Given all the attention that the recession has had for months in the media, it may be surprising to find out that in fact Britain only went into recession officially today (January 23rd 2009). This is because, as economists, we have a more precise definition of recession than much of the media. A recession is when there is two successive quarters of negative economic growth. Figures released by the ONS today, show that this is finally the case. The links below give a flavour of the media attention dedicated to this announcement.
Recession Britain: It’s official Guardian (23/1/09)
Countdown to recession Guardian (23/1/09)
No end to the melodrama Guardian (22/1/09)
Recession: we knew it was coming, but we didn’t know it would be this bad Times Online (24/1/09)
Recession: Sector-by-sector breakdown Times Online (23/1/09)
It’s official – Britain is in recession Times Online (23/1/09)
UK in recession as economy slides BBC News Online (23/1/09)
Recession figures heighten the gloom Independent (23/1/09)
UK recession: It’s official and the worst since 1980 Telegraph (23/1/09)
UK recession: How does this one compare to those since 1945 Telegraph (23/1/09)
UK recession: It’s now official Telegraph (23/1/09)
- Explain the principal reasons why the UK has fallen into recession.
- Discuss the extent to which the UK recession is likely to be worse than in other countries in Europe.
- Analyse whether the policies adopted by the UK government will reduce the length and depth of the UK recession.
- Evaluate two further policies that the governmnt could adopt to reduce the depth of the recession.
- Assess which sectors of the economy are likely to suffer (a) the most and (b) the least, as a result of the recession.