Total Pageviews

Saturday, 19 February 2011

Unit 4: Economic growth in the UK 2011

We need to understand how the economy in the UK will grow (if at all) in 2011. Below is a good presentation which highlights the issues;




To summarise the above slideshow, the UK needs to do the following;

1/ Get the conditions right for long term growth - have credible macro policies and an active policy to counter de-industralisation


2/ Have a strong commitment to trade and competition
3/ Incentivise R&D as the social return from research is twice the private return

4/ Consider tax reforms such as one to remove 100% inheritance tax exemptions for family businesses to encourage improved management

5/ Focus human capital investment at lower skilled and younger workers E.g., expanded apprenticeships

6/ Avoid damaging migration caps and removal of teaching subsidies for universities – especially when there is a global war for talent. The universities fear the loss of billions of pounds worth of fees from forreign students

7/ Focus on sector growth in industries where competitive advantage can be successfully nurtured and exploited. Namely...healthcare, niche manufacturing, green energy, universities, bio-pharmaceuticals, creative industries

No comments:

Post a Comment