Government Intervention in the Market (Leaving Cert Economics): Flashcards
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Practise the cards
15 cards from this deck
Mixed economy
Mixed economy
Combines free market with government intervention
Two characteristics of public goods
Two characteristics of public goods
Non-rival and non-excludable
Non-rival (public goods)
Non-rival (public goods)
One person's use doesn't reduce availability for others
Non-excludable (public goods)
Non-excludable (public goods)
Impossible to prevent people from using them
Progressive taxation purpose
Progressive taxation purpose
Reduce income inequality through redistribution
CCPC
CCPC
Competition and Consumer Protection Commission
Fiscal policy
Fiscal policy
Taxation and government spending
Pigovian taxes
Pigovian taxes
Taxes targeting activities with negative externalities
Effect of indirect taxes on supply curve
Effect of indirect taxes on supply curve
Shift left: higher prices, lower quantities
Effect of subsidies on supply curve
Effect of subsidies on supply curve
Shift right: lower prices, higher quantities
Maximum prices (price ceilings)
Maximum prices (price ceilings)
Upper limits on what can be charged
Minimum prices (price floors)
Minimum prices (price floors)
Ensure producers receive adequate compensation
Year Ireland introduced sugar tax
Year Ireland introduced sugar tax
2018
Rent Pressure Zones
Rent Pressure Zones
Areas with limits on annual rent increases
ComReg
ComReg
Regulates telecommunications and broadband services