“The pink range indicates the expected recovery path. As we noted in our original column, the US exceeds expectations here. The US growth path manages to emerge from and stay above the predicted range by years 3-4-5 (i.e. 2010–12). In contrast, the UK path is disappointing, and can’t really be called a recovery yet.”
“The UK was on a similar path to the US in years 1-2 (2008–09), but falls well behind the US in years 3-4 (2010–2011), only to drop below the forecast range in year 5 (2012).“
Aka, the UK was doing as well as the US when Labour were in power, but dropped off once the Tories took office. I hate to be partisan, but it’s the truth that stares the Tories in the fac everyday.
A brilliant article, a very illustrative graph, and another nail in the coffin for the notion austerity is working.