Effects of Inflation a Month After Brexit Vote

The video discusses the impact of Brexit on the UK economy, highlighting a rise in inflation, particularly affecting manufacturing and exchange rates. Import costs have increased, affecting raw materials and consumer prices. Inflation is expected to rise further, with food prices likely to increase due to a weaker pound. The Bank of England's forecasts align with current trends, but inflation may exceed their predictions. The UK economy is entering a period of prolonged price increases, with inflation potentially surpassing 3% next year.

What was the primary sector affected by Brexit according to the initial analysis?

• Technology

• Manufacturing

• Tourism

• Healthcare

By how much did the price of imported food increase in July?

• 12.4%

• 10.2%

• 5.6%

• 4.3%

What is the expected trend for inflation according to the factory price data?

• It will decrease slowly

• It will remain stable

• It will increase quickly

• It will fluctuate unpredictably

What is the potential inflation rate some economists predict for next year?

• 4%

• 3%

• 2%

• 1%

What is the Bank of England's target inflation rate?

• 3%

• 4%

• 1%

• 2%