Bilateral Trade Agreements and the UK-India FTA: Case Study: [Economic Implications] Bilateral trade agreements between India and the UK have been a big economic buzz over the past few months, as economists around the world scout the economic implications. They are trade deals between two countries that cut tariffs and other barriers so goods and services can move more easily across borders. In short, they try to make trade cheaper, safer, and more predictable. These deals matter for everyday life. Lower tariffs can reduce prices on imported products, from cars to smartphones. Better access to foreign markets can support jobs in export sectors. Clearer rules can attract investment and support long-term growth. In recent years, the planned UK-India Free Trade Agreement has become a high-profile example. It appears often in news headlines and political debates. This article explains the basic economic logic behind bilateral trade agreements, then draws practical lessons from the U...
Why would people buy something at double, triple or even ten times the price as their neighbour? The answer is not in taste, utility or even necessity, but rather one of the strongest forces that influence people: status. The notion seems quite ridiculous. This blog aims to decode consumer preference and how luxury goods are an important exception in Marshall's law of demand, and how an enterprise can position their goods and services as "elite." What are Luxury goods? Here, people prefer paying a higher price regardless of quality, quantity (sometimes a lesser quantity is appreciated due to lack of supply), utility, impact, and usage. These goods exploit the core human behaviour of relative status or the need for "display." Human success is not mainly measured by wealth or status, but in terms of relativity, of the success of others. This economic exception understands and thereby takes advantage of humans' competitive natures. Taking a classic example and ...