Kyu's Realm of Economics

For the past few months, the head (Sheikh) of UAE has announced that the country will commence imposing tax on value-added goods starting from January 2018. This kind of tax is called VAT, which is one of many kinds of indirect taxes. First, Let's define what VAT actually means. VAT is an acronym for value-added tax and is imposed on every value-added goods. The word value-added is, to an extent, self-explanatory but it is more complex than it actually sounds. For every stage in the chain of production, the tax is levied because the same amount of percentage is keep adds on until it is at the distribution stage, where it is actually sold. Therefore, it is obvious that most kinds of food are exempted. Drugs-only those essential ones-are also  exempted because they are, along with food, viewed as necessities in our living. Economists refer goods such as food and drugs which are exempted from VAT as zero-rated. Now, lets have a look at the situation in detail. This introduction to...

As a student intrigued by the mechanism of an economy, I have always wanted a place where I could simply ramble about fascinating things happening around the world in conjunction with what I know. Extraordinary things happen everyday, yet we tend to miss out on them. Yes I agree, just read the main headings on the newspapers or magazines, you still sort of get the gist of what happens. There you go again, saying 'This world is corrupt' or 'This generation is corrupt'. Yes, I agree that newspapers and magazines are insanely wordy and boring, but it may be an eye-opener for many of you.  This blog is here to be your guidebook, or I should put it as a map that helps you to find your way out of the endless maze of Economics.  However, please take into account that most of the posts may be very opinionated. Let's face it, everything in Economics is supposed to be someone's voice, but we simply name them 'theories' to spice it up. I may borrow other e...