Macroeconomics: UK economy, IB Economics
10.5K views | +2 today
Follow
Macroeconomics: UK economy, IB Economics
A brief overview of relevant articles for IB, A-Level and Pre-U economists relating to the UK economy
Curated by Graham Watson
Your new post is loading...
Your new post is loading...
Scooped by Graham Watson
Scoop.it!

Post-Brexit immigration plan would damage UK economy, May told | Politics | The Guardian

Post-Brexit immigration plan would damage UK economy, May told | Politics | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
CBI conference delegates fear shortage of workers after ‘pulling up the drawbridge’ to EU
Graham Watson's insight:

Surprise, surprise: another Brexit story. This time it's the response of the CBI to the Brexit deal, with the business organisation concerned about future immigration and the costs of this to the UK economy.

 

They argue that restrictions on immigration will reduce the size of the labour force, having adverse implications for the UK supply-side and by definition, competitiveness. Mrs.May on the other hand, has probably worked out that the bulk of Brexiteers don't really care about the underlying economics, but need some anti-immigration rhetoric to keep them onside.

 

It's a difficult balancing act - and you might argue that the CBI, the government, and the economically-literate have a duty to educate those people who think that immigration is a bad thing.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Reality Check: Can you be 'employed' for one hour's work?

Reality Check: Can you be 'employed' for one hour's work? | Macroeconomics: UK economy, IB Economics | Scoop.it
How many hours do you need to work to be officially classified as "employed"?
Graham Watson's insight:

The BBC's Reality Check team with the oddest story of the day.

 

In fact, you can't be classified as employed for one hour's work a week; it's actually one hour's work over two weeks. I think I've worked with colleagues - but not currently - who probably applied themselves to the job with such dedication.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

UK running out of food warehouse space as no-deal Brexit fears rise | Politics | The Guardian

UK running out of food warehouse space as no-deal Brexit fears rise | Politics | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Owners of storage facilities say demand has reached ‘fever pitch’ since last week’s chaos
Graham Watson's insight:

There's an interesting bit of microeconomics here - in that you could use this article to look at the demand for storage space. However, I'm just going to leave it here and suggest that although I'd love to suggest that this is an unintended consequence, and indicative of inefficiency, it's actually all too predictable.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

CBI backs May's Brexit deal and says no deal would lead to shortages | Business | The Guardian

CBI backs May's Brexit deal and says no deal would lead to shortages | Business | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Leading manufacturers make clear they are stepping up planning for no-deal Brexit
Graham Watson's insight:

More Brexit, more good news! Or not as the case may be: the CBI backs Theresa May's deal, but businesses are preparing for no deal too.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

UK's backup power subsidies are illegal, European court rules | Environment | The Guardian

UK's backup power subsidies are illegal, European court rules | Environment | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Surprise judgment means government must halt capacity market scheme
Graham Watson's insight:

The European courts have ruled that British subsidies to ensure that we've got back up power supplies are illegal. However, does the fact that capacity market auctions have been halted have adverse implications for the supply-side.

 

Although the industry assures us that this isn't the case, it's likely that the price of electricity is going to rise as a result. 

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Brexit: Scottish fishing industry calls for clarity

Brexit: Scottish fishing industry calls for clarity | Macroeconomics: UK economy, IB Economics | Scoop.it
Fishing leaders, skippers and traders are seeking more specifics on the draft agreement on leaving the EU.
Graham Watson's insight:

Two thoughts: what Brexit deal? And, they'll be lucky...

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

UK inflation holds steady at 2.4% in October

UK inflation holds steady at 2.4% in October | Macroeconomics: UK economy, IB Economics | Scoop.it
Falls in the cost of food and clothing are offset by rising utility bills and petrol prices.
Graham Watson's insight:

Inflation has remained stable at 2.4% in the last month. And that is all.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Bisto owner plans Brexit stockpile

Bisto owner plans Brexit stockpile | Macroeconomics: UK economy, IB Economics | Scoop.it
Premier Foods is to stockpile raw materials ahead of Brexit as fears grow over gridlock at UK ports.
Graham Watson's insight:

So many angles, where to start? Brexit, efficiency, opportunity cost?

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Survey of British manufacturing shows slump in confidence | Business | The Guardian

Survey of British manufacturing shows slump in confidence | Business | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Finalising Brexit is the ‘single most important action required to restore confidence’
Graham Watson's insight:

Brexit. Uncertainty. Discuss, again. 

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Without a fair tax on tech, it could be the end of the state as we know it | John Harris | Opinion | The Guardian

Without a fair tax on tech, it could be the end of the state as we know it | John Harris | Opinion | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Big tech companies are transforming society without contributing to it, says the Guardian columnist John Harris
Graham Watson's insight:

The Guardian's John Harris looks at the introduction of the digital services tax on the UK economy and why it is necessary. It's kind of a tech rehash of many of the arguments in Mariana Mazzucato's excellent the Entrepreneurial State, but with more of a focus on the capacity of tech firms to engage in a high level of tax avoidance. 

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

85,000 jobs lost from Britain’s high streets as retailers feel the pinch | Business | The Guardian

85,000 jobs lost from Britain’s high streets as retailers feel the pinch | Business | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
New figures reveal surge in the number of businesses going into administration or closing stores as costs rise and shoppers move online
Graham Watson's insight:

Does this article highlight the extent of the High Street's decline - or is it misleading. I'd draw your attention to the difference between dynamic and static analysis - the 85,000 jobs aren't simply lost, in that the workers who've been doing them are likely to find employment in another sector. 

 

Good economists will have an eye for this sort of detail.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Retailers shut 2,700 shops in first half of the year

Retailers shut 2,700 shops in first half of the year | Macroeconomics: UK economy, IB Economics | Scoop.it
Gap between shop closures and openings hits record level as high street turmoil continues.
Graham Watson's insight:

PwC have looked at the state of the High Street and have suggested that the picture looks bleak: the net picture is one of store closures, largely as a result of changing shopping patterns as consumers switch to online shopping.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

UK economic growth tipped to be slowest in Europe next year | Business | The Guardian

UK economic growth tipped to be slowest in Europe next year | Business | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
European commission says UK will join Italy at foot of growth league even with a soft Brexit
Graham Watson's insight:

Brexit. UK. Growth. 

 

Or not as the case might be.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Brexit: The transition period explained - BBC News

Why is a transition period needed after the UK leaves the European Union in March 2019? Reality Check's Chris Morris tackles the terminology.

Graham Watson's insight:

The Reality Check view on the Brexit transition period: that time when we'll be negotiating a new trade deal, when businesses make changes to their processes, and that period when we'll still be part of the economic area, and frictionless trade and the free movement of people will continue.

 

However, what does it mean beyond that point...well, you'll have to watch.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

UK house prices fall by £5,000 on average, with south sliding fastest | Money | The Guardian

UK house prices fall by £5,000 on average, with south sliding fastest | Money | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Britiain’s wealthiest towns hit hardest in November as Brexit uncertainty grips, says Rightmove
Graham Watson's insight:

The housing market is always a good indicator of the state of the economy and, in this case, it doesn't appear to suggest economic strength with the market flat, prices falling and estate agents struggling to sell.

 

That said, the winter months are always associated with less activity than the summer months...

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

UK austerity has inflicted 'great misery' on citizens, UN says | Society | The Guardian

UK austerity has inflicted 'great misery' on citizens, UN says | Society | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Poverty envoy says callous policies driven by political desire for social re-engineering
Graham Watson's insight:

The UN’s rapporteur on extreme poverty and human rights has paid a visit to the UK and, according to the article  ended a two-week fact-finding mission with the conclusion "that levels of child poverty were 'not just a disgrace, but a social calamity and an economic disaster'.

 

He argues that austerity was an ideological choice, and that it fell short of UN standards regarding human rights. That's quite a claim - and it's not surprising that the Guardian reports upon this.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Brexit turmoil: Small businesses 'fed up with the whole thing'

Brexit turmoil: Small businesses 'fed up with the whole thing' | Macroeconomics: UK economy, IB Economics | Scoop.it
Small businesses owners give their reaction to the Brexit talks and the PM's draft Brexit agreement.
Graham Watson's insight:

Brexit summed up in one headline: the use of the phrase "fed up" strikes me as particularly apt this week.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Brexit: A guide to where we are

Brexit: A guide to where we are | Macroeconomics: UK economy, IB Economics | Scoop.it
Theresa May has agreed a draft Brexit deal with Brussels. What happens now?
Graham Watson's insight:

The BBC will a guide to the current state of play in Brexit negotiations: it's a helpful indication of how far along the road we are, although it doesn't point out where we've lost our paddles.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Spanish train firm to create 1,000 jobs at new factory in Scotland | UK news | The Guardian

Spanish train firm to create 1,000 jobs at new factory in Scotland | UK news | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Talgo, which is bidding to win HS2 rolling stock contracts, will build its first UK base in Fife
Graham Watson's insight:

Good news for the Scottish economy with the news that train manufacturer Talgo is going to build a new factory in Fife, creating up to 1,000 jobs. 

 

Positive multiplier effects all round.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Working 9 to 5? – How we count unemployment and what the numbers show | National Statistical

Working 9 to 5? – How we count unemployment and what the numbers show | National Statistical | Macroeconomics: UK economy, IB Economics | Scoop.it

For months now, UK employment has been sitting at or near record highs. Naturally there has been speculation about what is driving the increase, and whether it is mainly because of people on ‘zero hours contracts.’ Jonathan Athow delves into the figures to show how we measure this important figure and what being ‘unemployed’ actually means for official statistics.

Graham Watson's insight:

Just fantastic drilling down into the data from the ONS blog: this detailed guide to how unemployment is calculated is essential reading and explains how the Labour Force Survey measures unemployment.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Wages show fastest rise in almost a decade

Wages show fastest rise in almost a decade | Macroeconomics: UK economy, IB Economics | Scoop.it
Official figures show wages rising at fastest pace since 2008 but a slight rise in unemployment.
Graham Watson's insight:

The latest unemployment data is out, with the first rise in unemployment for a while, but perhaps the most interesting news relates to wage growth. Current annual wage growth is 3.2%, representing the fastest rate of growth in a decade. 

 

You might be able to work through the implications of this for the main macroeconomic objectives.

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Firms 'struggling to recruit as overseas staff stay away'

Firms 'struggling to recruit as overseas staff stay away' | Macroeconomics: UK economy, IB Economics | Scoop.it
A reversal in working migrant numbers is said to show the UK is now less of a destination for workers.
Graham Watson's insight:

Evidence of possible supply-side bottlenecks: with a number of employers suggesting that it's becoming harder to recruit migrant workers, who are vital in certain sectors. And if it's becoming harder to recruit workers, then wages are going to rise, and this might have adverse implications for inflation. 

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

John McDonnell is right to double down on Tory tax cuts | Larry Elliott | Business | The Guardian

John McDonnell is right to double down on Tory tax cuts | Larry Elliott | Business | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Shadow chancellor may seem to have moved right, but he has avoided Hammond’s trap
Graham Watson's insight:

John McDonnell's tax policy is deconstructed by Larry Elliott who argues that the Shadow Chancellor has been cunning in positioning himself and his party's tax policy. 

 

It's worth a read, a good mix of politics and economics. 

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Councils urged to take control of regenerating their town centres | Business | The Guardian

Councils urged to take control of regenerating their town centres | Business | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
Independent review says struggling retailers cannot be relied on to prop up civic space
Graham Watson's insight:

The Guardian are of the view that councils have a role to play in helping regenerate the High Street. But do they? And what's the opportunity cost?

more...
No comment yet.
Scooped by Graham Watson
Scoop.it!

Toshiba's failure shows private sector cannot deliver nuclear future for UK | Phillip Inman | Business | The Guardian

Toshiba's failure shows private sector cannot deliver nuclear future for UK | Phillip Inman | Business | The Guardian | Macroeconomics: UK economy, IB Economics | Scoop.it
As Cumbria reactor plan stalls, it is clear that huge resources are needed for such projects
Graham Watson's insight:

Phillip Inman highlights the fact that Toshiba's withdrawal from the UK nuclear sector has broader implications for the sector as a whole, and they're not good, as far as the UK's productivity and potential growth are concerned. 

more...
No comment yet.