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Emeritus Prof Christopher May

There is now a critical consensus that Rachel Reeves *chose* to cut disability benefits to make up for a (projected) shortfall revealed by the interaction of the Office of Budget Responsibility's forecast(s) and her (self-imposed) fiscal rules.

Just to bang home this point (again) here is @sjwrenlewis offering an elegant argument (from a macroeconomics standpoint) that this was (and is) Reeves' choice not something 'forced' upon her!

mainlymacro.blogspot.com/2025/

mainlymacro.blogspot.comWhy can’t we do fiscal policy in a grown up way?  I suspect to most people what Rachel Reeves announced yesterday went like this. The OBR published a forecast, something it has to do twic...

@ChrisMayLA6 @sjwrenlewis I’m a scientist (ish) and I am eternally amazed at the OBR putting out failed forecasts year after year for well over a decade. Meteorologists or epidemiologists would have long lost their jobs.

@ChrisMayLA6 @sjwrenlewis Yes, and even without this it was still a choice that she chose to make. Indefensible.

@ChrisMayLA6

Hmm... take money from people who already have close to nothing, and have barely seen their income rise in real terms for well over a decade, or increase tax maybe just one percent on top earners, some of whom have seen their income rise well above 1000% in the same time. (And after a little extra tax would still have way more than they had 10 years ago).

Seems fair /s