UK Economy Unexpectedly Contracts 0.1% in March

The video discusses the UK economy's recent GDP data, highlighting a slight decline in growth due to reduced consumer spending amid rising inflation. Bloomberg Economics predicts this contraction will affect the second quarter but not lead to a recession. The Bank of England faces challenges balancing inflation and interest rates. An interview with Deputy Governor Dave Ramsden reveals concerns about inflation risks and potential rate hikes, with a focus on the labor market's resilience and future economic forecasts.

What was the unexpected GDP growth rate for March?

• 0.5% decline

• 0.1% increase

• 0.1% decline

• 0.5% increase

What is one of the main challenges for the Bank of England according to the first section?

• Managing a surplus budget

• Reducing unemployment

• Balancing inflation and interest rates

• Increasing consumer spending

What does Dave Ramsden identify as a risk to inflation?

• Resilient labor market

• Weak labor market

• Decreasing interest rates

• Stable consumer spending

What opportunity does the June meeting present according to Dave Ramsden?

• To announce a recession

• To implement new policies

• To take stock of the situation

• To decrease interest rates

What does Dave Ramsden say about the Bank of England's negative forecast?

• It will lead to increased consumer spending

• It does not necessarily build a recession

• It is a self-fulfilling prophecy

• It will definitely lead to a recession