Sound analysis here on how Labour lost the economic argument about their fiscal record in government. The only thing I would add to this would be the Labour party’s position on austerity which also played into the Conservatives hands.
Pundits will be picking over the results of this election for years and there are many reasons why things turned out as they did. For Labour though, in one respect, this election was lost in the aftermath of the last one. The opposition parties kept repeating the story of Blair and Brown spending with gay abandon and running up a massive debt. In the months after the 2010 election Labour never managed to nail that story. By the time they tried, it was too late.
As Simon Wren-Lewis says, there wasn’t any evidence to support it. True, Labour ran a deficit in the last decade but that wasn’t what caused the big jump in the debt-to-GDP ratio. By the time of the recession, the deficit was falling and was almost yesterday’s news. As this chart from Economics Help shows, the highest borrowing came in the year before the 2005 general election, yet the deficit was…
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