John Weeks: Labour Prevented Tories from Increasing Grip on Government — Radical Political Economy

The UK general election votes have been cast, and the results are nothing short of remarkable. Contrary to the early predictions of disaster for the main opposition Labour party, and for its leader Jeremy Corbyn, it was instead Theresa May’s Conservative party that suffered a heavy blow. The conservatives lost 12 seats in parliament and […]

via John Weeks: Labour Prevented Tories from Increasing Grip on Government — Radical Political Economy

UK election: British capital in disarray — Michael Roberts Blog

The UK election result is a personal disaster for the Conservative leader Theresa May. She called the snap election to get a big majority and crush the opposition Labour party and its left-wing leadership. But instead the Conservatives lost seats and its majority in parliament and Labour under leftist Jeremy Corbyn increased its share of […]

via UK election: British capital in disarray — Michael Roberts Blog

The UK economy: the imbalances continue

workersA useful piece by Geoff Tily, senior economist at the UK’s Trades Union Congress, on the persistent imbalances in the economy. In brief, growth remains too reliant on debt-fueled consumer spending, and private investment has been very weak, and even declined overall in 2016. If these trends continue, productivity growth will also continue to be weak, as it is productive investment that drives it.

While the employment performance has been impressive since the end of the recession, wages have largely stagnated. The prospects for a growing economy seem to rest on rising employment, and since the employment rate is already high, this will ultimately require continued substantial net immigration. Continue reading

The UK and China: exporting our way to prosperity?

george-osborneBBC Economics Editor Robert Peston has an interesting post on his blog today on the UK chancellor George Osborne’s visit to China and his attempt to boost exports to the world’s second biggest economy. Apparently Osborne wants China to be the UK’s second biggest export market. Given China’s already vast domestic market, and even vaster potential given its population of 1.3 billion and the scope for incomes to catch up with the richest countries, this aim is to be welcomed. Continue reading