Money And Banking:
Negotiating wages & benefits with employers
Defending employee rights and jobs
Improving working conditions
Improving pay and other benefits, including holiday
entitlement, sick pay and pensions
Encouraging firms to increase worker participation in
business decision-making
Developing skills of union members, by providing
training and education courses
Supporting members taking industrial action
Households:
Influences on Spending, Saving and Borrowing:
- Medium of exchange: accepted as means of payment
- Unit of account:for placing a value on goods/services
- Store of value:can save money since it keeps its value
- Standard for deferred payment: borrowers are able to
- Borrow money and pay back later
- Characteristics of money
- Acceptability: Anything can be used as money as long
- As it’s generally accepted
- Durability: Good money must be hard-wearing
- Portability: Should be easy to carry around
- Entry: young employee will receive low earnings due to lack of work skills and experience; can become an apprentice or join a management training scheme to become more skilled.
- Skilled workers: the more skilled a worker is, the more opportunities he has for increasing his earnings;bonuses will be given and higher rate of overtime paid.
- End-of-career employees: if workers keep updating skills, they will continue to have opportunities to increase wages however when they stop this, their demand would fall & income would diminish, finally reaching a stop when retired.
- Trade Unions are An organization of workers formed to promote & protect the interest of its members concerning wages, benefits & working conditions.
Negotiating wages & benefits with employers
Defending employee rights and jobs
Improving working conditions
Improving pay and other benefits, including holiday
entitlement, sick pay and pensions
Encouraging firms to increase worker participation in
business decision-making
Developing skills of union members, by providing
training and education courses
Supporting members taking industrial action
Households:
Influences on Spending, Saving and Borrowing:
- Disposable income: amount of income left to spend or save after direct taxes have been deducted.
- Spending: enables a person to buy goods/services to satisfy their needs/wants.
- Saving: involves delaying consumption As interest rates rise, people may save more.
- Borrowing: allows a person to increase their spending; enabling them to buy goods they cannot afford now.
- People with low disposable incomes may spend less intotal than people with high incomes but will tend to spend all or most of their income meeting their basic needs.
Firms & Production:
Demand for goods & services by consumers: higher
demand = more labour/capital firms will need
Price of labour & capital: higher cost = less labour &
capital demanded o Firms may also decide to substitute labour for more
capital and vice versa
Demand for goods & services by consumers: higher
demand = more labour/capital firms will need
Price of labour & capital: higher cost = less labour &
capital demanded o Firms may also decide to substitute labour for more
capital and vice versa
Bibliography:
Some of the images are taken from internet and course material is referred from IGCSE Economics text book, we give full credits to the owner of these images.
Some of the images are taken from internet and course material is referred from IGCSE Economics text book, we give full credits to the owner of these images.