Pantheon Macroeconomics - The new fiscal projections in the Budget today likely will be based on implausible economic projections, which assume that wage growth will accelerate soon, lifting inflation, but that interest rates won't rise for three more years. You can coherently forecast one or the other, but not both.

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16 Mar. Beware the Contradiction at the Heart of the Fiscal Forecasts

By Samuel Tombs

The new fiscal projections in the Budget today likely will be based on implausible economic projections, which assume that wage growth will accelerate soon, lifting inflation, but that interest rates won't rise for three more years. You can coherently forecast one or the other, but not both.

Posted: 16th Mar 2016 in 'UK Documents'

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