In June 2015, trade unions in Argentina were calling for higher wages and lower taxes. Alongside the push for wage increases, the economy was dealing with several further difficulties. It was also seeking to encourage the creation of public limited companies and stronger economic growth.
(a)[2]
Identify two reasons why governments levy taxes.
(b)[4]
Explain two advantages that a business organisation may obtain by converting into a public limited company.
(c)[6]
Analyse how lower tax rates could raise tax revenue.
(d)[8]
Discuss whether an economy would benefit from a rise in the strength of its trade unions.
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Increase revenue” …