Aspects of Nationalisation - Debt and Free Markets

Tuesday, October 14, 2008
Print RSS Tweet This! Save this entry to my Favorites

The national debt is the accmulated outstanding borrowing of central and local government together with public corporations. One of the immediate effects of the bail outs for financial institutions is that the total national debt has climbed by tens of billions of pounds. If the full extent of the extra finance made available to support the partly-nationalised banks is taken up, then UK national debt might rise to 100% in the near future, an almost unprecedented position to be in during peace time. The last time that government sector debt exceeded fifty per cent of our GDP was in the late 1970s when the Callaghan Labour government was forced into a bout of emergency borrowing from the International Monetary Fund.

This Independent article looks at the position and how the debt will be financed.

This Financial Times editorial considers the role that government intervention can play in saving free market institutions.

In today’s Guardian, Ashley Seager considers how the crisis has affected Britain’s public finances

Rate this article:   

Print RSS Tweet This!


ECONOMICS TEACHER RESOURCE NEWSLETTER

Join over 4,000 other Economics Teachers in the UK and around the world who receive the tutor2u Economics Resource Email newsletter. Get special offers, first news of latest resources, teaching ideas, conferences and workshops.

*  Your Email Address:
*  Preferred Format:
    AS/A2 Economics Board:
    GCSE Economics Board:
*  Country:
    Full Name:
    Job / Position:
    Postcode:
    School / College:
    Town / City:
*  Enter the security code shown:



Recent Threads on the Economics Teacher Discussion Forums:
Posts in: General Economics Teaching

Need help. - Economic Growth
Economies of scale presentation A2
Economic development
International Competitiveness
Keynesian Aggregate Supply
Demand Supply (% VAT Imposed) How to...?
Policy conflict and the Euro
Registering for the tutor2u VLU
Video Case-study - lunchtime prices slashed
Long Exam Example to Use for Revision Please?





Comments

Name:

Email:

Location:

URL:

Smileys

Remember my personal information

Notify me of follow-up comments?

Submit the word you see below:


Most Popular Topic Tags on the Economics Blog

recession, demand, economics, unemployment, prices, price, inflation, investment, costs, trade, profit, employment, debt, supply, downturn, euro, gdp, confidence, competition, risk, china, capacity, exports, production, incentives, oil, expectations, manufacturing, sterling, housing, pay, food, profits, banks, tutor2u, globalisation, mortgage, property, revision, retailers, slowdown, borrowing, usa, innovation, emissions, dollar, deflation, airlines, supermarkets, entrepreneur, monopsony, efficiency, productivity, google, elasticity, moodle, wealth, aqa, keynes, protectionism, welfare, consumption, externalities, saving, opec, economist, inequality, strategy, depression, competitiveness, economic cycle, tim harford, stocks, depreciation, jobs, monopoly, infrastructure, carbon, credit crunch, poverty, cars, eu, bank of england, vle, environmental, carbon trading, spare capacity, budget deficit, environment, subsidy, wages, market failure, management, regulation, evaluation, output gap, losses, behavioural, government failure, steel, climate change, construction, macroeconomics, imports, oligopoly, japan, bbc, skills, cpi, commodities, farming, newsnight, paul mason, intervention, fiscal stimulus, multiplier effect, single market, currencies, population, stagflation, itunes, contestable, lse, agflation, minimum wage, interest rates, choices, aviation, amazon, quantitative easing, germany, taxes, uk economy, monetary policy, cartel, survey, nationalisation, india, brazil, rpi, pricing, dan ariely, opportunity cost, apple, pollution, oecd, rationality, keynes society, rsa, relative poverty, iphone, shipping, capital, merger, currency, imf, balance of payments, yuan, tragedy of the commons, price discrimination, current account, redundancies, economies of scale, london, savings, facebook, stakeholders, shareholder, behavioural economics, mpc, supply chain, liquidity, takeover, barriers to entry, reputation, income elasticity, poverty trap, microsoft, human capital, hamish mcrae, subsidies, discrimination, roger bootle, federal reserve, robert peston, duopoly, immigration, suppliers, us economy, gini coefficient, quiz, collapse, coffee, obama, pensions, development, national debt, consumer surplus, crowding out, etonomics, crude oil, scarcity, eurozone, labour market, ecb, petrol, taxation, tesco, free, brand, smoking, budget, paradox of thrift, cost of living, transport, labour mobility, liquidity trap, global, speculation, starbucks, recovery, iceland, allocative efficiency, behaviour, david smith, surplus, shareholders, waste, ireland, happiness, growth, information failure, creative destruction, open source, vat, cost benefit analysis, trade deficit, tariffs, northern rock, edinburgh, comparative advantage, ownership, scrappage, ocr economics, robert frank, aggregate demand, diane coyle, freight, kaletsky,
All tags

Login to the tutor2u Moodle VLE

Latest entries

Categories

Monthly Archives

Syndicate