The Great Debate UK
In its May economic outlook, the Organisation of Economic Cooperation and Development projected upward growth outlooks for BRIC countries Brazil, Russia, India and China — the world’s four largest emerging economies.
Strong growth in those economies is helping to pull other countries out of recession, the OECD said. The Paris-based organisation projects that China’s GDP growth will exceed 11 percent for 2010, and anticipates that India’s real GDP growth will be 8.3 percent. Russia‘s GDP growth is expected to be 5.5 percent, and Brazil‘s is projected at 6.5 percent. By comparison, the OECD projects that the Euro area will see 1.5 percent real GDP growth, while the UK will see a 2.2 percent growth.
The “BRIC” acronym was created by Goldman Sachs economist Jim O’Neill in 2001 to mark a shift of economic power from the West. In June 2009, the BRIC leaders met in Yekaterinburg, Russia, for a summit, which was seen as the beginning of a geopolitical alliance, although their economies are very different: Brazil’s economy is based on agriculture; Russia’s on energy exports; India’s on services and China’s on manufacturing. At that time, the BRIC countries accounted for 40 percent of the world’s population and about 15 percent of its economy.
In a new book titled “Awakening Giants, Feet of Clay: Assessing the Economic rise of China and India“, Pranab Bardhan, a professor of economics at the University of California, Berkeley, dissects some generally accepted beliefs about the economies of China and India — arguing that they are oversimplified — to provide a new perspective on what to expect from the two countries in the future.
-Dave Coplin is national technology officer at Microsoft. Any opinions expressed are his own.-
The British economy may technically be out of recession, but it is still not creating the jobs and growth needed to turn back the clock to the upbeat days of the past. And with a looming fiscal crisis, it’s not hard to see why some commentators are predicting the terminal decline of the British economy. I don’t think the situation for Britain is dire — yet. But if businesses want to regenerate economic engines in the future they do need to change.
-Laurence Copeland is a professor of finance at Cardiff University Business School and a co-author of “Verdict on the Crash” published by the Institute of Economic Affairs. The opinions expressed are his own. -
It really is hard to resist the temptation to take a hopeful view of Britain’s new government.
-David Kuo is director at the financial website The Motley Fool. The opinions expressed are his own.-
You could not make this up if you tried.
Britain gets its knickers in a twist over a hung parliament, Europe has been unceremoniously skewered by a Greek debt crisis, and if that wasn’t bad enough, the Bank of England’s Monetary Policy Committee sits idly by as the rate of inflation climbs.
– Laurence Copeland is a professor of finance at Cardiff University Business School and a co-author of “Verdict on the Crash” published by the Institute of Economic Affairs. The opinions expressed are his own. -
“The most exciting race in years”. “It’s going to go down to the line.” “The old order has truly been upset.”
– Ian Campbell is a Reuters Breakingviews columnist. The opinions expressed are his own –
A first estimate of UK first-quarter growth is a chilly 0.2 percent. Failure of government policy, the opposition will say. Shows the folly of proposed Conservative spending cuts and tax increases, Gordon Brown, the prime minister, will claim. But a colder financial look will see that enormous stimulus has so far produced the weakest of recoveries. Whatever the election outcome, the UK’s leaders are going to have to be grown-ups. In this emergency, cooperation – or coalition – is required.
- Andrew Wileman is a independent business consultant and writer, most recently writing about cost management in the private and public sectors in “Driving Down Cost” (Brealey Publishing). The opinions expressed are his own. –
“We only need to cut cost because of the credit-crunch crisis.”
No, there is a deep structural problem that was there before the crunch. The public sector has been driving up its share of GDP for decades, in the UK, the U.S. and almost all advanced western economies. Its momentum will be painful to slow down, let alone reverse. This underlying trend was concealed in the nineties and noughties (when the talk was of “the end of big government”) by a debt-bubble-fuelled growth in the private sector. In the UK, we are already over a 50 percent state share of GDP.
As Britain gears up for a general election with polls pointing toward a hung parliament, pundits are not only speculating on how the political landscape of the future might look, but they are also taking stock of the past.
In his new book “Broonland, the last days of Gordon Brown“, Christopher Harvie, a former colleague of Prime Minister Gordon Brown and an SNP Member of the Scottish Parliament for mid-Scotland and Fife in Brown’s Kirkaldy base, takes a turn at surveying the lay of the land.
-Julie Meyer is CEO of Ariadne Capital, a technology investment and advisory firm backing entrepreneurs in media, moble Internet and communications. The opinions expressed are her own.-
I recently spoke at an IBM event alongside former chancellor Norman Lamont about the issues that face entrepreneurs and how we can turbo-charge these value creators to help rebuild the country’s wealth.