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Seminar paper from the year 2016 in the subject Economics - Case Scenarios, grade: 1.0, EBC University Düsseldorf, course: Economic Policy, language: English, abstract: In a globalizing world with increasing international trade and growing markets as well as crisis influencing countries worldwide, it becomes ever more important to evaluate and compare the economic performance of different nations as well as their impacts on each other.One method that allows assessing a country's macroeconomic performance is the "magic square" according to Kaldor (1971). This approach takes four variables into consideration, which should be pursued amongst an economy:1. Sustainable growth,2. Equilibrium of balance of payments,3. Price stability,4. High employment. In the following paper, the economic progress of the United Kingdom within the previous 10 years should be evaluated using the "magic square" as a framework. Therefore, there will be the main focus on the most relevant macroeconomic indicators, such as the growth of GDP, inflation rate, unemployment rate and current account balance, in order to provide a sound overview regarding UK's overall economic development.
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