BOE Governor Bailey on Rate Hikes, Inflation, Economy

BOE Governor Bailey on Rate Hikes, Inflation, Economy

Assessment

Interactive Video

Business, Social Studies, Life Skills

University

Hard

Created by

Quizizz Content

FREE Resource

The transcript discusses the recent interest rate hike by 50 basis points and the uncertainty surrounding future rate changes. It highlights the challenges posed by inflation, wage dynamics, and a tight labor market. The discussion also covers market reactions to policy changes and the impact of external shocks like the war in Ukraine and Brexit on the UK economy. The need for long-term solutions to address these challenges is emphasized.

Read more

7 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the recent change announced by the Bank of England?

A freeze on interest rates

A new quantitative easing program

A decrease in interest rates by 50 basis points

An increase in interest rates by 50 basis points

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is one of the main reasons for the increase in wages in private companies?

A tight labor market

A surplus of labor supply

Government intervention

A decrease in inflation

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How does the Bank of England plan to approach future rate decisions?

By sticking to a pre-announced plan

By maintaining current rates indefinitely

By following the US Federal Reserve's actions

By reacting to new information and evidence

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the Bank of England's stance on speculating future rate cuts?

They plan to cut rates next year

They are not speculating on future rate cuts

They have announced a specific timeline

They will follow the European Central Bank's lead

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What are some of the external shocks mentioned that affect the UK economy?

The war in Ukraine and energy prices

The US-China trade war

The global pandemic and climate change

The rise of cryptocurrency

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is one of the domestic issues affecting the UK economy according to the transcript?

Overproduction in manufacturing

Labor supply constraints

High levels of immigration

Excessive government spending

7.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What impact does Brexit have on the UK economy as discussed in the transcript?

Increased openness and productivity

A shock to productivity due to reduced openness

No significant impact

Immediate economic growth