I just think the government bailed out the result (banks) and not the solution. If the government had put the money into construction a great multiplier effect would have taken place, all the supply companies would have also been saved (corus and LDV vans to name 2) and in return they would have been able to maintain thier payments to the banks and therefore a lot more companies would have survived and a lot less people unemployed. Instead they pay off the banks bad debt and everything else falls by the wayside.
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Good for you Ronald. One of my best friends works for Corus here in South Wales, and it is a very worrying time. We have lost our mining industry, manufacturing is on its knees so the last thing we need is another major industry going to the wall. I hope you get some comfort from sharing your time with colleagues and friends.
I too am going on a march today! Cardiff Blues (my rugby team) are moving to our new stadium which we are to share with Cardiff City on the outskirts of the town. It is a momentous occasion, and we leave Cardiff Arms Park with some lovely memories, but look forward to the new venue. The players are leading the fans on the March so it should be a good day hopefully.
The problem with bailing out some companies (LDV springs to mind) is that they are no longer British companies so surely they should be bailed out by their owners and not the tax payer? It's a difficult one as no-one wants to see people losing their jobs.
Not stirring, just playing devil's advocate!
Last edited by Skippy on Sat Jul 18, 2009 12:22 pm, edited 1 time in total.
I just feel that if money had been put into construction (particularly housing) as we all know there is a huge demand for housing then the economy would have started moving itself and that companies like LDV may have survived without any need for a bail out. A lot of work that corus undertake is for the construction industry and I just feel that we would have seen a lot more companies survive and less unemployment. Say for instance the government put 10 million into construction and saved construction companies, they in turn spent 8 million of that on supplies saving supply companies, in turn the suppliers spent 6 million on thier suppliers, then in turn 4 million and lastly 2 million. What has happened is that 30 million of industry has been saved from an investment of 10 million. What the government has done is paid off the 30 million of bad debt to the banks to save the banks whereby they may have achieved the same by a 10 million investment and more people employed and therefore also less benefits to pay out.
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