Developed Economy Application - UK Flashcards
Give some figures for rising population
59 million in 2000 and 66 million in 2017
Give two effects of Brexit which caused economic uncertainty
Pound fell 10% against dollar, Airbus may be moving factories out of UK
Give two examples of improving infrastructure
HS2 (cost £52bn and could take 20+ years to build), Heathrow third runway (cost £14bn and been talked about for decades)
Give an example of an FDI investment
Airbus factory in Farnborough, employs 10,000
Give an example of company which avoids tax and how
Starbucks, records losses in the Uk by claiming some revenue transferred abroad
Give some figures for European migration to the UK
From April 2013-14, 214,000 immigrants arrived in the UK from parts of EU
What was the UK current account deficit at the start of 2018?
£17.7bn
Give some figures for income inequality in the UK
Gini coefficient of around 35%, 30% of total income earned by 10% of population
Give an example of an external cost in the UK
Smoking, costs NHS between £1.4bn and £1.7bn
Give some figures about house prices in the UK
Increased by up to 10% in mid-2007, fell by around 2% in 2010-11
What does the Help to Buy scheme do?
Caps deposits required to get mortgages at 5% of price of property
Give an example of changing consumer behaviour
Supermarkets, consumers began moving towards more frequent shops at discount stores rather than one big shop, rise in popularity of Lidl and Aldi
Give an example of an inelastic good in the UK and why (example for Marshall Lerner Condition)
Tobacco, as it is addictive
Give an example of investment by a firm to increase efficiency and output?
British airways, Boeing 787 Dreamliner
What do UK firms heavily rely on?
Imported raw materials
