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Economists analyse Scots' future

Feb 10 2013

 

An economic framework for an independent Scotland is to be published on the same day as the UK Government reveals its first analysis paper in an attempt to protect the union.

The proposals follow work by First Minister Alex Salmond's council of economic advisers, which brings together academics, including Nobel prize-winners.

Crawford Beveridge, chairman of the fiscal commission working group, said the publication does not determine what path Scotland should take.

"Instead the aim of the group is to use our expertise to provide advice and guidance to the government and to offer options for reform should a vote for independence be forthcoming," he said.

"The task of the working group was to design a robust macroeconomic framework for Scotland post independence that delivers sustainable economic growth and a platform from which to tackle inequalities.

"The first report of the fiscal commission working group has confirmed that, by international standards, Scotland is a wealthy and productive country. In terms of output per capita it is on a par with many other successful independent countries. The proposition the fiscal commission working group will put forward is a workable blend of autonomy, cohesion and continuity. It is a well engineered model for day one of independence."

The technical group was established by Mr Salmond last March. It includes professors Andrew Hughes Hallet, Sir Jim Mirrlees, Frances Ruane and Joseph Stiglitz. Their task is to provide advice on key areas of monetary policy, financial stability and fiscal policy.

The decision to publish on Monday means it will coincide with the launch in Edinburgh of the UK Government's first analysis paper on Scotland's constitutional future.

Prime Minister David Cameron, speaking before the launch, said he will campaign to save the union with arguments of the head and heart.

A Scottish Labour spokesman said: "Once again David Cameron whistles and Alex Salmond dances. Just like last year when he rushed out the supposed timing of the referendum, Salmond responds not to the needs of the people of Scotland but to the PR moves of the Tory Party. Makes you wonder why Salmond wants to secede from Britain. He'd be lost without the Tories."

 

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