Blogs ...

We invite different bloggers to share their opinions on their work. We also invite everyone who reads the blogs to let us know what they think about them and to comment back to the blogger.

All blogs represent the personal viewpoints of the writers themselves and do reflect the opinions of LT&RC or it's policies.

In all honesty, my understanding of the economic crisis is limited. This is probably because, being relatively young, I am part of a generation which fortunately has not invested too much in the economy, so cannot feel the full effects of an economic disaster that is becoming increasingly worrying as it sweeps the country.

It is strange to think that the collapse of just one part of the economy; the banks, can have such an appalling ripple effect, touching almost every aspect of our lives, to such an extent that some are even comparing the current crisis to the Wall Street Crash of 1929.

However, my immediate consideration leads me to an examination of the separation of powers (as a law student I have been studying Constitutional and Administrative Law), and the idea that power, where exercised, should be subject to the principle of accountability before the law to prevent oppressive government.

There are three types of governmental functions; the legislative, which makes the rules, the judiciary, which decides on the disputes on the basis of the rules and which keeps the executive within the boundaries of these rules, and the executive(s), which formulates and executes policy. By keeping these functions separate it is said that the abuse of power is limited, as it prevents any one of them being dominant (and thus power becoming concentrated in a single person or body).

I cannot help but compare the banking system to an authority which has abused its power, fallen flat on its face, and taken everyone else down with it.

It also makes me wonder the separation of powers may only be a concept intended for higher governmental functions, or whether it may be a good idea to incorporate it a little further down the food chain to those authorities who carry enormous power quietly (like the banks).

‘It will get worse before it gets better’ is a phrase that is becoming frequently associated with this crisis, which is troubling to say the least, but I genuinely believe that the economy will recover. My interest primarily lies in what the Government intends to do to prevent such an event from happening again, especially as if it does it is likely that I will be an adult, and consequently will feel the full effects of such a crisis. As it is now we are in the mist of economic chaos in our economy, can only ride it out, and support the government in its attempts to turn the situation around. But I firmly believe that preventative measures must be part of our planning for the future, and can only hope that the government seriously believes this also.

On a more practical note I can’t help but liken the economic crisis to the life of a student; spending more money then you have, regularly facing the choice between bread and milk; and then there’s the worry of increasing debt, and the constant refusal to look at your bank account, to avoid that habitual balance of £0.

Sound familiar, Mr Darling? JM