In the post-war period, there was a dramatic decline in income inequality in the UK. However, from the early 1980s, this went into reverse with a sharp rise during the Thatcher years. Unequal Britain: UK's Inequality Crisis ExplainedWatch this video on YouTube The UK has now one of the highest levels of inequality in the …
Since 1950, health care spending in the UK has increased dramatically in real terms (adjusted for inflation). In the post-war period, we have also seen a sharp rise in public health care spending as a % of GDP (from 3% in 1960 to 8% in 2019). Covid has led to another sharp rise in health …
The UK government faces a perilous situation. In the short-term, there is a combined threat of an energy crisis, high inflation, risk of an imminent recession and a falling value of Sterling. On top of that, there are long-term problems such as climate change, a slowdown in growth and productivity, and rising debt to GDP. …
Trickle down economics is a term used to describe the belief that if high-income earners gain an increase in salary, then everyone in the economy will benefit as their increased income and wealth filter through to all sections in society. How the trickle-down effect may work in theory If the richest gain an increase in …
What are the implications of an ageing population? An older population presents many challenges to labour markets, government tax, government spending and the wider economy. The Population Timebomb – How An Ageing Population Will Change UsWatch this video on YouTube One of the great achievements of the Twentieth Century is a dramatic rise in life …
A look at different methods to reduce budget deficits. In summary, the three main policies are: Cut government spending Increase tax Achieve faster economic growth. A budget deficit occurs when a government spending is greater than tax revenues. This leads to an accumulation of public sector debt. If the deficits are unsustainable, this can cause …
“By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method they not only confiscate, but they confiscate arbitrarily,” John Maynard Keynes, “The economic consequences of the peace” Inflation tax is an implicit tax on nominal assets, such as cash, bonds and …
A public good has characteristics of non-rivalry and non-excludability. This means that once the good is provided, everybody benefits, and if one person benefits it doesn’t reduce the amount available to others. Public health can be seen as a public good. If you take precautions to remain healthy and not pass on Covid, you benefit …