Economics 0455/22

[lavanyamane]

Did any of you guys do the Economics paper 22?
I wanted to ask about the first question in Section A - What financial incentives can a government offer to MNCs to attract them apart from subsidies?
Reduced corporate tax is one incentive, but what about providing research grants? Do you think it's correct?

 

[haochen]

dont take economics

 

[Aahmsil]

No paper discussion for 24 hrs right ? Or else you'll be moderat-ed or whatever :O:

 

[haochen]

non he will be banned but most of us disscuss it before 24 hr .
if he caught u before 24 hr and warned u but u didnt listen
ull get banned

hope u Know the RULES :shock:

 

[Aahmsil]

So, why discuss when the risk factor is there anyways ? :unknown:

 

[WayneRooney10]

Evil Dudes Discuss The Paper :evil:

 

[Aahmsil]

Clever dudes don't :evil:

By the way this is turning more into a convo than an effective discussion :%)

 

[haochen]

Sure is

 

[Aahmsil]

Answer

Now that 24 hours have passed, I think we're free to discuss :good:

My answers were:

1) Lower rates of corporation tax

2) Lower rent on premises
This would help the company to lower it's fixed costs and hence boost it's profits

I'm not really sure about the second one though :unknown:

Hope all goes well !!! :friends:

 

[haochen]

U sure got a exact time

 

[Aahmsil]

Swiss clocks and what-not

Yeah, maybe just a little late by, oh I dunno, 12 HOURS !?!?!?!?!?!? :lol:

 

[haochen]

 

[DarkMeridian]

I wrote about
~ Tax Reductions- They tax the companies less so their fixed costs reduce.
~ Land at lower costs- They provide land to the company at lower prices so the company finds it cheaper to buy set up a factory.

 

[burndtjamb]

I wrote about
~ Tax Reductions- They tax the companies less so their fixed costs reduce.
~ Land at lower costs- They provide land to the company at lower prices so the company finds it cheaper to buy set up a factory.

Said the exact same thing . But I think I might have also mentioned selling them cheap capital equipment.

 

[Aahmsil]

My opinion

Did any of you guys do the Economics paper 22?
I wanted to ask about the first question in Section A - What financial incentives can a government offer to MNCs to attract them apart from subsidies?
Reduced corporate tax is one incentive, but what about providing research grants? Do you think it's correct?

Research grants are a good point to mention but MNC's with their sheer wealth and already efficient production methods may not find such grants as useful as other incentives. It's all up to the examiners I guess !!! Let's just hope for the best !!!

 

[haochen]

Aahmsil if the examiner is good "really good" will he/she make all answer correcct