Investment & Business News Headlines

Analysis of OBR report: A household debt crisis or corporate savings crisis?

Your average employee will not see their real wage return to the pre-recession level until the last few weeks of 2015, or so the latest data from the Office for Budget Responsibility (OBR) suggests. But actually, to understand the true picture you need to rewind the clock back to the millennium, and then the image that is revealed tells a story of corporate savings creating a debt crisis.

Since 2000, and maybe even before that, household income as a share of GDP has been falling, or so said the...Read More

India’s growth in GDP closes in on China

The latest data on Indian GDP were out this morning: and it appears the economy of the subcontinent is closing in on China as the fastest growing large economy in the world.

According to data out this morning, India’s GDP expanded by 8.9 per cent year on year in...Read More

Posted Nov 30, 2010

India’s growth in GDP closes in on China

The latest data on Indian GDP were out this morning: and it appears the economy of the subcontinent is closing in on China as the fastest growing large economy in the world.

According to data out this morning, India’s GDP expanded by 8.9 per cent year on year in...Read More

Posted Nov 30, 2010

Analysis of OBR report: A household debt crisis or corporate savings crisis?

Your average employee will not see their real wage return to the pre-recession level until the last few weeks of 2015, or so the latest data from the Office for Budget Responsibility (OBR) suggests. But actually, to understand the true picture you need to rewind the clock back to...Read More

Posted Nov 30, 2010

Ireland's loan: the great bailout, or a great debt swindle?

It’s a tad confusing as to why the $113bn loan to Ireland is seen as such a bold step. The Irish government has forking out 5.8 per cent interest. According to our maths, that means the average household in Ireland is having to pay around $4,300 a year in interest payments.

That...Read More

Posted Nov 29, 2010

The economics of happiness: is Cameron right?

The epiphany came in 2006. At least, that’s when the future prime minister of Britain and Northern Ireland first went public when he said: “It’s time we admitted that there’s more to life than money, and it’s time we focused not just on GDP but on GWB –...Read More

Posted Nov 26, 2010

Is Belgium like Greece, or Germany?

The problem in Belgium is several-fold. Not least the fact that the country has pulled off the impressive trick of simultaneously not having a government, but having massive levels of government debt.

In other words, the government it does not have is in big trouble.

But before you start rattling...Read More

Posted Nov 28, 2010

Merkel irritates markets with some home truths

She only went along and did it again. Yesterday, and not for the first time, German Chancellor Angela Merkel suggested bondholders should be willing to do their bit and contribute to the great EU bailout by cutting their losses. And yields on bonds, or at least yields on bonds pertaining...Read More

Posted Nov 25, 2010

Ireland’s rescue: what is the cost?

At first glance some will rail at the fact that non-euro country, the UK, is contributing to the Irish bailout. But actually, the deal between Ireland and the various bodies that are due to lend it money, seems to consist of a far more worrying condition: the imposition of a...Read More

Posted Nov 22, 2010

David Laws speaks up for middle classes

David Laws, former chief secretary to the Treasury, who left office after an expense scandal that left many feeling quite sympathetic, has just about uttered some of the most important and telling words by a politician all year.

He was writing in the Telegraph, and argued that middle class households must...Read More

Posted Nov 22, 2010

Why the super rich should pay more tax, and the rest should pay a lot less

During the last economic boom, families on median income found that their discretionary disposable income hardly went up at all. Sure, the UK boomed. The UK enjoyed its longest ever run of uninterrupted economic growth, but the wealth created did not trickle down, at least not in any significant way.

Does...Read More

Posted Nov 22, 2010

iPad takes a bite out of PC market

Is the dominance of the PC finally coming to an end?

Gartner has revised its estimate for PC sales for this year, down from 363.5m, to 352m. Earlier in the year it had expected sales to top 366m.

You don’t need to look far for the explanation. The PC’s loss has been...Read More

Posted Nov 30, 2010

iPad takes a bite out of PC market

Is the dominance of the PC finally coming to an end?

Gartner has revised its estimate for PC sales for this year, down from 363.5m, to 352m. Earlier in the year it had expected sales to top 366m.

You don’t need to look far for the explanation. The PC’s loss has been...Read More

Posted Nov 30, 2010

Ireland's loan: the great bailout, or a great debt swindle?

It’s a tad confusing as to why the $113bn loan to Ireland is seen as such a bold step. The Irish government has forking out 5.8 per cent interest. According to our maths, that means the average household in Ireland is having to pay around $4,300 a year in interest payments.

That...Read More

Posted Nov 29, 2010

Is Belgium like Greece, or Germany?

The problem in Belgium is several-fold. Not least the fact that the country has pulled off the impressive trick of simultaneously not having a government, but having massive levels of government debt.

In other words, the government it does not have is in big trouble.

But before you start rattling...Read More

Posted Nov 28, 2010

Consumers return, but just remember, consumption is not just for Christmas

How well are advent calendars for dogs going to sell this year, do you think? These are, of course, important products. It is only right that in the Christmas festivities, our pooches have something to look forward to. It is a shame no one has yet come up with...Read More

Posted Nov 26, 2010

The Eurozone's three Ds: default, default, and default

We have three observations to make on the latest shenanigans to hit the Eurozone.

Firstly, default of some sort seems inevitable. Secondly, it seems that in a funny kind of way, Angela Merkel and arch-Keynesian Paul Krugman agree. Both seem to think that markets need to be encouraged to throw their...Read More

Posted Nov 25, 2010

Portugal and Ireland - debts, wages and house prices: how do they really stand?

The problem with the bailout of Ireland is that the EU and the IMF are effectively saying to the markets – You are wrong. The markets have concluded that Ireland is a risky bet, and will only lend to the government at rates that would make the cost of...Read More

Posted Nov 28, 2010

Ireland is not Greece

It’s nice when everyone starts agreeing with you. On Tuesday this column said that the real reason why Ireland does not want EU support is because she does not want to be forced to reduce corporate tax. In this morning’s news, just about all analysts seem to have started to...Read More

Posted Nov 19, 2010

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