Beware of the poison arrow

Article Abstract:

The UK is certainly facing significant economic challenges, but this does not necessarily mean that a recession will emerge in 1999. Indeed, there are strong economic forces that will work to prevent a recession. However, there is a danger that companies and consumers will talk the UK into a recession. Companies may choose to reduce their investment, reduce workforces or stop recruitment, while consumers may decide to save more and spend less. The UK economy has underlying strength, but it is important to avoid complacency.

Forecasts and trends, Recessions

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Bumpy ride ahead?

Article Abstract:

The possibility of the UK economy entering recession seems to have become more acute as the services sector has begun experiencing a slowdown. External factors, including the situation in Asia and on financial markets, will play a key role in determining whether the UK enters a true recession. Corporate earnings may decline considerably, but sectors with a relatively high liquidity ratio, such as medical and optical equipment and information technology, should be strong enough to withstand economic slowdown.

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Whatever happened to the Phillips curve?

Article Abstract:

Issues are presented concerning the relationship which exists between inflation and unemployment as described by the Phillips curve. The performance of the United Kingdom's economy in the late 1990s is discussed.

Inflation (Finance), Unemployment, Economic indicators, Inflation (Economics)

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