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# To what extent will this depreciation impact on future economic growth in the UK?
- URL: https://www.a-level-economics-tutor.com/to-what-extent-will-this-depreciation-impact-on-future-economic-growth-in-the-uk/
- Published: 2026-04-15T19:27:02.000Z
- Updated: 2026-04-15T19:27:02.000Z
- Author: Jaisul Naik
- Tags: Edexcel 25 Mark Question

## Edexcel A-Level Economics 25 Mark Question

The British pound fell by over 10% to a 30-year low against the US dollar after the UK voted to leave the European Union. **To what extent will this depreciation impact on future economic growth in the UK?** (June 2018)

**Paragraph 1**

- **Argument**: increase in exports leads to economic growth
- **Diagram**: right shift in AD
- **Evaluation**: depends on the size of the multiplier & the state of the economy

**Paragraph 2**

- **Argument**: increase in costs of raw materials slows down growth
- **Diagram**: left shift in SRAS
- **Evaluation**: Marshall-Lerner condition

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