Group items tagged

In this article BBC special correspondent Tom Feilden 'looks at the reasons why the era of cheap food is coming to an end'. The article describes how the prices of basic foodstuffs around the world are rising at a rapid rate. It explains that a population boom and economic growth created a new middle class which drastically increased food consumption. This excess demand over supply has therefore hiked up food prices considerably.

This article from the BBC exposes the rate at which oil is running out, and the consequences it will have on society. The implication is that the market price of oil is far cheaper than its real value, and this means that consumption is rapidly exceeding production. The article questions whether oil rationing should be imposed in order to preserve this scarce resource.

This article from BBC NEWS - WORLD ECONMY to alert bankers that they must realise that world has changed. Alistair Darling said that the party has got to be over for bankers; he wants to use some regulations to force banks to limit the proportion of their profits that they can give out in bonuses and make sure there are no rewards for failure. Mr. darling wants the bankers to behave sensibly at some situations. Mr. Darling's idea is to also have blacklist of countries that are regulatory havens where the rules and regulations companies have to follow are less onerous. In conclusion we could say that this article relates to scarcity because bankers wants to get more and more profits without thinking sensibly, that is why Mr. Darling needs to limit them.

The article discusses a proposal by the Scottish government to impose a minimum price on alcohol in order to reduce the 'harmful effects of drinking'. Estimates conclude that this would save Scotland 950 million pounds over 10 years. Currently there is no concrete plan for a minimum price but the government is proposing an extra 40p per unit of alcohol.

This article is about an large increase in profit of Warren Buffet's investment firm. Revenue increased by two billion dollars in the course on one year.

This article addresses U.S. consumer spending, an idea that is studied under the Keynesian theory. In the short-run, consumer spending decreased, but it has now begun to increase once again. This demonstrates the idea that we live in the short run. As the article shows, spending is something that fluctuates regularly.

This article is about the rising unemployment rate in Britain, which has increased to 1.79 million (5.7%). This is primarily a consequence of the credit crunch, which can be attributed to annual growth slowing down to 3.4%.

The British government promised not to raise any income tax, believing that the British labor would "rebuilt the economy, renew the society, and restore trusts in politics." This topic is relevant to this week's topic because delaying the tax increase is a type of deregulation. The consumer are likely to buy consumer goods before a leap in the tax rates occur and the extension of income tax delay would probably contribute to a small increase in AD since the disposasble income remains the same. The expectation of increase in tax rate would induce consumer to buy more product before the actual rise.

This article is talking about the UK's labour party wanting to rebuild the economy because the conservative party does not think that they deserve a fourth term. This article links to this week's subject because the labour party promised to keep 'business tax as low as possible' to give maximum protection to frontline public services.

The EEF manufacture organization in UK announced that public finances are needed to restore the stability of the Uk's productive sector or else firms are going to drop out of the industry. This is relevant to the concept of effeciency because if these firms cannot either reach the allocative or productive effeciency, they will have to exit from the industry due to tremendous loss.

Australia wants to limit foreign stakes in big mining companies. These limits are aimed mostly at China, after several political and business arguments. These limits are a form of price control, as the Australian government is intervening in the market.

Consumer prices in Japan have dropped by 2.4% in August. This was due to lower petrol and energy costs, as well as decreased demand. The central bank says that low interest rates and stimulus packages will prevent deflation. This article shows the importance of prices in a country's economy.

Nepal is currently suffering a shortage of banknotes, resulting in some businesses being unable to pay employees. The government hopes to solve the issue by introducing old banknotes that were never circulated. This shortage is an example of scarcity as applied to currency.

This article is about Brazil's desire to buy fighter planes and other military vessels from France. This relates to this week's topic because France has an absolute advantage when it comes to military machines, so Brazil wants to purchase them.

This article is talking about the unbalance between rich and poor countries in free trade. Here the article is raising the question about whether Africa benefits from free trade, or if it actually hurts the economy.

This article talks about England raising the previously discounted tariff on energy.

A surge in imports in June pushed Britain's trade deficit with non-EU countries to its widest level on record.

This article talks about developing countries, such as China and India, wanting to join in free trade with more developed countries in Europe and the US.

As the World Trade Organisation (WTO) gathers in Hong Kong for fresh negotiations between rich and poor countries, should Africa be hopeful?

This article is about epresentatives from 12 South American countries signing an agreement to create a political and economic bloc modelled on the European Union.

Almost one in three public sector employers plan to shed jobs this quarter. Markets keep on chrashing due to economic ressesion. and people constantlt lose their jobs. However, there was better news from the private sector, which expects to see staff numbers grow for the first time since the start of the recession.