Announcement ! ~

Hey~ I am coming back to do this D-A-I-L-Y blog right now .I decide To do this not only for helping me to improve my poor English but also for my poor business studies .

I know I didn't get a good result for last exam but I believe that I will get a good result for the next exam . Which means of course I have to work harder on business studies and do a daily blog ~ hahaha~

okay~ then I will start my work today ! :)

Rebooting Britain - Analyse 10 solutions

The first one -Break up the banking system

The debate is about how long some of the banks such as RBS and Lloyds should remain nationalised? The idea for some people is,they want to sell off those national banks They look at the experience of other countries such as Japan ,Sweden...they think they will sell it eventually after a long time .
But others think that if the bank are controlled by the government the government will distribute the money,so the bank won't become too big to fail .

There are the ideas over all. But I suppose that may links to the credit crunch because some of the banks were use too much money that makes people lose their confidence then everyone starts to think to take their money out of the bank but what if the bank haven't got enough money the reason is they spent a big part of the money on somewhere ~ and many banks in different countries are also have no matter loans or debt so that makes credit crunch happens in ever where .

So that really is a bad example . So my view is to remain the national banks for keeping the stable of economic in own country.Especially after the credit crunch.And also controlling by the government is a good way to try to try to make the right decisions.But it also make our economic or business becomes narrowly. much money that makes people lose their confidence then everyone starts to think to take their money out of the bank but what if the bank haven't got enough money ~ and many banks in different countries are also have no matter loans or debt so that makes credit crunch happens in ever where .

So that really is a bad example . So my view is to remain the national banks for keeping the stable of economic in own country.Especially after the credit crunch.And also controlling by the government is a good way to try to try to make the right decisions.But it also make our economic or business becomes narrowly.

May 3rd ~~ HAPPY HAPPY HAPPY BRITHDAY

Happy birthday to me ~

Ohhhhhh~~ as well as to Mr.Chris !!!

I am so surprised that Mr.Chris and me were born on the same day ~~( but not in the same year hehehehehehe~~~~~ )

I wanna say to you that your kindness couldn't be appreciated more...Thank you very much on your auspicious birthday!

Enjoy your day:)

Anyway ~ happy birthday to us ~~

Watch out !!

What a serious SWINE INFLUENZA there is !!!!

So for everyone take care your body,please ~~

Mark the past paper

For the first one I couldn't read it clearly. So skip to the other one .Nara's!!!

Question One:

Let's see Part A, I gave her 1 mark.because she didn't tell us what is secondary research.

Part B, I gave her 1 mark because she didn't say it is a planning of income for a business .

Part C, no mark for this one I think, because what did she write is not the answer to this question ,the question is asking the characteristics of a entrepreneur as Paul Stamp.So will should answer the characteristics of a entrepreneur .That should be something like innovation, risk taking ,determination, relevant skill and expertise....but what she write is nothing close I think... So in my opinion no mark for this question

Then Part D, 2 mark she talked about why Paul should have the secondary research .

Part E 10 mark there is no calculate wrong.

Question two:

Part A,I gave her 2 mark.Because she had mentioned the cost of the cost of buy a new premise and also she said about the population is important but both of them she didn't talk much . She also need to say something like the fund for purchase and also should say something about the customs . And the competitors ...

Part B ,3 mark She had mentioned there will be a limited liabilities if he become a partnership company .And also she said Paul can get more ideas and she has mentioned about the finance but nothing else . So she didn't say the conclusion and advantages and disadvantages which is poor.

Part C,2 mark because she didn't answer about how the primary research and secondary research helps the business.
There fore totally she has 21 mark for this past paper. Just in my opinion.

Evaluate costs and benefits of indirect taxes

There are two types of taxation one is direct tax the other one is indirect tax .Direct tax is the tax on income of people or firms and it cannot be avoided .Indirect tax is the tax levied on goods and services .For example VAT is a kind of indirect tax.

The benefits of indirect tax are : To levied tax on goods and services is a good way to control the demand and supply.For example tax on cigarette or on alcohol such as these de-merit goods the consumption of them will certainly fall but because the price of demand elasticity of them is inelastic so the demand won't fall much. people will still but it.But can reduce a Small amount and also the tax revenue will be more for government . And also except the tax on de-merit goods also will have tax on merit good so if it is a merit good the most tax will pay by consumers but if it is a de-merit goods the most cost will pay by suppliers. (the tax diagram)

The costs of indirect tax Will be : If the government charge a highly indirect tax people do not want to pay high price for the goods which is them want to buy ,so they will go the black market
into the informal economy to purchase so that will make a market failure.We will turn to a even worse situation.

Discuss the costs and benefits of government subsidies

Government subsidies is a payment given by the government to encourage production or consumption of a product. So it is a part of government budget and it is government spending.

So let's say some benefits of government subsidies : Government subsidies is a kind of government spending so which means it is a injections for the economy.And also is the government give subsidies for firms they will have more money to produce for example they could buy more machinery or recruit more labour which is also helps the unemployment .Anyway firms will be able to have more capital. Which means will have more investment for businesses.And also if the firm are able to produce more and recruit more labour there will be less unemployment so more and more people will able to spend so the consumption also goes up.And if there are more employment will be more income tax and less job seeker allowance .so also good for the government budget. So as we know government spending , Investment and Consumption are components of aggregate demand (AD=C+I+G+(X-M))so if any of these has increased the aggregate demand will also increased (the multiplier effect) so on a AS,AD diagram AD should shift to the right.which is a short run economic growth real GDP has gone up.

And then let us look at some costs of give subsidies by government:If the government give subsidies to firms the government will increase so there will be a bigger budget deficit.And also Subsidies as a government spending there is a opportunity cost of it .For example if the government give the subsidies to some businesses then there will be less money spend on the health and education etc. And also if government give some subsidies to a firm which needs imports for their material .They will purchase more import goods which is going to make a current account deficit .