For whoever wants to see the real-life results of giving in to populism, the UK’s case is a fascinating one. Counting the costs of Brexit is only beginning, but already the picture is a gloomy one.Continue reading
Forget Covid-19 and Brexit. The question to which most people in the UK would want an uncertain answer is what will happen to house prices in 2021.
The abrupt fall from grace of Dominic Cummings, the much-admired and much-loathed adviser to UK Prime Minister Boris Johnson, has sparked all sorts of theories as to what was behind it, and with good reason.
Cummings’ actions have been divisive and often controversial, starting with his choice of “misfits and weirdos” to replace civil servants whom he sacked unceremoniously, to the famous drive he took across the country while both he and his wife were ill with Covid-19 and a national lockdown was in place.
UK Prime Minister Boris Johnson seems keen to please one set of traditional Tory voters – landlords – even if this could mean putting the health of thousands of office workers at risk.
Instead, he should use his creativity to turn some of the now-obsolete office spaces into ways to fulfil a more important pledge he made not long ago: fight obesity. And not just his own.
UK chancellor Rishi Sunak seems to be trying to build for himself the image of a man who is not afraid to “tell it like it is” when the situation requires it. But his actions show that he is prepared to sacrifice long-term economic development for a short-term boost for his Conservative party.
Just like he “urged everyone to find closure” regarding Brexit following his victory in elections last year, UK Prime Minister Boris Johnson last week urged everyone to “move on” from the Dominic Cummings saga. But just like then, it is easier said than done.
Central banks are again under the limelight. With Mark Carney’s departure as governor of the Bank of England next month, Boris Johnson could try to seize the opportunity to curtail the central bank’s independence.
This should not come as a surprise. Already, Johnson’s soulmate from across the ocean, Donald Trump, has been making noises about the Federal Reserve being too independent (or rather: insubordinate) for his liking.
So, if these two authoritarian populists go for central banks, what are their chances of bringing them under their rule?
By Michael Brett
So Boris, as he likes to be called, hopes he can reassemble a disjointed Britain. Under his benign leadership families that were torn apart by violently differing views on EU membership can be restored to harmony and domestic bliss.
The 29 million-odd people WHO DID NOT VOTE TO LEAVE THE EU in the 2016 referendum are to be dragged out willy-nilly to satisfy the 17.4 million who voted to leave. This is widely hailed as democracy.
Brexit rules the waves (which, incidentally, can only be used in future to transport goods at the cost of a hell of a lot more paperwork, restriction and delay). We will be poorer in the future than we would have been as EU members. Even the would-be leavers are forced to concede this.
How on earth did we land in this situation?
It is becoming increasingly difficult for central banks to surprise the markets with good news. No matter how dovish they are, investors expect them to be even more dovish still. This financial repression has facilitated the rise of populist politicians, who threaten to bring the end of central banks’ independence.