of the pile, so that they can tread all over them & use them as an excuse for all the country's problems. Thats what the tory government does for unemployment - it WORKS for them!!! Them & their rich cronies are totally unaffected by it all!

  • How do you think about the answers? You can sign in to vote the answer.
  • ?
    Lv 4
    4 years ago

    His assertion of dropping fewer jobs than the previous month is sensible. he's in simple terms declaring a reasonable progression. in case you assume the job losses to circulate from over 216,000 to 0 in a million month.. you are the lunatic. in simple terms placed, the job losses are Bush's fault and Obama is reversing the top result slowly. You (Republican's) are in simple terms blaming the present president for the former president's blunders. The president is a Democrat. he stands out as the nest 7½ years. undergo in innovations that the president is a DEMOCRAT because of the fact a REPUBLICAN (Bush) screwed the excellent united states of america up and no-one grew to become into stupid sufficient to vote a republican in for yet another time era. so some distance, he has carried out greater useful than Bush, there isn't any denying that... end staring at FOX (republican) information and initiate staring at CNN.. they tell the two aspects of the tale. the FOX information newshounds constantly get bashed for being bias and making **** up.. google it.. greater useful yet, circulate on Youtube and watch how republicans constantly say an identical crap and get torn aside by the actuality democrats say. close up and stay with the guy that most of the country voted for because of the fact the guy YOU voted for the final time around EFFED UP! word: As for Regan getting carters mess ups... LMAO are you extreme? Do you artwork for FOX information? initiate residing in the authentic international chum... Regan grew to become into impeached. Bush could have been in his sidekick (Cheney) wouldnt have been the only to take over.. hes nutz. Sorry yet background has proved time and time back... Republicans F*uck up the country and democrats could restoration it. thats why Clinton grew to become into the final president in contemporary reminiscence.. he grew to become right into a DEMOCRAT!

  • Anonymous
    9 years ago

    So there won't be any savings in salaries then? The majority will find employment in the private sector and have to work harder for less money. Huge savings in salaries will exceed any state benefits. Simple sums.

  • ?
    Lv 7
    9 years ago

    The alternative is to just borrow even more money to pay civil servants to push pencils round a table all day

Still have questions? Get your answers by asking now.