IB ECONOMICS, International Trade: The real danger of Brexit

THe economist 50

Despite feeling limited by rules that bind the EU, leaving Europe in an attempt to reclaim its sovereignty weakens Britain’s trade relationships impacting its current account deficit as the EU takes almost half of Britain’s exports. Leaving Europe could have both short and long term implications on the British economy with financial markets recognising the dangers and the UK pound falling to its lowest value against the dollar  since 2009. 

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IB ECONOMICS: A simple explanation of falling oil prices

oil-explainer-feb-master1050The oil industry, with its history of booms and busts, is in its deepest downturn since the 1990s, if not earlier.

Earnings are down for companies that made record profits in recent years, leading them to decommission more than two-thirds of their rigs and sharply cut investment in exploration and production. Scores of companies have gone bankrupt and an estimated 250,000 oil workers have lost their jobs.

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