Post by Diarist on Jun 21, 2016 11:01:57 GMT 1
It was a very interesting lunch. General Gort had already read Keynes' document so now it was Churchill's turn. He had dozens of questions but Keynes had all the answers. The program will need constant review because there are so many variables which can affect the economic stimulus. It is almost classic Keynsianism with the government supporting the stimulus providing cheap labour for the industry and contracts for the industry while striving for full employment by placing the unemployed in uniform. We shall in a few years have a greatly expanded skilled workforce which will eventually become a well-trained, well-equipped and fully mobilized military force.
The government will have to raise taxes in order to partially fund it but the promise of full employment should keep the trade unions quiet. Anyway, they can't strike if they are in uniform. Churchill also likes the document and he also told us confidentially that the PM will be announcing snap elections tomorrow. The French plan to do the same next week. I have no doubt that the success against Mussolini will keep the left wing quiet in both countries. The PM now has to decide whether to announce this program before or after the election.
General Gort and I said our farewells and Sally drove us to Paddington Station.
The government will have to raise taxes in order to partially fund it but the promise of full employment should keep the trade unions quiet. Anyway, they can't strike if they are in uniform. Churchill also likes the document and he also told us confidentially that the PM will be announcing snap elections tomorrow. The French plan to do the same next week. I have no doubt that the success against Mussolini will keep the left wing quiet in both countries. The PM now has to decide whether to announce this program before or after the election.
General Gort and I said our farewells and Sally drove us to Paddington Station.