Economic climate

Indicators
Sophie Oonk
18/10/2023
 Main economic indicators:
01 02 03
Real GDP Unemployment rate Inflation
Indicates the current Measures performance and Indicates rate of change
stage of the economic how close an economy is to in purchasing power of
cycle achieving full output a currency

04 05 06
Interest rates Balance of payments Consumer confidence
Used to manage money Influences value of the Indicates expectations,
supply, and affects how currency and indicates consumer climate and
much money is in economic performance propensity to buy, which
circulation. Influences within a country influence spending
demand & spending
UK vs Netherlands:
01
U.K.
● GDP: 3.07 trillion
● GDP/capita: 45,850.4
● Unemployment rate: 3.6
● Inflation: 7.9%
● Balance of payments:
-82.9 billion.
● Interest rate: 1-3.5%
● Consumer confidence: -42
02
Netherlands
● GDP: 991.11 billion
● GDP/capita: 55,985.4
● Unemployment rate: 3.5
● Inflation: 10%
● Balance of payments: 47
billion.
● Interest rate: 0-2%
● Consumer confidence: -49
UK vs Netherlands:
The UK has a larger GDP, but the Netherlands’ GDP per capita is
higher than the UK, indicating that the Netherlands performs
better in this aspect.
The Dutch interest rates and inflation rate match in their values
and show the link between a low interest rate and higher
consumer spending.
This lower level of inflation in the UK has resulted in a marginally
better consumer confidence rate than in the Netherlands.
The Netherlands however consistently outperforms the UK in
terms of the balance of payments, as the UK has been in a deficit
since 1984.