Anonymous 2 needed this 'Off the Record'

Bringing to your attention another interesting article relating to manufacturing.
BBC News Business 24/07, - House sales have fallen, so why are prices still so high?
After analysis, Robert Gardner, the chief Economist at Nationwide says the key factor determining the house price trend is the character of the local economy.
"It reflects how much manufacturing you have in the area."
"Those regions with most manufacturing are currently those whose prices are the lowest compared to the peak."
Makes interesting reading.
No wonder the Bombardier protest march in Derby on Saturday was clapped by the people of Derby all the way.

Prof Eman

Anonymous 2 needed this 'Off the Record'

On the Citywire- We are a safe haven.
For services?
Services output in 1st and 2nd Quarter up 0.5% and 0.9%
Business services and finanace providing the biggest cotribution.
Whom are they servicing? Their own pockets?
BUT Production down 1.4% with manufacturing down 0.3%.
Some rebalancing, wait till there is a pick up and we start sucking in imports.
Some growth 0.07%, (0.5-0.5 +0.2)/3 over the last 3 quarters.
Creating private sector jobs-but where? South of the North South divide, and in services?
No wonder the back seat driver Vince is calling for more "imaginative " Quantitative Easing.However, what is required is more than that- interest rises in the South of the NS divide, at least in the London and SE area, to dampen down local inflationary pressures.
Time to sort the rigged London and SE market?
If not, as engineertony has said it needs a miracle to cure our problems.
What do you think?

Prof Eman

Anonymous 2 needed this 'Off the Record'

Jeremy Bosk
I have never suggested that we should get rid of services.
My contention is that we have too much of services, a lot of poor and overpriced services e.g banking, financial, legal, and thirdly that their rate of growth in the current climate is not healthy for the economy.
We are already over reliant on them. The Govt over relies on income from them, and as such is snookered and cannot rebalance the economy towards industry, which is necessary if we are to grow in the longer term without increasing Balance of Payments problems.
As such please note that I have nothing against good services in Manchester, Leeds etc.
The increasingly worsening mess we are in is due to excessive reliance on services of dubious value, which make little contribution to our exports and Balance of Payments problems.
As regards market rigging, this was raised by Ted in his post #82, under our Economics/inflation/UK discussion, which recently developed the legal services issues. Nobody yet has bothered to try and express any support for our solicitors and legal services.

Prof Eman

So days of large factories with tens of thousands of workers are over. – looking around it seems that large factories are being replaced and substituted by even larger Hospitals with greater numbers of workers, followed by Railway stations and mega Airports? At current population, skills and growth rate levels, have we peeked, are they sustainable or has this always been the case and masked by other requirements?

Anonymous 2 needed this 'Off the Record'

Jeremy Bosk
Not quite clear what you are referring to when you say "the uneducated." We have blue collar, skilled, semi-skilled unskilled etc to consider. Please be more precise. Secondly, most contributors to this discussion are not impressed by the educational system, so who is to blame?
To develop my point of view on services, we need to consider rip off Britain mostly based on services-banking, financial services, insurance-Has your renewal crashed through the letter box? discussion, legal, etc.
It should be noted that services income is some-one else's cost, especially so in industry/manufacturing. So rip off Britain only makes us less competitive as UK ltd. Manufacturing and industry are at a cost disadvantage even before they start producing.
Hence the snooker part 2.

Prof Eman