Useful article relevant to Edexcel A Level Economics, Theme 4 – A Global Perspective...
The Bank of England has this morning published its twice yearly financial stability report:
The content is summarised by the BBC here:
This is relevant for Specification content section 4.4 and in particular 4.4.3
Also it would be good for students to look at the 7 actual scenarios of the BoE stress test. These form the basis of the BoE’s predictions regarding the robustness of the UK banking system.
Detailed below, each would form a great ‘what if?’ talking point for a Theme 4 discussion.
 BoE actual stress test scenarios

  • UK house prices fall by 31%
  • UK GDP falls by 4.3%
  • UK unemployment rises to 9.5%
  • Global GDP falls nearly 2%
  • China enters recession with -0.5% growth
  • US and Eurozone GDP fall by 3%
  • Oil drops to $20 a barrel