CNBC: Biden signs $1.9 trillion Covid relief bill, clearing way for stimulus checks, vaccine aid Article published: March 11, 2021 IB Economics syllabus: Macroeconomics (Expnasionary fiscal policy, multiplier) Biden's Covid relief bill is mostly made up of transfer payments ($1400 in direct payments to most Americans, $300 per week unemployment benefits). Transfer payments themselves [...]
Business Insider: Trump signs the $2 trillion coronavirus economic relief bill into law, which includes checks for Americans and business loans Article published: March 23, 2020 IB Economics syllabus: Macroeconomics (expansionary fiscal policy) Trump signed the largest ever economic stimulus package (expansionary fiscal policy) of American history to fight the recession caused by the coronavirus. Source of [...]
CNN: Fed takes emergency action to stave off a depression Article published: March 23, 2020 IB Economics syllabus: Macroeconomics (expansionary monetary policy) In an effort to "prevent the health crisis from turning into a full-blown financial crisis" the U.S. central bank (the Fed) has announced an unlimited bond-buying program, also known as an "open-ended quantitative easing." This [...]
CNN: The Fed just hit the coronavirus panic button Article published: March 3, 2020 IB Economics syllabus: Macroeconomics (expansionary monetary policy) It seems like the coronavirus has effects other than on hockey sticks, in fact now the Fed (the U.S. Central Bank) has also reacted to it. In fears of a fall in economic growth (not to [...]
Bloomberg: PBOC Cuts Interest Rate for One Year Loans to Support Banks Article published: Feb 17, 2020 IB Economics syllabus: Macroeconomics (expansionary monetary policy) Due to the negative effects of the coronavirus on the Chinese economy, the Central Bank of China has decided to cut its interest rates. More specifically, they have cut the interest rates to [...]
Bloomberg: World Gets First Rate Hike of 2020 With Surprise Czech Move Article published: Feb 6, 2020 IB Economics syllabus: Macroeconomics, International economics (monetary policy, exchange rates) The first Central Bank to increase interest rates was the Czech National Bank - and the move surprised the markets as no one was expecting a rate hike. As a [...]
South China Morning Post: China to inject US$174 billion of liquidity into markets amid new coronavirus outbreak Article published: Feb 2, 2020 IB Economics syllabus: Macroeconomics (monetary policy) As part of the open market operations, the Chinese Central Bank, called the The People's Bank of China has decided to increase the money supply. They do so by the [...]
The Visual Capitalist: $69 Trillion of World Debt in One Infographic Article published: Nov 14, 2019 IB Economics syllabus: macroeconomics (the government budget, public debt), development economics (international debt) While this is not an article for your Internal Assessment, it's a great visualization of all the $69 trillion of world debt that exists currently (as of late [...]
BBC: India delivers surprise corporate tax cuts to boost economy Article published: Sep 20, 2019 IB Economics syllabus: Macroeconomics (expansionary fiscal policy, supply-side policy) A great article if you'd like to write about expansionary fiscal policy for your macroeconomic commentary. The Indian government has announced huge corporate (business) tax cuts in order to boost investment (and hence [...]
CNBC: Fed approves quarter-point rate cut but is divided on further action this year Article published: Sep 18, 2019 IB Economics syllabus: Macroeconomics (monetary policy) The FED (U.S. Central Bank) has cut the interest rates again by 0.25%. “The implications of global developments for the economic outlook as well as muted inflation pressures" were given as the [...]
Sky News: European Central Bank cuts interest rates for first time since 2016 Article published: Sep 12, 2019 IB Economics syllabus: Macroeconomics (expansionary monetary policy) The European Central Bank (ECB) cut its interest rates to an all-time-low of -0.5% and announced a bond buying program (basicall pouring money into the Eurozone) at a rate of €20 [...]
Bloomberg: China’s Stimulus Debate Is Still Alive After Grim Trade Data Can't open the article? Check this link. Article published: Sep 8, 2019 IB Economics syllabus: Macroeconomics (expansionary monetary and fiscal policy) China is desperate to keep economic growth above 6% and it is having a hard time doing so mostly due to the ongoing trade [...]
CNN: Central bank rate cuts are inflating a cheap money bubble Article published: Aug 12, 2019 IB Economics syllabus: Macroeconomics (monetary policy) NOTE! This article is an opinion itself, that is, it is a "commentary" about the latest developments in global monetary. Therefore, it is not really suitable for an IB Economics IA, but it is [...]
CNN: Can the world's central banks save the bull market? Article published: Aug 18, 2019 IB Economics syllabus: Macroeconomics (monetary policy) NOTE! This article is not really suitable for an Economics Internal Assessment (commentary) as its focus is not a single economy. Yet, it gives insight into the most important current events that affect the global economy, such [...]
The New York Times: 3 Countries Cut Rates as World Braces for More Trade War TurbulenceThe Fed cut rates for the first time since 2008 Article published: Aug 7, 2019 IB Economics syllabus: Macroeconomics (monetary policy) Amid fears from a global economic slowdown, the central banks of India, Thailand and New Zealand have cut their interest rates [...]
CNN: The Fed cut rates for the first time since 2008 Article published: July 31, 2019 IB Economics syllabus: Macroeconomics (monetary policy) EXTREMELY IMPORTANT! This has been the first time since 2008 that the Fed (U.S. Central Bank) has cut interest rates. This is a form of expansionary fiscal policy which is carried out in order [...]
CNN: UK will plunge into recession if it leaves Europe without a Brexit deal Article published: July 19, 2019 IB Economics syllabus: Macroeconomics (economic growth, recession) The UK's new prime minister, Boris Johnson is determined to carry out Brexit in October, even if he cannot get a better deal from the EU. Brexit without a deal would [...]
CNBC: Federal Reserve fends off efforts to be politicized by President Trump, for now Article published: May 2, 2019 IB Economics syllabus: Macroeconomics (central bank independence, monetary policy) NOTE: I don't recommend this as an IB economics commentary article as it is too long, and there is no specific policy action discussed, but it is a great one [...]
The Guardian: Federal Reserve raises interest rates despite pressure from Trump Article published: December 19, 2018 IB Economics syllabus: Macroeconomics (monetary policy) The Federal Reserve (Central Bank of the United States) has increased the interest rates for the 5th time this year. According to the chairman, the U.S. is a healthy economy and there is [...]
Reuters: Brazil cuts rates to all-time low, signals more easing ahead Article published: March 21, 2018 IB Economics syllabus: Macroeconomics (monetary policy) Brazil has cut its interest rates to record low in order to boost inflation and AD during a slow recovery after a deep recession. A clear real-life example of easy (expansionary) monetary policy. [...]
Reuters: For Fed, sell-off could point to fading Trump stimulus Article published: Oct 23, 2018 IB Economics syllabus: Macroeconomics (economic growth, monetary policy) The Fed (Central Bank of the United States) is in the process of increasing interest rates. This is definitely necessary as the U.S. economy is getting close to overheating, expanding "at an annualized [...]
BBC: Turkey raises interest rates to 24% in new bid to boost lira Article published: Sep 13, 2018 IB Economics syllabus: Macroeconomics, International economics (monetary policy, exchange rates) While President Erdogan described himself as an "enemy of interest rates", finally the Central Bank of Turkey has made the move to significantly increase the interst rates in order [...]
Warning! This article is not suitable for a commentary (it's just very interesting). Priceonomics: The Trade of the Century: When George Soros Broke the British Pound IB Economics syllabus: Macroeconomics (exchange rates) This is a superb article that explains in detail how a managed exchange rate works in real life (with all its downsides) [...]
CNN Money: India no longer the world's fastest-growing economy: IMF Article published: Jan 16, 2017 – out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (economic growth) The IMF's World Economic Outlook forecasts that economic growth in India will decline this year, thanks to a "temporary negative consumption shock" caused by the [...]
Forbes: Fed Hikes Rates For Second Time In A Decade, Indicates More To Come In 2017 Article published: Dec 14, 2016 – out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (monetary policiey, interest rate) For the second time in over 10 years, the Central Bank of the U.S. (known as [...]
BBC: ECB extends bond-buying scheme but at slower pace Article published: Dec 8, 2016 – out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (Monetary policy) At times of low economic growth and very low inflation, Centrtal Banks use expansionary monetary policies to get things going. This includes decreasing interest rates [...]
Guardian: Oil price surges as Opec agrees first cut in output since 2008 Article published: Nov 30, 2016 – out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Microeconomics (demand and supply, cartel) Decreased supply leads to higher price: "The price of oil has surged by 8% after the 14-nation cartel Opec [...]
Bloomberg: Spain’s Unemployment Rate Falls to More Than Six-Year Low Article published: Oct 27, 2016 – out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (unemployment) While Spanish unemployment is still the 2nd highest in Europe, it has now decreased to an over 6 year low, thanks to the increase in [...]
BBC: Guernsey tax allowance to end for high earners Article published: Oct 4, 2016 – out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (inequality in the distribution of income, redistribution) The government of Guenrsey decided to make their tax system more progressive. For example, to provide "[r]educed or no allowance [...]
BBC: Chinese manufacturing continues to contract in September Article published: Oct 1, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (AD/AS, economic growth) While the whole world is panicking about the decreasing economic growth of China, the fact that the manufacturing industry has shrank for the 2nd consecutive month [...]
Reuters: Global economy worries prompt Fed to hold rates steady Article published: Sep 17, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (interest rates, monetary policy) Fed Chair Janet Yellen stated that "The outlook abroad appears to have become less certain," as a reason for not increasing interest rates [...]
BBC: India's inflation rate falls to three-month low Article published: Apr 13, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (inflation) Due to falling inflation, the central bank of India might cut interest rates for the 3rd time this year. Source of image: BBC, AFP Do you need a [...]
Businessweek: Jobless Claims in U.S. Over Past Month Lowest in 15 Years Article published: Apr 9, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (unemployment) It seems that the American labour market is improving as "jobless claims averaged 282,250 a week, the lowest since June 2000." Source of image: [...]
LET'S BOOST YOUR IB ECONOMICS GRADE Will you pass the exams? Fill out the below quiz, and check out how much you know of IB Economics. I'm taking the micro quiz Do you need some more help? If you feel you need some help with [...]
The Washington Post: Obama calls for effort to boost high-tech training, hiring Article published: Mar 9, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (govt' spending, employment, education/training) 'Obama called on employers, educational institutions and local governments to develop a home grown high technology workforce that could help drive [...]
Reuters: Ukraine's central bank to lift benchmark rate to 30 pct Article published: Mar 3, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (inflation, monetary policies), International economics (exchange rates, IMF) A great article about the unfortunate circumstances of Ukraine and how the Central Bank and the Govt' [...]
The Economic Times (The Times of India): Budget 2015: Govt’s tax moves to ensure policy certainty, assure investors Article published: Mar 2, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (deregulation) "Shoring up tax administration is a key policy priority for the government as it moves to attract [...]
Reuters: Australia's RBA holds rates, leaves door open for cut Article published: Mar 2, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (monetary policies) Although a cut was awaited, the RBA held the rate unchanged, but an expansionary monetary policy might follow. Source of image: Daniel Munoz, Reuters Do you [...]
The Economic Times (The Times of India): Government may declare additional 101 routes as national waterways Article published: Mar 2, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics (supply-side policies) Besides waterways, other infrastructural projects will follow, such as building highways, ports, power plants, airports etc. As a [...]
CNN Money: Yes, investors now pay to lend Germany money Article published: Feb 25, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics If you want to lend money to the German government you will have to pay for it. Source of image: David Gannon, AFP, Getty Images Do [...]
The Guardian: Britons should not fear rise in interest rates when they come, says BoE member Article published: Feb 24, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics If inflation raises in the future the Bank of England will be quick to respond by increasing the interest rates. [...]
CNN Money: UK to business: Pay your workers more! Article published: Feb 10, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics Source of image: Stefan Rousseau, AFP, Getty Images Do you need a little boost with IB Economics? Register for private lessons here. Looking for more articles? Click here. [...]
The Globe and Mail: Greece comes away empty handed in faceoff with Germany over debt relief Article published: Feb 5, 2015 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Macroeconomics and International Economics Source of image: Fabrizio Bensch/Reuters Do you need a little boost with IB Economics? Register for private [...]
Time: How the Fed Will React to Today’s Surprising Jobs News Article published: Sep 5, 2014 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Section 2, Macroeconomics It turns out that there have been less jobs created in August in the US than the average of the 6 months [...]
Reuters: Hollande, Draghi agree on threat of deflation: official Article published: Sep 1, 2014 - out of date: no longer suitable for your IB Economics commentary IB Economics syllabus: Section 2, Macroeconomics As deflation is threatening Europe, Mario Draghi, the president of the European Central Bank (ECB) calls for expansionary fiscal policy over contractionary measures, having [...]