Quote:
Originally Posted by Damien
The 2008 crash took most people by surprise. There was little warning from senior politicians about the risk of consumer debt pre-2008 and even amongst those cautious about the economy thought it would be China, not American mortgages, from where the crisis would originate.
In fact a year before the crash the Tories were promising to match Labour's spending: http://news.bbc.co.uk/1/hi/uk_politics/6975536.stm
Labour obviously have a lot of answer for both for the deficit at the time of the crash and a lack of regulation but neither of these were issues the Tories were warning about or prepared for. The partisan kool-aid people drink because they think in binary, red vs blue, terms is absurd.
---------- Post added at 11:22 ---------- Previous post was at 11:21 ----------
This is obviously not true. The 2008 crash was caused by the near-collapse of the banking system, largely in the US Mortgage industry, which is why it hit around the world and not just the UK. |
The banking crash in this country was due to the lack of regulation of the banks by the government in power. The US sub-prime mortage funding was a disaster waiting to happen and it did. For the ordinary working man it would have been better if the stupid banks had been allowed to go bust rather than a bail out. It would have certainly cost less. As always though those that had more money prevailed to protect their investment.