Saturday, 10 January 2009
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Economics news post for AS and A2 students at MPW Cambridge - please add brief comments to stories you find interesting or relevant. You can: speculate on future trends; link in with other topics or units; interpret/analyse; evaluate (magnitude of change/short term/long term...); offer a personal evaluation (normative statements) but please offer evidence or an explanation. You can also evaluate other students' comments but please be professional in your response.
2 comments:
VAT cut was supposed to help the economy by encouraging and giving confidence to households,but it didnt happen. the 2.5% cut didnt change anything.It would only change if concumers would start to buy more white goods or cars.neither happened,because people are too scared to lose their jobs so they rather save the money.
The VAT cut was aimed to boost consumer confidence and encourag activity on the high streets.
but because of the recession, they are out of a job or worried about their job, everyone is afraid to spend their money,that's why the VAT cut is not going to work.
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