Macroeconomics: UK economy, IB Economics

Larry Elliott looks at the proposal to introduce a global wealth tax of 2%, introduced to a G20 Finance Meeting by Brazil.

He argues that, of course, it will be heavily opposed, but given lower average tax rates being paid by the super-rich, it seems to have more traction than other, similar moves. Apparently, wealthy Americans only pay 8% tax on their incomes, whereas the Biden administration thinks that they should be paying closer to 25%. 

However, there's an awful lot of ground to be covered before such a tax becomes reality. 

Hurrah!

That is all. What a decade!

The UK is forecast to be the worst performing economy, both in the G7 and the larger G20 group of nations in 2023, with the IMF predicting that the economy is going to shrink by 0.3%, before growing by 1% next year. The reasons for this country-specific poor performance include its exposure to high gas prices, high interest rates and its relatively poor trade performance.  

Of course, this is only a forecast, but watch for the response to this: no doubt the government will suggest that the IMF has been notoriously inaccurate in the past.