New AS Economics – Edexcel revision guide

New AS Economics – Edexcel revision guide

I have just finished the new version of AS Edexcl economics revision guide. It is updated for the new syllabus, which will be used for first exam in 2016. The Edexcel AS revision guide is 108 pages, 20,800 words. More details here: AS Edexcel Revision Guide £5.00 Network license for schools For schools, I am making available as a network license allowing unlimited use, with word doc. Coming soon I will be finishing A2 revision guide. I will soon be bringing out revision guides for…

Effects of a budget surplus

Effects of a budget surplus

The chancellor George Osborne has recently announced a plan to enshrine budget surpluses in law. It is worth noting, that budget surpluses are quite rare in the past 120 years. The argument of the chancellor is that with national debt ‘unsustainably high’ – periods of economic growth should be taken as an opportunity to pay down debt and reduce the burden for future generations. What is the impact of a budget surplus? 1. Higher taxes / lower spending. To ensure a budget surplus,…

Can Labour be blamed for the economic crisis?

Can Labour be blamed for the economic crisis?

Readers Question 1. Can Labour be blamed for the economic crisis (i.e. did they really ‘overspend’)?  My view is that the global economic crisis is to blame, and that Labour could have spent less but that this is easy to say with the benefit of hindsight. I don’t think there is any economist who would try to blame the global financial crisis and global recession on the fact the Labour government increased spending on the NHS / education by a relatively moderate amount. The global recession of 2008-13 was caused by…

Revision-Guide-AS-A2

New economics AS and A2 syllabus

There has been an update to the economic syllabus for those taking A2 exams in 2017. It means that students starting to study Economics AS in Sept 2015, will be doing the new syllabus, with first AS exams in June 2016, and the first A2 exams in June 2017. Students who have already started economics AS this year, will be unaffected and they will continue with the existing syllabus. Major changes AS and A2 will be linear. AS exams will not count towards final A2…

UK-unemployment

Problems facing UK economy in 2015

Reader Question: What Are The Macro-Economic Problems Faced In UK In 2015? And What Are The Reasons And Causes? Only time for a quick answer. Off the top of my head 5 problems for UK economy Low economic growth Low productivity growth Budget deficit / perceived need to cut deficit. Low wage growth Unemployment   1. Low economic growth This might not be most obvious because UK has experienced a recovery in the past two years. But, the economic recovery is still weak, with…

public-sector-debt-ons

UK National Debt

The UK national debt is the total amount of money the British government owes to the private sector and other purchasers of UK gilts. In April 2015, public sector net debt excluding public sector banks (PSND ex) was £1,487.7 billion (80.4% of GDP) Source: (page updated June 1st 2015) Budget deficit – Annual Borrowing This is the amount the government has to borrow per year. In 2012/13 net borrowing was £115bn (7.4%) (Excluding Royal mail and transfers) In 2013/14 net…

placeholder

Diverted profit tax

Firstly, sorry for the low levels of blogging recently. I am working on a new site, waiting for some outside developers. Secondly I am working on completely new Revision Guides for the new economic syllabus coming out soon. It meant I didn’t do much blogging around the general election – which is perhaps a blessing in disguise. It still annoys me it is so hard to separate fact from political spin (e.g. Government spending under Labour government)- but that’s life. I do try to be ‘balanced’…

Government Spending under Labour

Government Spending under Labour

During the years 1997-2007, there was a significant rise in government spending, though as a % of GDP the rise was less marked. Source: ONS Public Sector Finances MF6U – October 2014 Government spending as a % of GDP A more meaningful comparison is to look at the share of government spending as a % of GDP. In 1996-97 – Government spending as a % of GDP 40% In 2007/08 – Government spending – 41% of…