UK has no capacity to spare

In last Sunday's London Telegraph, the economics editor tackles the contradictions of a healthy, growing economy--the demand is getting higher, but we don't have room to feed it. Yikes! He writes

Corporate investment used to be about buying big machines or taking on more staff - both of which would increase the ability of firms to deliver, helping to lower inflation as the economy continued to grow.

But business investment is now a lot more about restructuring, deal-making and speculating - boosting the bottom line not by increasing scale, but by cutting costs. Typified by the emergence of private equity, this new wave of corporate expansion represents, in many ways, an economic contraction.

While great news for shareholders and company executives, this latest wave of business investment has often brought bad news for the "down-sized" workers.

So Much Growth, So Little Spare Capacity (telegraph.co.uk)