Readers Question: However I was intrigued by something I read on the internet regarding Conservative plans to include housing costs in the Bank of England’s inflation target. Mortgage interest payments are included in the RPI measure of inflation. However, the official measure of inflation is currently the CPI. The CPI excludes mortgage interest payments. It …
Ignoring the relative merits of claiming £20,000 of taxpayers money for help in cleaning an MP’s moat ( or the 48p for a packet of crisps or £10 for your husband to watch a blue movie) does it make sense to pay MPs more? Firstly, How Much do MP’s Earn? The official salary is £64,766. …
There is an interesting article in the Economist about immigration and the impact on the Irish economy. Immigration tends to encourage a range of emotive responses, but, its impact on the flexibility of labour markets is worth considering. In the boom years, Ireland was growing by up to 5% a year or more. Growth was …
25 years ago, 12% of candidates received a grade A at A Level. Last year, that % rose to 25%. Maybe there are people in the government, who really feel that educational standards have increased by 100%. However, anyone involved in A Levels knows this is mainly due to changing grade boundaries so that a …
Readers Question “Evaluate the argument that further measures to reduce inequality may have adverse consequences for work incentives ” Measures to reduce inequality include, progressive taxes, means tested benefits and higher minimum wages 1. Higher Income Tax. Increasing the highest rate of income tax from 40% to 50% will make work and overtime less attractive …
It is easy to forget, but, only 5 years ago people were talking about the Euro as if it was doomed to fail. 1 Euro got you 86 cents. 5 years later and 1 Euro is worth $1.48 and people are suggesting the Euro is set to be the next global reserve currency. The Euro’s …
There has been much debate about whether Turkey should be admitted to the European Union. These are some of the benefits and costs which Turkey is likely to face if it is successful in joining the EU. Benefits to Turkey of Joining the European Union EU If Turkey join the EU they have the potential …
Readers Question: I am studying AS level economics and I have a homework which i’m stuck on. I was wondering what are the pros and cons of the government intervening in market failures such as those resulting from the immobility of labour, negative externalities and greater income inequality, following the closure of factories. It’s a …