Air Passenger Duty Tax In The Uk Economics Essay

Air Passenger Duty Tax In The Uk Economics Essay According to the new system, commercial flights are divided into four bands which differ in price and distance. This essay will attempt to determine whether the new policy is justified and how it will affect the market for short haul flights, the competition, environment and the revenue for the government. a) In order to find out how the increase in Air Passenger Duty affects the market for short haul flights, it is necessary to carry out a supply and demand analysis of air travel. Figure 1: Market for short haul flights after the APD increase (Adapted from Sloman Garratt, 2010). Figure 1 shows airplanes supply and passengers demand for flights after the APD increase. According to Sloman and Garratt (2010), when price of a product or service rises, quantity demanded falls, and when price descends, quantity demanded increases. Therefore, the demand curve is downwards sloping to the right. On the other side, as price rises, quantity supplied goes up. As price decreases, quantity supplied goes down. In effect, the supply curve is upwards sloping. The point in which both curves intersect is the equilibrium price. At this point the amount supplied equals the amount demanded. Before the hike of the tax the seats (Q1) were sold at the price of P1. The increase of APD causes the supply curve to shift upwards to the left. It is because change in supply can be triggered by determinants other than price, like government policies (i.e. taxes), which in result increase costs of production (Sloman Garratt 2010). In order to cover it, an airline needs to raise the price per seat. This increase in fares affects passengers, who are now willing to purchase fewer seats. This is shown by a movement along D curve to the new equilibrium point P2 Q2. If the movement did not happen, it would result in a surplus, i.e. the quantity of plane seats would exceed the number of customers willing to buy it. Basing on the law of demand, the quantity demanded of plane seats drops due to the increase in fares, illustrated by P2 and Q2. However, taking into account the fact that a rise in APD is relatively low ( £1 in economy and  £2 in premium class), it is unlikely that the drop from Q1 to Q2 will be steep. b) The increase in APD on short haul flights will not necessarily mean that the passengers will foot the whole bill. Such flights are frequently used and the rise in APD is relatively low, so in many cases the increase will be shared by customers and airlines. Sloman and Garratt (2010) explain that consumers pay to the extent that price rises. Producers pay to the extent that this rise in price is not sufficient to cover the tax. So, passengers should face a rise of the price difference between P1 and P2 (Figure 1), which is less than  £1. The remaining part should be paid by an airline. However, this will depend on specific airlines: their revenue, policies and popularity of their offer. The more price inelastic is the demand for the airline, the bigger customers share. So budget airlines, like Ryanair and easyJet, are very unlikely to cover the increase in APD. This is due to the fact that their fares are very competitive, thus customers will be better off choosing their service even if the whole APD is passed in them. On the other side, traditional airlines (like BA) operating on domestic and short European routes could decide to bear the burden of the whole amount due to the fact, that they face a numerous competition in the industry and from other means of transport. Therefore, it could be reasonable for such airlines to cover some share of APD increase and keep the demand and profit high. They could achieve it by, for instance, reducing ticket prices and sales or scrapping other charges where possible. Therefore, if the increase is shared by customers and airlines, the price-increase for passengers will be less than  £1 in the cheapest class. c) Long distance fast train travel is considered to be the closest substitute to short haul fights. Therefore, if the price of the flights rises due to APD increase, customers (especially leisure travellers) may switch to the cheapest alternative, i.e. trains. According to Sloman and Garratt (2010), if demand is affected by other factor than price, the whole demand curve shifts to the right or to the left. The number and price of substitute goods is one of the determinants of the shift in demand. This means that if the price of one product rises, the demand for its substitute will go up. Figure 2: Market for train journeys after the price increase of short haul flights. (Adapted from Sloman Garratt, 2010). The graph illustrates the effect of the increase in short haul prices on the market for train journeys. The horizontal axis represents a number of passengers, whereas the vertical axis shows prices for a train ticket. Before the increase in flights prices, the equilibrium for train journeys was at the price P1 and quantity Q1. However, the demand for train journeys reacts to a high price of the substitute good, as more people travel by train rather than fly. Thus the demand curve shifts to the right. As a result, at the current point of price P1 there is shortage of the service, as more customers are willing to choose train travel than is available on the market. In order to eliminate the shortage, there must be a movement upward to the right on the supply curve to the new intersection point P2 Q2. In effect, more commuters use train service at a higher price. d) Knowing how elastic the demand for air travel is, it is possible to predict the effect of the increase in APD on the demand, as well as on the environment and tax revenue. Sloman and Garratt (2010) suggest that as the price of goods rises, the quantity demanded falls. Therefore, demand responds to a change in price. This is called the price elasticity of demand. To examine this concept, the percentage change of quantity demanded must be divided by the percentage change in price. The result of the calculation determines whether demand is elastic or inelastic. Demand is elastic when the result is greater than 1. It indicates that a change in quantity demanded is larger than a change in price. Consequently, inelastic demand occurs when a change in price causes relatively small change in quantity demanded. When quantity demanded and price change by the same proportion, then demand is unit elastic (Sloman Garratt, 2010). The price elasticity of demand is affected by various determinants, like substitutes, proportion of income spent on the product and the time period. The more alternatives there are, the bigger is the price elasticity of a good. The more income is spent on a good, the less elastic it is. Finally, with a passage of time, demand for a product may become more price elastic, because consumers may have time to find better options. Overall, average price elasticity for air travel is below 1 (Department for Transport, 2009). According to IATA (2009), prices of short haul flights and are more elastic than prices of long haul flights. This is due to the fact that companies operating on short haul routes face bigger competition from other airlines and different means of transport. Taking into account delays and time consuming check-in process, travel by car, coach or train seems to be a good alternative. However, the long haul flights cannot be easily replaced as there are not many substitutes for them. According to HM Revenue and Customs (2009), APD increase will reduce the demand by 1% in 2010-11 and by 1.5% in the following year. This small reduction in demand is supposed to save hundreds thousands tonnes of CO2. Therefore, other things being equal, the policy has a potential to help the environment. This, however, depends on the customers, because if they switch to cheaper airlines, the effect on pollution will be less significant than expected. APD increase is predicted to raise additional hundreds million pounds in tax revenue, because people, even if the demand falls, will still need to fly and pay extra charges. e) The reform of APD has been endorsed by the government and environmental agencies as a necessary green tax. They claim that the aviation is under-taxed in comparison with other industries. According to IATA (2008), the rise could possibly generate over  £700 million additional revenue per year, which could help in reducing the deficit. Moreover, the policy has a potential to reduce flights by 0.4% in 2010-11 and by 0.6% which could save 0.4 and 0.6 million tonnes of CO2 respectively. Other pollutants will also be reduced, as well as congestion and noise around airports (HM Revenue Customs, 2009). The policy divides flights into four bands, ensuring that passengers on long haul flights pay more, due to the bigger environmental impact. It also encourages business passengers to use clean alternatives, like video-conferencing or high-speed train. The government emphasise that thanks to the increase in APD, other methods of transport are given a green light, because other than price, they would not be able to compete with air travel. Another benefit of the reform is that it ensures that regional employment on domestic routes is not largely affected by it. Therefore the increase in Band A is only  £1  £2. What is more, the policy does not discourage airlines from opening new routes or keeping the routes in rural areas. If there was a tax per plane instead of APD, connections with a low passenger load would be discontinued (HM Revenue Customs, 2009). On the other side, the reform has many opponents who argue that APD is unjust for passengers and environment. The Independent (2010) points out that the new division is not based exactly on the mileage, but on the distance from London to the capital of the country destination. Therefore, in some cases it will be cheaper to go further, for example Hawaii falls into Band B, whereas Cancun, Mexico into Band C. This negates the whole idea of APD as a green tax. What is more, the policy rewards inefficiency by charging tax per passenger rather than per plane. A flight with empty seats is charged less tax than one which is full, even though they both have the same effect on environment. Also, charter planes are unfairly exempt from APD. Moreover, APD reform strikes families who would have to pay extortionate charges to go on holiday abroad. Decrease in demand for exotic package holidays may bring a loss to British travel agencies, as well as to many developing countries who count on revenue from tourism. As it was mentioned above, the policy favours certain destinations over other, even if the distance is very similar (e.g. Turkey and Egypt). Also, the tax hike can force many budget airlines to cancel unprofitable routes and move their businesses to Europe, where the charges are not as severe. Many UK travellers may want to reduce the burden of long haul prices by flying from Europe. Finally, foreign visitors may be put off by the highest tax in Europe, which they have to pay on the flight back home. They can decide that their visit in UK is not worth the price and instead they pick up different destinations. All these cases suggest that British aviation and tourism could suffer a loss and the government would lose much revenue from both industries. In conclusion, the policy seems to bring more damage than good. Because it raises many controversies, especially with regard to rewarding inefficiency, the government should look for another solution, possibly more competent tax per plane. To sum up, according to the law of demand, APD rise should slightly reduce the demand for flights and increase the demand for substitutes, like train journeys. In many cases the additional charge will be partially covered by airlines. The policy could raise an additional income for the government and reduce the pollution. However, all these optimistic objectives depend on the decisions made by passengers. Soon it will be known if the policy is a blessing or a curse for economy and environment.

Health History Essay

Health assessment thus plays an important role to provide information about one’s health. Assessment is the first step in the nursing process and includes collection, verification, organization, interpretation and documentation of data. (Sue C. DeLaune and Patriciak . Ladner,2011) Almost every admitted patient the first time required the implementation of the health assessment to determine their health condition to enable healthcare plans and implementation what they need to do. On way of organizing the information that nurse need to collect is by using a nursing framework . A framework for assessment , the nurse systematically collecting the physical, psychological, socio cultural and different aspects of the activities of living. There are a number of organizing frameworks for collection of data. For example, the Gordon’s functional health patterns. Many health care agencies use an admission assessment format which assists the nurse in collecting data in specific categories of functioning. Richard Hogston and Penelope M. Simpson,2002) Most of the hospital and health care agencies have developed their own structured assessment tools. The following will be relatively compare by using Gordon’s Functional Health Patterns as framework between the assessment from health care setting is currently using about interview on an adult. Compare these two interviews in term of structure, comprehensiveness, and applicability. Structure  Gordon’s functional health patterns, which are consistent with the human need philosophy, can provide a framework for nursing education. The eleven functional health patterns identified by Gordon’s are as follow: Health Perception and Management, Activity and Exercise, Nutrition and Metabolism, Elimination, Sleep and Rest, Congnition and Perception, Self-Perception and Self-Concept, Roles and Relationships, Coping and stress Management, Sexuality and Reproduction, Values and Beliefs. Carol R. Taylor, Priscilla Lemone, Carol Lillis, Pamcla Lynn, 2008) These functional health patterns areas allow gathering and clustering of information about a patient’s usual patterns and any recent changes in order to decide if the patient’s response is functional or dysfunctional. If the assessment is effective or positive that will not have to deal. If the results of the assessment is invalid or negative that will have to deal with through nursing care plan. The assessment from health care setting which are consistent with Profile such as name, age, sex, religion, reason for seeking healthcare, family history, allergy history, health history, current health status, self-care ability, general condition, consciousness, communicative ability, language, nutritional state, skin state, limbs, special senses, emotional state, daily habits ,leisure, introduction of environment, use of facilities, religion and risk assessment . The assessment from health care setting as the same as Gordon’s functional assessment are including Health-Perception Health-Management, Elimination, Nutritional-Metabolic, Activity- exercise, Value-belief patterns and Sleep-rest. Not the same as Gordon’s functional assessment form, the assessment from health care did not mention of Congnitive- Perception, Self-Perception-Self Concept, Role-Relationship, Sexuality-Reproductive and Coping-Stress-Tolerance. The assessment form health care setting can be divided into seven section including Biographical data, Reason for seeking health care provider, History of present health concern, Rest health history, Family health history, review of body systems for current health problem, life-style and health practices profile. The Gordon’s functional pattern mainly is open-ended questions such as have you religions beliefs helped you to deal with problems in the past? How? Contrary, the assessment from health care setting mainly is closed-ended question such as what is your religion. The Gordon’s functional health patterns is more concentrated. Each type of health patterns divided into objective and subjective information. The assessment from health care setting structure is more untrammeled. The same types of problems can be classified into different types of items such as nutritional state it can be combine with diet of daily habits. Comprehensiveness Gordon’s functional health patterns is a method devised by Marjory Gordon to be used by the nurse in the nursing process to provide more comprehensive assessment of the patient. Gordon emphasizes that the eleven functional patterns artificially divided integrated human functioning. Eleven functional health patterns described as follows. Health Perception and Health Management. It’s focused on the person’s perceived level of health and well-being, and on practices for maintaining health. Nutritional Metabolic Pattern it’s focused on the pattern of food and fluid consumption relative to metabolic need. Elimination Pattern. It’s focused on excretory patterns (bowel, bladder, skin). Activity and Exercise Pattern. It’s focused on the activities of daily living requiring energy expenditure, including self-care activities, exercise, and leisure activities. Cognitive-Perceptual Pattern. It’s focused on the ability to comprehend and use information and on the sensory functions. Neurologic functions, Sensory experiences such as pain and altered sensory input. Sleep Rest Pattern. It’s focused on the person’s sleep, rest, and relaxation practices. Self-Perception-Self-Concept Pattern its focused on the person’s attitudes toward self, including identity, body image, and sense of self-worth. Role-Relationship Pattern. It’s focused on the person’s roles in the world and relationships with others. Sexuality and Reproduction. It’s focused on the person’s satisfaction or dissatisfaction with sexuality patterns and reproductive functions. Coping-Stress Tolerance Pattern. its focused on the person’s perception of stress and coping strategies Support systems, evaluated symptoms of stress, effectiveness of a person’s coping strategies. Value-Belief Pattern it’s focused on the person’s values and beliefs. (Janet Weber, Jane Kelly ,1998) Indeed, Gordon’s functional health pattern can reflect the potential of the patient health problem. The assessment from health care setting is less comprehensive than Gordon’s patterns. The assessment from health institution reflect the patient’s admission status, previous health status, daily habits and risk assessment. The form are lack of assess such as congnitive and percepyual, sexuality and reproductive, role and relationship, self-perception and self concept, coping and stress. It is not difficult to find Gordon functional assessment are more detailed than assessment form health care setting. For example, Gordon functional assessment including nutritional metabolic that it contain skin examination. Mucous membranes, edema status, thyroid status, gag reflex and assess jugular vein distention etc. On the contrary, the assessment from health institution about nutritional status can only choose normal or abnormal. It is lack of sufficient information than Gordon’s patterns. In addition, the case of infertility patient often leads to significant pressure for fear of failed surgery. After the embryo transfer, she have to face with the failure of implantation. Both physically and mentally cause to great pressure. According Gordon’s assessment, form coping –stress tolerance pattern, it is able to know patient was very unhappy because of infertility. Patient thought it is too much pressure if the embryo cannot implantation. Nurse can give psychological counseling to the patient that allows patient to reduce stress through assessment. In comparison of assessment from health institution, it is not mention about coping-stress tolerance patterns. So there is no assess of the infertility patient that need to take care of their psychologic problem. Compare with two different assessment form, Gordon’s patterns was more comprehensive than assessment from health institution, but it is not the most comprehensive assessment. If two new domains add to the assessment tool safety/protection and growth/development that the assessment will become more complete. Safety/Protection for a risk of injury as a result of the interaction of environmental conditions interacting with the individual’s adaptive and defensive resources. (Wilson Giddens,2001) Growth and Development for altered physical growth, typical of age group, inability to perform self –care or self control activities appropriate for age etc. (Wilson Giddens,2001) Through these two items that nurse can prevent some of risk environment and assess patient growth/development to let nurse understanding what problem patient have be exist. Applicability Gordon’s patterns can provide extensive and detailed information that can reflect patient’s health status but it is very time-consuming and may have to one hour or more. It is not difficult to imagine that nurse have to deal with numerous new patients in each day. The situation is difficult to use Gordon’s patterns to assess patient’s condition in the limited manpower especially at the night duty. Second, patient discharged from hospital earlier than before because based on cost-effectiveness and patient well-being. For example in-vitro fertilization(IVF), colonoscopy, inguinal hernia such as this operation usually encourage patients rest in the day care center replace of stay in the hospital for a few day. This situation need nurse faster and more efficient assess of the patient condition. Third, patient admitted to hospital in a critical situation simply can not conduct a detailed physical assessment. In this situation like cardiac arrest, choking, an immediate diagnosis is needed to provide prompt treatment. That why initial comprehensive assessment like Gordon’s assessment is not suitable for this condition. Fourth, the patient’s disease information may have already obtained by the attending doctor before patient admission. Therefore it is not meaningful for the nurse to collect the same health’s information. The nurse can more in-depth to assess patient base on the information obtained by doctors. For this IVF case, it suggest using a assessment from institution. Compare with Gordon’s assessment, it easy showed cause of admission and patient;s general condition. The Gordon’s assessment of many question is irrelevant. For example, general appearance is no need to assess for the IVF case. On the other hand ,embryo transfer just a minor surgery that patient are not request stay in hospital . Using simple assessment like assessment from institution for the sake of save more time and work more effectively. Gordon’s assessment is more complex than assessment from institution so assessment from institution it is more applicable than Gordon’s assessment form. Conclusion There are many nursing assessment frameworks have been developed. The most widely used organize frameworks for nursing diagnoses it based on functional health patterns described by Gordon. Using systematic guidelines specifically developed for a nursing assessment ensures that comprehensive, holistic data are collected for each patient. Health care institutions establish a minimum data set that specifies the information that must be collective from every patient and use a structured assessment form to organize or cluster this data. A nurse chooses a particular framework for a variety of reason. Choice may be based on what is used in the particular health care institution or nursing needs of a particular patient population.

Katrina What Went Wrong - 1726 Words

Monday morning, 29 August 2005, this is a day most New Orleans residents will never forget. This was the day a category 5 hurricane named Katrina made its catastrophic debut to the Gulf Coast region and killed over 1,300 people. (The White House, 2006, p. 1) After it was all said and done, the nation was shocked at the events that unfolded in Alabama, Louisiana and Mississippi and people were left wondering, â€Å"What went wrong?† National Geographic reported that the storm originated about a week earlier, 23 August, in the Caribbean and worked its up from the Bahamas making landfall Thursday, 25 August, in Miami. Winds at this time were 75-80 mph making it a category 1 hurricane causing some tree damage and killing two people. (Drye, 2005)†¦show more content†¦(The White House, 2006, p. 51) As for organizational and policy factors that led to planning failures, the report stated, â€Å"†¦federal response officials in the field eventually made the difficult decisions to bypass established procedures and provide assistance without waiting for appropriate requests from the states or for clear direction from Washington.† (U.S. House of Representative, 2006, p. 132) The effects of going against established procedures caused a lot of confusion amongst the different organizations and within the department itself. Another major breakdown in policy also affected law enforcement procedures. The process of deputizing federal officers as peace officers during this catastrophe proved to be more difficult than anticipated; the concern was federal law enforcement officers might find it necessary to make arrests outside of their federal jurisdiction. 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Rhetorical Devices In Letter From Birmingham Jail

Letter from Birmingham Jail Dr. King was arrested in 1963 in the struggle for civil rights for African-Americans. â€Å"The Letter from Birmingham Jail†, written a few days after King’s arrest, defended Dr. King’s argument about the civil rights movement. He uses the pathos, ethos, and logos modes of persuasion and uses several rhetorical strategies such as metaphors, citing authority, parallelism, Rogerian strategy, and anaphora to defend his argument against racism and segregation. Dr. King uses the pathos mode of persuasion by using metaphor, anaphora, and parallelism. He uses metaphor at several places in the letter to make comparison between two things that are unrelated but share common characteristics. He writes, â€Å"I guess it is easy for†¦show more content†¦King starts each sentence in this paragraph with the word â€Å"when† and uses it to describe the types of situation his people suffer day in and day out because of segregation. The use of the word â€Å"when† has the effect of transporting the reader into that time-period and into that situation. Moreover, the reader gets the feeling that there must be many more scenarios than what Dr. King describes in the letter. Being a pastor, it is easy for Dr. King to allude to the Bible and draw parallelism between his situation of being in Birmingham to support the non-violent demonstration. He rejects the allegation that he is an outsider. â€Å"†¦and just as Apostle Paul left his little village of Tarsus and carried the gospel of Jesus Christ to practically every hamlet and city of the Greco-Roman world, I too am compelled to carry the gospel of freedom beyond my particular hometown. 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King’s letter addresses specific points presented in the Clergymen’s and this direct response distinguishes King’s strong points through his powerful writing.   UnethicalRead MoreRhetorical Analysis Of Letter From Birmingham Jail1309 Words   |  6 Pagespersuasive piece results from total awareness of available rhetorical devices as well as inspiration and determination. Over the course of â€Å"Letter from Birmingham Jail†, the author Martin Luther King Jr., demonstrates that he c an effectively employ the use of rhetoric elements. The rhetorical strategy and context are two vital literary elements within a piece of writing that can be used to make a strong argument while appealing to the audience. King uses a combination of rhetorical techniques to rebut