In her time, Margaret Thatcher reformed the UK economy along the US lines: denationalising, cutting social spending and, most importantly, making the financial sector the most important source of revenue.The special relationship mentality has finally backfired. The perceived commonality with the Trans-Atlantic Big Brother made Britain forget that it is not in the big boys league any more. Apart from the very obvious difference in economy scale, the US has a vast production base, which, sadly, on its own soil the UK has chosen to let die.
As a result, America has been able to absorb the credit crunch shock with a bailout that amounted to a hefty quarter of its GDP. For the UK, however the price was close to its whole annual GDP.
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