S&P's Kraemer Sees Recession Risk Rising in U.K.

The video discusses the implications of the UK general election, focusing on the potential outcomes and their impact on policies, particularly regarding Brexit. It highlights the likelihood of a Conservative majority and the associated policy directions, including a hard Brexit. The discussion extends to the economic consequences of a hard Brexit, emphasizing the lack of precedent and the challenges in estimating its impact. The video also explores the rising recession risks in the UK, driven by changes in private consumption, investment activity, and government finances, and the importance of export performance in maintaining growth momentum.

What is the speaker's stance on the outcome of the UK general election?

• Supports a coalition government

• Remains neutral

• Supports the Labour party

• Supports the Conservative party

What is the main challenge in estimating the economic impact of a hard Brexit?

• Fluctuating currency values

• Lack of historical precedent

• High inflation rates

• Unstable government policies

Which factor has been a key driver of growth in the UK economy last year?

• Government spending

• Export performance

• Foreign investments

• Private consumption

What is expected to happen to disposable incomes due to inflation?

• They will increase significantly

• They will remain stable

• They will decrease or stagnate

• They will double

What is a potential positive factor for maintaining growth momentum in the UK?

• Reduced consumer spending

• Higher interest rates

• Positive export performance

• Increased government borrowing