Mobeen - evaluating the Eurozone Economic forecasts

Evaluation of economic data forecasts for AQA ‘Mobeen’ case study

Over the last five years or so that I have been teaching Business and Economics, data for key economic performance indicators have been rather dull. Inflation, unemployment and interest rates have each been low and steady, and we have seen little of the ‘boom and bust’ cycle that appears in all the textbooks. It has been difficult to see any realistic economic forecasts actually making that much difference to businesses’ plans.

And so it is with the predictions for Eurozone (you did notice that they are for the Eurozone, didn’t you?) in the AQA Unit 2/3 case study on ‘Mobeen’ for Summer 2008. If these forecasts came to pass, none of them would have that great an influence on the plans for Mobeen.

However - there are a couple of evaluative points that spring to mind. If you actually look at what is going on currently with the UK Pound/Euro exchange rate and with inflation in the costs of meat and wheat, you will see that in reality, Mobeen could be facing some more challenging issues. Of course, the case study will have been written some months back, but you will do yourself no harm if you have a handle on what is really happening.