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  • About the Economic Futures Hub
  • Unit 1: Economics of the Market
  • Unit 2: UK Economic Activity
  • Unit 3: Global Economic Activity
  • Data for Applied Economists
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Who are the Fraser of Allander Institute?

Created by Economic Futures. We are hosted by the FAI. Contact us at economicfutures@strath.ac.uk for feedback or collaboration.

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UK, EU and G7 Debt and Deficit Tracker

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UK, EU and G7 Debt and Deficit Tracker

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Explore how the UK’s debt and deficit have changed over time, compared with other countries. The following graph uses a key method of assessing a country’s financial sustainability - deficit as a % of GDP.
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In the Economic Futures Hub, we discuss GDP and economic growth in detail. GDP measures the total value of all goods and services in a country’s economy, and a higher % of deficit as GDP is not desired.

Do you want to learn more about GDP?

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Knowledge Checkpoint: Discuss the implications of a budget surplus on the UK economy

  • A budget surplus means that government revenue exceeds expenditure, which may lead to paying down the national debt.
  • This reduces the interest payments the government must make, freeing up more funds for public spending.
  • A budget surplus can be seen as an indication of a strong economy, often occurring when the economy is performing well, with high employment and strong tax revenues.
  • However, a budget surplus could potentially slow economic growth if the government is taking more out of the economy (in taxes) than it is putting in (through spending).
  • In addition, while a surplus might be beneficial for national finances, it may not necessarily translate into improvements in living standards, especially if the surplus is achieved through cuts in public services or increases in taxes.
  • Finally, the government could use a budget surplus to invest in infrastructure or other capital projects, which could have long-term benefits for the economy.