Managerial Economics: Growth Rate in UK GDP, Housing Demand and Supply

Managerial Economics

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1: DATA ANALYSIS..........................................................................................................1
Examine the growth rate in real GDP in the United Kingdom for specific period. It will also
outline the variation in growth rates in the early 1990’s with growth rates when compared
with other years...........................................................................................................................1
TASK 2............................................................................................................................................2
Evaluating the long-run growth rate in UK and the economic effects........................................2
TASK 3............................................................................................................................................3
Examine the influence of demand or supply in housing in London...........................................3
TASK 4............................................................................................................................................4
Critically evaluating the appropriate demand and supply framework in order to examine
apartment’s price in early 1990’s and 1995................................................................................4
TASK 5............................................................................................................................................5
Forecasting how long will it take for UK to double their GDP rate...........................................5
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Managerial economics in turn is considered to be as the consolidation of effective
economic theory in order to carry out business practice and also ease in decision making process.
It is also very useful in carrying out decision making process (Dhingra and et.al., 2016).
Managerial economics is useful for assisting the managers of the firm in order to find rational
solution to carry out firm’s operations. This study will examine the growth rate in real GDP in
the United Kingdom for specific period. It will also outline the variation in growth rates in the
early 1990’s with growth rates when compared with other years. It will also highlight in
evaluating the long-run growth rate in UK and the economic effects. Moreover, this study also
tends to examine the influence of demand or supply in housing in London. This study also
critically evaluates the appropriate demand and supply framework in order to examine
apartments price in early 1990’s and 1995. This study will also forecast how long will it take for
UK to double their GDP rate.
TASK 1: DATA ANALYSIS
Examine the growth rate in real GDP in the United Kingdom for specific period. It will also
outline the variation in growth rates in the early 1990’s with growth rates when compared
with other years.
Year Real GDP
per capita
(US
Dollars)
Growth
Rate
(Percentage)
1985 $20,073 ------
1986 $20,830 4%
1987 $21,734 4%
1988 $22,783 5%
1989 $23,237 2%
1990 $23,352 0%
1991 $22,947 -2%
1992 $22,922 0%
1993 $23,379 2%
1994 $24,317 4%
1995 $24,987 3%
1