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Impact Project
Impact Project
Impact Project
Section 2
At the Global Management Infrastructure services, there are just about 220 monthly
paid employees. Regular staff employees receive an annual salary of just about $48000.00,
considering that their monthly salary is $4000 so ($4000 * 12), while seniors receive a salary
of $5500.00 monthly and an annual salary of $ 66000.00 and supervisors receive $6000.00
monthly and $72000.00 annually. However, after employees' statutory deductions have been
made regular staff will receive a monthly salary of about $3392.64, while seniors will receive
$4664.88 and supervisors $5142.53.
This business also helps with employment as it is a big company which helps plunge
money into our economy. When individuals are employed it helps to keep the flow of money
in the economy as persons would have money to spend on food, clothing, entertainment, and
other goods and services that they may require. Without employment and the flow of money
ejecting back into the economy, the economy will come to a standstill and with an increased
crime rate. Economically, employment provides income to poor families, revives domestic
demand for goods and services, and stimulates overall growth. Socially, employment can also
promote social healing, encourage the return of displaced persons, and improve social welfare
in the long run.
Section 3
Economic impact on local business activities as it refers to the transportation industry
Global Management Infrastructure Services imports office machinery from
overseas via plane which then in turn get delivered via lorry to the business when
they arrive to Antigua. The transport industry also helps workers get to and from
the work place
Economic impact on local business activities as it refers to the construction industry
Global Management Infrastructure Services the local benefits from
maintenance and repair, cleaning services, utilities, security, and more. As long as
the building is in use, the construction industry will benefit.
Economic impact on local business activities as it refers to other service providers
Global Management Infrastructure Services In stock markets, return can be
greater than risk but in gambling, risk is greater than return. Stock markets allows
us to be in both buying and selling, whereas in gambling, you can only be a
buyer.
Section 4
TAXES
Economic impact on government revenue, with specific reference to:
Contribution to Antigua Barbuda Sales Tax
Contribution to Social Security
Contribution to Medical Benefit
Contribution to Education Levy
Mandatory Tax Reductions such as the Antigua Barbuda Sales Tax, Social Security, Medical
Benefit, and Education Levy impact money spent by the public sector on the acquisition of
goods and provision of services such as education, healthcare, and social protection through a
positive relationship. That is if the tax received increases the government revenue it has the
ability to spend more on transfer payments. Vice Versa if tax received decreases government
spending decreases therefore lessening the ability to spend on transfer earnings.
Average Salary:
4000 x 12 = 48,000 x 74 = 3,552,000
5500 x 12 = 66,000 x 74 = 4,884,000
6000 x 12 = 72,000 x 72 = 5,184,000
Total = 186,000 Total= 13,620,000/220 = 61,909.10
Contribution to ABST
15% on Purchases = 3000
Section 6
The economic policy of governments covers the systems for setting levels of taxation,
government budgets, the money supply, interest rates, and many other areas of government
interventions into the economy. An economic policy is a course of action that is intended to
influence or control the behavior of the economy. Economic policies are typically
implemented and administered by the government.
A few appropriate economic policies to increase tax revenue include:
1. Modifying existing tax policies
a. Increase tax rates
a. Eliminate existing tax breaks
1. Enacting new taxes
1. Boosting economic activity
Some appropriate economic policies to create linkages and reduce leakages:
1. By giving transfer payments to households for paying taxes
1. Income to household for selling factors of production
1. Businesses gives goods and services to the product market for revenue
1. Goods and services from the product market for consumption expenditure
To reduce leakages:
1. Lessen importation levels