Eddie Hobbs interprets the latest ESRI forecast in his latest blog entry, he says
1. Unemployment is being privatised – 1 in 5 workers in the private sector will be unemployed next year
2. The government is finished
3. By next year the state may be unable to pay public sector salariesBased on the ESRI forecast it is now the case that we may not be able to afford public sector pay cheques at all next year.
The math is that simple. How can we pay unemployment benefits to nearly a half a million private sector workers and finance our national debt but leave the public sector pay and pensions bill unadjusted at 20 billion, thats 60% of all our tax revenues. Dont they get it?
No bio, some books worth reading – The Rational Optimist: How Prosperity Evolves – Matt Ridley .
Crisis Economics: A Crash Course in the Future of Finance -Nouriel Roubini, Stephen Mihm