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Exchange Rate Alignments
English
148 b
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This book calls for a radical reappraisal of economic policy in the UK. It argues that current austerity drives do not address the root cause of Britain's economic troubles; these stem from an insufficient manufacturing capacity, which has reduced exports and caused low growth and high unemployment. John Mills argues that deindustrialisation can be attributed to an exchange rate that has remained too high for too long. Only with a much lower exchange rate will it be possible both to enable increased exports to drive an economic revival in the UK and to prevent the borrowing of unsustainable amounts of money to finance both the government and foreign payment deficits.
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