DaveBrigg
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Flyfisher said:But these people are being paid out of public funds so how can they really support businesses? it's illusory... It's the private sector that creates the wealth needed to pay for the public sector. Government doesn't have any money, it uses taxpayers money... It's in everyone's interest to have a vibrant, successful and growing private sector doing stuff that actually makes money instead of just spending and/or redistributing it.
You'll be glad to hear that in April British manufacturing grew at its fastest rate since the mid 90's. But the assessment above is wrong on several points.
I get paid out of public funds. If Cameron gets his way, at best we'll be over £1 000 a year worse off, at worst I'll be unemployed. We've already started to look for savings:
1. Stop getting the car serviced. That's £200 a year less for the garage in the next village, run by one man and his son.
2. Cancel swimming lessons. £150 saved, but the local leisure centre has already cut back on classes as numbers have fallen.
3. Stop using a window cleaner. He is a one man business, and will lose £60 a year (he only comes here 4 times a year)
4. Fewer visits to the farm park and meals at the pub, both family businesses that rely on local support. The loss of just my business is unlikely to tip them over the edge, but if many others follow suit, some of these businesses will close. That's more unemployed, and the vicious circle continues. Being told that the loss of income is 'illusory' is unlikely to bring them much comfort.
Aside from manufacturing and agriculture, how does the private sector create wealth? It just takes money and redistributes it. The man who rendered our house worked in the private sector, but he had no 'money' of his own. He took mine at the end of the job and redistributed it. He didn't create any more money than existed before, it just moved from one bank account to another. If I buy a loaf of bread, the shop has not created wealth. It has just taken my money, kept some, and redistributed the rest to its supplier. We all pay taxes, so eventually most of it filters back to the government, ready to be redistributed again. If I change jobs and work in private education, I am no more creating wealth than if I work for the state. More money changes hands, but at the end of the day no new money has been created.
Savage cuts? oh, sorry, they are being tried at the moment in Greece and Ireland. Irish unemployment has now reached 12.6% and they are still in recession. They are in worse debt, and their economy is still not growing.Flyfisher said:spend and get the economy growing again - oh, sorry, it's been tried and we've run out of money funding it because we can't afford it!