The times real experts are needed

 As the UK is now copying the pattern that both Greece and Cyprus followed between 2006 and 2015, the lesson is the exact same ; you never put amateurs to do the job of professionals.

After thirty years in business, I find that the most valuable modules I ever studied were the Financial Instability Hypothesis and the Minsky Moment.

Funny detail ; those modules were studied because of my personal curiosity and my personal business activities.

Although most Universities tend to offer the typical modules of Political Science, Political Economy, Marketing, Management and Human Resources, the people that do that extra mile always get knowledge that makes the difference.

Today's CITY AM (post shared earlier) admits that the industry of education brings a dangerous combination of problems to the most recent graduates ; debt and unemployment. The industry sells a generic service that stopped providing any benefit.

During my Bachelor's studies in Political Science (around 20 years earlier), I was lucky to have a lecture by the UK Ambassador in Athens, Greece. The Ambassador described the UK business system as extremely stable, in comparison to the Greek system. Long term job positions, building careers in comparison to the short term job model of Greece.

Although the Ambassador was right on his observation and analysis, at that timeframe, around ten years later I found out that the UK unfortunately copied the model of Greece ; short term job positions, freezing the salary of the low income population and covering the gap through the Universal Credit pot while multiplying the salary of the politicians and the public administration, paid by continuous loans.

This long-term policy, followed not only by Truss but by several previous administrations including Thatcher, caused the Minsky Moment during Liz Truss 45 days in power. Since then, Truss repeatedly stated that she did nothing wrong, despite Kwasi Kwarteng's repeated statements, admitting the mistakes they made.

How Liz Truss caused a Minsky Moment ?

Liz Truss decided to give extra free money to peers from a country already facing collapse. All previous administrations provided free money to their peers ; Truss made that little extra effort.

Why did Rishi Sunak and Keir Starmer continue the same pattern ?

Both Sunak and Starmer are part of a huge circle of politicians with extremely limited knowledge on how to run a country or a union. They never had any courses on the field because if they had they could notice and correct the red flags. The majority of the politicians I met, all gave promises to their supporters including free money and benefits, like Boris Johnson did with Michelle Mone.

The Financial Instability Hypothesis and the Minsky Moment explains the day that you give everything and you now operate on increased loans and multiplied interest rates.

This is a phase where real experts are needed.