Tuesday, January 06, 2009

Our answer to the recession: stop spending

In order to stimulate the economy during a recession, it is always best to encourage people to stop spending money and save it instead. [Are you sure about this George?] And so we propose tax cuts for savers. Hooray.

Now the naysayers among you might think that it would be a better stimulus if people went out and spent their money, that saving for a rainy day means spending those savings when you need them. And that tax cuts on income or sales might be more effective.

But let me ask you this. Do you really think we could get it that badly wrong? People of the depth and calibre of George Osborne and myself? Do I really need to say any more?

1 comment:

Paul Maurice Martin said...

But it's taxing just to read stuff like this...