The Great Crash Of 2008

Wednesday, October 22, 2008 - 08:28 in Mathematics & Economics

A new report projects economic problems for the UK after the great crash of 2008. The British economy will suffer next year as it experiences the worst setback among the G7 countries. This reflects an especially pronounced reverse to consumer spending, which will fall by 3.4 per cent in 2009, easily the biggest decline among the G7, according to the report author. The economy will also be dragged down by the collapse in private housing investment, which will fall by 17.1 per cent, and lower business investment, which will decline by 3.8 per cent. A sizeable contribution from net trade (mainly reflecting lower imports) is not sufficient to stave off recession in 2009.

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