The most widely used measure of economic welfare is real GDP per capita. However, this does have a number of significant defects most importantly the failure to account for negative externalities. For example, cigarette production is valued at the value of the cigarettes produced but makes no allowance for the costs to the smoker and to the NHS. A further example of this is the environmental costs of economic activity which are not deducted from the value of output. Similarly there are unpriced benefits which are not added to the value of output.
marlinbito answered the question on July 5, 2018 at 13:19
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Explain the main factors which determine an economy’s rate of economic growth
(Solved)
Explain the main factors which determine an economy’s rate of economic growth
Date posted:
July 5, 2018
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Critically examine the view that fiscal policy is the most effective means of controlling aggregate demand.
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Critically examine the view that fiscal policy is the most effective means of controlling aggregate demand.
Date posted:
July 5, 2018
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Explain what is meant by price elasticity of supply
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Explain what is meant by price elasticity of supply
Date posted:
July 5, 2018
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Critically examine the view that government intervention to correct market failure is likely to make matters worse.
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Critically examine the view that government intervention to correct market failure is likely to make matters worse.
Date posted:
July 5, 2018
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Explain why the free market would fail to provide sufficient public goods.
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Explain why the free market would fail to provide sufficient public goods.
Date posted:
July 5, 2018
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Explain what is meant by the term market failure.
(Solved)
Explain what is meant by the term market failure.
Date posted:
July 5, 2018
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Explain some of the factors which could cause a rightward shift in a country’s production possibility curve.
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Explain some of the factors which could cause a rightward shift in a country’s production possibility curve.
Date posted:
July 5, 2018
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Explain what is shown by a production possibility curve (frontier).
(Solved)
Explain what is shown by a production possibility curve (frontier).
Date posted:
July 5, 2018
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Evaluate the view that current account deficits are still economically significant.
(Solved)
Evaluate the view that current account deficits are still economically significant.
Date posted:
July 5, 2018
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Critically examine the view that free trade alone is insufficient to promote economic development.
(Solved)
Critically examine the view that free trade alone is insufficient to promote economic development.
Date posted:
July 5, 2018
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Answers (1)
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Critically examine the view that government “green” policies benefit neither businesses nor the environment.
(Solved)
Critically examine the view that government “green” policies benefit neither businesses nor the environment.
Date posted:
July 5, 2018
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Explain some of the ways in which businesses may use and misuse the environment.
(Solved)
Explain some of the ways in which businesses may use and misuse the environment.
Date posted:
July 5, 2018
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Answers (1)
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Critically examine the view that firms can continue to grow without experiencing diseconomies of scale.
(Solved)
Critically examine the view that firms can continue to grow without experiencing diseconomies of scale.
Date posted:
July 5, 2018
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Answers (1)
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Explain the relationship between a firm’s short run and long run average cost curves.
(Solved)
Explain the relationship between a firm’s short run and long run average cost curves.
Date posted:
July 5, 2018
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Answers (1)
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Critically examine the view that consumers benefit more from non-price competition than from price competition.
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Critically examine the view that consumers benefit more from non-price competition than from price competition.
Date posted:
July 5, 2018
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Explain why firms engage in non-price competition
(Solved)
Explain why firms engage in non-price competition
Date posted:
July 5, 2018
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Evaluate the view that the government’s top priority should be to achieve a more equitable distribution of income
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Evaluate the view that the government’s top priority should be to achieve a more equitable distribution of income
Date posted:
July 5, 2018
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Outline the main macroeconomic policy objectives of a government.
(Solved)
Outline the main macroeconomic policy objectives of a government.
Date posted:
July 5, 2018
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Answers (1)
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Critically examine the view that only monetary policy can control an economy’s rate of inflation.
(Solved)
Critically examine the view that only monetary policy can control an economy’s rate of inflation.
Date posted:
July 5, 2018
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Analyse the impact of persistently high rates of inflation upon an economy
(Solved)
Analyse the impact of persistently high rates of inflation upon an economy
Date posted:
July 5, 2018
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Answers (1)