Former Bank of England policy maker hits out at the PM: ‘At some point Liz Truss is going to have to go from Mrs Stupid to Mrs Sensible and unfortunately we haven't seen Mrs Sensible.’
After the Bank of England was forced to intervene with the UK's bond market in an attempt to stabilise the economy, James O'Brien spoke to Professor of Economics Danny Blanchflower.
"I said at some point she [Liz Truss] is going to have to go from Mrs Stupid to Mrs Sensible and unfortunately we haven't seen Mrs Sensible," he stated. He explained to James: "I wrote [to] and said something like you are going to arrive in No. 10 Downing street and the permanent Secretary of the Treasury is going to come over to you and explain to you the craziness you've been doing.The former Bank of England policy maker explained how the government's plan reflects Laffer curve economics, a theory which often suggests that lower taxation creates increased government revenue.
Danny Blanchflower pointed to Kwasi Kwarteng's interview with BBC's Laura Kuenssberg the day after announcing the mini-budget, where he said "there's more to come": "Lots of people have called [it] a school boy error."
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