The financial crisis and economic downturn have started to impact on unemployment which, in the UK, has risen at the fastest rate for 17 years. A study by the International Labour Organisation (ILO) has said that the downturn may add 20 million to the global unemployment total bringing the figure to around 210 million.
Unemployment rises at fastest rate in 17 years Times Online (15/10/08)
Smoke clears to reveal the monster of rising unemployment Guardian (19/10/08)
Unemployment total may be more than 2 million by Christmas Guardian (16/10/08)
Back to the future? No, thanks Guardian (15/10/08)
White collar workers next victims as unemployment accelerates Times Online (16/10/08)
World jobless ‘to add 20 million’ BBC News Online (20/10/08)
UK recession is here to stay, experts warn Telegraph (26/10/08)
Recession Britain: Just how bad is it … and will it get much worse? The Independent (25/10/08)
Questions
| 1. |
Explain the likely impact of the economic downturn on the UK labour market. |
| 2. |
Discuss the view that “Unemployment won’t be solved by labour market flexibility ……. “. |
| 3. |
Assess policies that governments around the world can adopt to try to mitigate the likely impact of a 20 million rise in unemployment. |
Russia has been growing rapidly. Average earnings have recently been growing at 20% a year and consumption growth has not been far behind this. Moscow apparently has more ‘6-series BMWs’ than any other city in the world. With Vladimir Putin now the prime minister he has promised to rein in inflation and boost social spending on housing and infrastructure. So what are the prospects for Russia in the next decade?
Russia: giant of a new economic world order Observer (25/05/08)
Vladimir Putin pledges to transform economy of Russia into a world leader Times Online (9/05/08)
Putin in 2020 pledge on economy BBC News Online (8/05/08)
Questions
| 1. |
Assess the recent economic performance of the Russian economy. |
| 2. |
Examine the importance of oil to the Russian economy. What can the Russian government do to reduce the dependence on oil revenues? |
| 3. |
Discuss the importance of infrastructure and spending on other social capital for the development of the Russian economy. |
The article linked to below is an extract (printed in the Guardian) from a new book by Dan Atkinson and Larry Elliott (economics editor for the Guardian). The introduction to the article summarises its theme quite effectively:
“We don’t manufacture anything any more. Most of the world won’t buy our records or watch our films. Only our gift of the gab is keeping Britain’s economy ticking over. But how long can the hot air last, ask Larry Elliott and Dan Atkinson “
Talk is cheap Guardian (18/5/07)
Questions |
| 1. |
Explain the underlying trade performance of the UK in recent years for (a) trade in goods and (b) trade in services. |
| 2. |
“Labour believes Britain is at the cutting edge of the knowledge economy and that Britain’s well-educated (sic), highly skilled (sic) and entrepreneurial (sic) workers are ready to kick German, American, Japanese and Chinese butt all round the global village.” Discuss the extent to which this is true. |
| 3. |
Assess the extent to which the theory of comparative advantage can help explain the differences in trade performance outlined in the article. |
President Hugo Chavez of Venezuela has built up the pace of turning Venezuela into a socialist state with sweeping reforms, including extensive nationalisation. This has always been a controversial policy (not least with the private companies which will be taken into state ownership) and threatens to create further social tension in Venezuela.
Nationalisation sweeps Venezuela BBC News Online (15/5/07)
Questions |
| 1. |
What are the economic implications of the creation of a ‘socialist state’? |
| 2. |
Many of the poorest in Venezuela do not have full access to key services such as telecoms. Assess the extent to which nationalisation will help extend the reach of these services to all groups in society. |
| 3. |
Discuss the arguments for and against bringing key industries into state ownership. |
As Nicolas Sarkozy takes over as President of France, he faces a difficult economic situation. Poor economic growth, worsening international competitiveness and a worrying level of unemployment and social unrest mean that he has much to do. His approach will inevitably be controversial and the extent to which he is able to implement his promised reforms may depend on how well he can carry the main stakeholders with him.
Les misérables: France’s unhappy position BBC News Online (7/5/07)
Questions |
| 1. |
Explain the principal economic policies that Sarkozy has promised to implement. |
| 2. |
Discuss the economic problems faced by France. |
| 3. |
Analyse the economic constraints faced by Nicolas Sarkozy as he tries to implement his policies. |
| 4. |
Assess the likely success of the economic policies promised by Sarkozy. |