Grind for August 15th
“One of my movies was called True Lies. It’s what the Democrats should have called their convention.”
– Arnold Schwarzenegger
Amid Brexit concerns, UK economy dips for the first time in eight years
The British Pound hit a 31-month low against the US dollar following news that the UK economy shrank by 0.2% between April and June.
The decline was a shock for economists, who had predicted 0% growth.
Factors in the slowdown include shutdowns in the vehicle industry, a drop in manufacturing output, a decline in the construction sector, and concerns about Brexit.
“Manufacturing output fell back after a strong start to the year, with production brought forward ahead of the UK’s original departure date from the EU,” says Rob Kent-Smith, head of GDP at the UK’s Office of National Statistics.
Chancellor Sajid Javid attributes the decline to a widespread preparation for Brexit.
“We saw some significant stockpiling by British businesses in anticipation of Brexit that never was, and now they’re using those stockpiles, they’re coming down,” said Javid.
Brexit was initially scheduled to occur on March 29th, but was postponed after lawmakers rejected Prime Minister Theresa May’s withdrawal agreement.
“Growth has been pushed down by an unwind of stockpiling and car manufacturers shifting their seasonal shutdown,” explains economist Alpesh Paleja. “It’s clear from our business surveys that underlying momentum remains lukewarm, choked by a combination of slower global growth and Brexit uncertainty.”
The Bank of England has predicted 1.3% growth for the year, but Britain will enter a recession if the economy continues to decline in the coming months.
Many fear that a no-deal Brexit will push the UK into a recession, but Prime Minister Boris Johnson has promised to leave the bloc ‘no matter what’ by October 31st.
Chancellor Javid believes that accomplishing Brexit will help the economy with our without a deal.
“We’re seeing volatility in the figures and one of the best ways to actually end this volatility is to bring certainty around Brexit and make sure we leave on 31 October,” he said.
Elizabeth Warren unveils proposal to reduce gun deaths
Presidential hopeful Elizabeth Warren (D-MA) on Saturday presented a new gun control policy she says will reduce gun deaths by up to 80%.
“You’ve got to start with a goal,” she said. “I haven’t heard anybody else talk about a goal.”
Warren’s presentation comes one week after two mass shootings in Ohio and Texas resulted in 29 deaths.
Warren’s plan is a combination of new laws and executive action that seeks to improve the background check system and to hold gun dealers and manufacturers liable.
— Create a new federal licensing system for firearms
— Limit the number of firearms a person can buy
— Increase the minimum buying age to 21
— Hold gun manufacturers liable for incidents
— Increase taxes for gun manufacturers from 10% to 30%
— Invest $100 million annually into gun violence research
Warren also wants to investigate the NRA and eliminate the filibuster to pass gun legislation.
“We’ve gotta have a leader who is willing to stand up to the gun lobby and say, ‘No more,'” said Warren. “And to take away one of their principle tools, which is the filibuster.”
GOOD TO THE LAST DROP:
Did you know… The streets of Victor, Colorado, once a gold rush town, are paved with low-grade gold.