Globalisation

Globalisation — the growing economic integration of countries worldwide — has been driven by cheaper transport, new tech

The international economy

Globalisation

Globalisation means the world's economies are becoming more connected. Countries trade more, money moves across borders

The international economy

Globalisation

Globalisation creates opportunities and problems for all countries. Less-developed countries can attract investment and

The international economy

Globalisation

Multinational corporations (MNCs) are companies that operate in more than one country. They drive globalisation by movin

The international economy

Globalisation

Over recent decades, economies around the world have become increasingly interconnected through the growth of trade, for

The international economy

Government failure

Government failure happens when a government tries to fix an economic problem but makes resource allocation worse instea

The market mechanism, market failure and government intervention in markets

Government failure

Governments can make economic problems worse for three key reasons. They may lack good data, pursue goals that clash wit

The market mechanism, market failure and government intervention in markets

Government failure

Sometimes government intervention makes resource allocation worse, not better. Instead of fixing a market problem, the p

The market mechanism, market failure and government intervention in markets

Government failure

When governments try to fix a problem in a market, their policy can accidentally create new problems they never planned

The market mechanism, market failure and government intervention in markets

Government failure

When governments step in to correct market failure — where markets allocate resources inefficiently — their intervention

The market mechanism, market failure and government intervention in markets

Government intervention in markets

When free markets produce bad outcomes — too much pollution, too little healthcare — governments use that failure as a r

The market mechanism, market failure and government intervention in markets

Government intervention in markets

Governments shape what gets produced and consumed in an economy. They do this by spending money, charging taxes, and set

The market mechanism, market failure and government intervention in markets

Government intervention in markets

Governments pursue several goals at once — such as fairness, growth, and a clean environment. The goal they prioritise s

The market mechanism, market failure and government intervention in markets

Government intervention in markets

Governments use tools like taxes, subsidies, and rules to fix markets that produce the wrong amount of a good. Each tool

The market mechanism, market failure and government intervention in markets

Government intervention in markets

When markets fail — producing outcomes that are inefficient or unfair, such as too much pollution or too little provisio

The market mechanism, market failure and government intervention in markets

Government policies to alleviate poverty and to influence the distribution of income and wealth

Governments use tools like progressive taxation and benefits to redistribute income and reduce poverty. Each policy shif

The distribution of income and wealth: poverty and inequality

Government policies to alleviate poverty and to influence the distribution of income and wealth

Policies that redistribute income and reduce poverty create trade-offs. They can improve fairness, but they may also aff

The distribution of income and wealth: poverty and inequality

Government policies to alleviate poverty and to influence the distribution of income and wealth

Governments use a range of tools — including progressive taxation (where higher earners pay a larger share of their inco

The distribution of income and wealth: poverty and inequality