Additional funding for the UK MoD?

[Hot 'n' High]

Just seen this on Forces Reunited "Military News" section:-

German Defence Gains from Economic Revival Funds

The German government is to spend part of its ?50 billion economic stimulus package on supplies for its Armed Forces, possibly including submachine guns, military vehicles and underwater mine detectors.

The revelation has upset anti-war politicians and raised questions about the effectiveness of measures intended to help Germany overcome a deep recession.

The defence ministry said it would receive almost ?500 million (£444 million) from the stimulus package. Although it would spend about half the windfall on the renovation and construction of buildings and barracks, a further ?226.2 million had been pencilled in to buy weapons, military vehicles and combat systems.

It does go on. OK, not much in the grand scheme of things but, in this day and age, anything helps. Wonder what GB and AD will make of the idea? :8

Ho hum! H 'n' H

[VinRouge]

Its actually a good idea. Locally employ builders that are currently out of work on quarters re gen projects, together with new buildings at work.

Would be nice to live in a house that didnt suffer from damp, non-existent insulation (350 quid gas and leccy bill this quarter) and dry rot.

[Hot 'n' High]

VR, quite agree. Just what our UK political lords and masters will decide? H 'n' H is not holding his breath on this one! Anyway, just thought I'd feed this one in.

[CirrusF]

Military spending can actually be a good way to ease an economic crisis such as we have at the moment, because the military does not produce anything economically productive. Thus you can inject cash into the economy (thereby increasing money and credit supply) without increasing the supply of goods and services (which would drive down prices and cause deflation).

[VinRouge]

Apart from secondary effects. IE builders hired using QE cash going out and buying a new car using the money they earned on a job.

Inflationary theory is also based upon money velocity.