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  • Anforme To what extent is the UK current account deficit a result of the UK Economic Policy and why does it matter?

Anforme To what extent is the UK current account deficit a result of the UK Economic Policy and why does it matter?

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Neil Codd, Head of Economics, City of London School for Girls, explains why a current account deficit matters when it can cause a credit crunch or currency depression.

Summary of Key Points:

  • How is it possible that we can persistently spend more than we earn?

 

  • In what ways has UK government policy helped create this situation?

 

  • Are there any other factors outside the control of the Government?

 

  • Do deficits matter?
  • Conclusion

 

  •  Remember This, Try This and Taking it Further

This article appeared in Volume 20 issue 2

Download: D124

Neil Codd, Head of Economics, City of London School for Girls, explains why a current account deficit matters when it can cause a credit crunch or currency depression.

Summary of Key Points:

  • How is it possible that we can persistently spend more than we earn?

 

  • In what ways has UK government policy helped create this situation?

 

  • Are there any other factors outside the control of the Government?

 

  • Do deficits matter?
  • Conclusion

 

  •  Remember This, Try This and Taking it Further

This article appeared in Volume 20 issue 2

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