Supply-side policies aim to improve the productive potential of an economy through various market-based and state intervention approaches. Market-led policies focus on making markets more competitive through deregulation and tax cuts, while state intervention aims to address market failures. The goals are to increase productivity, investment, skills, and competitiveness. This can generate higher long-run economic growth and living standards. However, supply-side policies face limitations such as long time lags and risks of unintended consequences from government intervention in markets. Evaluating their impact requires considering both supply and demand-side factors.
Basic principles underlying both the Classical and the Keynesian schools of thought within Economics.
Work I produced whilst studying Monetary Economics in my second year of study at the University of Brighton.
Ryan Reardon Finance and Investment student.
Used in Economics with TAR.
includes discussion on mixed economy, characteristics, advantages and disadvantages of mixed economy, types of mixed economy, features of mixed economy, best and worst practices in mixed economy and model countries.
Basic principles underlying both the Classical and the Keynesian schools of thought within Economics.
Work I produced whilst studying Monetary Economics in my second year of study at the University of Brighton.
Ryan Reardon Finance and Investment student.
Used in Economics with TAR.
includes discussion on mixed economy, characteristics, advantages and disadvantages of mixed economy, types of mixed economy, features of mixed economy, best and worst practices in mixed economy and model countries.
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This is a streamed version of a colour coded answer to a past exam question on the economics of globalisation. Each colour in the answer refers to a specific exam skill - knowledge, application, analysis and evaluation. I hope this approach might be interesting to students who want to configure their answer to get high marks in the A level exam. The crucial point is that contextual examples can make a huge different to the quality of your answer.
This video of a live revision webinar for AS macro evaluates supply-side policies designed to improve macroeconomic performance and address structural policy problems. The main focus is on the UK economy.
A breif information presentation regarding the coming Technology Strategy Board automation consortium project worth £2 million. Martec are still looking for more involvement from anyone interested in sharing ideas or wanting to be involved in the bid.
http://martec-conservation.com
AS Macro: The Effectiveness of UK Macro-Economic Policiestutor2u
We have considered the three key areas of macroeconomic policy – monetary policy, fiscal policy and supply-side policies.
In the longest essay questions on data response papers examiners often ask students to consider how effective these are when they are used to manage the economy. How can we judge whether the performance of the economy is improving as a result of them? In this session we will remember how to assess macroeconomic performance, think about some of the issues with measuring growth,
and focus on ways to evaluate the effectiveness of different policies
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Industrial Strategy:Prospering from the energy revolution - Rob Saunders, In...KTN
Key technology components for local energy systems
briefing event
The webcast recording is now available. Click here to watch it: https://www.youtube.com/watch?v=gPyTb_-qhgo
Find out more about Energy interest group at https://ktn-uk.co.uk/interests/energy
Join the Energy LinkedIn group at https://www.linkedin.com/groups/3380615/
This is a revision presentation on international competitiveness designed for A level economics students.
Students will be expected to
Consider measures of competitiveness: For example: relative unit labour costs and relative export prices.
Understand factors influencing competitiveness such as the exchange rate; productivity; wage and non- wage costs; regulation.
Examine government policy to increase international competitiveness. For example: measures to improve education and training; incentives for investment; deregulation.
The latest seminar series organised jointly by the Royal Statistical Society (RSS), the Royal Economic Society (RES), the Economic Statistics Centre of Excellence (ESCoE), Office for National Statistics (ONS) and the Society of Professional Economists (SPE). Part of a wider effort to ensure that UK economic statistics keep pace with the changing shape of modern economies and societies, and continue to meet users’ needs.
OECD workshop on measuring the link between public procurement, R&D and innov...STIEAS
OECD workshop on measuring the link between public procurement, R&D and innovation. "Demand side Innovation Policy: a systems Perspective". Presentation by Mario Cervantes
Exploiting Artificial Intelligence for Empowering Researchers and Faculty, In...Dr. Vinod Kumar Kanvaria
Exploiting Artificial Intelligence for Empowering Researchers and Faculty,
International FDP on Fundamentals of Research in Social Sciences
at Integral University, Lucknow, 06.06.2024
By Dr. Vinod Kumar Kanvaria
Macroeconomics- Movie Location
This will be used as part of your Personal Professional Portfolio once graded.
Objective:
Prepare a presentation or a paper using research, basic comparative analysis, data organization and application of economic information. You will make an informed assessment of an economic climate outside of the United States to accomplish an entertainment industry objective.
How to Build a Module in Odoo 17 Using the Scaffold MethodCeline George
Odoo provides an option for creating a module by using a single line command. By using this command the user can make a whole structure of a module. It is very easy for a beginner to make a module. There is no need to make each file manually. This slide will show how to create a module using the scaffold method.
MATATAG CURRICULUM: ASSESSING THE READINESS OF ELEM. PUBLIC SCHOOL TEACHERS I...NelTorrente
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June 3, 2024 Anti-Semitism Letter Sent to MIT President Kornbluth and MIT Cor...Levi Shapiro
Letter from the Congress of the United States regarding Anti-Semitism sent June 3rd to MIT President Sally Kornbluth, MIT Corp Chair, Mark Gorenberg
Dear Dr. Kornbluth and Mr. Gorenberg,
The US House of Representatives is deeply concerned by ongoing and pervasive acts of antisemitic
harassment and intimidation at the Massachusetts Institute of Technology (MIT). Failing to act decisively to ensure a safe learning environment for all students would be a grave dereliction of your responsibilities as President of MIT and Chair of the MIT Corporation.
This Congress will not stand idly by and allow an environment hostile to Jewish students to persist. The House believes that your institution is in violation of Title VI of the Civil Rights Act, and the inability or
unwillingness to rectify this violation through action requires accountability.
Postsecondary education is a unique opportunity for students to learn and have their ideas and beliefs challenged. However, universities receiving hundreds of millions of federal funds annually have denied
students that opportunity and have been hijacked to become venues for the promotion of terrorism, antisemitic harassment and intimidation, unlawful encampments, and in some cases, assaults and riots.
The House of Representatives will not countenance the use of federal funds to indoctrinate students into hateful, antisemitic, anti-American supporters of terrorism. Investigations into campus antisemitism by the Committee on Education and the Workforce and the Committee on Ways and Means have been expanded into a Congress-wide probe across all relevant jurisdictions to address this national crisis. The undersigned Committees will conduct oversight into the use of federal funds at MIT and its learning environment under authorities granted to each Committee.
• The Committee on Education and the Workforce has been investigating your institution since December 7, 2023. The Committee has broad jurisdiction over postsecondary education, including its compliance with Title VI of the Civil Rights Act, campus safety concerns over disruptions to the learning environment, and the awarding of federal student aid under the Higher Education Act.
• The Committee on Oversight and Accountability is investigating the sources of funding and other support flowing to groups espousing pro-Hamas propaganda and engaged in antisemitic harassment and intimidation of students. The Committee on Oversight and Accountability is the principal oversight committee of the US House of Representatives and has broad authority to investigate “any matter” at “any time” under House Rule X.
• The Committee on Ways and Means has been investigating several universities since November 15, 2023, when the Committee held a hearing entitled From Ivory Towers to Dark Corners: Investigating the Nexus Between Antisemitism, Tax-Exempt Universities, and Terror Financing. The Committee followed the hearing with letters to those institutions on January 10, 202
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Dive into the world of AI! Experts Jon Hill and Tareq Monaur will guide you through AI's role in enhancing nonprofit websites and basic marketing strategies, making it easy to understand and apply.
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Normal labor is also termed spontaneous labor, defined as the natural physiological process through which the fetus, placenta, and membranes are expelled from the uterus through the birth canal at term (37 to 42 weeks
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Explore how micro-credentials are transforming Technical and Vocational Education and Training (TVET) with this comprehensive slide deck. Discover what micro-credentials are, their importance in TVET, the advantages they offer, and the insights from industry experts. Additionally, learn about the top software applications available for creating and managing micro-credentials. This presentation also includes valuable resources and a discussion on the future of these specialised certifications.
For more detailed information on delivering micro-credentials in TVET, visit this https://tvettrainer.com/delivering-micro-credentials-in-tvet/
2024.06.01 Introducing a competency framework for languag learning materials ...Sandy Millin
http://sandymillin.wordpress.com/iateflwebinar2024
Published classroom materials form the basis of syllabuses, drive teacher professional development, and have a potentially huge influence on learners, teachers and education systems. All teachers also create their own materials, whether a few sentences on a blackboard, a highly-structured fully-realised online course, or anything in between. Despite this, the knowledge and skills needed to create effective language learning materials are rarely part of teacher training, and are mostly learnt by trial and error.
Knowledge and skills frameworks, generally called competency frameworks, for ELT teachers, trainers and managers have existed for a few years now. However, until I created one for my MA dissertation, there wasn’t one drawing together what we need to know and do to be able to effectively produce language learning materials.
This webinar will introduce you to my framework, highlighting the key competencies I identified from my research. It will also show how anybody involved in language teaching (any language, not just English!), teacher training, managing schools or developing language learning materials can benefit from using the framework.
2. Supply-Side Economic Policies
They are policies that improve productive potential / capacity of an
economy. Illustrated by an outward shift of LRAS (or of the PPF)
• Supply-side policies focus on improving the structural long-
term performance of an economy
• There are different approaches to supply-side reforms
• Market-led policies – designed to make markets work
better and give the private sector more freedom
• State / government intervention in markets to overcome
different types of market failure
• Supply-side reforms can affect both short-run and long-run
aggregate supply – but the focus is usually on LRAS
• Time lags involved with supply-side reforms can be long
3. Key Supply-Side Challenges for the UK Economy
Persistent
Productivity Gap
High rates of youth
unemployment
Deep and widening
regional economic
divide
Structural trade
deficit (current
account of BoP)
Low trend growth
rate of real GDP
Rise of Emerging
Nations
Low capital
investment &
research
Rising inequality /
relative poverty
4. Main Objectives of Supply-Side Policies
1. Improve incentives to look for work and invest in people’s skills
2. Increase labour and capital productivity
3. Increase occupational and geographical mobility of labour to
help reduce the rate of unemployment
4. Increase investment and research and development spending
5. Promoting more competition and stimulate a faster pace of
invention and innovation to improve competitiveness
6. Provide a strong platform for sustained non-inflationary growth
7. Encourage the start-up and expansion of new businesses /
enterprises especially those with export potential
8. Improve the trend rate of growth of real GDP
Key concepts to focus on when discussing S-SPs are incentives,
enterprise, technology, mobility, flexibility and efficiency
5. Difference between Production & Productivity
There is a clear distinction between production and productivity
• Production
• Value of output of goods and services e.g. measured by
GDP or an index of production in specific industry
• Productivity
• A measure of the efficiency of factors of production
• Measured by output per person employed
• Or output per person hour
• An increase in production DOES NOT automatically mean an
increase in productivity - it depends on how many factors of
production have been utilised to supply the extra output
6. Evidence for the UK Productivity Gap
The table below measures an index of constant price GDP per hour
worked for a range of countries – evidence of the productivity gap
France Germany Italy Japan UK USA
2007 100.0 100.0 100.0 100.0 100.0 100.0
2008 99.3 99.6 98.9 100.0 99.5 100.5
2009 98.7 96.9 96.7 99.1 97.8 102.9
2010 100.2 98.5 99.0 102.8 99.3 105.5
2011 101.4 99.5 99.1 102.8 101.7 106.0
2012 102.1 99.9 98.3 103.9 99.7 106.3
2013 102.4 99.4 98.5 105.5 99.4 107.6
Source: ONS, Feb 2015
7. Why does the UK economy lag on productivity?
Low rate of new capital
investment in the UK
Banking crisis affecting
lending to businesses
Possible slowing rates
of innovation
Persistent skills
shortages in key
industries
Relatively low levels of
market competition
Low aggregate demand
& high spare capacity
8. Economic Advantages of Higher Productivity
1. Lower unit costs: Cost savings for businesses can bring lower
prices, encouraging higher demand, more output and an
increase in employment
2. Improved competitiveness and trade performance (BoP)
3. Higher profits: Efficiency gains are a source of larger profits for
companies which might be re-invested
4. Higher wages: Businesses can afford higher wages when their
workers are more efficient
5. Economic growth: If an economy can raise productivity then the
trend growth of national output can pick up
6. Productivity improvements mean that labour can be released
from one industry and be made available for another
9. If Supply Side Policies Work
1. Achieve a sustained improvement in the possible trade-off
between inflation and unemployment (see Phillips Curve)
2. Be more flexible in response to external demand and
supply-side shocks such as rising energy prices
3. Raise living standards through stronger long term economic
growth / an increase in underlying trend rate of growth
4. Reduce unemployment by lowering the natural rate of
unemployment (less frictional & structural unemployment)
5. Improve competitiveness in global markets and achieve a
stronger balance of trade in goods and services
In general, a stronger supply-side performance allows a
government to meet more of the key macro objectives
10. Showing Long Run Economic Growth using AD-AS
General
Price Level
Real GDP
GPL1
AS1
Y1
AD1
Yp1
LAS1
An increase in a
country’s
productive
potential causes an
outward shift of
LAS. Short run
supply increases
because of lower
unit costs
An increase in
productive potential
allows an economy
to operate at a
higher level of AD
LAS2
AS2
AD2
Yp2Y2
11. Pro-Market (Private Sector) Supply-Side Policies
These policies focus on reducing the size of the state and in
boosting the role of market forces in allocating scarce resources
• Cutting government spending (including welfare) and borrowing
• Lower business taxes to stimulate capital investment
• Lower income taxes to improve work incentives
• Reducing red-tape to cut the costs of doing business
• Improving the flexibility of the labour market including reforming
employment laws and encouraging more part time work
• Competition policies such as deregulation & anti-cartel laws
• Privatisation of state assets – transferred to the private sector
• Opening up an economy to overseas trade and investment
• Opening up an economy to inward skilled labour migration
12. Recent UK Government Supply-Side Policies
Privatisation of
Royal Mail
Patent Box
Incentive
Modern
Apprenticeships
– e.g. the Youth
Contract
Welfare Caps /
and other
Welfare Benefit
Reforms
Shale Gas Tax
Cut Incentives
Large Fall in
Corporation Tax
UK National
Infrastructure
Plan including
HS2
Launch of a
Green
Investment
Bank
13. Government Intervention - Supply-Side Policies
Supporters argue that an interventionist state can have a powerful
positive long-term effect on supply-side performance
• State investment in public services and critical infrastructure
• A commitment to a minimum wage and/or living wage to improve work
incentives & productivity in the labour market
• Higher taxes on the wealthy to fund public and merit goods
• An active regional policy to inject extra demand into under-performing
areas / regions of persistently high unemployment / low per capita
income – e.g. the Government’s Northern Powerhouse Project
• Selective import controls to allow domestic industries to expand
• Management of the exchange rate to improve competitiveness
• Nationalisation of and/or stronger regulation of key industries
14. Regional Policy – The Northern Powerhouse Project
The UK government wants to achieve a greater degree of regional
balance in the economy to help supply-side potential growth
• Goal of Northern Powerhouse idea is to have a balanced regional recovery
• North has a relatively higher concentration of public sector and
manufacturing jobs and has grown less quickly since the end of the last
recession
• Aim is to increase long-term growth in the major cities of the North
including Liverpool, Manchester, Leeds and Hull
• Policy options include:
• Investment to improve transport connections
• Supporting science and innovation including the universities
• Backing specialist clusters of businesses including high tech sectors
such as life sciences and marine engineering
15. Research and Development (R&D)
R&D is focussed on the creation and improvement of products and
processes, based on scientific research – applied to market needs
• Spending on R&D in the UK has been <2% of GDP for many years
• The biggest barriers to innovation are
• Risk aversion – research is expensive, rewards are uncertain
• Uncertainty about ability to exploit research and make a profit
• A lack of high-skilled workers
• Top EU companies: Nokia, Volkswagen, Bosch and Siemens
• The top UK firms are GlaxoSmithKline and AstraZeneca
• The level of research spending is not necessarily a guide to the
pace and success of innovation. Many businesses do not patent all
their most innovative ideas but keep them as trade secrets
16. What is Innovation?
Innovation is putting a new idea or approach into action. Innovation
is 'the commercially successful exploitation of ideas'
• Product innovation
• Small-scale, frequent subtle
changes to the characteristics
and performance of a good or
a service
• Process innovation
• Changes to the way in which
production takes place or is
organised
• Innovation has demand and
supply-side effects in markets and
the economy as a whole
Austrian
economist Joseph
Schumpeter
coined the term
creative
destruction.
This is a term that
refers to the
complete upheaval
of the established
order in the
pursuit of
innovation.
17. International (External) Competitiveness
External competitiveness is the ability to sell goods and services at
competitive prices in a foreign country
• Cost competitiveness – differences in unit costs between
producers – reflected in prices
• Non-price competitiveness – product quality, design,
reliability and performance, choice, after-sales services,
marketing, branding and the availability and cost of
replacement parts
• Non-wage costs:
• Costs of meeting environmental / health regulations
• Environmental taxes e.g. carbon taxes and waste taxes
• Employment protection laws and health and safety laws
• Requirements to provide pensions for employees
18. Policies to Improve International Competitiveness
Improving functioning of Labour Markets
• Investment in all levels of education and training
• Encouraging inward migration of skilled workers
• Improvements in management quality
Infrastructure Investment
• Better motorways, ports, hi-speed rail
• Northern Powerhouse project
• Communications e.g. super-fast broadband, 4G networks
Supporting Enterprise / Entrepreneurship
• Improved access to business finance e.g. for start-ups
• Incentives for business innovation and invention
• Reductions in business red tape
Macroeconomic Stability
• Maintaining low inflation / price stability
• A sustainable and more competitive banking system
• A competitive exchange rate v major trading partners
19. Evaluating the Impact of Supply-Side Policies
Supply-side policies can have a powerful effect on economic
performance – but be aware of limitations and disadvantages
1. Supply-side policies have long time lags – especially when they
are trying to achieve structural changes
2. The level of aggregate demand is also important in making
business investment and innovation viable
3. Some supply-side policies (e.g. cutting higher-rate income taxes)
might lead to greater inequalities of income & wealth
4. State intervention to “pick winners” in different industries may
be ineffective – there are risks of government failure
5. Sustainability issues if policies aim to raise a country’s long term
growth rate – leading to increased externalities such as pollution
6. Supply-side policies look to achieve relative improvements e.g.
In productivity – but other countries will be making gains too
The persistent weakness in productivity has puzzled economists and there are many alternative theories to explain it, including: weakness in investment that has reduced the quality of equipment employees are working with; the banking crisis leading to a lack of lending to more productive firms; employees within firms being moved to less productive roles; and slowing rates of innovation and discovery.