IB Econ HL Section B

This article is about India cautioning the developed world against protectionist methods that prevent developing nations from engaging in specialization and taking advantage of comparative advantage.

Japan who specializes in the manufacturing of high-tech electronics is in a desperate need for rare earth metals. However, in the recent border disputes over an island located between the two countries, China had halted the shipment of the exotic metals.

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 about the UK's record high trade deficit. This means that it imports more goods and services than it exports. This is because it does not hold a comparitive advantage in any production; it is cheaper to import, and have someone else produce a good, than it is to keep production at home.

This article shows possible negative effects of welfare on an economy. In this case, the citizens between the ages 35-54, who have no excuse in not working, who cannot support themselves are creating a dead weight effect on the economy.

One of the major problems in the Thailand, a country at political crisis, is the economic inequality between the rich and poor which is aggravating the political situation between the middle-class and low-class. This is relevant to this week's topic because a proper government is not placed in Thailand to redistribute the riches' wealth to the poor population.

This article is about Romania's intentions to cut public sector wages and pensions as a part of an IMF-led rescue plan. These pensions are a form of welfare payments.

Mortgage payments in the US are starting to be a leak of money, as the government is paying to those retired more than it is earning in taxes. However, these payments cannot cease and a solution will have to be found.

This article refers to the topic of welfare payments because it is talking about the different parties in Great Britain clashed today over how to pay for a reformed welfare system and when to introduce it.

This article relates to the topic of income tax because it is talking about the different parties in the English government will change the income tax to please the public.

This article is an example of the effects unions can have on company policy

This article shows how the stimulus strategy is effective, supporting the notion that Keynsian theory is the most effective economic theory.

This article exemlpifies the positive impacts with the utilization of a higher tax revenue.

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.

This article talks about Paraguay's tax policies, as it is one of the few countries in the world with no income tax. In addition, it looks like that won't change anytime soon. Lugo claims that such tax would help lowering the crime rate in such dangerous country; however, it seems that senators do not want to pay such tax.

This article is about the need for higher tax rates to cut government deficit. The tax hike needed would be the equivalent of raising the basic rate of income tax from 20p to 26p on the pound. Tax rises do not all necessarily need to come in the form of income tax, but this is the amount needed.

Speaking in Colorado, vice-president made a strong case for the creation of a 'new energy economy' as part of the stimulus program, claiming that it and a 'full throttle green program' are inextricably linked. He said that this form of stimulus has been successful in creating jobs and attracting venture capitalists.

This article esplains how Obama is trying to stimulate the labor market, through creating the necessary conditions for hiring, in order to decrease unemployment. His measures are intended to help the unemployed through stimulating hiring conditions.

This article is talking about the cost of home loans falling to the cheapest level in more than a year as competition amongst mortgage lenders continues to put pressure on interest rates. This relates to this week's topic because it is talking about lowering interest rates on mortgages to boost both consumer spending and corporate investment which will increase aggregate demand.

Obama visited Iowa to make a speech about his future plans for econommic expansion and recovery of the middle class who have been hit hard by the recession. His stimulus package involves the investment into clean energy which have been criticizd for its validity and effectiveness.