ilmscore | How The UK's Economy Is Falling

How The UK's Economy Is Falling

Published: 2023-10-12
Status: Available | Analyzed

Predictions from this Video

Total: 6
Correct: 0
Incorrect: 0
Pending: 6
Unrated: 0
Prediction
Topic
Status
The full economic impact of US interest rate hikes initiated in March 2022 and continuing through 2023 will be felt in the latter part of 2022 and into 2023.
"Well, the United States only started raising interest rates in March of 2022. That means it's been about a year and a half since we started raising interest rates and we continued raising interest rates into 2023. So the United States still has to feel the impacts of the interest rates in the latter part of 2022 and the 2023 interest rate hikes."
US Economic Impact of Interest Rate Hikes
Pending
The full economic impacts of higher interest rates in the UK have not yet been realized.
"So we've been seeing an effect on the economy with the higher interest rates, but the impacts of the higher interest rates have yet to fully be felt."
UK Economic Outlook
Pending
Interest rates may continue to rise and remain elevated for an extended period, potentially causing economic problems.
"it seems like interest rates could still potentially go higher from here and stay high for a long time, which could create issues in the economy."
Potential for Higher Interest Rates
Pending
There is a question about whether the US will follow the UK's economic trajectory, with the UK potentially being 6-12 months ahead in terms of economic trends, including unemployment.
"The question is, are we going to see the same thing here in the United States? Is the UK just 6 months ahead of us, maybe 12 months ahead of us, or is this something that's going to be completely different than what's happening here in the United States?"
US Unemployment
Pending
Although not currently high, unemployment in the UK is showing an upward trend, which the central bank and government are actively addressing.
"Now, is unemployment super high right now? No. But they're starting to see this upward trend which is where now the central bank and the government are trying to fight this problem."
UK Unemployment Trend
Pending
Stimulating the economy through interest rate cuts or money printing will exacerbate inflation, while solely fighting inflation will negatively impact the economy and increase unemployment.
"if you start stimulating the economy by cutting interest rates, if you start stimulating the economy by printing money, you make the inflation problem worse. If you continue to fight inflation, you make the economy worse and you make unemployment worse."
Economic Policy Challenges
Pending