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I came across this post today by a hedge fund manager that could be nonsense but if not, paints a rather worrying picture for the UK regardless of political parties in power. Anyone with a greater financial mind than me want to weigh in on it?

 

https://iiblack.wordpress.com/2016/08/16/example-title/

We're all going to die!!!!

 

So enjoy life, don't worry about stuff you can't do anything about and most importantly live within your means.

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I came across this post today by a hedge fund manager that could be nonsense but if not, paints a rather worrying picture for the UK regardless of political parties in power. Anyone with a greater financial mind than me want to weigh in on it?

 

https://iiblack.wordpress.com/2016/08/16/example-title/

"Who can blame them when even the Bank of England chief economist tells people not to bother with pensions but to buy houses instead." The same Bank of England that saw the 2008 crash coming a mile off...

 

" A culture has arisen similar to that seen in the US before the 2007 housing crash with a certainty that house prices can only rise and people wishing to throw every penny of their investment at the market. " That's what we were all saying in the other thread iirc.

 

Overall that's a very depressing outlook, you can live within your means and turn a blind eye to this as CT says but of course you should naturally worry about these things because they can have an extremely large impact on your life, even the worth of the money sitting in your bank account or under your mattress.

Edited by Howay
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"Who can blame them when even the Bank of England chief economist tells people not to bother with pensions but to buy houses instead." The same Bank of England that saw the 2008 crash coming a mile off...

 

" A culture has arisen similar to that seen in the US before the 2007 housing crash with a certainty that house prices can only rise and people wishing to throw every penny of their investment at the market. " That's what we were all saying in the other thread iirc.

 

Overall that's a very depressing outlook, you can live within your means and turn a blind eye to this as CT says but of course you should naturally worry about these things because they can have an extremely large impact on your life, even the worth of the money sitting in your bank account or under your mattress.

"In every life you have some trouble but when you worry you make it double".

 

Mark Twain

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"Who can blame them when even the Bank of England chief economist tells people not to bother with pensions but to buy houses instead." The same Bank of England that saw the 2008 crash coming a mile off...

 

" A culture has arisen similar to that seen in the US before the 2007 housing crash with a certainty that house prices can only rise and people wishing to throw every penny of their investment at the market. " That's what we were all saying in the other thread iirc.

 

Overall that's a very depressing outlook, you can live within your means and turn a blind eye to this as CT says but of course you should naturally worry about these things because they can have an extremely large impact on your life, even the worth of the money sitting in your bank account or under your mattress.

 

It is depressing. What's bothering me is the extent to which it might be true. It's all well and good for this guy to make the argument it has - and I can see how it makes sense, logically - but surely there must be government policies or something that can be enacted in order to at least limit the damage? Are our governments so short termist that they're simply not capable of doing this?

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It is depressing. What's bothering me is the extent to which it might be true. It's all well and good for this guy to make the argument it has - and I can see how it makes sense, logically - but surely there must be government policies or something that can be enacted in order to at least limit the damage? Are our governments so short termist that they're simply not capable of doing this?

The answer to that, because of the electoral system, is a resounding yes. Look at Cameron's gamble as a classic example.

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It is depressing. What's bothering me is the extent to which it might be true. It's all well and good for this guy to make the argument it has - and I can see how it makes sense, logically - but surely there must be government policies or something that can be enacted in order to at least limit the damage? Are our governments so short termist that they're simply not capable of doing this?

Agree fully with what Renton said in response, there's no votes in long term thinking for the most part you don't need to look any further than CT talking about how Labour are to blame for the '08 financial crash for proof it's whoever is in now is who is to blame for most.

 

I think the other thing with Government is that a lot of them are lifelong politicians, they have no real knowledge or experience in the fields they are regulating and as I said somewhere in the film thread (:lol: sorry Fish) the people below them aren't generally the brightest sparks in the field (unless they reach out to high level ex-professionals etc) so I don't think they have the best grasp on these topics or how best to try and avert these sort of issues.

 

My favorite comedian does a whole bit about the problem of overpopulation and how it's this very real issue but no one is going to touch it with a barge pole, it would effectively require a politician to stand up and announce how they are going to systematically decrease the population by 40-50%. We all know this exponential growth in population is completely unsustainable but there's no way a politician can stand and make a long term pledge on it. While it's obviously more visceral a topic than economics I really do think it shows how difficult it is to get people to vote for long term things if something like overpopulation that is so clearly an issue that everyone understands would get zero traction how would a complex issue that very little of the population understand (some that don't even advocating burying your head in the sand about in this very thread)  fare better?

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Agree fully with what Renton said in response, there's no votes in long term thinking for the most part you don't need to look any further than CT talking about how Labour are to blame for the '08 financial crash for proof it's whoever is in now is who is to blame for most.

 

I think the other thing with Government is that a lot of them are lifelong politicians, they have no real knowledge or experience in the fields they are regulating and as I said somewhere in the film thread ( :lol: sorry Fish) the people below them aren't generally the brightest sparks in the field (unless they reach out to high level ex-professionals etc) so I don't think they have the best grasp on these topics or how best to try and avert these sort of issues.

 

My favorite comedian does a whole bit about the problem of overpopulation and how it's this very real issue but no one is going to touch it with a barge pole, it would effectively require a politician to stand up and announce how they are going to systematically decrease the population by 40-50%. We all know this exponential growth in population is completely unsustainable but there's no way a politician can stand and make a long term pledge on it. While it's obviously more visceral a topic than economics I really do think it shows how difficult it is to get people to vote for long term things if something like overpopulation that is so clearly an issue that everyone understands would get zero traction how would a complex issue that very little of the population understand (some that don't even advocating burying your head in the sand about in this very thread)  fare better?

 

Which comedian is that?

 

And spot on, I'd say. The same issue exists in management to be honest. No one is thinking beyond the next 5 years, tops, into the future - as they probably won't even be in the same company these days. So you get decisions being made that look good in the short term, but which have long term negative consequences that can be identified, but which aren't dealt with because they'd lower EBITDA in the short term.

 

Dismal state of affairs. There needs to be a cultural shift towards long term rewards, especially as we're living longer.

 

I also don't think politicians should be afraid to come out and say that we need to reduce populations. I'd support motions along those lines. I'd support a two child limit in the UK ffs.

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