Britain Becoming An Emerging Market Country?
The UK's economy is showing some signs similar to an emerging market country. The British government has announced huge debt-financed tax cuts, raising risks of soaring external debt. The Bank of England has taken a counter-productive approach aimed at controlling inflation and boosting demand. The UK Central Bank has announced both contractionary and expansionary moves at the same time - one aims at increasing demand while the other aims at bringing it down. The question is how the country will control record high inflation with such counter-productive measures. Priyanshi Sharma explains the UK economy dilemma.
