Per capita incomes fall during Labour’s 3rd term

There is plenty of coverage today of new data from Oxford Economics that shows how per capita incomes have declined during the third term of the Labour Government.

UK GDP per capita in 2009 prices (£ sterling)
1997 £18,860
2001 £21,235
2005 £23,000
2009 (estimate) £22,700
2010 (forecast) £22,775

At market exchange rates UK per capita incomes in 2009 are estimated to be less than Germany and France and at the same level of Italy. But these figures have been affected by the steep depreciation in the value of sterling against the Euro.

UK - $35,590
US - $46,405
Germany - $40,860
France - $41,830
Italy - $35,590
Japan - $40,260

When account is taken of differences in the relative cost of living in different countries - measured at purchasing power parity - UK living standards in 2009 were still higher than in Germany, France, Italy and Japan.

UK - $34,900
US - $46,405
Germany - $34,230
France - $32,815
Italy - $29,235
Japan -$32,875

UK standard of living drops below 2005 level (Guardian)

Unit 2 Macro: Cyclical and Structural Economic Issues Facing the UK [23 May 2012]
Unit 3 Micro: Game Theory and Business Economics [21 May 2012]
Unit 2 Macro: Positive and Negative Multiplier Effects [20 May 2012]
Unit 2 Macro: The Importance of Productivity [20 May 2012]
Unit 2 Macro: Measuring Inflation in the UK [20 May 2012]
Unit 2 Macro: Real Interest Rates [20 May 2012]
Unit 2 Macro: Human Development Index (HDI) [20 May 2012]
Q&A: What do we need to know about output gaps? [20 May 2012]
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Revision notes on unemployment [20 May 2012]
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Grexit - Andrew Balls on Greece and the Euro [16 May 2012]
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Macro Revision: Putting Things in Context [29 Apr 2012]
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Unit 2 Macro: The UK Balance of Payments in 2011 [4 Apr 2012]
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Unit 2 Macro: Revision on Interest Rates and the Exchange Rate [3 Apr 2012]
Unit 4 Macro: Productivity Improvements in China [3 Apr 2012]
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Global Economy- the 2012 BRICS Summit [28 Mar 2012]
Life in the Slow Lane - UK Growth in 2011 Lags the Euro Area [28 Mar 2012]
George Buckley at the Millfield Economics Society [28 Mar 2012]
Beyond the Bike - Monetary Policy in Africa [28 Mar 2012]
Unit 1 Micro: The Tax on Beer [16 Mar 2012]
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Unit 4 Macro: Video Resources on the Euro Crisis [10 Mar 2012]
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Pinterest: Board on Developments in the EU Economy [19 Feb 2012]
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