Return Of Native Essays - Thomas Hardy, The Return Of The Native

Return Of Native The entire opening chapter of The Return of the Native is devoted to a lengthy description of Egdon Heath, the setting of the novel. The heath must be significant in terms of the themes and the continue progress of the novel. The author of the novel, Thomas Hardy, made the heath so significant to the point that it can be look upon as a character like any other in the novel. The heath's constant correlation with the plot and its "personality" even transformed it into the major antagonist of the story. In the opening chapter the heath is introduced just as how a major character of most novels would be introduced with detail. In fact, the way Hardy devoted the entire first chapter just to describe it gives it the level of importance that is over any other characters in the book. This seems to suggest that the heath is like the"ruler" of the story, it is the King, and it is more powerful than any person is. The heath demonstrates the idea that fate is more powerful than the desires of individuals. This theme can be seems throughout the novel. The biggest effect of this theme is on Eustacia. The fact that Clym delayed sending his letter to Eustacia, coupled with the fact that Captain Vye unwittingly kept the letter from Eustacia until it was too late, suggests that perhaps destiny is against her. It is under the downpour of the rain, on the rugged heath where Eustacia laments her fate. Eustacia's own remark, "how destiny is against me!" (354) and "I have been injured and blighted and crushed by things beyond my control!" (354) affirm the existence of such a force, the power of fate. On Egdon Heath, night and darkness comes before its "astronomical hour" (11). This presents the idea of Egdon Heath's unchangeable place in time. This early arrival of darkness gives Egdon Heath a sense of gloom. Dominance of darkness is clearly ominous and Hardy also says of the heath that it could "retard the dawn, sadden noon...and intensify the opacity of a moonless midnight to a cause of shaking and dread" (11-12). It is also inferred that the Heath itself creates the darkness "the heath exhaling darkness as rapidly as the heavens precipitated it" (12). This description of the Heath gives it not only a human like, but in fact, a monster-like quality. We see an image of a giant creature of darkness breathing out darkness. The atmosphere or tone created here is verging on evilness. The Heath is as hostile as it is gloomy. The place is "full of a watchful intentness...for when other things sank brooding to sleep the heath appeared slowly to awake and listen" (12). The Heath is personified as some sort of nocturnal predator and in the later progress of the novel, we see that the Heath is indeed hostile, perhaps"indifferent" would be the appropriate adjective, to the characters. Mrs.Yeobright's journey across the Heath after being turned away by Eustacia comes to mind. The conditions of the Heath under which Mrs.Yeobright makes her journey is described as "a torrid attack" (260) and "the sun had branded the whole heath with its mark" (260). "Brand" suggests pain and possibly torture and we find this is not far from the truth when Mrs.Yeobright makes her ill-fated return journey. However, the Heath is at its most hostile and cruel in darkness. It is in the middle of the night that the climax of the tragedy is reached, as Eustacia commits suicide amid the ferocity of the storm. In the opening chapter there is a forewarning of this, as we learn of the Heath that"the storm was its lover and the wind its friend" (13). As mentioned before, it is appropriate to describe the Heath as 'indifferent'. There is a feeling of helplessness that runs through the novel, as the characters fall prey to chance or fate. The tone is ironic, because we are watching the actions of the characters with superior knowledge. For instance, Clym's blaming himself for his mother's death is ironical: he does not know the conditions responsible for it and he is unaware that his mother did indeed call on him. It is possible to read this helplessness and irony as a result of the Heath's indifference to the characters. It is also an intended theme: man lives his life in a universe that is at least indifferent to him and may be hostile. The opening chapter is without doubt the

COLLEGE PAPER WRITING

COLLEGE PAPER WRITING College papers are written in totally different manner and have its own rules and guidelines that include special requests from the course instructor as well. When it comes to college paper writing, finding the college paper writing services you can trust is simply crucial. Another important aspect of any profound essay writing services is Quality VS Price. To order an essay is very simple process. You must include general information and essay instructions both general and provided by your instructor. Also, you may include notes that will help the writer to do the best job. Getting the college paper writing that you want is not an obstacle if you are ready to act now. If you have questions, talk to the customer service representative by calling us or using our primary online chat. Keep in mind, that all your questions can be addressed and answered 24 hours a day and 7 days a week as do work around the clock to deliver the best quality paper writing to you.

Prepress and Production Management Essay Example | Topics and Well Written Essays - 5000 words

Prepress and Production Management - Essay Example It is not a simple case rather involve a huge production process required a complete formulation of strategies and policies. The prepress business from the last year took a great leap in the production management and this all because of the technological advancement [Jeff Madura (2003)]. As the technology emerges, the process and steps in the production management augmented. Therefore, the aim of the paper is to look at the successive track of prepress production management and factors that greatly affect on this industry. When seeking the advancement in the publishing o f books within the years of 1985 to 1995 then it shows that little advancement took place, the same typesetting methods were in used by the firms due to lack in the computer technology. The computers affect the typesetting in the late years of 1993 and 1994 [N. Gregory Mankiw (1998)]. But this advancement was on very short area as less computer help was taken by the firms. The reason is that they were holding less computer specialist that can handle all the type setting of the books. The binding system of the publishing house was usually a mechanical process in which less ethnology was used and more human power and labour was in use. Less technological advancement in binding books were taken in account by the firms. Whereas, the large huge firms which were few in number was continuously seeking the latest technology for binding books and were using by only these firms. Very few famous companies emerge at that time that is still consid ered as the pioneer of the publishing house such as Pearson [Kenichi Omaha (1892)]. However, the printing set of the firms enhanced with time rapidly. The firms were able to better print the pages. This is the only sector of the publishing housed that completely affects the over all efficiency of the firms. 1996 to 2006 eras During these ten years the publishing house widely enhanced at global level. There are many reasons that directly and indirectly affect the production management of a publishing house in last 10 years. The information technology is one of the reasons that took great place in augmenting the publishing house. Other than technological advancement, the competition boost the publisher to introduce much better techniques and tools that can help him/her in lowering their internal cost but enhancing the quality of the books [Michael Armstrong (2003)]. Different production management techniques were redesign and new techniques substitute the old ones. In the start of 21st century a huge leap in the publishing industry were seen. Their production management changes at once thus affect the effectiveness and efficiency of the publishing house. Though different publishers are using different mechanism and techniques in their publishing house that in their term producing best quality work. Below we are taking in account different steps of production management to know that which real steps are taken by the firms in the production management of the publishing house [Payne.A. ed.1995]. These steps start from the planning process to the production completion process. We will overview different advancements that were introduced by the famous firms. Production management process of Prepress firm with respect to the latest techniques used by firms in year

Case_2_-_Al_Dar-done-X Case Study Example | Topics and Well Written Essays - 1000 words

Case_2_-_Al_Dar-done-X - Case Study Example For example, the company’s revenue for the year ended December 31, 2009 was AED 1,979.3 million compared to AED 4,978.3 million for the previous year (year 2008). That was a decrease of about 60.2%. In addition, the profit for that year was AED 1,006.9 million compared to AED 3,446.7 million in the previous year. Second, the reduction in the company’s profitability levels minimized its ability to handle debt obligations promptly. In addition, the property crash had left the market with just a few private players with the capacity to and the will to buy the assets. Therefore, the mentioned reasons landed the company in liquidity deficit situation, thus, the inability to handle the debt. Third, the cost reduction strategy of the company involving the layoff of 105 employees sparked worries among the employees. Most of them were unsure of their job security in the business thus, the genesis of the reduction in morale. The UAE’s real estate industry is deeply affected by the global debt crisis. The foreign investors reduced the level of investment in the property. The residents’ purchasing power was also reduced by the inflation effect. For that reason, the demand for housing products is low leading to a reduction in rental prices. The following economic factors have affected the company’s performance: first, the unification of the individual states to form the Union, which prompted widespread infrastructural development, which boosted the company’s performance. Second, the oil boom in the 1970s up to 1990s provided the capital necessary for economic growth and development, which increased the company’s performance. Last, the 2007-2010 credit crunch led to a reduction in the enterprise’s performance. Yes, the economy, the industry, and the company were shaken. Since the demand for real estate products and the level of foreign investments reduced, the profitability of the industry declined. The

Should Turkey be allowed to join the European Union?

Should Turkey be allowed to join the European Union? Executive Summary The membership of Turkey is one of the most controversial external relations issues of the European Union (EU).   Turkey is an important trading partner for the EU and provides many economic advantages to the union.   Additionally, it has a strategic location, allowing it to play an important regional and foreign policy role.   However, there are issues related to Turkey’s accession, such as large migration flows to more economically developed EU-15 countries as well as a substandard human rights situation within the country (Gerhards and Hans, 2011: 751).   Overall, this policy note recommends that Turkey should be allowed to join the EU on the basis of EU economic development and foreign policy advantages.   Despite the issues related to accession of Turkey into the EU, this paper argues that EU-membership will work as a catalyst for Turkish institutional reforms. Introduction Turkish entry into the European Union is a highly contentious issue.   Turkey has progressed on the way to EU membership in spite of persistent and increasing divergence of membership preferences (Schimmelfennig, 2009: 413-415).   Turkey, with its large, dynamic economy, is an important trading partner for the EU, it also has a strategic location, including on energy security, and plays an important regional role. Equally, the EU remains an important anchor for Turkey’s economic and political reform (Progress Report, 2013: 1).   This paper will first provide an analysis and outline of the different factors relating to the accession of Turkey into the EU.   It will explore economic factors, cultural factors and political factors.   Finally, this paper will recommend that Turkey should be allowed to join the EU due to its positive affect on EU economic development, as well as the fact that Turkey has made good progress in meeting a lot of the Accession criteria set out in the Copenhagen agreement.   This paper will also make recommendations on what Turkey must do in order to fully meet EU standards for accession. Context Turkey first became affiliated with the EU in 1963 after signing an associate membership agreement with the then European Community.   The decisions to give Turkey a membership perspective and to open accession negotiations have been highly controversial among member state governments and have tended to produce long and conflictive negotiations as well as uneasy compromises (Schimmelfennig, 2009: 414).   A major breakthrough came at the Helsinki meeting of the European Council in 1999, when Turkey attained status as a candidate for membership. It now has a so-called Accession Partnership with the EU, which means that the EU is working together with Turkey to enable it to adopt the acquis communautaire, which is the legal framework of the EU (Togan, 2004: 1013). The Copenhagen Criteria cover a state’s ability to take on the acquis communautaire, the economic criteria for a functional market economy, and above all, ‘stability of institutions guaranteeing democracy, the rule of law, human rights and respect for and protection of minorities’ (Schimmelfennig, 2009: 420).   Overall, Turkey has made significant efforts to fulfil requested accession criteria through socio-economic and cultural convergence with EU Member States. Analysis Economic Factors Many studies have shown that economic factors play a significant role in shaping attitudes towards different aspects of European integration. Turkey’s progress on meeting the requirements of the Copenhagen Criteria is confirmed by socioeconomic indicators that describe the level of modernization of the country (Alber, 2007).   Turkey is the 17th largest economy globally, and the most current EU progress report states that Turkey has sufficient macroeconomic stability and the medium-term capability for integration into the single European market (Gerhards and Hans, 2011: 744).   Turkey is a large and fast expanding market, it is the largest market in the Middle East, Balkans and Caucasus. According to the World Bank, Turkish GDP is as large as 80 per cent of Russian GDP (Togan, 2004: 1043).   Turkey, located at the crossroads between Europe, Eurasia and the Middle East, has the potential to act as a major link between these markets.   With harmonization of commercial legislation, EU companies will be able to use Turkey as a joint investment and export base for the Middle East and Eurasia.   Moreover, Istanbul is emerging as transnational corporations’ headquarters for operations in the Caucasus and Central Asia. The EU will derive potential gains from increased trade in the region (Togan, 2004: 1043-1044). Overall, the Progress Report on Turkey’s EU Accession (2013: 4) states that Turkey is a functioning market economy, and should therefore be able to cope with competitive pressure and market forces within the Union in the medium term.   Additionally, with Turkish accession current members will derive welfare gains from standard comparative advantage sources and also from growth effects of integration. This report argues that accession of Turkey to the EU will bring economic benefits for Turkey as well as to the EU itself.   The largest economic gains can be obtained through reforms of national institutions in Turkey that improve the functioning of the public sector and provide transparency to investors and traders (Lejour and Mooij, 2005: 117).   Integration will remove the distortions in the price system, boosting the allocative efï ¬ ciency in the economy, which in turn will make the country a better place to invest.   Furthermore, with accession Turkey will be eligible for EU structural funds. The increase in infrastructural investments will contribute to economic growth in Turkey. In addition, Turkey will reap beneï ¬ ts from monetary integration, and ï ¬ nally, Turkey will beneï ¬ t from migration of Turkish labour to the EU (Togan, 2004: 1042). The key theoretical constructs investigated to explain opposition to Turkey’s EU membership are related to rational economic self-interest and group-level interests and concerns (McClaren, 2007: 251).   Turkey is relatively poor and agricultural, it can therefore be argued that Turkish membership is likely to increase the divergence of living standards in the EU, create a high potential for labour migration and instigate demand for high net payments from the structural and agricultural funds.   Welfare gains that will be derived by Turkey from integration will have a price. The price will be the adjustment costs associated with the attainment of macroeconomic stability, adoption of CAP, liberalization of services and network industries, and complying with EU environmental directives (Togan, 2004: 1042). Migration/Cultural Factors In addition to direct fiscal implications, EU member states are subject to another possible economic consequence of Turkish accession, immigration.   Hostility to Turkey’s candidacy can be explained by the threatening context of Turkish migration (McClaren, 2007: 251).   It can be argued that migration flows could have negative economic consequences, such as increased competition in particular segments of the labour market.   In particular, countries in the more economically developed EU-15 are likely to be affected to the highest degree (Gerhards and Hans, 2011: 751), moreover it will likely take decades before Turkey attains an income level comparable to these countries.   This will continue to be a strong incentive for migration from Turkey to other EU countries, EU-15 countries fear that the immigrants will ‘depress wages, boost unemployment and cause social friction and political upheavals’ (Togan, 2004: 1031-1032). However, one assumption in the analysis of Turkish migration is that all labour is homogenous.   In reality labour is highly differentiated according to many factors, which results in the effects of migration for income distribution and social welfare becoming less clear-cut.   The empirical research on the economic effects of immigration indicates fairly small and on the whole positive effects.   ‘Employment opportunities are not affected much, the wage of low skilled labour is depressed somewhat but that of skilled labour is raised, and the net present value of public transfers is positive’ (Togan, 2004: 1043).   Therefore, this paper argues that with appropriate measures, immigration is not necessarily a negative consequence of Turkey’s accession into the EU. It is not just the threat to resources presented by Turks that affects feelings about the Turkish candidacy, threats to culture and way of life are likely to be particularly strong in the Turkish case (Ivarsflaten, 2005).   In addition to the possible problem of being perceived as traditional or backward, Turkey faces the potential difficulty of being predominantly Muslim (McClaren, 2007: 258).   The recent drawbacks in the negotiations of the EU with Croatia, Serbia, and Turkey have been caused by issues of national identity related to legacies of ethnic conflict that are likely to create high political costs to the target governments. As a result, whereas consistency has remained high, effectiveness is reduced (Schimmelfennig, 2004: 918).   Nevertheless, sociostructural differences between Turkey and the EU Member States have been shrinking.   The percentage of the Turkish population working in agriculture has sunk, education levels have risen and the overall standard of living has increased (Gerhards and Hans, 2011: 744). The commission critiques Turkey on its human rights situation, on its limited freedom of speech and on its lack of gender equality.   However, according to the Freedom House Index, Turkey has improved consistently in its level of democratization, political freedom and civil liberties over recent years (Gerhards and Hans, 2011: 744).   Overall, these improvements represent measurable developments regarding Turkey’s convergence with the EU and its fulfilment of EU accession criteria.   Additionally, Freedom in the Press has improved, however, it still has a long way to go in order to reach the levels of freedom held by EU-15 countries.   Key provisions of the Turkish legal framework and their interpretation by members of the judiciary continue to hamper freedom of expression, including freedom of the media (Progress Report, 2013: 2). Foreign Policy The commission emphasized Turkey’s increasingly important foreign policy significance for Europe, for example its intermediary role between Syria and Israel, its diplomatic approaches with Armenia, and above all, its role in the military conflict between Russia and Georgia (Schmid, 2008).   Turkey has continued to play an important role in its wider neighbourhood, for example expanding its activities as a non-traditional donor in the Horn of Africa, supporting democratic transition in North Africa, and enhancing cooperation with and between Afghanistan and Pakistan. It has played a particularly important role on Syria, supporting the development of a more unified opposition and providing vital humanitarian assistance to large numbers of Syrians fleeing their country (Progress Report, 2013: 3).   This suggests Turkey is meeting criteria of the Copenhagen Agreement such as the rule of law and the respect for and protection of minorities.   According to the Commission (2008b), expansion in general and Turkish membership specifically would strengthen the EU’s foreign policy weight in the world.   Furthermore, Turkey’s geographic location makes it well-suited as a transit country for oil and natural gas and it could therefore play a strategic role in securing the EU’s energy supply (Gerhards and Hans, 2011: 744).   Turkish membership could help to secure stability and security in the Balkans and Caucasus. The EU could then increase its energy security and also decrease its defence expenditures (Togan, 2004: 1043-1044).   This paper argues that this is indication that Turkey should be allowed to join the EU. Recommendations In order to maintain its impact on political reform under the conditions of political unrest, the EU will need to reassure applicant governments of the credibility of its commitment to enlargement and move negotiations with Turkey closer to the endgame.   Creating uncertainty about admission even after full compliance destroys this credibility and will reduce the effectiveness of conditionality even further (schimmelfennig, 2008: 933).   Overall, this policy note recommends that Turkey should be allowed to join the EU on the basis of EU economic development and foreign policy advantages provided it agrees to make continued efforts in the realm of human rights.   The issues with regards to human rights in Turkey underline the importance for the EU to enhance its engagement with Turkey.   This paper recommends that the overall legal framework and practice on the intervention of law enforcement officers should be brought in line with European standards to guarantee under all circumstances the right to freedom of assembly.   Additionally, an ECHR-compatible legal framework has yet to be established on matters of faith and conscientious objection.   Substantial efforts are needed to effectively guarantee the rights of women, children and LGBT individuals (Progress Report, 2013: 2).   These shortcomings need to be addressed in order for Turkey to be a successful member of the EU. In regards to immigration associated with the accession of Turkey to the EU, this paper recommends that government leaders will need to adopt measures to allay fears among EU citizens, perhaps including provision for a waiting period on the free movement of labour provision (McClaren, 2007: 274, Gerhards and Hans, 2011: 763). In conclusion, this report argues that EU-membership will work as a catalyst for Turkish institutional reforms.   Turkey has made progress towards meeting a good amount of the accession criteria, and by becoming a member of the EU, Turkey has to conform to all EU legislation and enforcement by the European Court of Justice.   Furthemore, via the method of open coordination, Turkey will regularly be assessed by the European Commission and other member countries on its economic policies.   EU membership can thus trigger institutional reform in Turkey and reduce widespread corruption (Lejour and de Mooij, 2005: 101).   Bibliography Alber, J. (2007) ‘Where Turkey Stands in Europa and why it Should Be Admitted to the EU’. Discussion Paper SP I 2007-205, Social Science Research Center. https://core.ac.uk/download/pdf/6628025.pdf Accessed 11 Nov 2016. Commission of the European Communities (2008b) ‘Enlargement strategy and main challenges 2008–2009. Communication from the Commission to the Council and the European Parliament’. COM. Pp. 1-66. http://ec.europa.eu/enlargement/pdf/press_corner/keydocuments/reports_nov_2008/strategy_paper_incl_country_conclu_en.pdf Accessed 7 Nov 2016. European Commission working document (2013) – ‘Turkey 2013 Progress Report’. http://vle.exeter.ac.uk/pluginfile.php/724824/mod_resource/content/1/European%20Commission%20working%20document%20-%20progress%20on%20Turkeys%20EU%20accession%202013.pdf Accessed 2 Nov 2016. Gerhards, J. and Hans, S. (2011) ‘Why not Turkey? Attitudes towards Turkish Membership in the EU among Citizens in 27 European Countries.’ Journal of Common Market Studies. Vol. 49 (4), pp. 741–766. http://vle.exeter.ac.uk/pluginfile.php/724823/mod_resource/content/1/j.14685965.2010.02155.x.pdf   Accessed 5 Nov 2016. Ivarsflaten, E. (2005) ‘Threatened by Diversity: Why Restrictive Asylum and Immigration Policies Appeal to Western Europeans’. Journal of Elections, Public Opinion and Parties. Vol.15(1), pp. 21–45. http://www.tandfonline.com/doi/abs/10.1080/13689880500064577 Accessed 8 Nov 2016. Lejour, A. M. and de Mooij, R. A. (2005) ‘Turkish Delight: Does Turkey’s Accession to the EU Bring Economic Benefits?’ Kyklos. Vol. 58 (1), pp. 87-120. http://0-onlinelibrary.wiley.com.lib.exeter.ac.uk/doi/10.1111/j.0023-5962.2005.00279.x/epdf Accessed 6 Nov 2016. McClaren, L.M. (2007) ‘Explaining opposition to Turkish membership of the EU.’ European Union Politics. Vol. 8 (2), pp. 251-278. http://vle.exeter.ac.uk/pluginfile.php/724821/mod_resource/content/1/European%20Union%20Politics-2007-McLaren-251-78.pdf Accessed 1 Nov 2016. Schimmelfennig, F. (2008) ‘EU political accession conditionality after the 2004 enlargement: consistency and effectiveness’. Journal of European Public Policy. Vol. 15 (6), pp. 918-937. http://dx.doi.org/10.1080/13501760802196861 Accessed 8 Nov 2016. Schimmelfennig, F. (2009)’Entrapped again: The way to EU membership negotiations with Turkey’, International Politics. Vol. 46 (4), pp. 413-431. http://vle.exeter.ac.uk/pluginfile.php/724822/mod_resource/content/1/ip20095a.pdf Accessed 3 Nov 2016. Schmid, F. (2008) ‘Strategiepapier zur EU-Erweiterung. Brà ¼ssel lobpreist die Tà ¼rkei’. Financial Times Deutschland, 28 October. Togan, S. (2004) ‘Turkey: Toward EU Accession’, The World Economy. Vol. 27 (7),   pp. 1013–1045. http://0onlinelibrary.wiley.com.lib.exeter.ac.uk/doi/10.1111/j.03785920.2004.00641.x/abstract;jsessionid=915358403C934900F4FE9BD17D95BEE2.f02t04 Accessed 12 Nov 2016

Disadvantage of clonning Essay

Cloning can be define as the creation of an organisms that is an exact genetic copy of another. This means that every single bit of DNA is the same between two. This is use to make multiple identical copies of DNA, create or propagate an organism from a clone cell and reproduce or propagate asexually such as clone a plant variety or animal. Cloning has its advantages and disadvantages but most people opined human cloning is playing the role of god. There are many disadvantages of cloning such as uncertainty of science technology, losing the diversity of genes, great diseases and leading to extinction. The disadvantage of cloning is uncertainty of science and technology. Science and technology cannot solve everything. Do you ever think what will happen if we allow cloning is widespread?. Will the results be controllable?. Scientist cannot promise they can controlled the cloning result. There are some potential crises lurking behind. The primary drawbacks to cloning are its ethical problems. Some scientist do a cloning for their own benefits which to make they on top of the world instead of giving the benefits to the society. In addition, many years ago, a scientist successfully clone a sheep. The cloned sheep was named Dolly and identical to the sheep which the genetic material was derived. However, Dolly died in 2003 (Ian Wilmut 1997 as cited in Betsy, 2008). Furthermore, in cloning Dolly, it resulted in the death of many embryos and newborns before success achieved which is 29 embryos were transferred to 13 sheep and only one became pregnant with Dolly. Therefore, unexpected in s cience and technology may damage the cloning. In a nutshell, cloning have many disadvantages than the advantages which are uncertainty of science technology, losing the diversity of genes and the great disease and leading to extinction. REFERENCES Betsy, T.L.H. (2008). Longman Essential Biology Form 4. Petaling Jaya: Pearson Malaysia Sdn. Bhd. Disadvantages of cloning. (n.d.). Retrieved August 18, 2013, from http://library.thinkquest.org/C0122429/ethics/disadvantages.htm The University of UTAH. (2013). What is Cloning. Retrieved August 18, 2013, from http://learn.genetics.utah.edu/content/tech/cloning/whatiscloning/

Chapter 12 Taxation and Income Distribution

Chapter 12 Taxation and Income Distribution I. Impact of taxes on income distribution hard to determine because of tax incidence II. Tax Incidence a. Who actually pays a tax b. Legal Incidence – who is legally responsible for paying a tax c. Economic Incidence – who actually pays the tax d. Example – tax of $1 is placed on $10 item how is income distribution affected i. Price stays at $10 – income of seller reduced ii. Prices rises to $11 – income of buyers reduced iii. Price rises to $10. 30 – buyers pay $. 30 and sellers pay $. 70 e.To the extent taxes affect quantity sold and produced, tax affects income of suppliers of inputs for the product. i. Example: tax on gasoline reduces gasoline consumption it reduces income of gasoline tanker truck owners and drivers. ii. May reduce the income of furnace manufactures by reducing the price of heating fuel. III. Tax Incidence Perspectives a. People pay taxes not corporations b. How to group people for purposes of tax incidence i. Often think of producers and consumers 1. But consumers are also producers and producers are also consumers 2. 0 of households own stock directly, others own stock indirectly ii. By income Rich, Middle Class, Poor 1. How do you define these categories? c. Tax affect both suppliers of inputs and consumers of a product. i. In practice tend to ignore one side and do analysis on the other 1. Tax in commodity ignore impacts on inputs 2. Tax on inputs, ignore impact on consumers d. Incidence depends on how prices are determined i. How taxes change prices determine who pays the taxes ii. Amount of time is important – more time more adjustment to taxes e. Tax incidence depends on how tax revenues are spend . Progressiveness of tax system i. Policy says tax system should be progressive. ii. Higher income pay a higher percentage of taxes 1. Usually measured as increase in average tax rate taxes/income 2. Exemptions, deductions and marginal rate structur e affect average tax rate iii. 2 measures 1. Percentage change in tax rate divided by percentage change in income 2. Percentage change in taxes divided by the percentage change in income 3. Measures can produce different results IV. Partial Equilibrium Models of Tax Incidence a. Analyzes impact of tax on the market in which tax was imposed b.Ignore impact of market change on other markets i. Appropriate if tax is small ii. Appropriate if market is small iii. Otherwise need general equilibrium analysis c. Tax incidence of a unit tax – tax per unit of the good i. Legal incidence on buyers – figure 12. 2 1. Tax reduces the demand curve for the product from the supplier’s point of view since at each price the consumer buys less of the product. [pic] ii. Legal incidence on seller – figure 12. 3 1. Tax reduces the supply curve for the product from the consumer’s point of view since at each price the suppliers supply less of the product pic] iii. Economic incidence is independent of legal incidence 1. Arrive at same Price, Quantity, and tax split regardless of whether tax is on producer or supplier. a. Sales tax example iv. Tax incidence depends on relative elasticities of demand and supply v. Example Qd = 1,000 – 5P and Qs = 4P – 80 Tax $45 per unit [pic] [pic] d. Tax incidence of an ad valorem tax – tax per unit of the good i. A percentage tax rather than a unit tax ii. Sales tax as compared to gasoline tax iii. More difficult to calculate but shifts demand as shown in figure 12. V. Payroll Tax Controversy a. Legal incidence 7. 5% paid by employer and 7. 5% paid by employee b. Statutory distinction between employer and employee is irrelevant c. Economic split depends on elasticity of supply of labor d. Logical that the labor supply is fairly inelastic i. Household provides certain amount of labor regardless of wage ii. May not be true in long run VI. Tax on Capital a. Increasingly capital perfectly mobile b. M oved to where return is highest after adjusting for risk c. Rate of return on capital same everywhere in world d.No single country can make suppliers of capital bear any portion of a tax on capital VII. Taxes in markets with monopoly power a. Impact of taxes same as in competitive markets b. Consumers and monopolist share tax depending on the elasticity of demand c. Figure 12. 10 VIII. Taxes in oligopoly markets a. Impact of taxes difficult to determine b. Price increase resulting from reduction in output resulting from the tax may make a company more profitable IX. Tax on profits a. Tax on normal profits reduce investment because profit is return on capital and risk b.Tax on economic profits born entirely by company with change in behavior c. Seemly ideal tax but not very operational X. Tax Incidence and Capitalization a. Tax increase on real estate is capitalized into PV of property b. Borne entirely owners at time tax is levied c. May be reimbursed if public expenditures increase property values XI. General Equilibrium Models a. Read first paragraph P 271 b. Generally not operational [pic] ———————– Po Pg Pn Q0 Q1 Supply ConsumerDemand Supplier Perceived Demand Tax paid by Consumers Tax paid by SuppliersDeadweight Loss from Tax Consumer Losses and Producers losses Po Pg Pn Q0 Q1 Supply Demand Consumer Perceived Supply Tax paid by Consumers Tax paid by Suppliers Deadweight Loss Consumer Losses and Producer losses Deadweight Loss Consumer Losses and Producer losses Tax paid by Suppliers Tax paid by Consumers Consumer Perceived Supply Demand Supply 300 400 95 140 120 Deadweight Loss from Tax Consumer Losses and Producers losses Tax paid by Suppliers Tax paid by Consumers Supplier Perceived Demand ConsumerDemand Supply 300 400 95 20 200 120 140