Tuesday, 22 November 2011

The return of Brownonomics

One person doesn't like yesterday's coalition announcements on housing.

Allister Heath who is the editor of City AM,a daily business newspaper distributed in and around London and digitally.

He believes that we may have slipped back into the days of Gordon Brown following the coalition’s plan to part-guarantee 95 per cent mortgages.

It was he adds

the kind of policy reminiscent of tax credits and of the meddlesome, flawed micro-management of yore. Why, oh why, does the coalition now also think that endless, ultra-targeted interventions in every nook and cranny of the economy is the way to go? As I argued yesterday, it is also reminiscent of the sub-prime fiasco in the US, where government-controlled agencies promoted unaffordable mortgages.

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