The price of oil reached another record high yesterday – $125 Brent Crude oil reached $126 US light crude oil reached $128 before setting back to $127 This means that, even adjusted for inflation, oil is now close to the all time high, last reached in the 1970s. What are the reasons behind the Recent …
Readers Question: Why is US in Recession? According to the latest statistics provided by the Economist April 24th 2008 US economic growth is 2.4% year on year. In the last quarter, growth is 0.6%. This is still a long way off the technical definition of a recession – negative economic growth for two consecutive quarters. …
Readers Question: explain why two sectors of the UK economy are growing faster than other sectors ? According to the Office of National Statistics for March 2008 Retail Sales Volume Seasonally Adjusted (2000=100) increased to 140.3 an annual growth rate of 4.7% Manufacturing grew at only 0.9% Services grew at 3.2% latest statistics at ONS …
Readers Question: The Bank of England has released £15bn into the economy. That increase in the money supply will surely cause inflation? So interest rates having fallen will be raised, worsening the housing market and making the credit crunch even worse, not better….surely? The Bank of England is planning to inject money, primarily into the …
A.Darling’s first budget is good news for those who don’t drink, smoke or buy SUVs. No major changes, but these are some of the main features of the budget. Cigarettes up 11p a packet of 20. Beer up by 4p a pint, wine 14p a bottle, spirits 55p a bottle. Duties on alcohol will go …
On March 12th, Alistair Darling will deliver his first budget. With the economy slowing down, he is not left with much room for manoeuvre. Tax Revenues are less than the government hoped and the National debt is likely to soon exceed the government’s self imposed ceiling of 40% of GDP. In 2008-09 Mr Darling will …
Readers Question: i was wondering if u could give me some insight on how these macroeconomic factors will affect household consumption in 2008/2009. thanks Consumer Spending in the UK This graph shows the strong correlation between consumer spending and economic growth. Since 2005, consumer spending has continued to increase at an average of about 3% …
Readers Question: how the unemployment and inflation is related to country’s economy If we take the example of the UK, we can see differing examples of how unemployment and inflation are related to a country’s economy. The key to this question is what causes unemployment and inflation. There are several different factors, but it is …