Economics 2150A/B Study Guide - Quiz Guide: Capital Market, Workforce Productivity, Incomes Policy

• School: Western University
• Department: Economics
• Course: Economics 2150A/B
• Professor: Colin Denniston

Document Summary

World economy britain since 1979 and explanations. Card (2004: 1980"s-1990"s uk govts enacted reforms to establish a more market-oriented economy, goal of offsetting long-term economic decline. Began period as highly regulated economy with large nationalised industries and extensive welfare state: by the end of the period, one of the least regulated oecd economies and welfare system based on in-work benefits. Key changes: privatisation of most nationalised industries and some government functions. In work benefits and reduction of incentives to be out of work: tax incentives for employee share ownership, restructuring the nhs (more competition, sale of council flats to residents. Increased inequality rich getting richer: secular decline in uk productivity relative to other advanced economies ended, but this is circumstantial. Uk was made more market friendly: on broad measures of economic freedom and labour market regulations, deregulated product markets and denationalised earlier than other eu states, privatisation often accompanied by increased regulation.