microeconomics Flashcards
London Takeaways - monopolistic
1000 small companies, low sunk costs and each has a slightly different type of good
advantages of demergers
diseconomies of scale, specialisation, raise money, conflicts in culture
examples of non-price competition
advertising, loyalty cards, branding and quality
acronym for factors affecting PED
NASBIT - Necessity, Addiction/habit, Substitutes, Branding, Income, Time
acronym for factors affecting PES
TEASS Time, state of the Economy, Availability of inputs, Spare capacity, Stockpiles
Adam Smith
economics as a science, specialisation and division of labour, invisible hand, leissez-faire
advantages of free market
efficient allocation of resournces by price mechanism, lower prices due to competition, consumer choice
disadvantages of free market
inequality, monopolies, market failure
advantages of command economy
government can correct market failure, stop monopoly abuse, reduced inequlity
disadvantages of command economy
limited choice, government failure, destroys incentives
examples of external benefits in consumption
vaccinations stop spreading of disease, healthy food leads to more productive workers
types of government failure
min price leads to x - inneficiency, max price leads to shortages, law of unintended consequences, information gaps, administration costs
examples of unintended consequences leading to government failure
speed bumps and ambulances, black markets, you dont drive today, cobras in 1930s deli
examples of information gaps leading to government failure
Alan Greenspan and 2008 economic crisis, garden bridge, carbon tax
how many workers are at risk of being replaced by capital in the next 15 years
> 10 million
factors affecting elasticity of supply for labour
skills and qualifications, unemployment, time
factors affecting elasticity of demand for labour
substitutes, percentage of total cost, time
causes of labour market shifts
derived demand, productivity, capital costs, migration, income tax and benefits, non-pecuniary benefits
cost of smoking related illness to NHS
£3-6bn a year
cost to NHS of alcohol related illness
£3 - 5 bn a year
how much does the UK government spend on education
£80 bn a year
how much does the UK government spend on healthcare
£110 bn a year
how much of public expendature in the UK is spent on education and health
2/7
percentage of smartphones that don’t use Android or IOS
1%
percentage of internet searches that use google
90%
most densely populated country in Africa
The Gambia
The Gambia Gini coeficient
0.47
trump corp. tax cut
35% to 21%
cost to US society of government shutdown
$11 bn
American Recovery and Reinvestment Act
> $700bn
how much did UK gdp fall in the recession
6%
how much did US GDP fall in the recession
4.2%
impact of QE in the UK
raised output by up to 2% in 2009
value of UK QE by 2014
£375 bn
problems faced by policymakers
inaccurate information, risks and uncertainties
calculating the HDI
3√(average life expectancy at birth x average years in school x GNI per capita)
ETS
2bn tonne cap and kept 10% back to sell
example of a carbon tax
Austrailia £15 levy on each tonne of greenhouse gas theu emit
percentage of A&E assault victims who had been drinking
80%
how many lives would the Scottish min price save
58 in the first year
how much would the Scottish min price decrease hospital admissions
1300
how much have rail fares risen since 2007
50%
how many franchised trains ran on time in 2017
87%
private investment in the UK rail industry in 2016-17
over £900m
PFI projects in the UK
716 as of March 2016
percentage of teachers in the public sector in the UK
88%
Number of people on insecure and low paid work
4millon
Impact of ultra low emission zone
9400 less polluting vehicles in London per day in April compared to march
