Boldness rather than the Bank's advice
I'm worried by the mood music emanating from the Governor of the Bank of England.
Calls for fiscal restraint were what came out of the BoE and Treasury establishment in 1931 and led to the collapse of the MacDonald Labour Government once it became clear the only way to exercise that restraint was to make terrible spending cuts that made the Depression worse not better.
Unlike Ramsay MacDonald, Gordon Brown should thank Mr King kindly for his advice and ignore it and push ahead with reflationary measures.
We haven't had much of a fiscal stimulus in the UK so far - 1.5% of GDP compared to 4.8% in the US, 3.4% in Germany.
I hope the Budget will include bold measures such as Stephen Byers' suggestion this week that the 2.5% VAT cut should be diverted into raising income tax personal allowances by £1,520 to £7,995, taking 1.7 million low-paid workers out of paying income tax and giving everyone £304 to spend on boosting the economy.