I’ve never before REALLY looked into the term ‘austerity’. It’s a term that seems to be banded about every time something bad happens or there’s a general election. When terms are seemingly used for everything I switch off…I assume the person talking about it generally doesn’t know what it is either.
Naïve or not, I think that if you are trying to make a point, be short, sharp and specific. Where does austerity come into it?
However, austerity has been used SO many times that I am going to address it. The easiest way I have seen it described is ‘a situation in which there is not much money and it is spent only on things that are necessary’. Pretty easy to understand, and also seemingly realistic.
The word Austerity is an important one with several connotations
So why the panic?
Austerity, when used in terms of a Government enforcing it within an economy, is where public spending is reduced and taxes aren’t increased. It’s a way of forcing the natural cycle of the economy to try and reduce deficit.
There are two major concerns surrounding this. The first that if the economic cycle falls out of kilter because of austerity measures, this could mess up a naturally expansive and contractive economic cycle. This would then amend unemployment rates, the value of the currency, and having a knock-on effect in other markets such as the housing market.
Secondly and more importantly it stops spending on the most important sectors, the NHS, teaching, the police and fire brigade, MOD and local Government (among many others). All of which are vital to the awesome running of this country.
What about the NHS, teaching, the police and fire brigade, MOD and local Government (among many others)?
The worry of austerity is that it doesn’t account for the changing demands of an ever-expanding population. Which means that basic needs and expectations stop being met and there are less hands on deck to put in place preventative measures. For example, to stop disasters and instead situations are purely dealt with on a reactive basis.
It’s this which causes panic and it is this which has my full attention. As the new Government settles down to lead us through Brexit, amid a flurry of awful disasters. I can only wonder if increased austerity will drag out the unsettled nature of this country, increase the divide and accelerate fear…
I hope not, but I will sit here with baited breath and await the outcome. Have you got some thoughts to share on this point? Share them with us in the comment section below.
NC
