1) First, find the data on capacity utilisation.                               (10 marks)

i)  This data can be obtained from the Bank of England, http://www.bankofengland.co.uk. Go to Publications, then choose “Agents’ Summary of Business Conditions”.

ii) Download the Bank of England Agents’ Scores (the Excel spreadsheet).

iii) Create a chart showing the Agents’ scores for capacity constraints (both manufacturing and services) using Excel (for example). Show time on the horizontal axis, and the scores on the vertical axis. Include the chart(s) in your essay.

iv) Explain how these Agents’ scores are created and what they represent. Briefly comment your charts. Can you identify any underlying trend? (max 200 words)

2) Secondly, explain the UK productivity puzzle.   (80 marks – max 1,500 words)

i)  Why economists talk about a “UK productivity puzzle”? What is the evidence relatively to other countries?

ii) Explain which factors might be the cause of the UK productivity puzzle.

To complete the second task you must base your analysis upon the following two papers:

Barnett, A, Batten, S, Chiu, A, Franklin, J and Sebastiá-Barriel, M (2014), “The UK productivity puzzle”, Bank of  England Quarterly Bulletin, Vol. 54, No. 2, pages 114–128.

Available online at:

http://www.bankofengland.co.uk/publications/Documents/quarterlybulletin/2014/qb14q201.pdf

Hughes, A and Saleheen, J (2012), “UK labour productivity since the onset of the crisis — an international and historical perspective”, Bank of England Quarterly Bulletin, Vol. 52, No. 2, pages 138–46.

Available online at:

http://www.bankofengland.co.uk/publications/Documents/quarterlybulletin/qb120204.pdf

3) Finally, explain why productivity is important for monetary policy decisions. In the light of the productivity puzzle, how should UK monetary policy be set?                                                             (10 marks – max 300 words)

Additional instructions:

• The word limit does not include charts/figures and bibliography.

The hand in date for the essay is 12 pm Monday 17 November 2014.

As for the refrencing, it should be Harvad Reference

…

Essay title:
What is ‘bootstrapping? Explain ways in which new businesses might use bootstrapping to minimise their start-up costs

The essay should draw on the academic literature and illustrated with examples

Include 20 references

Font: Times New Roman
Size: 12
Spacing: Double
References: Harvard Style

Some useful readings:

•    Bhide A V (1992) Bootstrap finance: the art of start-ups, Harvard Business Review 70, 109-117.
•    Winborg J and Landstrom H  (2001) Financial bootstrapping in small businesses: examining small business managers’ resource acquisition behaviors, Journal of  Business Venturing,  16, 235-254
•    Harrison, R T, Mason, C M and Girling, P (2004) ‘Financial bootstrapping and venture development in the software industry’, Entrepreneurship and Regional Development, 16, 307-333
•    Ebben, J and Johnson, A (2006) Bootstrapping in small firms: an empirical analysis of change over time, Journal of Business Venturing, 21 (6) 851-865
•    Brush, C G, Carter,  N M, Gatewood, E J, Greene, P G and Hart, M M (2006) The use of bootstrapping by women entrepreneurs in positioning for growth, Venture Capital: an international journal of entrepreneurial finance, 8 (1) 15-31
•    Carter, R B and van Auken, H (2005) Bootstrapping financing and owner perceptions of their business constraints on opportunities,  Entrepreneurship and Regional Development, 17 (2), 129-144
•    Van Auken, H (2004) Differences in the usage of bootstrapping amongst technology-based vs. non-technology-based firms, Journal of Small Business Management, 43 (1), 93-103.
Bhide A V (1992) Bootstrap finance: the art of start-ups, Harvard Business Review 70, 109-117.
•    Winborg J and Landstrom H  (2001) Financial bootstrapping in small businesses: examining small business managers’ resource acquisition behaviors, Journal of  Business Venturing,  16, 235-254
•    Harrison, R T, Mason, C M and Girling, P (2004) ‘Financial bootstrapping and venture development in the software industry’, Entrepreneurship and Regional Development, 16, 307-333
•    Ebben, J and Johnson, A (2006) Bootstrapping in small firms: an empirical analysis of change over time, Journal of Business Venturing, 21 (6) 851-865
•    Brush, C G, Carter,  N M, Gatewood, E J, Greene, P G and Hart, M M (2006) The use of bootstrapping by women entrepreneurs in positioning for growth, Venture Capital: an international journal of entrepreneurial finance, 8 (1) 15-31
•    Carter, R B and van Auken, H (2005) Bootstrapping financing and owner perceptions of their business constraints on opportunities,  Entrepreneurship and Regional Development, 17 (2), 129-144
•    Van Auken, H (2004) Differences in the usage of bootstrapping amongst technology-based vs. non-technology-based firms, Journal of Small Business Management, 43 (1), 93-103.
•    Tom Vanacker , T, Manigart, S, Meuleman, M  and Sels, L (2011) A longitudinal study on the relationship between financial bootstrapping and new venture growth, Entrepreneurship & Regional Development, 23 (9-10), 681-705
•    Malmström, M (2014) Typologies of bootstrap financing behavior in small ventures, Venture Capital, 16:1, 27-50
•    Mac an Bhaird, C & Theo Lynn, T (2015) Seeding the cloud: financial bootstrapping in the computer software sector, Venture Capital, 17:1-2, 151-170,

Essay title:
What is ‘bootstrapping? Explain ways in which new businesses might use bootstrapping to minimise their start-up costs

The essay should draw on the academic literature and illustrated with examples

Include 20 references

Font: Times New Roman
Size: 12
Spacing: Double
References: Harvard Style

Some useful readings:

•    Bhide A V (1992) Bootstrap finance: the art of start-ups, Harvard Business Review 70, 109-117.
•    Winborg J and Landstrom H  (2001) Financial bootstrapping in small businesses: examining small business managers’ resource acquisition behaviors, Journal of  Business Venturing,  16, 235-254
•    Harrison, R T, Mason, C M and Girling, P (2004) ‘Financial bootstrapping and venture development in the software industry’, Entrepreneurship and Regional Development, 16, 307-333
•    Ebben, J and Johnson, A (2006) Bootstrapping in small firms: an empirical analysis of change over time, Journal of Business Venturing, 21 (6) 851-865
•    Brush, C G, Carter,  N M, Gatewood, E J, Greene, P G and Hart, M M (2006) The use of bootstrapping by women entrepreneurs in positioning for growth, Venture Capital: an international journal of entrepreneurial finance, 8 (1) 15-31
•    Carter, R B and van Auken, H (2005) Bootstrapping financing and owner perceptions of their business constraints on opportunities,  Entrepreneurship and Regional Development, 17 (2), 129-144
•    Van Auken, H (2004) Differences in the usage of bootstrapping amongst technology-based vs. non-technology-based firms, Journal of Small Business Management, 43 (1), 93-103.
Bhide A V (1992) Bootstrap finance: the art of start-ups, Harvard Business Review 70, 109-117.
•    Winborg J and Landstrom H  (2001) Financial bootstrapping in small businesses: examining small business managers’ resource acquisition behaviors, Journal of  Business Venturing,  16, 235-254
•    Harrison, R T, Mason, C M and Girling, P (2004) ‘Financial bootstrapping and venture development in the software industry’, Entrepreneurship and Regional Development, 16, 307-333
•    Ebben, J and Johnson, A (2006) Bootstrapping in small firms: an empirical analysis of change over time, Journal of Business Venturing, 21 (6) 851-865
•    Brush, C G, Carter,  N M, Gatewood, E J, Greene, P G and Hart, M M (2006) The use of bootstrapping by women entrepreneurs in positioning for growth, Venture Capital: an international journal of entrepreneurial finance, 8 (1) 15-31
•    Carter, R B and van Auken, H (2005) Bootstrapping financing and owner perceptions of their business constraints on opportunities,  Entrepreneurship and Regional Development, 17 (2), 129-144
•    Van Auken, H (2004) Differences in the usage of bootstrapping amongst technology-based vs. non-technology-based firms, Journal of Small Business Management, 43 (1), 93-103.
•    Tom Vanacker , T, Manigart, S, Meuleman, M  and Sels, L (2011) A longitudinal study on the relationship between financial bootstrapping and new venture growth, Entrepreneurship & Regional Development, 23 (9-10), 681-705
•    Malmström, M (2014) Typologies of bootstrap financing behavior in small ventures, Venture Capital, 16:1, 27-50
•    Mac an Bhaird, C & Theo Lynn, T (2015) Seeding the cloud: financial bootstrapping in the computer software sector, Venture Capital, 17:1-2, 151-170,