The post 2008 recession has seen the longest decline in real GDP on record. 55 months after the peak output of 2008, the UK economy is still 4% below it’s peak. By contrast, in the same time frame during the early 1930s, the economy had recovered to be more than 2% higher than the 1930 …
Frequently we hear the argument that there is no austerity in the UK. Government spending has even continued to rise during the recession. Some would even go so far as to say that the modest rise in government spending is proof that expansionary fiscal policy is a failure, and we should actually be cutting government …
Readers Question: to what extent did the EU recession cause the UK recession? In economics often several factors occur at the same time, and it is difficult to give a weighting to the importance of each factor. To some extent, people will emphasise the factors which best suits their outlook / beliefs. It is no …
In the past five years, the UK has experienced an unprecedented period of stagnant economic growth. The fall in real GDP is longer than even the great depression. Given the unusually depressed nature of the economy, what policies could the UK pursue to boost economic growth and recovery? Here are eight possible policies with their …
Universal credit is a new means-tested benefit, which, in October 2013, will replace several different means-tested benefits, such as: income-based Jobseeker’s Allowance income-related Employment and Support Allowance Income Support Child Tax Credits Working Tax Credits Housing Benefit. The aim of universal credit is to provide a simplified means-tested benefits system, which provides income to those …
In the post-war period, consumption of vehicle fuel (petrol / diesel) increased dramatically as car ownership rose and more journeys were made by car. However, since 2007, there has been a significant drop in vehicle fuel consumption, with demand falling over 20% Many factors affect demand for vehicle fuel, including price, income, fuel efficiency, quality …
Readers Comment from post: Should the UK join the Eurozone So now it is 2013. Britain has spent a number of years with its interest rate set at just about zero, has entered a triple recession, has lost it’s AAA credit rating and Sterling is only worth €1.15 a drop of over 30% against the …
Looking at the economic factors which will influence the value of the Pound Sterling to the Euro in the future.