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Economics term paper

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"To specify appropriate tax bases or rates, a country must determine the shape and arguments of its social-welfare function. What factors are in the social-welfare function and how do they contribute to economic welfare? Since the classical sacrifice principles have no particular validity and are unusable in any case, there are no principles in welfare economics or the economics of taxation that allow a community to deduce its social-welfare function. Some alternative technique must be found. In a democracy and holding the belief that individual preferences should be used in constructing the community's social-welfare function, the only alternative is to construct the social-welfare function in the political arena..."
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"Last decades demonstrated immense structural changes in the world economic order among which there have been globalization of financial markets and new technologies implementation in all spheres of human activities, strengthening of businesses competition and establishment of close economic relations between the nations resulted in formation of international economic blocks such as the European Union and others. Many scholars ascertain that the banking sector is among those suffered from such changes most of all as this industry being subjected to deregulation process faced the increased competition which was much stronger than in other sectors of economy."
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"People always struggled with an idea of prosperity and success, whether it was a personal goal or whether it was something major - like wealth of a country. Nowadays, we are studying a science, which is really significant and valuable - Economics. Economics is a tool for achieving those goals, knowledge that people can use and imply in real life, and at the present time probably undividable part of governments' performances around the world. For us, students, there are two different matters we study - Macroeconomics, the study of the performance of national economies and Microeconomics, which focuses on the behavior of individual households, firms, and markets."
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