Tuesday, 15 February 2011

Over inflated

The Boy is completely deflated, just a couple of weeks after fighting off yet another cold,he's gone down again. Not enough exercise I hear you cry! Yes indeed, he should be forced out into the cold to stretch a few muscles and build himself up again. After all, a young man consigned to his bed with a snotty nose is not a happy lad. So it's a good job, we're off to the slopes of Switzerland on Saturday. If that tingling is anything to go by, I may well be sneezing for the duration. I'm taking pre-emptive Lemsip and whisky.

We went off to see Brighton Rock in Brighton on Sunday. And two hours of unadulterated menace it was too. A very effective update of the original, although as a 'local' I couldn't help be disappointed that most of it was filmed in Eastbourne...but then many people do go to die there anyway. On the way home, the weather was suitably blustery and wet, so we went via the arches in Madeira Drive to see where the first slashing takes place. It was a rounded experience.

And in line with my need for a full experience, we're off to 'Secret Cinema' again. Don't know what they're showing, or where, but it's an exciting prospect. In a nod to the 'late 40's' clues I'm wearing a hat. I assume they mean the 1940's rather than a reference to my age.

And in a few weeks time we're seeing Diva at the ENO, with an operatic performance before hand. The flea pit was never like this.

I've been hauled over the coals for some of my Egyptian commentary, so just to set the record straight. I'm sure they will sort out their own affairs by themselves. Egypt is a big, proud nation with an established political system that is going through massive change. But once that change has happened, as a pivotal nation in the Middle East, foreign countries will seek influence, whether we like it or not. It would be impossible to sum up the situation in a few short lines, so just think of this as me skimming the surface like a stone, before sinking into oblivion!

And now you've got me going, here's a thought about inflation and interest rates. As I studied politics and economics at Uni, I think I'm not entirely unqualified to stick my oar in. Or at least raise a few questions. But I'm happy for anyone to put me in my little box. Inflation is up again, and there's much talk of raising interest rates. A traditional cure for roaring inflation. But I've always argued that there is more than one type of inflation. There's the sort that comes from a run away economy and is driven by rising consumer demand. And then there is another type. The type caused by rising demand elsewhere, pushing commodity prices up here. And that is what we are seeing at the moment, fuelled by the monopoly money printing that the Bank of England indulged in last year. Here in Blighty demand is pretty low, confidence is pretty low. As an example, petrol and diesel prices are sky-high...yet UK consumption is way down. We're avoiding driving because we can't afford it. And if you increase interest rates, the only impact will be to drive down demand, crush confidence and reduce economic activity further. The solution would be to reduce interest rates. Except we can't. So just leave well alone. err I think.