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Updated June 2026 · GlobalCost-Push InflationSRAS

Oil price volatility raises business cost risks

Oil price volatility is useful for A-Level Economics because oil affects transport, production and energy costs across the economy. If oil prices rise or remain elevated, firms may face higher costs, creating cost-push inflation and reducing short-run aggregate supply.

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Updated July 2026 · China / GlobalEconomic GrowthGlobalisation

China’s growth slows and affects global demand

China’s real GDP grew by 4.3% year on year in the second quarter of 2026, down from 5.0% in the first quarter. First-half growth was 4.7%, making this a useful example of how slower activity in a major economy can weaken external demand elsewhere.

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