PMQs review: professor Miliband gives Cameron an economics lesson

The Labour leader had the stats on his side but will voters accept his distinction between 'good' borrowing and 'bad' borrowing?

It's often forgotten that Ed Balls isn't the only economist on the Labour frontbench; Ed Miliband also taught the subject at Harvard while on sabbatical from the Treasury and he gave David Cameron a suitably stern lesson at today's PMQs. In a stat-heavy assault on the coalition's economic record, he reminded Cameron that the economy had grown by just 0.4 per cent since October 2010 (it was expected to grow by more than five per cent), that the UK had grown more slowly than 17 of the G20 countries and that this was now the weakest recovery for more than a hundred years. 

Confronted by that record, Cameron played a bad hand as well as he could. He was aided by Labour MPs who foolishly cheered when he conceded that the economy shrank by 0.3 per cent in the most recent quarter, an error that the PM quickly pounced on. "Only honourable members opposite could cheer that news," he fumed. From there, he ridiculed what he called Labour's "three-point plan": "more spending, more borrowing more debt". 

After Miliband noted that the deficit so far this year was £7.2bn (7.3 per cent) higher than last year, Cameron replied, "if he thinks there's a problem with borrowing, why does he want to borrow more?" It is the question that Labour has struggled to answer since the election. The Tories' credit card analogy may be a hackneyed one but it is easier to explain to the electorate than Keynes's paradox of thrift. In response to Cameron, Miliband cried: "he's borrowing for failure!" The Labour leader's hope is that the public will distinguish between the coalition's 'bad' borrowing, driven by higher welfare bills, and his party's 'good' borrowing (a VAT cut, national insurance holiday, higher infrastructure spending and the like). But without explicitly declaring that Labour would borrow for growth (and explaining why), he risks reinforcing the impression that borrowing is always and everywhere a bad thing. 

Miliband, aware that polls show more voters continue to blame Labour (26 per cent) for the cuts than the coalition (21 per cent), has never conceded that his party would, at least temporarily, borrow more than the coalition. For now, with the public more worried about the disappearance of growth, he can avoid further scrutiny. But at some point before the election, Labour will need to say what its plans would mean for deficit reduction. Anything else will allow the Tories to claim they'd make "the same mistakes" all over again. 

Ed Miliband said that David Cameron was "borrowing for failure". Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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5 times Hillary Clinton completely owned Donald Trump

The Democratic presidential candidate called out her rival on multiple occasions. 

Only 5 per cent of what Republican Presidential candidate Donald Trump says is true, according to the fact checkers Politifact. And yet for months his outspoken comments on race, his business acumen and most of all his rival's emails has sustained his campaign.

But when the two candidates stood head to head in the first debate, Hillary Clinton was the clear winner. Here are some of her best quotes:

1. Nuclear tweets

"That is the number one threat we face in the world and it becomes particularly threatening if terrorists ever get their hands on any nuclear material. So a man who can be provoked by a tweet should not have his fingers anywhere near the nuclear codes as far as I think anyone with any sense should be concerned."

2. Racist lies

"He has really started his political activity based on this racist lie that our first black president was not an American citizen."

3. Zero taxes

"Maybe he doesn't want the American people to know that he's paid nothing in federal taxes, because the only years anybody's ever seen were the couple of years when he had to turn them over to state authorities when he was trying to get a a casino licence, and they showed he didn't pay any federal income tax. So if he's paid zero, that means zero for troops, zero for vets, zero for schools or health. I think probably he's not all that enthusiastic about having the rest of our country see."

4. Pigs and slobs

"This is a man who has called women pigs, slobs, and dogs. Someone who has said pregnancy is an inconvenience to employers, and has said women don't deserve equal pay unless they do as good a job as men."

5. Little guys

"If your main claim to be President of the United States is your business, I think we should talk about that. Your campaign manager said you built a lot of businesses on the backs of little guys. And indeed, I have met a lot of people who were stiffed by your and your businesses, Donald. I've met dishwasers, painters, architects, glass installers, marble installers, drapery installers, like my dad was, who you refused to pay when they finished your work that you asked them to do.

"We have an architect in the audience who designed one of your club houses on your golf courses. It's a beautiful facility it was immediately put to use, and you wouldn't pay what the man needed to be paid - what he was charging you.

"Do the thousands of people who you have stiffed over the course of your business not deserve some sort of apology?"

4. Negative painter

"It's really unfortunate that he paints such a dire, negative picture of black communities in our country."

5. Fact check

Donald Trump: "You're telling the enemy everything you want to do. No wonder you've been fighting Isis your entire adult life."

Clinton (68): "Please, fact checkers, get to work!"