ECO402 GDB 1 Subsidy Due date July19 2016

[ѻἏўєѕḩḁ ѻ]

Water is inevitable for all human beings and its share is nearly 2/3 in human body. The population of Pakistan crossed 190 million with a growth rate of 1.8%. Per capita water availability is decreased from 5,600 m³ to 1,000 m³.

This situation raised the concern about quantity and quality of water. Drinking water after filtration and mineral addition with reverse osmosis drinking water plants is a better option. At present, mineral water from some leading companies (Nestle, Aquafina, Kinley etc) is available but at high price. Many people cannot afford it. However, water private filtration plants are also working but these are less in numbers even in city area.

The installation of reverse osmosis plants needs high investment. To solve this issue, economists have suggested that Government should provide subsidy for this sector.

Requirement:

Keeping in view the above facts and figures, analyze how this subsidy would affect the consumers and producers.

[+~Malik~]

Please Discuss here about this GDB.Thanks
Our main purpose here discussion not just Solution
We are here with you hands in hands to facilitate your learning and do not appreciate the idea of copying or replicating solutions.

[Ahmed Raza]

discussion to share kro

[Abdul Hasib]

solution plz

[Ahmed Raza]

kisi ko microeconomics nhe ate kya...

[+~Malik~]

Dear Students Don’t wait for solution post your problems here and discuss ... after discussion a perfect solution will come in a result. So, Start it now, replies here give your comments according to your knowledge and understandings....

[Nawab Hussain]

any idea for solution