Mervyn King says pay squeeze necessary

1) Define stagflation.[2] 
2) Explain the measure undertaken by the bank of England for controlling inflation and rising unemployment.[8] 3) Discuss the reasons of double dip recession in UK.[12]

Not by monetary policy alone

1) Explain the causes of inflation.[6] 
2) Why monetary polices are not sufficient to control inflation?[8] 
3) Describe the potential consequences if inflation is not checked properly.[12]

Brazil Finance Minister Mantega warns of trade war

1) Define depreciation.[2] 
2) How depreciation has benefited some of the developed countries.[6] 
3) Evaluate how currency depreciation has become a major protectionist method in international trade.