After a decade of miserable growth, the shock of Brexit, the miserable mismanagement of the pandemic and the ongoing shambles of Tory misrule, the future of the UK economy is in question. If one can still speak of a British growth model - David Edgerton might question this assumption - that model is broken.
I was beside myself looking at the "productivity" in the financial services... The ultimate parasite, very productive at eating its host...
In Marx’s view, the greatest driver of increases in productivity is the relative strength of labour vis-a-vis capital. When workers have some leverage in the labour market, capitalists are compelled to innovate to raise productivity in order to get more bang for their buck. They’re also incentivised by the fact that investing in technical innovation in the production process can give them greater control over that process, curbing worker autonomy. The quite deliberate destruction of worker solidarity and trade union power in Britain over the last 40 years probably has more to do with stagnating productivity and declining wages than the undoubted mediocrity (and, indeed, mendacity) of the managerial class.
Jesus Christ. It's like watching a crack addict standing in the smoking ruins of their home shouting "MORE! MORE OF EVERYTHING THAT CRACK EXPERTS RECOMMEND! SPECIFICALLY, MORE CRACK!"
To what extent are these productivity measures meaningful when something so manifestly socially unproductive as "Finance" scores so highly? I suspect part of the problem is that the wrong things are getting measured, leading to a map that does not remotely match the territory.
It’s housing. The answer is deregulation. It is obvious.
As per usual with the "UK", this is focused on England. Which is probably what will end up happening. Northern Ireland is getting closer and closer to unification with Eire. Scotland seems to share far more values with the EU than with England. Why does England covet it? There are only 5mm Scotsmen against 60mm English. The English subsidize both Scotland and Northern Ireland. For what? The long term trend of the British Empire has been de-empirization. Moving from the UK to England seems like a logical progression.
In addition to labor market reform the UK needs land reform--break up great estates by converting leases into freehold, and shift to building "as of right" where land use standards are met. Invest specifically in transportation that enlarges the labor-shed in urban areas outside London and so create deeper regional labor markets. Accelerate the energy transition.
Sir - the best answers are found in your part countryman
Ernst Junger “The Worker.”
-what is needed is being done here; 🇺🇸 economically at least:
1. At risk of nuclear war and open intention of war with China by 2025 we 🇺🇸 are reshoring in a Tidal wave, and no it’s not all CHIPS act( although it helps).
2. You need Leadership, shared sacrifice, not management.
Managerialism is not leadership, and Economics is not morality.
Nor science. We need it too.
3. 🇬🇧 needs GB 🇬🇧 owned,and British workers staffed factories etc. If you have to have 100% tariffs, so be it. If you have to go without new clothes for a time, do. I was a kid in the 70s and wore hand me downs. It can get worse. It will without real choices.
4. Why anyone would expect neocolonial neoliberals like Rishi to not loot the hotel formerly known as 🇬🇧 England, and absentee landlord ownership to understand or care for the place or people? Of course not.
Get a Brit up there, one with real teeth . Churchill smiled, he didn’t show his teeth.
5. They’re people, not spreadsheets.
6. If you want 🇬🇧 to go the way of Sri Lanka 🇱🇰, Ireland 🇮🇪 and the biggest Island ever USA 🇺🇸, certainly continue on Plan 2030: back to the 90s just harder!
7. Neoliberalism doesn’t work.
Except to summon Communism, National Socialism, at best Fascism, Islam or God knows what. 1200 BC ?
8. Again the best answers are found in your part countryman
For the hour of the Worker/Soldier returns.
So find one. The land of Bevan Howard must have someone left.
Try an MMA fighter if all else fails.
Yes, I’m serious.
What’s needed it seems is moar Neoliberalism!! The 90s are calling, they say MOAR!
More degrees, more service jobs (not servants at all, no !) and moar welfare.
Don’t make it British owned or manufacturing sector!
“Britain suffers from a lack of human capital, especially in middle and lower skilled occupations.”
The manufacturing sector is too small! Concentrate on services and welfare, unless you have an “advanced degree”. Because we need more elites, which means more servants, er service sector.
The rest can get on welfare and “disability” like America.
🇺🇸 meanwhile we’re 🇺🇸going alls balls in on manufacturing. It seems hard hats and angry grannies chasing Congress into Shelters has had an unexpected effect for 🇺🇸 our working class.
Productivity differs by sector. Finance has high output per person. Healthcare and government do not.
The data might be interesting if one were to compare similar industries/sectors across different regions (within the UK as well as outside).
British manufacturing has never been known as efficient, reliable or cutting edge. There are some exceptions - BAe, Rolls Royce (the jet engines, not the autos), some chemicals companies.
I look forward to reading the whole report. One symptom I observe (here in Scotland) is that supposedly "good" governance extends the problem of poor management into the next generation. Innovative new companies can only attract investment if they have boards stuffed with experienced non-execs. Many of these are drawn from that weak long tail of mismanagement in previous generations.
Centralisation of power in London is what caused Brexit. If none of the obvious problems in your town are getting fixed, because local politicans have literally no power, of course you'll vote for major change
Neoliberalism is a long tortured road to Socialism via the Soviet Union Redux in the West...
...and gracious I'm not even a Socialist.
Yes of course something must be done for the workers and common people.
I wonder if it could be done without ruining them morally and ultimately physically and economically?
[I'm working class, we don't care for parasites high or low].