Essay on Jaws - 1080 Words

Is Jaws a Horror Movie? First I will highlight the brief journey through the horror genre and the conventions that have developed. Second, I will then show how these conventions are used in the film Jaws. Let’s start with the silent era, an era based on monsters, Frakingstien 1910, Dracula 1912, The Phantom Of The Opera 1925. Without sound, there was a heavy emphasis on make – up, adding to the horror and preparing the first convention, which is the reveal of the monster. Facial expressions and body language played big part in early horror movies as it provided the tension. A second convention was the ‘dark property in the middle of nowhere,’ using isolation as a way to build up tension. Through the talkies in the 30’s little†¦show more content†¦The opening of the film is from the shark point of view, underwater, the scene is errie. John Williams distinctive music playing leaves the audience tense, especially because they can’t see the creature. We cut to the camp fire scene which introduces our first convention, the weak female teenager. A young girl, Chrissie Watkins and Tom Cassidy leave the safety of a camp fire to go swimming in the middle of the night. We are moved from a warm, safe elemental scene to the cold, dangerous and open ocean. The final view of the camp fire is a high shot this gives the audience a feeling that something is watching them. We are left feeling unsettled but excited. The teenagers run the broken fence and now ‘out of bounds’ are they safe? Chrissie runs into the water and the camera angle pans back to show the dark ocean with a buoy floating in the distance. A sultry bell sound ringing out, building up an eerie feeling. In the water Chrissie is presented as a lady even underwater Chrissie appears stunning while swimming. This same shot is Spielberg shows the point of view of the shark. At this point the audience knows something is going to happen and Spielberg builds the tension using John Williams score. Spielberg uses diegetic sounds of splashing and non-diegetic sounds to great effective. The music starts very quietly and slowly. As the shark moves through the water, the beat and theShow MoreRelatedJaws: Shark and Water1699 Words   |  7 PagesJaws (1975) Media Coursework Peter Benchley wrote Jaws the novel before it was made into a film directed by Steven Spielberg. Jaws is a thriller/horror with the main aim being to build up suspense and tension. When making the film Jaws Steven Spielberg had to face the challenging task of translating Benchley’s popular novel into a hit movie whilst still maintaining the suspense created through the many textual devices used by Benchley, such as language techniques and sentence structure. SpielbergRead MoreEssay Suspense in the Film Jaws1592 Words   |  7 PagesSuspense in the Film Jaws In this essay I will be analysing the film Jaws. The film was directed by Steven Spielberg whose other works include Indiana Jones and E.T. Jaws is a fascinating and entertaining film mainly because of its interesting and diverse plot. The people of Amity Island used to live a peaceful and quiet life in the small summer resort town in America. Now however, the people of the small town have become victim to a man-eating Great White Shark. TheRead MoreJaws and Jurassic Park Films1667 Words   |  7 PagesSteven Spielberg’s Jaws (1975) and his other film Jurassic Park (1993) both contain a major theme of what makes a successful hero in society. In Jaws, police chief Martin Brody must successfully eliminate the threat of a Great White Shark from attacking Amity Island. In Jurassic Park, billionaire John Hammond creates a theme park where cloned dinosaurs come alive, hoping that his ideal resort becomes a major success. Through the use of film style elements, such as editing and mise-en scene, SpielbergRead MoreMovie Analysis of Jaws Essay896 Words   |  4 PagesMovie Analysis of Jaws Martin Brody is the new police chief trying to rid Amity Island of a savage shark terrorising the islanders and tourists alike in the 1976 thriller, Jaws. Jaws was directed by Steven Spielberg and starred Roy Scheider, Robert Shaw and Richard Dreyfuss. Amity Island relies almost fully on the income gained by tourists visiting the island in the summer vacation. It is up to Martin Brody to protect the beach goers by finding the shark and killingRead MoreJaws Cinematography3254 Words   |  14 PagesDuring the film Steve Spielberg uses music, a mysterious shark and camera techniques such as simultaneous track and zoom, long shot, close up shots and medium shots to build suspense, tension and scare the audience. The music represents the shark, especially its movements and its presence. In the title sequence the camera is moving along the seabed like a shark. Spielberg makes the audience believe that the camera is viewing things through the shark’s eyes, he uses a camera shot called point ofRead MoreEssay about Terror in Spielbergs Jaws1429 Words   |  6 Pagesin Spielbergs Jaws The film ‘Jaws’ exemplifies the statement ‘Sublime terror rests in the unseen- the ultimate horror’. Some people would say that dismemberment and gore is needed to terrorise an audience, but this only shocks and disgusts viewers. A horror film should therefore make the audience imagine the terror in order to maximise the fear factor. Many horror films nowadays use similar techniques to those used by Spielberg in the film ‘Jaws’. They use techniquesRead MoreMovie Analysis of Jaws.2238 Words   |  9 PagesReleased in 1975, Jaws was probably one of the best adventure, action, and suspense films of that era. Directed by Steven Spielberg with the following staring main cast members Roy Scheider as Martin Bordy (chief police officer), Richard Dreyfuss as Matt Hooper (marine biologist), Robert Shaw as Quint (local fisherman), Murray Hamilton as Larry Vaughan (town mayor). Jaws the movie, is not like any other any other fish story. The film is about a gigantic 26 foot shark that has an appetiteRead MoreAnalysis of Jaws Essay2353 Words   |  10 PagesAnalysis of Jaws This essay will analyse the film ‘Jaws’ and look at the ways that Steven Spielberg (The director) builds suspense and scares the audience in the film. Jaws was the box-office sensation of 1975 and the number-one hit movie of the decade until 1977s ‘Star Wars’; this was a time when the success or failure of a few blockbusters began to determine the course of the entire motion picture industry. The film is about a killer shark that causes havoc amongRead MoreSteven Spielberg s Film Jaws2274 Words   |  10 PagesSteven Spielberg’s film â€Å"JAWS† (1975), (Spielberg/Universal), uses the motif of an essentially unseen shark, ominously present through unpredictable displays of terrifying violence, to sculpt a message about good, evil, power, arrogance, and vanity within the hegemony of small-town middle class America. Spielberg markets this â€Å"High Concept† (Cook 40), film and its nationalist ideals on a story that is principally based on one image, the shark, and the fallibility of the human decision making processRead MoreSummary of Film Jaws Essay900 Words   |  4 PagesSummary of Film Jaws This essay that I am doing is about a film called Jaws, which was directed by Steven Spielberg. This film is about a killer shark that terrorised people on the Beach of Amity Island on the most popular day of the year, which causes mayhem in the city and between tourists on their summer holiday on the beach.The film is set on the 4th of July because that is Independence Day in America and thats when families go out to the beach and have some fun

Cultural And Social Capital Theory - 999 Words

Chen (2003) used the frameworks of cultural and social capital theory to explore factors affecting the academic success of Chinese students in Los Angeles Community College. The results of the study indicated that the aspirations of obtaining a higher level academic degree and then transferring to a four-year college or university were considered as the best predictors of academic success for Chinese international students. Whereas, English proficiency was considered to be a weak factor and social interaction factors were not too much related to Chinese international students’ academic success. Yuan (2011) examined the experiences of ten Chinese students at one American university. This study examined the challenges faced by Chinese international students, their social interaction, and their attitudes to adapting into the American culture and society. The result indicated that Chinese participants identified spoken English and class discussion as their major challenges while studying at American higher education institutions. Besides, they stated limited interaction with Americans. However, most of them highly praised the American educational system and regarded their experiences in the United States as being worthwhile. It is also worth noting that the Chinese participants expressed mixed perceptions of American culture and different attitudes to cultural assimilation. Zhang (2013) explored the lived experience of Chinese undergraduate students from their perspective andShow MoreRelatedSocial Reproduction Theory And The American Education System1224 Words   |  5 Pages Social reproduction theory is important and relevant to society because it challenges an institution that we have been socialized to honor and protect. In America, we believe that we have equal opportunities to succeed by educating ourselves in the school system. However, our social class and identity dictate how much access we have to those very opportunities that can lead to success. By examining this theory of social reproduction, we can further understand the roles that culture and social classRead MoreSocial Class And The Self1502 Words   |  7 Pagespraised and referenced studies and whether is it still a useful tool in understanding the relationship between the social class and the self. I will do this by examining the theories of social class and examining them against B ourdieu’s work. The two main theorists on the idea of social class are Karl Marx and Max Weber. Marx based his theory on the idea that there are only two social classes, the bourgeoisie and proletariat. The bourgeoisie being the capitalist upper classes such as factory and businessRead MoreBourdieu Marx And Durkheim, Political Economy With Cultural Studies Essay1350 Words   |  6 PagesBourdieu connects Marx with Durkheim, political economy with cultural studies. He distinguishes cultural production from other economic manufactory field using the interlocking conceptual tools of field, habitus and capital. The conceptual categories Bourdieu brought to cultural analysis have since shaped the study of what I find valuable to my analysis. Bourdieu described media, art, academic settings, and various areas of intellectual production, as fields that appear to be autonomous. HoweverRead MoreIntroduction:. In This Essay I Will Be Exploring The Concepts1688 Words   |  7 PagesIntroduction: In this essay I will be exploring the concepts of ideology and symbolic and cultural capital in regards to the ABC television series Extreme Makeover: Home Edition with Ty Pennington. The show is an American reality television series providing home makeovers for less fortunate families and community schools. The show is hosted by former model, carpenter and veteran television personality Ty Pennington who is pleasing to the ear and eye. Each episode features a family that has facedRead MoreDISCUSS THE RELEVANCE OF BOURDIEU1339 Words   |  6 PagesRELEVANCE OF BOURDIEU’S CULTURAL CAPITAL CONCEPT IN EXPLAINING EDUCATIONAL ACHIEVEMENT IN ZIMBABWE. EMAIL ADDRESS†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦jasbro66@gmail.com MARK†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.... COMMENT†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.... †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ DISCUSS THE RELEVANCE OF BOURDIEU’S CULTURAL CAPITAL CONCEPT IN EXPLAINING EDUCATIONAL ACHIEVEMENT IN ZIMBABWE. The concept of cultural capital originates in PierreRead MoreCultural Capital And Social Capital898 Words   |  4 Pagescoined the phrase ‘cultural capital’ which is the representation of the cultural knowledge, temperament and disposition that is inherited from generation to generation. Published to the Oxford University Press, Pierre Bordieu explained his theory of cultural capital as consisting of three elements: â€Å"cultural capital can exist in three forms: in the embodied state, i.e., in the form of long-lasting dispositions of the mind and body; in the objectified state, in the form of cultural goods (pictures,Read MoreA Social Critique Of The Judgment Of Taste1661 Words   |  7 Pagestransferred. As well as how social order were maintained throughout the time of their existence. (Bourdieu) Bourdieu is best known for his book Distinction: A Social Critique of the Judgment of Taste. Being deemed the sixth most important sociological work of the twentieth century by the International Sociological Association (ISA). (Bourdieu) argues that judgments of taste are acts of social positioning. Along the journey of debating the correlation between taste and social positioning, he tried toRead MoreAin t No Makin By Jay Mcleod960 Words   |  4 PagesIn Jay McLeod’s influential book, Ain’t No Makin’ It (2009), he discovers new sociological theories and social reproduction through his research over many years. Through social reproduction McLeod shows us how education’s role gets passed down from one generation to the next from class inequality. He claims that aspirations/lack of aspirations is being reproduced. He deeply examines two resident groups of male youths that have opposing views on what their aspirations are in life. McLeod alsoRead MoreEs say On Sugar Relationship1493 Words   |  6 Pagescourse of recent history. (add examples plus references) The use of cultural capital as an explanation for the rising popularity of sugar dating: There are many pressures on the mellennials of today to achieve a certain standard of living. Part of this push by society to amass wealth and prestige is to gain an education that will place them in good stead for the future both financially and socially. Bourdieu’s ideas of cultural capital and the habitus of society really explains the nuances of the driveRead MoreBourdieus Theory Of Cultural Development1606 Words   |  7 PagesPierre Bourdieu’s cultural reproduction has transformed as well as influenced the literature field, following Alice Sullivan’s statement on the successful results of Bourdieu s theory: â€Å"Bourdieu s theory of cultural reproduction has been highly influential, and has generated a great deal of literature, both theoretical and empirical† (144). According to Bourdieu’s theory, based on his book Distinction: A Social Critique of the Judgment of Taste, makes the declaration that higher levels of education

Las Meninas Essay Example For Students

Las Meninas Essay Artist Diego Velà ¡zquezYear 1656Medium Oil on canvasDimensions 318 cm Ãâ€" 276 cm (125.2 in Ãâ€" 108.7 in) This is one of Velà ¡zquez`s largest paintings and among those in which he made most effort to create a complex and credible composition that would convey a sense of life and reality while enclosing a dense network of meanings. The artist achieved his intentions and  Las Meninas  became the only work to which the writer on art Antonio Palomino devoted a separate section in his history of Spanish painters of 1724, entitling it  In which the most illustrious work by Don Diego Velà ¡zquez is described.  Since then the painting has never lost its status as a masterpiece. From Palomino we know that it was painted in 1656 in the Cuarto del Prà ­ncipe in the Alcà ¡zar in Madrid, which is the room seen in the work. He also identifies most of the figures of the court servants grouped around the Infanta Margarita, who is attended by two of the Queen`s meninas or maids-ofhonour: Marà ­a Agustina Sarmiento and Isabel de Velasco. In addition to that group, we also see the artist himself working on a large canvas, the dwarves Mari Bà ¡rbola and Nicolasito Pertusato, the latter provoking a mastiff, and the lady-in-waiting Marcela de Ulloa next to a  guardadamas  (attendant), with the chamberlain Josà © Nieto standing in the doorway in the background. Reflected in the mirror are the faces of Philip IV and Mariana of Austria, the Infanta`s parents who are watching the scene taking place. The figures inhabit a space that is modelled not just through the laws of scientific perspective but also through aerial perspective. In the definition of this space the multiplication of the light sources plays an important role. The painting shows a large room in the  Royal Alcazar of Madrid  during the reign of King  Philip IV of Spain, and presents several figures, most identifiable from the Spanish court, captured, according to some commentators, in a particular moment as if in a  snapshot. Some look out of the canvas towards the viewer, while others interact among themselves. The young  Infanta Margaret Theresa  is surrounded by her entourage of  maids of honour,  chaperone, bodyguard, two dwarfs and a dog. Just behind them, Velà ¡zquez portrays himself working at a large canvas. Velà ¡zquez looks outwards, beyond the pictorial space to where a viewer of the painting would stand. In the background there is a mirror that reflects the upper bodies of the king and queen. They appear to be placed outside the picture space in a position similar to that of the viewer, although some scholars have speculated that their image is a reflection from the painting Velà ¡zquez is shown working on. Las Meninas  has long been recognised as one of the most important paintings in  Western art history. The  Baroque  painter  Luca Giordano  said that it represents the theology of painting and in 1827 the president of the  Royal Academy of Arts  Sir Thomas Lawrence  described the work in a letter to his successor  David Wilkie  as the true philosophy of the art. More recently, it has been described as Velà ¡zquezs supreme achievement, a highly self-conscious, calculated demonstration of what painting could achieve, and perhaps the most searching comment ever made on the possibilities of the easel painting. References En.wikipedia.org. (2017).  Las Meninas. Available at: https://en.wikipedia.org/wiki/Las_Meninas. Museodelprado.es. (2017).  Las Meninas The Collection Museo Nacional del Prado. Available at: https://www.museodelprado.es/en/the-collection/art-work/las-meninas/9fdc7800-9ade-48b0-ab8b-edee94ea877f.

Evaluation of Taxation of Return on Property Holding

Question: Discuss about the Evaluation of Taxation of Return on Property Holding. Answer: Introduction This report discusses effect of taxation on return from property holding in an economy. The economy Effect of taxation on equity and housing prices are analysed. Taxation on property return affects the economy. Property tax is a source of income of government. Hence, if property tax increases, tax revenue increases. Property tax is regarded as cost of capital (Norregaard 2013). When, government increases the property tax, cost of capital increases. Therefore, reduction in property tax increases the capital investment. As the capital investment increases, industry develops and the more jobs are created. On the other hand reduction in tax revenue decreases government spending. The mixed effect of property tax on economy is discussed in this report in the Australian context. Property tax depends on the value of the property at a certain point of time. Different types of property valuation methods are used in different jurisdiction. Decrease in property value reduces the tax bill. Furthermore, property tax bill varies according to the usage of property such as residential use, commercial use, vacant land etc. In some areas the real estate tax bill is calculated on current value (Burkhauser et al. 2015). Therefore, the tax bill changes as the value of the property changes overtime. Generally, local government collects property taxes. Hence, property tax law is formed based on local economic structure. Evaluation the system of taxation on property holding returns Assessment of taxation on owner occupied property Land is considered as property in the economy. As land is inelastic in supply, effect of price on supply is low. Therefore, imposing tax on land does not impact much on behaviour of land suppliers. In case of owner occupied land, it is easier to identify the actual tax payer. The return on land is considered as economic rent. Land tax in Australia is charged to the owner of land. As opined by Jacobs and Berry and Dalton (2013), the utility of house is different from the land. Land taxes differ across different states of Australia. Land Tax in New South Wales Tax Base, (AUD) Tax rate Up to 412,000 AUD 100 412,000 -2,519,000 1.6% on band over ADU412,000 Over 2,519,000 25 on all value over ADU 2,519,000 Land tax in Victoria (2009-2014) Tax Base, (AUD) Tax rate Up to 250,000 0% 250,000 600,000 0.20% on band over 250,000 600,000 1,000,000 0.50% on the band over 600,000 1,000,000 1,800,000 0.80% on the band over 1,000,000 1,800,000 3,000,000 1.30% on band over 1,800,000 Over 3,000,000 2.25% on all value over 3,000,000 Land tax (2014-15) in Australian territory for residential properties TAX BASE, AUD TAX RATE Up to 75,000 0.41% 75,000 150,000 0.48% on band over75,000 150,000 275,000 0.61% on band over 150,000 Over 275,000 1.23% on all value over 275,000 Figure: Land Tax rate in different territory of Australia (Source: Ato.gov.au, 2016) Unlike land, a house gives service to the occupiers. Thus, VAT can be imposed on the services of house. In the view of Whiteford (2014), the value of houses fluctuate overtime just like share values. Hence, the home ownership can be considered as saving. As the owner occupied property has characteristics of both investment and consumption, it needs to be taxed from the two ends. If there is decrease in value of land, the land owner may suffer from capital loss, if the land tax would have been declared before. However, in practical, the value of land is non-decreasing as its supply is naturally fixed. Hence, use of land is not likely to be changed after windfall loss. Slack and Bird (2014) cited that, there is externality effect on owners land. If there is external development besides a land, the value of the concerned land increases. In this case, the value of the land increases due to community efforts rather than individual effort. Tax collected from the land thus includes the bene fits accrued by the landowner. Assessment of taxation on investment property Investment property is the property, which is purchased in the motive of profit earning. Rental income is a source of income from investment property. Rental income is taxable at the time of receiving it during a given period. Sale of rental property comes under capital gain or loss. Capital gain on investment property is liable for tax. In Australia, the investment property, building renovation due to profit motive and property used in business are taxed as capital gains tax or goods and service tax (Australia I.C.O.M.O.S. 2015). During the calculation of tax on the capital gain, cost of financing the acquisition and end use of the property needs to be considered. The capital gain from selling property gets tax exemption if gained amount is reinvested in an asset. The amount of tax depends on the time of selling investment property. During valuation of capital gain, difference between initial purchase price of the property and selling price renovation cost and transfer costs are considered (Coffee et al. 2013). Capital gain tax in Australia is calculated by using CGT method and Indexation method etc. Net capital gain is calculated by subtracting total capital loss and any CGT discount from total capital gain during a year (Ato.gov.au, 2016). In Australia, the capital gains tax is charged at standard income tax rate. In the capital gains tax method, capital gain is calculated by deducting cots base from the fair market value of property. The cost base includes acquisition cost of property, incidental expenses of purchase and sale of property and property improvement cost. Cost base cannot be calculated if the property is sold within one year of purchase (Elia et al. 2013). The property indexation method depends on date of purchasing property. There are two criteria of measuring capital gains in Australia. If residents have acquired the property after 21 September in 1999, the discount capital gain or unindexed capital gain is decreased by 50%. Therefore, the capital gain, which is taxable, is 50% of the cost base. The cost base of the assets, which were acquired before 21 September 1999, was indexed as per fluctuation of the CPI in Australia. Effect of taxation on equity Capital gains from stocks and mutual funds are taxed if the income is generated in short term. Long term return from equity is not taxed. Implication of tax is not applicable at the time of investment in shares. Tax is imposed at the time of sale of assets (Crowe 2013). As the public investment is mobilised in the economy for investment in different sectors, it is exempted from tax. However, income generated from sale of assets is liable to be taxed as if it is capital gain. In Australian economy, the repayment for mortgage on housing loan is liable to be taxed (Baranska 2013). The interest earned from the investment property is tax deductible. Equity is taxed if it is used for funding the purchase of investment property. Loan to value ratio and debt service ratio are used in evaluating the effect on equity. Investment in different types of property has different types of risks and values. Therefore, the loan to value ratio differs for different types of assets (Shi and Jou and Tripe 2014). Banks of Australia accepts up to 80% loan to value ratio for residential property and 60-70% for the commercial properties. If the borrower takes a mortgage insurance policy, the lender generally accepts a higher LVR (Chung 2016). The value of equity is therefore calculated as follows. If for example, the current value of property is $800,000 and the mortgage on home is $450,000, then the value of equity on property is $800,000 - $450,000 = $350,000. Now, if the investor finds an investment, which is worth of $500,000, the investor would try to get a loan of same worth. Now the LVR for the investor = ($450,000 + $500,000)/ ($800,000 + $500,000) = 73.08%. As the maximum criteria for the LVR is 80%, the investor will pass in the security criteria. Therefore, the bank may grant the loan to the investor for purchasing the investment property using the equity. The return on equity falls under the capital gains tax (LeBlanc and Matthews and Mellbye 2013). Hence, the standard income tax rate is applicable for the equity. Dividends on equity of a company fall under the corporation tax in Australia. The corporation tax rate in Australia is 28.50%, which is effective from 2015. Moreover, the tax on capital gain depends on whether the property is held on capital account or revenue account. If the property is included in the revenue account, the gains from disposal are calculated with the income of the owner (Peng and Chen 2016). The tax rate on income would be as per owners tax rate. If the property is held in capital account, the net capital gain is added wit h the income of the owner and taxed according to the owners tax rate. Effect on housing prices The housing price in Australia is influenced by the increasing value and cost of the assets. As investment in house is a source of income, return from investment property determines the demand for house (Sim and Krause and Winson-Geideman 2015). The housing prices in Australia have increased at 7% per year. The rising housing price in Australia can be explained by Stock flow model. Figure: Residential property prices in Australia (Source: abc.net.au, 2016) Figure: Growth in housing prices in Australia (Source: rba.gov.au, 2015) Stock flow model According to the stock flow model, demand for housing property is negatively related to the user cost of acquiring the property and property price (rba.gov.au, 2015). However, demand for housing is positively related to rent. There are other factors such as permanent income of the households; availability of credit etc affects the housing demand. The user cost of house ownership depends on real interest rate, asset depreciation and appreciation of housing price. Differences in tax structure for owner occupied and investment property also influence the demand for housing (Forrest 2013). Figure: Relation between the property price and property demand (Source: created by author) In the short run, the demand for housing changes frequently compared to supply of house. The demand pull inflation raises the price of the house In Australia. Increasing access of credit in Australia is the cause of increasing demand and prices of housing. Despite increasing rent, the demand for housing is rising in Australia, as the income of the people has increased substantially over the years (Randolph and Pinnegar and Tice 2013). However, there is a fall in residential property prices in Australia from 2015 to 2016. Figure: changes in housing price in Australia (Source: abs.gov.au, 2016) Effect on Australian economy According to the recommendation of tax review committee, the government of Australia can impose levy of 0.2% on unimproved value of property or may impose 0.1% on value of improvement on annual basis (abc.net.au, 2015). As per reporting, the actual amount of tax on property would be more than the average payment by the residents of the capital city. The report says that imposition of tax would raise the levy by $7bn at the current property price. According to Ferrero (2015), property tax is unavoidable. It is an inevitable part of spending for home owner, as property tax is wealth tax. Property, which is in use, gives service to the user and therefore is liable for GST tax in Australia. There is little impact of property tax on savings and incentive to work. Property tax is a significant source of earning of states. Moreover, property such as building and land is immobile in nature and the demand for real estate is rising with population growth (Paris 2013). Therefore, the prices of property tend to rise. People cannot shift immediately to avoid property taxes. Thus, property tax remains good source of revenue of state government. States and Australian territory on purchase of property levy stamp duty in Australia. Stamp duty rises with increase in property price (Ferrero 2015). Increase in stamp duties discourages people to purchase property and restricts the efficient use of property such as land and buildings. Grattan Institute of Australia has suggested that, the revenue of the States may increase if stamp duty can be abolished. Increase in revenues is beneficial for state, as it can use the revenue in improvement of society (Cesa Bianch, Cespedes and Rebucci 2015). Investment in property increases capital of the economy, which is further used in any productive purpose. Effect on society According to World Economic forum report, taxation on housing has mixed impact on consumer spending. Taxes on main dwelling have negative impact on household expenditure. Taxes on residential property have no significant impact on household expenditure. When mortgage debt burden increases, the household reduces their savings. As an impact, total disposable income of individual decreases. Fall in disposable income decreases consumer goods demand of people. Therefore, it may affect the aggregate demand of the economy (weforum.org, 2015). Decrease in consumer spending is regarded as short run cost in the economy. Lower property tax rate encourages the urbanisation in the economy. Rapid pace of urbanisation has positive externality on the surrounding land. Effect of fiscal policy on housing market Fiscal policy of the government can affect the housing market in terms of demand and housing prices. Taxation on property is fiscal policy of the government. Market analysts have predicted that due to effect of Brexit, Australian real estate market will gain from foreign investment. Global investors find it is risky to invest in UK and European market due to after effect of Brexit. Therefore, they tend to invest more in Australian real estate market. Chung (2016) argued that, government fiscal policy may be counter effective in this case. NSW government has taken decision to impose 4% stamp duty on the purchase of residential property by foreign investors. Furthermore, 0.75 % land tax would be imposed on the foreign investor, who owns a residential real estate in Australia. This surcharge is more in Victoria, which is 1.5% to make the real estate market costlier (news.com.au, 2016). This government policy may discourage foreign investment in domestic housing market in Australia. Redu ction in tax cut has positive effect on demand for housing. However, it has negative effect on property investors. Cut in housing prices reduces the capital gain on investment property. Due to lowering interest rate, the revenue of the government has decreased from $8.4 billion during 2011-12 to $3.7 billion in 2013-14 (theaustralian.com.au, 2016). Supply of housing depends on availability of land, cost of construction, profit of the developer and other infrastructure cost such as water, sewerage and transport facility. Demand for housing depends on number of households searching for land, location, transport, income of the households etc. If the government increases the spending to provide better social infrastructure, demand for housing tends to rise. Explanation of circular flow of income Circular flow is a concept, where activities of different economic agents are linked through a circular flow. Main agents of the circular flow are producer, households, goods market and factor market. Figure: circular flow of income (Source: created by author) Investment property such as land, commercial premises comes from households. Property sold to the commercial firm, banks or government earns capital gains and rent. Government impose tax using fiscal policy on the rental income. Tax revenue is thus received by government. The tax revenue is further used in economic development. The investment properties are used by different organisation for productive purpose. Final produced goods are received by households through product market. On the other hand banks play important role of resource mobilisation in this sector. Household saves money in banks. Banks mobilise the saving across the economy. A household goes to the bank for getting loan to invest in property. In return, the borrower pays interest rate to the bank. In this way, different agents in the economy are linked with each other. Recommendation Property tax has effect on consumption behaviour of people. In one hand, it is source of revenue to the local government. A better way of property taxation is comparison of property tax with market value of property and not with the GDP of the economy. Inequality in property tax rate decreases the revenue. Property valuation is a complex issue. Therefore, appropriate tax on property needs proper infrastructure. Due to inelasticity of the supply of property and growing demand for land and building, the property price in Australia has growing trend. Demand for supply is growing for residential and commercial purpose. Property tax has both equity and efficiency implications. Therefore, it can be recommended that for proper taxation, property identification, collection of revenue and enforcement are needed. Tax payer may support the government in the context of tax payment if they can feel that they receive required service for property tax from the local government. Conclusion The report has analysed the implication of property tax and its impact on Australian economy. Two types of property such as owner occupied and residential property are evaluated here. Land tax differs across different state of Australia. Different land tax has mentioned in the report. CGT method and Indexation method are used in calculation of capital gain tax in Australia. Capital gain in Australia is taxed according to the standard income tax rate. Taxation on equity has been discussed in the report. Housing price in Australia has a growing trend. As property tax base increases, price of housing increases. Rising housing prices has not much impact on property demand. However, hike in stamp duty has negative impact on property demand. References abc.net.au. (2015). Property taxes could raise $7b, boost economy by $9b: Grattan. 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