Macroeconomics: UK economy, IB Economics
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Macroeconomics: UK economy, IB Economics
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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Food security threatened by extreme flooding, farmers warn

Food security threatened by extreme flooding, farmers warn | Macroeconomics: UK economy, IB Economics | Scoop.it

Record-breaking rainfall leaves fields under water, threatening this year's harvest yield and quality.

Graham Watson's insight:

This could be Microeconomic - D&S - but I've put it here because I'd like you to think about it in simple terms. How would you show this on a Production Possibility Curve (PPC)? 

 

Then extrapolate: what does a reduction in food security mean for the main macroeconomic objectives: economic growth, inflation, unemployment, the Balance of Payments and inequality. Always, everywhere, economics in action. 

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How does Brexit affect the pound?

How does Brexit affect the pound? | Macroeconomics: UK economy, IB Economics | Scoop.it
Sterling has had a volatile couple of years since the UK voted to leave the European Union. Why?
Graham Watson's insight:

An entry level piece about the nature of currency prices, and how Brexit has affected the value of the pound - a really good little introduction to this topic, which gets you thinking about the things that move currency values and their broader macroeconomic implications.

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UK facing 1970s-style balance of payments crisis under Liz Truss | Sterling | The Guardian

UK facing 1970s-style balance of payments crisis under Liz Truss | Sterling | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Tax cuts and spending pledges could alarm global markets and trigger a 30% collapse in sterling, Deutsche Bank warns
Graham Watson's insight:

And as if the economic growth/inflation balancing act isn't enough, the Guardian also flags up the fact that there are concerns that the nation faces a balance of payments crisis. With the current account deficit at record levels, and there already being the need for high levels of net capital inflows there are concerns that tax cuts and increased spending are going to see even greater need for capital inflows and that these cannot be guaranteed.

 

As a result, some fear that the pound is going to depreciate further with all sorts of adverse implications. Watch this space....

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