Compare The Macroeconomic Performance O
Compare the macroeconomic performance of your chosen country to that of the UK
Relative levels of macroeconomic development
Germany’s level of GDP per capita compared to that of the UK is higher, seeing as it was $39 100 in 2012 while the UK’s was $32 272. Germany’s HDI ranking compared to the UK is also higher; they come in at 5th while the UK comes in at 26th.
Comparative rates of macroeconomic progress
Germany’s GDP growth rate in comparison to the UK’s is higher, Germany’s is 0.9% and the UK’s is -0.1%, they are ranked 166th and 188th respectively. The unemployment rate of Germany is lower than that of the UK’s, with it being 6.5% and theirs being 7.8%. The inflation rates of the two countries are quite similar; in 2012 Germany had an inflation rate of 2.2% while the UK had an inflation rate of 2.8%. The current account balance of Germany was number 1 in 2012 with $208.1 billion but the UK’s was -$57.7 billion. This is due to the fact that Germany’s exports were valued at $1.492 trillion and their imports were valued at $1.276 trillion, this means that they made more money than they spent which could only result in them profiting and having a current account surplus. However, the UK’s exports were valued at $481 billion and their imports were valued at $646 billion, this means that they spent more money than they made which resulted in them losing out and having a current account deficit. Germany’s budget balance was 0.2% of their GDP in 2012, which means that they had a budget surplus. However, the UK’s budget balance was -6.3% of their GDP in 2012, this means that they had a budget deficit; this is because the government has spent more money than they received.
Relative strengths and weaknesses
The UK has about seven main economic strengths; creative industries, aerospace, agri-food, green technology and services, knowledge intensive business services, automotive and chemicals and pharmaceuticals. The UK has a huge back catalogue of creative content to
Relative levels of macroeconomic development
Germany’s level of GDP per capita compared to that of the UK is higher, seeing as it was $39 100 in 2012 while the UK’s was $32 272. Germany’s HDI ranking compared to the UK is also higher; they come in at 5th while the UK comes in at 26th.
Comparative rates of macroeconomic progress
Germany’s GDP growth rate in comparison to the UK’s is higher, Germany’s is 0.9% and the UK’s is -0.1%, they are ranked 166th and 188th respectively. The unemployment rate of Germany is lower than that of the UK’s, with it being 6.5% and theirs being 7.8%. The inflation rates of the two countries are quite similar; in 2012 Germany had an inflation rate of 2.2% while the UK had an inflation rate of 2.8%. The current account balance of Germany was number 1 in 2012 with $208.1 billion but the UK’s was -$57.7 billion. This is due to the fact that Germany’s exports were valued at $1.492 trillion and their imports were valued at $1.276 trillion, this means that they made more money than they spent which could only result in them profiting and having a current account surplus. However, the UK’s exports were valued at $481 billion and their imports were valued at $646 billion, this means that they spent more money than they made which resulted in them losing out and having a current account deficit. Germany’s budget balance was 0.2% of their GDP in 2012, which means that they had a budget surplus. However, the UK’s budget balance was -6.3% of their GDP in 2012, this means that they had a budget deficit; this is because the government has spent more money than they received.
Relative strengths and weaknesses
The UK has about seven main economic strengths; creative industries, aerospace, agri-food, green technology and services, knowledge intensive business services, automotive and chemicals and pharmaceuticals. The UK has a huge back catalogue of creative content to