U.K. Is Going to Have a Deep Recession, Skidelsky Warns

The transcript discusses the magnitude of current fiscal debt, comparing it to historical events like World War I. It highlights the importance of economic growth to reduce debt burdens. The conversation shifts to short-term economic concerns, predicting a recession and questioning government policies. The debate on extending furloughs and the potential for a V-shaped recovery is explored, with a call for public works programs. Finally, the discussion covers wage deflation and the challenges of achieving a rapid economic recovery, emphasizing the vulnerability of service economies.

What is the overall message regarding government intervention in the economy as discussed in the text?

What are the potential consequences of not addressing wage deflation according to the discussion?

How does Lord Skidelsky view the relationship between wage flexibility and employment?

What does the text imply about the future of service economies in the UK?