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The Real “Fun” is Yet to Come! By Richard Miller

     Things are going swimmingly fine now, with the governments tossing down plenty of dough to keep us primates from revolting, but, just down the track the money runs out, and then it will be necessary to use the military to put people down, so that they starve to death in their fox holes, without a murmur; white folk silently disappearing into the darkness of the eternal night:
  https://www.dailymail.co.uk/news/article-8431545/HALF-businesses-say-lay-staff-furlough-ends.html

“Half of businesses expect to lay off staff once furlough ends - amid fears the UK faces 1980s-style unemployment. A poll of firms found 51 per cent say they will need to axe workers within three months of the government's huge coronavirus bailout being withdrawn. A fifth believe they will have to let 30 per cent or more of their employees go - while only 34 per cent are confident they will not have to make any redundancies. The dire results in the YouGov survey of 503 business leaders underlines the scale of the looming pain for Britons in the worst recession for 300 years. Some 9.1 million jobs are now being supported by the furlough scheme, which covers 80 per cent of wages up to a ceiling of £2,500 a month. Chancellor Rishi Sunak has said it will stay in place until the end of October - but companies will gradually be made to share the burden with the state. Despite the unprecedented efforts to keep people in jobs during lockdown, grim figures yesterday showed numbers on the payroll plummeted by 612,000 between March and May. Jobless claims under Universal Credit have soared by 1.6million - 125.9 per cent - over the same period. Vacancies showed an eye-watering reduction of 342,000 in March-May compared to the previous quarter - a sharper fall than than the credit crunch. However, the worst of the hit for workers appears to have been masked by the government's massive furlough bailout scheme, with experts warning of 1980s levels of unemployment by the end of the year.”

     The prediction of 1980s levels of unemployment, is of course inconsistent with the main thrust of the argument above, namely that over half of all businesses will be laying off staff, with the same scenario likely in Australia as well. It is unreasonably optimistic to think that anything other than a hyper-deep recession, or Great Depression 2.0 will arise. The thought of a Great Depression is enough to make one, greatly depressed!

 

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Monday, 06 July 2020
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