In 1999, Tony Blair made a pledge that 50% of young adults would go into higher education by the next century. And this is one government promise that has actually been achieved, Student numbers have risen, UCAS applications almost doubled. Students are told a degree is a passport to success, higher salary and cultural enrichment. …
In 1957, the British Prime Minister Harold Macmillan proclaimed to the electorate “You’ve never had it so good”. And he had a point, full employment, a growing economy, debt falling rapidly, record house building, rising wages, universal health care and a growing sense of optimism that things would keep getting better. But, can you imagine …
Recently the ONS produced a long-term forecast for spending and taxation. It makes for grim reading. Assuming policy doesn’t change, they forecast UK debt will rise to levels last seen in the Napoleonic Wars. This forecast also assumes there are no external shocks like Covid or the Ukraine war. At the same time, bond investors …
Labour's Big Budget GambleWatch this video on YouTube It was one of the biggest budgets in decades – Higher tax, higher spending, and more borrowing. Rachel’s Reeves hopes it will boost economic growth, avoid austerity and restore public services. But it is a gamble because if it fails to increase growth the UK will need …
First time buyers have seen Mortgage payments as a share of income rise significantly in the past 2 years, increasing the cost of buying a house. However, the private rented market has been even more problematic. In the past four years, rents have risen 20%, pushing tenants to spend a higher share of income on …
In the past few years, the UK has seen a rise in the tax burden, but at the same, the UK has seen a reduction in the average rate of economic growth. Is low growth leading to a higher tax burden or is it the high tax burden which is itself contributing to sluggish growth? …
In 1984, Arthur Scargill passionately spoke to 140,000 miners to fight for their jobs, communities and livelihoods. Coal was the black gold which kept the country going. Coal miners were the working class heroes, with the capacity to bring down a government or fuel the engine of the economy. After descending a coal mine in …
12. The existence of negative externalities in consumption results in a misallocation of resources. This is because at the free market level of output the A marginal private benefit is greater than the marginal private cost. B marginal private cost is greater than the marginal social cost. C marginal social benefit is less than the …