Liz Truss pursues bonkers economic theory

Liz Truss has replaced Boris Johnson as prime minister of UK. The first obvious step intended to show the direction the new government intends was a budget presented by new Chancellor Kwasi Kwarteng on Friday. Kwarteng fired the Treasury's permanent secretary in the preperation of this budget.  

There is a cost of living crisis in UK driven by runaway inflation and massive increases in energy bills. Despite this, Truss and Kwarteng's budget benefitted the already stinking rich. The top rate of income tax of 45% for the highest earners was abolished so that the highest rate is now 40%. Clearly that's going to benefit the rich and the very rich most. 

Despite denials, this is trickle-down economics with the idea being that the economy will be stimulated by the highest earners and that benefits will trickle-down to all. There is a simple, logical argument against trickle-down economics. It is that the rich already have money that they can spend to stimulate the economy and they're not doing it, if they're already not spending their wealth, why should they now start? 

There is also an alternative, logical argument that to stimulate the economy it's best to instead help the poor. The argument is that the poor are desperate and that any money they receive to alleviate their wreched situations will be spent and therefore stimulate the economy. 

It appears that Liz Truss and her Chancellor Kwasi Kwarteng are pursuing outdated, discredited and abandoned economic theories which are the exact opposite to what is needed. Markets responded poorly to the budget. 

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Are we forced to have a revo?

The problem is 1. that we have been warned that the climate crisis must be addressed urgently, and 2. that governments and climate-killers e.g. big industry and the rich, are not addressing the climate crisis and there is no indication that they intend to.

It’s a serious step to attempt to usurp an elected government, elected governments in fact. To try to prevent planetary destruction is a valid and adequate reason. What do you think?

ed: Kwasi Kwarteng, some minister or other responsible for granting licences for fossil fuel exploitation even refuses to address the issues and instead repeatedly poses a strawman.

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Politicians are very slow

Kwasi Kwarteng, UK Secretary of State for Business, Energy and Industrial Strategy dishonestly misrepresents Just Stop Oil and Extinction Rebellion’s demands. “I will launch another licensing round later this year.” and ” … we will not bend to the will of activists who naively want us to extinguish production in the UK continental shelf.” I think that means the North Sea.

The IPCC, United Nations and Just Stop Oil are calling for a stop to any new oil and gas exploitation not that North Sea oil and gas is “extinguished”. These politicians are very slow. This is just the start. We’re not going to let you destroy this planet without a fight and I’m hoping that politicians like Kwarteng and Boris Johnson will be held personally responsible for their actions. They’ve been warned told in no uncertain terms that all new fossil fuel exploitation must stop.

“extinguished”. Is that a reference to gas flaring? They really should just tell the truth instead of talking shit.

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