The Economic legacy of Thatcher’s government

Margaret Thatcher became Prime Minister in 1979 at a time of political and economic turmoil. The inflation rate had reached over 25% just three years prior, unions were striking at every possible opportunity, the country was in a mess. At the same time, economic growth had stagnated with unemployment reaching a 30-year high of 7%Continue reading “The Economic legacy of Thatcher’s government”

The British housing crisis

House prices in the UK have reached astronomical levels as they are now 65x higher than they were in 1970. The average house price has gone from £4,000 to £260,000 in the last fifty years. This growth greatly exceeds that of average wages that have only increased 36x in the same period. Such a disparityContinue reading “The British housing crisis”

Turkey’s economic malaise

Since 2002, Turkey’s GDP growth relative to other developing and emerging economies has been slow. This is a sharp contrast to the previous economic growth and prosperity that Turkey enjoyed in previous decades. In more recent years, Turkey’s economic situation has only gotten worse, exemplified by the sharp decline in the value of the TurkishContinue reading “Turkey’s economic malaise”

Debunking Modern Monetary Theory

Modern Monetary Theory contends that governments can endlessly run budget deficits when the economy is not at full capacity. It comes from the belief that the state, the issuer of a sovereign currency, can never go bankrupt as it can print money. The theory also holds that taxation exists simply to prevent inflation and toContinue reading “Debunking Modern Monetary Theory”