Recap test

• Economie
• Middelbare school
• vwo
• Leerjaar 3

Welcome

3 tvwo | 2020-2021

Chapter 1 & 2

Today/tomorrow

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Test

Friday 19th of march

60 minutes

Chapter 1: The Netherlands and the world

Chapter 2: The government around us

                       (up to and including to assignment 2.19)

Ch01 The Netherlands and the world

           Import                                                                      Export & re-export

Ch01 The Netherlands and the world

Exchange rate: price of a currency expressed in another currency

£1 = €1,16

£	1	0,86	431,03
€	1,16	1	500

Ch01 The Netherlands and the world

4 factors determining international trade:

- Natural circumstances

- Wage cost

- Infrastructure

- Historical causes

Ch01 The Netherlands and the world

European Union (EU): free movement of persons, goods, services and capital

Economic and Monetary Union (EMU): Introduction fo the euro

- No exchange costs.

- No exchange rate risk, so less uncertainty about the revenue of the export.

Ch02 The government around us

National government

↓

Provinces & Water boards

↓

Municipalities

Collective goods

Cannot be supplied to individuals

Cannot be excluded from using them

Quasi-collective goods

You can pay individually, but the government thinks in to important so the produce these goods. 

Individual goods

Can be delivered against payment of an individual price.

Ch02 The government around us

Civil servants

People working in the employ of the government

Semi-public servants

People that are employed by institutions that are fully funded by the government

Private sector

All companies that are not owned of funded by the government.

Ch02 The government around us

Ch02 The government around us

Transfer income: pay-as-you-go system

Present day

Present day

Ch02 The government around us

Capital funding system

Present day

You in the future

Ch02 The government around us

Progressive taxation system

Proportional taxation system

Degressive taxation system

Thomas exchanges €300 in to dollars.
The exchange rate is €1=$1,19.

Explain why historical circumstances can contributie to an international competitive advantage.

Which country has the strongest competitive advantage?

	Country A	Country B	Country C
Wage cost per worker	€4,000	€12,000	€20,000
Production per worker	5 cars	16 cars	20 cars

1. Country A
2. Country B
3. Country C

Collective goods

Private goods

1. He is a civil servant
2. He works in the private sector
3. He is a semi-public servants

1. He is a civil servant
2. He works in the private sector
3. He is a semi-public servants

AOW is funded via the

1. capital funding system
2. government that borrows money
3. pay-as-you-go system

A country in which the tax payers who earn more pay a relatively higher amount of tax has a

1. Degressive taxation system
2. Progressive taxation system
3. Proportional taxation system