This letter originally appeared in the Financial Times on 26 November 2019

The UK economy needs reform. For too long it has prioritised consumption over investment, short-term financial returns over long-term innovation, rising asset values over rising wages, and deficit reduction over the quality of public services. The results are now plain. We have had ten years of near zero productivity growth. Corporate investment has stagnated. Average earnings are still lower than in 2008. A gulf has arisen between London and the South East and the rest of the country. And public services are under intolerable strain – which the economic costs of a hard Brexit would only make worse. We now moreover face the urgent imperative of acting on the climate and environmental crisis.

Given private sector reluctance, what the UK economy needs is a serious injection of public investment, which can in turn leverage private finance attracted by the expectation of higher demand. Such investment needs to be directed into the large-scale and rapid decarbonisation of energy, transport, housing, industry and farming; the support of innovation- and export- oriented businesses; and public services. It is clear that this will require an active and green industrial strategy, aimed at improving productivity and spreading investment across the country. Experience elsewhere (not least in Germany) suggests a National Investment Bank would greatly help. With long-term real interest rates now negative, it makes basic economic sense for the government to borrow for this, spreading the cost over the generations who will benefit from the assets. As the IMF has acknowledged, when interest payments are low and investment raises economic growth, public debt is sustainable.

At the same time, we need a serious attempt to raise wages and productivity. A higher minimum wage can help do this, alongside tighter regulation of the worst practices in the gig economy. Bringing workers onto company boards and giving them a stake in their companies, as most European countries do in some form, will also help. The UK’s outlier rate of corporation tax can clearly be raised, not least for the highly profitable digital companies.

As economists, and people who work in various fields of economic policy, we have looked closely at the economic prospectuses of the political parties.

It seems clear to us that the Labour Party has not only understood the deep problems we face, but has devised serious proposals for dealing with them. We believe it deserves to form the next government.

Yours,

David G. Blanchflower Bruce V. Rauner Professor of Economics, Dartmouth College; Professor of Economics. University of Stirling; former member of the Bank of England Monetary Policy Committee

Victoria Chick Emeritus Professor of Economics, University College London

Lord Meghnad Desai Emeritus Professor of Economics, London School of Economics and Political Science

Stephany Griffith-Jones Emeritus Professorial Fellow, Institute of Development Studies, University of Sussex; Financial Markets Director, Initiative for Policy Dialogue, Columbia University

Simon Wren-Lewis Emeritus Professor of Economics and Fellow of Merton College, University of Oxford

Jonathan Aldred Director of Studies in Economics, Emmanuel College, and Faculty of Economics, University of Cambridge

Tanweer Ali Lecturer, Empire State College, State University of New York

Patrick Allen Chair, Progressive Economy Forum

Carolina Alves Joan Robinson Research Fellow in Heterodox Economics, Faculty of Economics and Girton College, University of Cambridge

Antonio Andreoni Senior Lecturer in Economics, SOAS, University of London

Shawky Arif Senior Lecturer in International Development, University of Northampton

Joseph Baines Lecturer of International Political Economy, King’s College London

Kate Bayliss Senior Research Fellow, SOAS, University of London

Hannah Bargawi Senior Lecturer and co-Head of Department of Economics, SOAS University of London

Adotey Bing-Pappoe Senior Lecturer in Economics, Greenwich University

Peter Bloom Professor of Management, Essex Business School, University of Essex

Bruno Bonizzi Senior Lecturer, University of Hertfordshire, Hertfordshire Business School

Dr Alberto Botta Senior Lecturer in Economics, University of Greenwich

Andrew Brown Professor of Economics and Political Economy, University of Leeds

Mark Bryan Reader in Economics, University of Sheffield

Mike Bull Reader in Social Enterprise, Manchester Metropolitan University

Jonathan Busch Research Fellow in Ecological Economics, University of Leeds

Terry Byres Professor Emeritus of Political Economy, SOAS, University of London

Robert Calvert Jump Research Fellow, University of Greenwich

Ha-Joon Chang Reader, Faculty of Economics, University of Cambridge

John Christensen Director, Tax Justice Network

David Cobham Professor of Economics, Heriot-Watt University

Christine Cooper Professor of Accounting, University of Edinburgh

Christopher Cramer Professor of the Political Economy of Development, SOAS, University of London

Bruce Cronin Professor of Economic Sociology, University of Greenwich

Andrew Cumbers Professor of Regional Political Economy, University of Glasgow

Yannis Dafermos Lecturer in Economics, SOAS University of London

Hulya Dagdeviren Professor of Economic Development, University of Hertfordshire

William Davies Professor in Political Economy, Goldsmiths, University of London

Jerome De Henau Senior Lecturer in Economics, Open University

Jonathan Di John Senior Lecturer, Political Economy of Development, SOAS, University of London

Danny Dorling Halford Mackinder Professor of Geography, University of Oxford

Gary Dymski Professor of Applied Economics, University of Leeds

Ciaran Driver Professor of Economics, School of Finance and Management, SOAS, University of London

Trevor Evans Emeritus Professor of Economics, Berlin School of Economics and Law

Andrew Fanning Marie Curie Research Fellow, Sustainability Research Institute, University of Leeds

Ben Fine Emeritus Professor, School of Oriental and African Studies, London

Felix FitzRoy Emeritus Professor of Economics, School of Economics and Finance, University of St. Andrews; Research Fellow, IZA, Bonn

Guglielmo Forges Davanzati Professor of Political Economy, University of Salento and Department of Land Economy, University of Cambridge

Carlos Fortin Emeritus Fellow and Research Associate, Institute of Development Studies, University of Sussex

Vasileios Fouskas Professor of International Politics and Economics, University of East London

Daniela Gabor Professor of Economics and Macro-Finance, University of the West of England Bristol

Giorgos Galanis Senior Lecturer in Economics, Goldsmiths, University of London

Sara Gorgoni Associate Professor in Economics, University of Greenwich

Ian Gough Visiting Professor in the Centre for Social Exclusion, London School of Economics

Giorgos Gouzoulis Research Fellow, University College London

John Grahl Emeritus Professor of Economics, Middlesex University

Martin Greeley Fellow, Institute of Development Studies, University of Sussex

Alexander Guschanski Lecturer in Economics, University of Greenwich

Hassan Hakimian Emeritus Professor of Economics, SOAS, London

Barbara Harriss-White Emeritus Professor, Wolfson College, Oxford

Jostein Hauge Research Associate at the Institute for Manufacturing, University of Cambridge

Judith Heyer Emeritus Fellow, Somerville College, Oxford

Ariane Hillig Lecturer in Economics, Goldsmiths, University of London

Susan Himmelweit Emeritus Professor of Economics, Open University

Peter Holmes Reader in Economics, University of Sussex

Peter Howells Emeritus Professor of Monetary Economics, UWE Bristol

Leslie Huckfield Lecturer, Glasgow School for Business and Society, Glasgow Caledonian University

Tim Jackson Professor of Sustainable Development, University of Surrey

Michael Jacobs Professorial Fellow, Sheffield Political Economy Research Institute, University of Sheffield

Sir Richard Jolly Emeritus Professor, Institute of Development Studies, University of Sussex

Emily Jones Associate Professor in Public Policy, Blavatnik School of Government, University of Oxford

Annina Kaltenbrunner Associate Professor in the Economics of Globalisation and the International Economy, University of Leeds

Raphael Kaplinsky Emeritus Professorial Fellow, Institute of Development Studies, and Honorary Professor, Science Policy Research Unit, University of Sussex

Ewa Karwowski Senior Lecturer in Economics, University of Hertfordshire

Steve Keen Honorary Professor, University College London

Effie Kesidou Associate Professor in Applied Economics, University of Leeds

Mushtaq Khan Professor of Economics, SOAS, University of London

Andy Kilmister Senior Lecturer in Economics, Oxford Brookes University

Suzanne J Konzelmann Reader in Management, Birkbeck, University of London

Sunil Mitra Kumar Lecturer in Economics, King’s College London

Ingrid Harvold Kvangraven Lecturer in International Development, University of York

Neil Lancastle Senior Lecturer, Accounting and Finance, De Montfort University

Stewart Lansley Visiting Fellow, University of Bristol

Costas Lapavitsas Professor of Economics, SOAS, University of London

Clive Lawson Director of Studies in Economics, Girton College Cambridge

Jane Lethbridge Principal Lecturer, Business Faculty, University of Greenwich

Merle Lipton Visiting Research Fellow at King’s College London

Michael Lipton Emeritus Professor of Economics, Sussex University

Emanuele Lobina Principal Lecturer, Public Services International Research Unit, University of Greenwich

Lorena Lombardozzi Lecturer in Economics, The Open University

Pedro Mendes Loureiro Lecturer in Latin American Studies, University of Cambridge

Terry McKinley Professor of Development Studies, SOAS, University of London

Laurie Macfarlane Head of Patient Finance, UCL Institute for Innovation and Public Purpose

Maureen Mackintosh Professor of Economics, The Open University

Julia Martin-Ortegqa Professor of Ecological Economics, University of Leeds, UK

Paul Mason Visiting Professor of Economics, Wolverhampton University

Imko Meyenburg Senior Lecturer in Economics and International Business, Anglia Ruskin University

Jo Michell Associate Professor of Economics, University of the West of England Bristol

Jonathan Michie Professor of Innovation and Knowledge Exchange, University of Oxford

Johnna Montgomerie Reader in International Political Economy and Head of Department, European and International Studies, King’s College London

Simon Mohun Emeritus Professor of Political Economy, Queen Mary University of London

Richard Murphy Professor of Practice in International Political Economy, City, University of London

Bona Muzaka Reader in International Political Economy, King’s College London

Natalya Naqvi Assistant Professor in International Political Economy, London School of Economics

Susan Newman Associate Professor in Economics, University of the West of England

Maria Nikolaidi Senior Lecturer in Economics, University of Greenwich

Dan O’Neill Associate Professor in Ecological Economics, University of Leeds

Ozlem Onaran Professor of Economics, University of Greenwich

Christine Oughton Professor of Management Economics, SOAS, University of London

Carlos Oya Professor of Political Economy of Development, SOAS, University of London

Cem Oyvat Senior Lecturer in Economics, University of Greenwich

José Gabriel Palma Emeritus Senior Lecturer, Faculty of Economics, Cambridge University

John Palmer Former Political Director, European Policy Centre, Brussels

Alberto Paloni Senior Lecturer in Economics, University of Glasgow

Marco Veronese Passarella Lecturer of Economics, University of Leeds

Jonathan Perraton Senior Lecturer in Economics, University of Sheffield

Avinash Persaud Emeritus Professor, Gresham College; former senior banker, J.P.Morgan and State Street

Ann Pettifor Director, Policy Research in Macroeconomics (PRIME)

Valentino Piana Director of the Economics Web Institute

Kate Pickett Professor of Epidemiology, Deputy Director of the Centre for Future Health, University of York

Jeff Powell Senior Lecturer in Economics, University of Greenwich

Kate Raworth Senior Associate, Environmental Change Institute, University of Oxford

Hugo Radice Life Fellow, School of Politics and International Studies, University of Leeds

Howard Reed Director, Landman Economics

Matteo Rizzo Senior Lecturer in Development Studies, SOAS, University of London

Pallavi Roy Lecturer in International Economics, SOAS University of London

Shampa Roy-Mukherjee Senior Lecturer in Economics, University of East London

Josh Ryan-Collins Head of Research, Institute for Innovation and Public Policy, University College London

Magnus Ryner Professor of International Political Economy, King’s College London

Alfredo Saad Filho Professor of Political Economy and International Development, King’s College London

Diego Sanchez-Ancochea Professor of the Political Economy of Development, University of Oxford

Malcolm Sawyer Emeritus Professor of Economics, University of Leeds

Gregor Semieniuk Lecturer in Economics, SOAS, University of London; Research Assistant Professor in Economics, University of Massachusetts Amherst

Marianne Sensier Research Fellow in Economics, University of Manchester

Mimoza Shabani Senior Lecturer in Financial Economics, University of East London

Alan Shipman Lecturer in Economics, Open University

Kalim Siddiqui Senior Lecturer in International Political Economy, University of Huddersfield

Prem Sikka Professor of Accounting and Finance, University of Sheffield

Andrew Simms Co-director, New Weather Institute; Research Associate, Centre for Global Political Economy, University of Sussex

Pritam Singh Visiting Scholar, Wolfson College, University of Oxford

Alan Southern University of Liverpool Management School

Guy Standing Professorial Research Associate, SOAS, University of London

Julia Steinberger Professor of Social Ecology and Ecological Economics, University of Leeds

Sara Stevano Postdoctoral Research Associate, European and International Studies, King’s College London

Frances Stewart Emeritus Professor of Development Economics, University of Oxford

Engelbert Stockhammer Professor of International Political Economy, King’s College London

Beth Stratford Fellow at the New Economics Foundation

Hanna Szymborska, Lecturer in Economics, Open University

Jeff Tan Associate Professor in Political Economy, Aga Khan University, UK

Paul Temple Reader in Economics, University of Surrey

Geoff Tily Senior Economist, Trades Union Congress

Jan Toporowski Professor of Economics and Finance, SOAS University of London

Daniele Tori Lecturer in Finance, Open University Business School

Mehmet Ugur Professor of Economics and Institutions, University of Greenwich

Elvira Uyarra Reader in Innovation Management and Policy, University of Manchester

Elisa Van Waeyenberge Senior Lecturer and Co-Head of Department of Economics, SOAS University of London

Roberto Veneziani Professor of Economics, Queen Mary University of London

Ragupathy Venkatachalam Lecturer in Economics, Goldsmiths, University of London

Bhaskar Vira Professor of Political Economy and Head of Department of Geography, University of Cambridge

Robert H. Wade Professor of Global Political Economy, London School of Economics and Political Science

Geoff Whittam Reader Glasgow School for Business and Society, Glasgow Caledonian University

John Weeks Professor Emeritus of Development Economics, SOAS University of London

Rafael Wildauer Lecturer in Economics, University of Greenwich

Richard Wilkinson Professor Emeritus of Social Epidemiology, University of Nottingham.

Christina Wolf Senior Lecturer in Economics, Kingston University

Adrian Wood Emeritus Professor of International Development, University of Oxford

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