The Global Downturn ... in graphics

BBC News has produced a series of key indicators illustrating the results of the crisis in global financial markets. Huge amounts of money have been committed in financial support for banks. Governments are spending billions of dollars to kick-start economic growth. Measures include tax cuts and building projects. The financial landscape has changed dramatically, with several giants of the business world disappearing. The UK has spent £94bn to prop up Royal Bank of Scotland, HBOS and Lloyds TSB as well as nationalised Northern Rock and parts of Bradford & Bingley. The Treasury and the Bank of England have pledged hundreds of billions of pounds of further support for the fragile banking system. World economic growth is expected to slow sharply, with the UK among the hardest hit. Developing countries such as China and India should fare better. As countries try to spend their way out of recession, debt levels are forecast to rise. Interesting comparisons of the UK, USA, Germany and France.

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Tackling the drinking culture

BBC News has coverage of call by MPs to ban 'Happy Hours' and possibly regulate the price of alcohol, through the imposition of a minimum price The Select Committee report evidence showed the biggest problem faced by police forces was violence and disorder caused by excessive drinking of cheap alcohol. Other official figures on the cost of goods over time show alcohol has become much more affordable in the last three decades. Many of the negative externaliies associated with excess drinking are detailed in the article. (Link to BBC News)

Think about whether the imposition of a minimum price would be effective in reducing consumption of alcohol.

The financial crisis - is it nearly over?

As uncertainty about the effects and details of the financial rescue plans continue to affect world share markets (Shares slide amis bail out fears), Geoff Riley provides a good reflective piece on the tutor2u blog. In his view 'We shouldn’t for a moment think that the worst is over. My fear is that the UK economy and the UK government remains vulnerable to a fresh wave of negative speculation as the markets test the British government’s resolve to protect our leading financial institutions. ' He also provides some excllent links to articles that explain what has been happening and possible implications. I particularly like the piece by Roger Bootle in the Daily Telegraph where he focuses on the financial crisis to highlight the limits of the free market - well worth a read. Link to Geoff Riley's piece