Was Panorama’s Presenter right about Corbynomics?

Panorama’s presenter, John Ware’s negative opinions were hardly hidden in ‘Jeremy Corbyn: Labour’s Earthquake’.  For example, he started by sneering that a Corbyn Town Hall meeting had all the fervour of a revivalist meeting (sub-text = crowd hysteria).  But then, he did a piece to camera, that really betrayed (at best) his ignorance or a deliberate attempt to mislead the public over the anti-austerity policies presented by the Corbyn team.

He said that if Jeremy Corbyn were to become Prime Minister, he would “order the Bank of England to print billions of pounds for a raft of new projects – roads, railways, houses…” and how would Corbyn pay for all this?  By collecting the £120 billion estimated to be uncollected tax receipts.

(at 18.28 mins http://www.bbc.co.uk/iplayer/episode/b06bg6ty/panorama-jeremy-corbyn-labours-earthquake )

Whilst it is perfectly true that Jeremy Corbyn wants to address the tax haven scams (which would include increasing the tax receipts), he has never suggested that this was the substance of his plans to resuscitate the economy.  Apart from a novel solution such as ‘QE for people instead of the banks’ Jeremy Corbyn’s fiscal stimulus is totally consistent with the sort of keynesian economic policies that were mainstream prior to New Labour’s capitulation to the economics of Margaret Thatcher.

I will leave it in the capable hands of the Renegade Economist, Ross Ashcroft to explain how politicians bailed out the wrong industry after the Great Banking Crisis in 2007/8 and what should be done now i.e. adopt policies that run counter to austerity and conventional mainstream economics.  In fact, precisely the sort of policies that Jeremy Corbyn is proposing.

Another economic crash is coming. How did this happen? Renegade Economist | Comment is Free

George Osborne failed to mention private debt in either of his budgets which is strange because his economic policies are dependent on increased household debt to sustain demand.

As a further treat, I include a one minute interview with Steve Keen in which he explains what’s wrong with mainstream economics.

What’s wrong with Economics? Professor Steve Keen explains – 16 Nov 2011

Uploaded on Nov 16, 2011

Steve Keen is Associate Professor of Economics & Finance at the University of Western Sydney. His main academic research interest is in developing mathematical models of Hyman Minsky’s Financial Instability Hypothesis. Prof. Keen’s best-selling book, Debunking Economics, delivers a powerful critique of modern neoclassical macroeconomics. He maintains a website dedicated to ‘analysing the global debt bubble’ at http://www.debtdeflation.com.

So was the Panorama programme a fair representation of Jeremy Corbyn’s economic policies?  The  conclusion has to be no…. The case for anti-austerity policies, as presented by Ross Ashcroft and Steve Keen, is overwhelming and long over-due, given the likelihood of another economic crisis.

9 thoughts on “Was Panorama’s Presenter right about Corbynomics?

  1. Pingback: Was Panorama’s Presenter right about Corbynomics? | Think Left | kickingthecat

  2. If you create a lot of money and put it into the economy you create a lot of extra taxation as a consequence – because you’re generating more real activity in the economy.

    It should be fairly obvious. I you take a deep breath first, you can breathe out a lot more! PQE is the economic equivalent of a deep breath.


    • You have such a knack for turning a great phrase … ‘PQE is the economic equivalent of a deep breath’ is economic poetry in both senses.

      Thank you for adding in some of the bits that John Ware should have said.


  3. Pingback: Was Panorama’s Presenter right about Corbynomics? | Think Left | Britain Isn't Eating

  4. PQE I would say, is a medium term solution to a forty year old problem.
    There is a desperate need to revolutionise our fiscal & structural economy by rebuilding a sustainable society.
    A society where people can walk, cycle or ride a train to professional, social or academic engagements.
    We are too reliant upon unsustainable resources, which is causing terrible problems for our humanity and our natural world.

    Only a mad man or an economist would think hoarding money at the expense of a finite worlds resources is a solution.


  5. Pingback: Was Panorama’s Presenter right about Corbynomics? | Think Left | sdbast

  6. Pingback: Was Panorama’s Presenter right about Corbynomics? | Think Left | Vox Political

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