Nobody downloaded yet

Impact of Recession on the UK Economy - Essay Example

Comments (0) Cite this document
Summary
This paper "Impact of Recession on UK Economy" focuses on the recession in the UK has traveled down from the failure of banks in the US. The cascading effects of globalisation have made almost all major economies around the world vulnerable to the recessionary trends…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER95.6% of users find it useful
Impact of Recession on the UK Economy
Read TextPreview

Extract of sample
"Impact of Recession on the UK Economy"

Download file to see previous pages It was around that time when the government realized the seriousness of the issue. There are indications that things might be looking up, as we move along with the range of stimulus packages. The unemployment rate in the UK experienced a dip of 0.1 percent and it stood at 7.8 percent in January 2010. But this figure is still 1.6 percent higher than that of last year, which makes thinks worrisome for the government (HRM Guide, 2010). Official figures indicate that the average earnings in the UK have certainly bounced back in the recent past.1
Fig-1 indicates that there are indeed some recovery signals in the economy, as the earning potential of an average Briton is coming back to the comfort zone. What could be of some concern however is, the falling graph of earnings in the latter part of 2009. Monk (2009) also cites the October 2009 figures from the Office for National Statistics to highlight the higher number of borrowings in the UK. The figure stood at 11.4bn in October, far higher than the forecast figure of 7.1bn. The consistent increase of net debt as a percentage of the GDP over the last couple of years has made UK economy more of a debt economy. OCED has also issued warnings to the effect that the UK needs to put in place its fiscal measures to unburden itself from the pile of debt. It was predicted by some analysts in 2008 when the initial signals of the recession started emerging that during the coming two years UK economy would be experiencing its weakest patch of the last 15 years (BBC, 2008). Well, if trace the journey of the recession, these concerns seem to have come true.

Taking a historical perspective UK had a population of 38 million with GDP of just under 125 billion at constant 1995 market prices. By the end of the century, the population stood at 59 million with an increase of more than 50 percent while the GDP stood at 800 billion, registering a fivefold increase (Lindsay, 2003). The benefits of globalization seem to have percolated down to all sections of the society in good measure. ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Impact of Recession on the UK Economy Essay Example | Topics and Well Written Essays - 2000 words”, n.d.)
Impact of Recession on the UK Economy Essay Example | Topics and Well Written Essays - 2000 words. Retrieved from https://studentshare.org/macro-microeconomics/1528922-impact-of-recession-on-uk-economy
(Impact of Recession on the UK Economy Essay Example | Topics and Well Written Essays - 2000 Words)
Impact of Recession on the UK Economy Essay Example | Topics and Well Written Essays - 2000 Words. https://studentshare.org/macro-microeconomics/1528922-impact-of-recession-on-uk-economy.
“Impact of Recession on the UK Economy Essay Example | Topics and Well Written Essays - 2000 Words”, n.d. https://studentshare.org/macro-microeconomics/1528922-impact-of-recession-on-uk-economy.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
UK economy during 2008 recession
...Explain what UK government has done during 2008 recession using monetary and fiscal policy. The UK came into recession after hike in international oil prices that adversely affected UK’s trade bill and resulted in subsequent increase in energy prices within UK. The rapid increase in production costs due to higher costs of doing business resulted in inflation; thereby reducing consumer purchasing power and real incomes. For instance, the consumers sharply cut down their spending amid low real incomes, which led to negative GDP growth, aggregate consumption, production and saving (BBC Article, 2008). It is worth mentioning that decline in...
4 Pages(1000 words)Essay
The British Economy Recession
... The British Economy Recession Foreword: This research paper analyzes the reasons of the British economy recession in 20th century. Thesis: During the whole 20th century there were three main reasons of the country’s decline that could be named. In 1901 with the death of Queen Victoria the United Kingdom was on the threshold of the new economically developed era. While the USA and Germany were developing greatly the UK was still lagging behind in its manufacturing and economic indicators. During the whole 20th century there were three main reasons of the country’s decline that could be named. The first reason refers to the very beginning of...
4 Pages(1000 words)Essay
Impact of Global Recession
...moved in with different incentives and packages, provided stimulus to the economy, which led to the rise of optimism in the economy (UN, 2010). Oil prices, therefore are the ‘barometer of the world economy’. A ‘recession’ shock created a massive amount of change in the oil market as observed from the demand and supply analysis above. The global financial crisis had a cyclical effect, in the sense that lower demand for oil triggered an even lesser demand for this energy source. This had been the first time that oil demand had fallen by such a large extent after the 1980s. Therefore, the demand and supply of the oil market has been adversely under effect due to the...
11 Pages(2500 words)Essay
Recession in UK
...is that recession comes after there is an extensive drop in spending. In combating the problem of inflation, governments usually adopts expansionary macroeconomic policies. These involve increasing the amount of money in circulation, decreasing taxation and increasing government spending. In looking at the case of the UK Economy, it is a good example of the whole process of the period before recession and the macroeconomic conditions prevailing then, the start of recession and the conditions then, the whole recession period and the effect of the government actions on macroeconomic parameters and finally how the economy...
5 Pages(1250 words)Essay
Is the UK economy out of recession
...prime-mortgage crisis in 2007 in the United States transformed into a global recession. The financial and economic activities of about all the countries have been severely affected by this sub prime-mortgage crisis. The industrialised economies have been hit hard in this crisis. The UK economy underwent the impact of this crisis in the second quarter of 2008. During this period, UK faced the largest contraction in economy on record. However, the latest statistics of UK are predicting that era of soaring borrowing and economic downturn is over. Therefore, in this report, through official statistics,...
8 Pages(2000 words)Essay
Is the UK economy out of recession
...Is the UK economy out of recession? The worldwide recession precipitated by the financial crisis in the United s has had disastrous consequencesfor the UK economy as well. This most recent episode of recession in the UK happens to be the worst it had faced in the period following the Second World War. Based on the GDP numbers for the years 2008 and 2009, one learns that “the economy contracted even more sharply than previously thought in the first quarter of 2009: 2.4 per cent compared to the preliminary estimate of a 1.9 per cent contraction.” (Lynch, 2009) The promising rise of...
8 Pages(2000 words)Essay
Is the UK economy out of recession
...percentage points and injected £175 billion into the economy. This quantitative easing has helped in stimulating the aggregate demand and is also an important element for UK to recover from the recession. However, the full impact of this monetary relaxation will not be evident within a short period as certain lags are bound to occur. We have analyzed a wide range of indicators which emphasize that UK is recovering from recession; however, there are other indicators which indicate that recession could be protracted and long. At the current moment, UK is at very early stages of a resumption of...
8 Pages(2000 words)Essay
Economy recession
...Running Head: ECONOMIC RECESSION The Great Economic Recession of 2008-2009 and US Policies Institute The Great Economic Recession of 2008-2009 and US Policies The US economy was faced with a massive economic crisis during 2008 and 2009 with major industries facing a collapse. The banking industry had received a blow in the form of the disintegration of Lehman Brothers. The housing and auto industries were subsequently affected. Rigorous policies were made and implemented by the policy makers which have received severe criticisms, yet they have proved to be priceless as no one has been able to adequately quantify the results of the converse. The US policies were spread...
1 Pages(250 words)Assignment
The UK post-recession economy
...An analysis of entrepreneurial theory and its relevancy to the UK post-recession economy Introduction Between the years 2008 and 2010, the United Kingdom experienced a double-dip recession that dramatically impacted the economic stability of the country. It is alleged that the recession began in the United States due to practices of large banks providing variable rate mortgage loans to consumers, which by 2006 had encompassed 20 percent of all U.S. home loans (Simkovic 2011). Concurrently, risky investor behaviours in the capital market, an improper federal regulatory environment, and the growing trend of investment firms offering...
16 Pages(4000 words)Research Paper
Recession in the economy
...Introduction A recession is a period in an economy when there are reduced economic activities majorly due to a crisis in world issues. For instance, the 2008 economic crisis which led to negative growth in countries leading to the little motivation of the public on various economic sectors. The period is characterized by low consumption patterns since the general population has little to spend or the prices of the standard commodities are high (Auerbach, Alan and Yuriy,pg 12). Investments are significantly reduced while unemployment are all time high in the respective countries. Hence, countries are expected to come up with various macro and microeconomic policies that spur positive growth so that their economies can recover... discussed...
2 Pages(500 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Let us find you another Essay on topic Impact of Recession on the UK Economy for FREE!
logo footer
Contact us:
+16312120006
Contact Us Now
FREE Mobile Apps:
  • StudentShare App Store
  • StudentShare Google play
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • Miscellaneous
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us