§ Mr. Deakinsasked the Chancellor of the Exchequer (1) if there is any correlation between the rate of economic growth and (a) the balance of payments, (b) the public sector borrowing requirement, (c) productivity, (d) earned incomes, (e) the standard rate of income tax, (f) the rate of corporation tax and (g) the rate of inflation; and if he will make a statement;
(2) what are the main economic factors which are correlated with the rate of economic growth.
§ Mr. John MacGregorEconomic variables are normally correlated with each other to some extent, though not necessarily at a statistically significant level. No conclusion can be drawn from such correlation, as in itself it gives no information about causal relationships in the economy.