Topic: Economics Assignment; impact of the banking sector’s accumulation of non-deposit liabilities

Question 1
In no more than 200 words, write a description of the following graph which can be understood by a non-specialist audience with no prior knowledge of economics, statistics, or finance.

Source: Bridges, J. et al. (2011), Understanding the recent weakness in broad money growth, Quarterly Bulletin 2001 Q1, Bank of England.

Question 2
Read the following extract, which comes from the same paper as the graph in Question 1:
“The total impact of the banking sector’s accumulation of non-deposit liabilities on broad money is uncertain, but likely to be large. Data on the net issuance of sterling equity and long-term debt and private data collected by the Bank’s statistical area on the retention of profits suggest that a reasonable estimate for the total drain on broad money from these factors was around £240 billion since the recession began. This estimate is uncertain — the figure could be larger or smaller for several reasons. For example, the figure could be larger if new issues of sterling long-term debt were not issued in public markets and so not captured in the data (so-called private placements). Or the figure could be smaller if not all the sterling equity and long-term debt was purchased by the UK non-bank private sector.”
In no more than 150 words, explain what is meant by ‘broad money’ in the context of this paragraph. Your answer should be written in such a way that it can be understood by a non-specialist audience with no prior knowledge of economics, statistics, or finance.

Key Marking Criteria
The focus will be on the following elements:
Is the answer correct? Does it show evidence of relevant knowledge in economics?
Is the narrative written in an intuitive way without the use of jargon appropriate for a non-expert audience?
Is the answer focused and of appropriate length?
Is the narrative clear and well structured?

Note:
The source of the graph and the extract are attached in a separate file which I have attached to the order.

Type of service: Academic paper writing
Type of assignment: Essay
Subject: Economics
Pages/words: 1/350
Number of sources: 6
Academic level: Undergraduate
Paper format: APA
Line spacing: Double
Language style: UK English

Check our prices