Letter: Prescriptions for an economy that is flat on its back
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Sir: While a rise in interest rates would not be helpful at the present time, it is unlikely to be disastrous for the prospects of the British economy. After all, high interest rates took a very long time to curtail the boom, and falling interest rates have so far had little effect in reversing the slump.
Indeed, the severity and prolonged nature of the present recession suggest that we should stop relying so heavily on market instruments to boost private-sector spending. Since consumers are not prepared to increase spending and businesses are not prepared to increase investment, the Government must increase its spending, and finance it by increases in taxation if necessary. It is time for a 'new deal' and there are plenty of worthwhile investment projects to spend the money on.
Yours sincerely,
PETER GRIPAIOS
Head, The South West Economic Research Centre
Plymouth Business School
University of Plymouth
27 August
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments