UK economy slumps 20% in second quarter, unemployment fears mount
Economy shrank by a record 20.4% between April and June, the largest contraction reported by any major economy so far, with a wave of job losses set to hit later in 2020. #UK#recession
Withdraw support for jobs and wages too soon and tip Britain into an unemployment crisis just as Brexit threaten growth. Some jobs may never return, others will be created post-crisis #UK#recession
“Unlike #BoE chief economist Andy Haldane, who thinks it is now time to see the economic glass as ‘half-full’, recent data outturns have made us more pessimistic”
UK economic revival clouded by debt, job losses and brexit
“We expect things to get tougher in the fall as the government’s furlough scheme ends and unemployment increases... recovery is likely to take a big leg down in the fourth quarter” #UK#recession
“The government cannot continue to underwrite the wages of large portion of the economy... The alternative is worse: a debt crisis similar to post-2008” #UK#recession#debt#crisis
The zombie share peaked in 2010 at 16% and declined in the subsequent recovery by a mere 2 percentage points. Since 2015 the share of zombie companies is already rising again
Probability of a zombie remaining a zombie in the following year rose to 85% in 2017 #recession#economy
They restrict the entry of new, more productive companies, diminish job creation in the economy and lock capital into unproductive uses. In a word, they are a menace to the economy and society #recession
Central bankers will take an active (in practice, permanent) role in the financial markets. The hope is that this would keep the global asset bubble inflated and the world economy going #recession