Examples Flashcards
Give an example of the CMA preventing Vodafone & 3 from merging
CMA says too much market share
Companies say they’ll have 11Billion investment
CMA says companies always say that but they will try to find a legally binding contract saying they have to invest if they merge
Why has the Heathrow expansion been delayed over the years and why is it happening now
Environment concerns - lawsuits due to noise & environmental activists
The government now believes that growth is the primary objective now, and ‘all other objectives are secondary’ (specifically the environment), therefore this may reduce the difficulty in gaining planning permission across the UK as the can’t just change the law for Heathrow
What opportunities does the Heathrow expansion provide
Raise employment levels (government has argued it could create 100,000 jobs)
Improve the supply side of the economy
What is the idea about ‘Europe’s silicon valley’
Government has vowed to build Europe’s Silicon Valley between Oxford and Cambridge by improving the infrastructure between the two cities, incentivising firms to set up there
What is the impact on planning permission in the UK from the Heathrow expansion
May reduce the difficulty in gaining planning permission across the UK as they can’t just change the law for Heathrow
Give an example of the UK prioritising investment to ensure more efficient SSP’s.
Astrazenica cancelled their £450m investment due to a lack of government funding
If AstraZeneca had invested it would have generated jobs & multiplier effect etc
However AstraZeneca still invests over £2.5bn in the economy so the effects of this new investment may not be as dire.
The governments reason was that it ‘didn’t add up for the taxpayer’, meaning that the government thinks the benefits of investing in AstraZeneca are less than investing the same sum in other areas of the economy. This indicates the government is focusing on its priorities to ensure more effective SSP’s.
Give a real world example of tariffs having a negative impact related to American
Speculation around the introduction of tariffs on China Canada and Mexico by America caused the global stock market to fall, further supporting the economic argument that tariffs have a negative effect
