Data watch - what happened to consumer spending in the UK recession?

Putting to one side all the newspaper and tv stories of how consumers behaved during the recent recession in the UK, what does the data show?  What were the real trends and how did consumers behave compared with the long preceding period of economic growth in the UK?

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Whiteboard Challenge - Drawing UK GDP

Here’s a simple lesson activity which might get students thinking about the UK recession in the context of the longer-term performance of the economy.  It might add a bit of spicy competition to the start of a lesson too..

Recession Tracker for UK Economic Data

As students entering AQA BUSS 4 start on their research into the Recent UK Recession, they may like to use this BBC Recession Tracker to get to grips with the latest data on GDP, inflation, interest rates, jobs and house prices. It is updated every time a new piece of data is released and has links to useful related articles like ‘GDP Explained’ and ‘Understanding Inflation’.

Introducing business and the economic environment with Darling’s debt dilemma

I really like this cartoon version of the impossible task facing the Chancellor as he prepares his budget. How to solve the riddle of balancing out the need for spending with the need to raise revenue in order to repay the borrowing - which could be seen as a mega-version of how to cope with cash flow problems. This animated cartoon, which runs through the figures and the options, would be a good introduction to the issues and could start off a discussion about the impacts on businesses and their customers over the next few years. The BBC’s Recession Tracker gives up-to-date figures for all the key indicators of inflation, unemployment, gdp growth and so on, providing good back up, and the ‘UK Economy’ page has good coverage and comment on the latest developments. 

BRICS - Economic Growth in the Emerging Markets (Interactive Guide)

This would look great on the IWB as a stimulus piece for interaction and discussion. A terrific interactive guide to the economic profiles of the BRICs here (Brazil, Russia, India & China)..  Compare the progress of the Bric states’ gross domestic product over time alongside the major global economies and the “next 11” developing nations in the graphic provided.

Where Does Your Money Go?

An interesting new website has just been launched which provides detailed information about government spending.  Although currently a prototype “Where Does My Money Go?” provides a free interactive tool that provides a detailed break down of government spending.

Q&A - What has happened to unemployment in the UK?

After a sustained period of falling unemployment and increasing employment, the recession in the UK has prompted a substantial increase in unemployment recently.

March towards incorporation gathers pace

The UK Office of National Statistics has published the latest set of figures on the stock of businesses in the UK and has found that, between March 2008 and March 2009 there was a continued move towards incorporation, and a reduction in the number of sole proprietors and partnerships. The data here also provides useful background on the size distribution of businesses. One business in seven in the UK is involved in the building / construction industry although this sector only contributes between 7-8% of GDP annually - can students explain why?

Improving cash flow by reducing stocks

An excellent piece in the FT yesterday focuses on how businesses are destocking as part of their cash-flow management in the downturn…

A Devastating Blow for the Irish Economy

Dell’s decision to close its manufacturing capacity in Limerick and transfer production to a low-cost location in Lodz in Poland will come as a severe blow to the Irish economy....

Economic environment - disposable income takes a dive

News of a really important economic development that business students will need to be able to understand.  Consumer disposable income is falling under pressure from rising prices of essential items such as food and energy whilst wage rises are not keeping pace…

Scary Movie 5 - the UK Economy

In recent years, Business teachers have had a hard time trying to make the economics elements of the business curriculum interesting and relevant.  Not any more...its a horror show

Two years of pain as CBI forecast lower growth for the UK

Business students don’t really need to know the detailed reasons why the rate of economic growth varies.  However, they should appreciate the longer-term trends in GDP growth rates and understand the main implications for businesses.

So today’s news from the Confederation of British Industry would make really useful reading for any students preparing for AS & A2 business exams in May & June 2008.  The outlook for economic growth in the UK economy is worsening according to their latest forecast.

Will income tax have to rise?

An interesting article in the Times newspaper today raises the possibility that the Chancellor will need to raise taxes by £8 billion in order to keep government spending within the target of 40% of GDP.