petej + quantitativeeasing   63

Made in Westminster – Sean Wallis | The Convention for Higher Education
This all changed with the removal in 2014 of caps on student numbers. Universities could now compete with each other for students, and market share. The first set of victims have been the post-92 universities, the ex-polytechnics, whose staff are not in the USS pension scheme. Students considering an expensive degree at London Metropolitan University, for example, now found places at King’s College. In London, LMU’s pain has been swiftly followed by that of Westminster University, currently engaged in serial cutbacks of staff.

In this first wave, the USS employers have boomed. Indeed, the Higher Education Statistics Agency reports that sector surpluses rose by a factor of 10 from £158m in 2005/6 to £1.5bn in 2016/17. However, to accommodate the new student numbers, universities needed estate capacity. They started a major programme of investment in new buildings, campuses and student accommodation. To do this they needed to borrow. Whereas some initial loans may have been on favourable terms, as construction costs have increased, institutions have had to borrow on the open market.

Of course, when you borrow in this way you have to declare your assets and your liabilities, including the liability toward the pension fund. It is this new obligation that I believe explains why, in the USS negotiations, UUK employers (led by the most expansionist Russell Group employers) focused on Defined Contribution, rather than, say, a worse Defined Benefit scheme.
education  higherEducation  universities  pensions  USS  valuation  deficit  risk  regulation  quantitativeEasing  banking  bailout  interestRates  gilts  expansion  investment  construction  UUK  RussellGroup 
march 2018 by petej
Eurozone QE: 20 things you need to know | Paul Mason
"4. Here’s the background: after the 2008 crisis, growth was suppressed throughout the world. Not just by a massive debt overhang, but by the knowledge that two key features of neo-liberalism, when it was successful, could not be revived:
a. The global imbalances, whereby China, Japan, the oil countries and Germany produced stuff, suppressed consumption and funded the borrowing of the rich countries; and
b. The financialised lifestyle of the West, where consumption continued to grow, despite low or zero wage growth, because of increased access to credit.

5. So growth is scarce. Meanwhile there is an abundance of three things: labour, capital and oil."
Europe  finance  debt  crisis  ECB  QE  quantitativeEasing 
january 2015 by petej
Fed unemployment mystery holds key to global markets - Telegraph
"The Fed has a two-phase trigger. It aims to wind down bond purchases to zero as the headline jobless rate nears 7pc, and then start to raise rates at 6.5pc. The problem is that unemployment has been dropping faster than expected. It is already 7.3pc and could hit 7pc soon. This would be fine if the economy was roaring back and creating jobs, but it is shedding jobs at a disturbing pace.
Headline unemployment is dropping only because people have stopped looking for work. America lost 347,000 jobs over the past two months, with the labour “participation rate” falling from 63.5pc to 63.2pc, the lowest since the late 1970s when fewer women worked."
USA  economy  economics  FederalReserveBank  unemployment  jobs  work  automation  stimulus  tapering  crisis  capitalism  quantitativeEasing  QE 
september 2013 by petej

related tags

Argentina  Asia  austerity  automation  bailout  banking  BankOfEngland  banks  BearStearns  BernankeBen  BofE  bonds  Brazil  Brexit  business  capitalism  CarneyMark  cash  China  CityOfLondon  climateChange  ColdWar  commerce  construction  control  crash  creditCrunch  crisis  currency  cuts  cyberattack  DarlingAlistair  dc:creator=ChakraborttyAditya  dc:creator=CoppolaFrances  dc:creator=ElliottLarry  dc:creator=HaldaneAndrew  dc:creator=LanchesterJohn  dc:creator=MasonPaul  dc:creator=RobertsMichael  dctagged  debt  deficit  deflation  demand  democracy  deregulation  devaluation  DraghiMario  ECB  economics  economy  education  employment  EU  Euro  Europe  Eurozone  expansion  exploitation  FederalReserveBank  finance  flexibility  France  FRB  freedomOfMovement  Germany  gigEconomy  gilts  globalisation  Greece  growth  HaldaneAndrew  HammondPhilip  HBOS  higherEducation  housing  IMF  immigration  Indonesia  inequality  inflation  insecurity  interestRates  Internet  investment  Italy  Japan  jobs  LagardeChristine  LegaNord  LehmanBrothers  liquidity  LRB  M5S  Maastricht  markets  MattarellaSergio  migration  millennials  money  mortgages  MPC  nationalisation  nationalism  negotiations  NIESR  NorthernRock  oil  OsborneGeorge  passporting  pay  pensions  policy  politics  populism  postFordism  poverty  precarity  predictions  prices  privatisation  productivity  property  protectionism  publicSector  publicServices  publicSpending  PutinVladimir  QE  quantitativeEasing  RBS  rebellion  recession  recovery  recruitment  reform  regulation  relocation  retail  risk  RussellGroup  Russia  sanctions  SavonaPaolo  separatism  shares  skills  SouthAfrica  stagnation  stimulation  stimulus  stockMarket  Switzerland  Syriza  tapering  technology  TheLeft  trade  tradeWar  TsakalotosEuclid  Turkey  UK  Ukraine  unemployment  universities  USA  USS  UUK  valuation  volatility  wages  wealth  Woolworths  work  XiJinping  youth 

Copy this bookmark:



description:


tags: