By that he means that when the economy is in a prolonged slump, businesses stop investing in increasing their production, and may even scrap existing capacity, while the out-of-work lose skills and motivation, becoming less employable.

BBC: Budget 2013: Should the government plough ahead with cuts?

But Ive said it was not uncommon for Apple to scrap "incredibly compelling" devices at the production stage if they were not considered game changing, or the design problems were considered deep-seated.

CNN: Apple design chief: We nearly scrapped iPhone

Japanese electric-furnace steelmakers, who complain of scrap-metal shortages, are being forced to cut production.

ECONOMIST: The rising price of cardboard

Germany's decision to scrap all nuclear power and build more coal-fired power stations can only boost production further.

BBC: Coal resurgence calls undermine clean energy commitments

There was also little damage from the supply side as a dip in scrap and the swing to net de-hedging outweighed a modest rise in mine production.

FORBES: Silver Institute: Silver Investment Rises In 2012 But Fabrication Dips

The government wants to scrap the current system of EU farm subsidies by taking the money out of food production to fund projects that sustain the rural environment.

BBC: Struggling farmers urge PM to retain EU subsidies