Tejvan Pettinger - Economics Help

Overcrowding on UK Trains

2 November 2007 by Tejvan Pettinger

Despite rising ticket prices and lower government subsidies, demand for rail travel in the UK is increasing and beating all expectations.

Network Rail have published statistics showing that demand for rail services has increased by nearly 45 per cent between 1996-97 and 2006-0. Annual growth is increasing by about 8%. Yet, the DTI is sticking to its forecast of 3% growth per year, in an effort to avoid spending more money.

Demand for Train Travel is increasing for Various Reasons

Congestion on UK Roads. Demand for roads is also increasing faster than supply. To avoid lengthening traffic jams, people are turning to rail transport
Long period of economic Growth. Higher economic growth causes increased business and therefore increases the demand for transport.
Higher House prices in City Centres. People can often not afford to live close to their place of living, therefore they prefer to commute long distances on trains.
Environmental Awareness – Trains are seen as an environmentally friendly alternative to driving, helping to reduce global warming.
New Services being offered by Privatised Companies.

UK Economic Miracles?

2 November 2007 by Tejvan Pettinger

In the 1980s, The UK introduced many supply side policies such as privatisation, deregulation, and reform of trades unions. The government also cut the higher rate of income tax from 80% to 40%. It was hoped that these supply side policies would create a productivity boom. The government argued this reinvigoration of the British economy would enable a faster rate of economic growth, and overcome the years of under achievement.

The Lawson Boom – The Miracle that never was

In the late 80s, economic growth reached 5% and the Thatcher government started to believe that it had succeeded. It was the era of the Lawson boom; confidence was high, house prices rising and a new feeling of wealth was almost visible (especially in the south) Newspapers and not just the government started to talk of an economic miracle. However, the ‘economic miracle’ was short lived the fast pace of growth caused the economy to overheat. As a consequence, inflation rose to 11% and the government were forced to raise interest rates in an attempt to reduce inflation. The Lawson boom was soon over and the UK was left with a pretty bad hangover: growth fell in 1992, unemployment rose to 3 million, and house prices plummeted by 15%.

Predictions Canadian Dollar 2008

1 November 2007 by Tejvan Pettinger

Forecasts for Canadian Dollar With the Canadian dollar reaching a 130 year high, (Canadian Dollar reaches highest level since 1800 – Reuters) many are asking when the loonies upward momentum will end. The strength of the Canadian dollar is being pushed by several factors: Strong price of commodities such as oil, and precious metals. – …

Is A Strong Canadian Dollar A Good Thing?

1 November 2007 by Tejvan Pettinger

Q. Is A Strong Canadian Dollar A Good Thing? This is an interesting question. The effects of an appreciation are good for some aspects of the Canadian economy, but, create problems for Canadian exporters. The real winners are Canadian consumers who are able to buy US goods at a much cheaper price. US border towns …

Predictions for US Interest Rates 2007

10 March 20201 November 2007 by Tejvan Pettinger

October 31st, 2007, the US federal reserve cut interest rates by a quarter of a point to 4.5%. This follows on from a half point cut, a few weeks ago. The logic for falling interest rates in the US includes: Weak Housing Market – House prices falling, sales plummeting. This negative wealth effect is likely …

Tips on Writing a UCAS Personal Statement

14 January 20201 November 2007 by Tejvan Pettinger

Many students agonise over writing a UCAS personal statement. As a general rule, I suggest keeping it relatively simple – be honest, and give the impression you would be a suitable student for the course. Don’t worry if you haven’t got a huge list of extra curricular activities. At the same time, you don’t want …

Does the UK Need More Supermarkets?

12 December 20171 November 2007 by Tejvan Pettinger

The Future? Tesco’s is the UK’s leading supermarket, with an estimated market share of 31.5% Yesterday, the competition commission suggested that the Supermarket’s dominance was not due to unfair trading practices. After a long investigation of the British supermarket industry, the Competition Commission have concluded: Supermarkets are not competing unfairly The dominance of big supermarkets …

Guide To Mortgages

20 January 20201 November 2007 by Tejvan Pettinger

In the UK, there is a strong desire for people to own their own house. This deep seated desire is one of the factors behind the extraordinary rise in UK house prices. However, the cost of houses means that it is becoming increasingly difficult for people to get on the property ladder. To be able …