Macroeconomics: UK economy, IB Economics
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Macroeconomics: UK economy, IB Economics
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A brief overview of relevant articles for IB and A-Level all relating to the UK economy
Curated by Graham Watson
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Bank of England keeps interest rates at 5.25% but hints at a June cut | Interest rates | The Guardian

Bank of England keeps interest rates at 5.25% but hints at a June cut | Interest rates | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.theguardian.com - May 9, 8:47 AM
Policymakers say they want to see more evidence that price pressures are easing before reducing rates
Graham Watson's insight:

The Guardian take on today's interest rate decision: effectively saying the same thing but perhaps providing a little bit more information about some of the headwinds that have persuaded a few MPC members to stay their hand. In this case, it's the fear of supply chain disruption, linked to the Middle East that some fear will keep inflation higher than would otherwise be the case.

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Tories don’t have an answer to the cost of living crisis, because they are the crisis | Rachel Reeves | The Guardian

Tories don’t have an answer to the cost of living crisis, because they are the crisis | Rachel Reeves | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.theguardian.com - January 31, 2022 4:21 AM
There is much that could give relief – measures Labour has called for – but the government is more interested in distraction
Graham Watson's insight:

The Shadow Chancellor has penned a piece for the Guardian about the cost of living crisis, arguing - unsurprisingly - that it's the government's fault. At the margin, this may well be true, but many of the supply-side issues responsible for the rise in inflation are global in nature, and some of this criticism is misplaced.

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Britain’s stalling economy blamed on inflation and product shortages | Economic growth (GDP) | The Guardian

Britain’s stalling economy blamed on inflation and product shortages | Economic growth (GDP) | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.theguardian.com - January 6, 2022 2:02 AM
Last quarter survey of 2021 shows firms worried about raised interest rates, and cash flow and debt issues, prior to plan B Covid rules
Graham Watson's insight:

This Guardian article is pessimistc about the prospects for the first part of 2022, arguing that rising inflation, ongoing supply chain issues causing product shortages and continued coronavirus uncertainty all mean that there's little sense that the growth is going to be anything other than moribund. Are the right? Time will tell.

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From coffee to microchips – how the supply chain crisis is disrupting UK plc | Supply chain crisis | The Guardian

From coffee to microchips – how the supply chain crisis is disrupting UK plc | Supply chain crisis | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.theguardian.com - September 10, 2021 12:00 PM
All you need to know about who is affected and why it’s the worst supply chain crisis since the 1970s
Graham Watson's insight:

The Guardian, seemingly delighting in the worst supply chain crisis since the 1970s. 

 

Just look at the state of the economy. 

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'Our customers are worried about the Suez Canal blockage'

'Our customers are worried about the Suez Canal blockage' | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.bbc.co.uk - March 27, 2021 3:11 AM
A freight-forwarding firm says it has 20 containers stranded on the Ever Given container ship.
Graham Watson's insight:

This article looks at the effect of the blockage of the Suez Canal on British businesses, with many firms facing the prospect of struggling to get hold of stocks and enduring higher costs, although shipping costs had already been rising. 

 

Just a parochial look at how the current 'crise du jour' has started to affect the UK economy. 

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Ukraine war and China lockdowns drive fastest UK price rises in years | Inflation | The Guardian

Ukraine war and China lockdowns drive fastest UK price rises in years | Inflation | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.theguardian.com - May 4, 2022 2:51 AM
Inflation on toys, furniture and clothing rose to 2.2% last month, the highest rate for 15 years
Graham Watson's insight:

Another indication that inflation is rising at a rapid rate, with non-food price inflation up, global supply chain problems and the war in Ukraine continuing to stoke the cost of living crisis.

 

Equally, there's evidence that consumers are feeling the pinch too - with more people looking to access credit to fund their purchases.

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Cost of living rising in UK - BBC News

From www.youtube.com - January 30, 2022 5:40 AM

The cost of living is rising in the UK, and it's changing people's lives. Growing inflation, supply-chain shortages and changing demand are having a big impact on sticker price.

Ros Atkins reports on the causes - and the people most effected.

Graham Watson's insight:

The currently feted Ros Atkins reports on the rising cost of living in the UK, with inflation reaching 5.4% and expected to rise further. What has caused the rise in inflation and how it has affected people. 

 

There's lots to think about the causes of inflation - not least issues with the global supply chain and the ongoing energy crisis - and the costs of inflation, especially for the poorest in society. 

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Sainsbury's says supply issues won't hit Christmas

Sainsbury's says supply issues won't hit Christmas | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.bbc.co.uk - November 4, 2021 11:06 AM
The supermarket says its size and relationships with suppliers put it in good stead.
Graham Watson's insight:

Sainsbury's are reporting that Christmas is safe. 

 

Or rather that supply chain issues won't spoil our enjoyment of it. I'll reserve judgment, thank you.

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Scooped by Graham Watson
Scoop.it!

Oxford Mini production to halt due to chip shortage

Oxford Mini production to halt due to chip shortage | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.bbc.co.uk - April 28, 2021 4:14 PM
Production at the company's Oxford plant will be suspended for three working days.
Graham Watson's insight:

Another car manufacturer, in this case, Mini, have announced a temporary halt to production as a result of the global chip shortage. Is this going to be a permanent feature of the global supply chain. 

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Rishi Sunak must do more to cushion economic fallout of Covid controls | Richard Partington | Business | The Guardian

Rishi Sunak must do more to cushion economic fallout of Covid controls | Richard Partington | Business | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
From www.theguardian.com - December 21, 2020 5:24 AM
Christmas may be the focus but restrictions will probably be in place well beyond festive season
Graham Watson's insight:

If you're after Christmas cheer, then Richard Partington's article probably isn't for you, flagging up as it does the risks of further setbacks to the economy in the next few months, notably the level of unemployment and the need for greater support of the unemployed, and the upside risks of inflation. #

 

The latter isn't just a side effect of Brexit, but according to Charles Goodhart and Manoj Pradhan, the result of a mix of demographic change and the collapse of global trading networks.

 

So, Merry Christmas to one and all! 

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