Thursday, 26 July 2012

Heads You Win, Tails You Lose


With news that the UK recession has deepened, it's ironic that the government's spending spree on the 2012 Olympics is about to draw to a close.

This does little for the argument that government spending on infrastructure would help bring about an end to the recession.

There again, it could be argued that the drop in Olympic infrastructure expenditure has brought about the deepening of the recession, which bolsters the argument but demonstrates that such spending has to be sustained for the long term, which is simply mortgaging the future.


3 comments:

  1. It will not matter in 148 days and 33 mins.. the world is going to end.. didn't anyone tell you

    ReplyDelete
  2. But there is a good historical track record for infrastructure investment and public works reviving economies. John Maynard Keynes is alive and well and lives in Milton Keynes, the Hoover Damn, the main road just up from our house ...

    ReplyDelete
    Replies
    1. But is your road any the better for it, or are they still digging up every week?

      Delete