Economic System of Mexico
Mexico, which is officially United Mexican States, is a country that is bordered by the United States, the Gulf of Mexico and the Caribbean Sea; elize and Guatemala; and the Pacific Ocean (Concise Columbia, 2000). The country's capital is Mexico City and its other main cities include
Guadalajara, and Monterrey.
Mexico's landscape is predominantly mountainous. While lowlands lie in the southeast and along the coasts, the heart of the country is the extensive Mexican plateau, with elevations generally above 4,000 feet.
Mexico's government consists of an executive, legislative and judicial ranch. The executive branch is ruled by the president and must rule according to the law. The legislative branch is in charge of the making of laws, and discussing the countries problems with other countries.
In Mexico, a new president is elected every six years by means of election. The current president is Vicente Fox. The…… [Read More]
Plus, if the world is tied together economically, there is more impetus to prevent hyper-inflation, to help other countries in times of natural disaster, and to form a more humanitarian-based society. It seems that the idea of globalism was also assisted with new macro-trade agreements combine with the easy communications brought about because of the advances in cellular technology and the Internet. This rapid growth of the global economy affects modern economic development, stability, labor, and the environment in a dramatic way. Developing countries did not, in most cases, have the long tradition of the Industrial Revolution, so they are now trying to rapidly modernize; to build their economies in years or decades when it took the West centuries. This is in part due to the need for satisfaction of the populace, in part because of the way information is shared, and in part because on a regular basis, the…… [Read More]
The Fordist system is dependent on the mutual interaction of a group of economic and social mechanisms. It is based on four elements firstly, of a particular consumption pattern, influenced by the increasing amounts of consumption of standardized manufactured objects which is liable to be produced in large series. Secondly, it is characterized by the allurement of Taylorism as the principal model of industrial work organization in maintaining with the consumption pattern. Thirdly, there is a Fordist social compromise. Fourthly, a Keynesian-interventionist State both in the economic and social field ensured the coherence of the system by means of a high and steady growth rate. (Which French Third Way? Administrative and Social Empowerment: Lessons from the Second Left in Power)
During the last three decades the system increasingly lost its consistency. Many elements of disturbance have been interacted weakening all the four elements. The weakening of Fordist coherence appropriately explains…… [Read More]
awls is not against equality but he assumes that most socio-economic systems will allow for some inequities, and thus outlines his second principle to deal with those inequities. In this system, the state is powerful enough to provide security for its people on a basic level, but also strives to ensure that no class in society becomes so marginalized and disenfranchised economically that it becomes impossible for any person on the bottom rungs of society to engage in self-improvement.
awls famously suggested that all societies should be created under what he calls a 'veil of ignorance,' or that rules and regulations should be constructed blindly when creating a society, without any knowledge of what the status of the decision-maker would be in the hypothetical world. In other words, when creating an ideal nation, would you be willing to live under the rules and conditions of the least-privileged members and regard…… [Read More]
Sociological Perspective on Economics & Status
The predominant and most widely practiced economic system in the United States of America is capitalism. Capitalism is heavily predicated on differences in status and class. The differences among individuals within a capitalist system can be more finely specified as imbalances. There are imbalances and there exists inequality among capitalist subjects. These imbalances and inequalities are naturally occurring functions of this economic system. The economic system in the United States can be used such that citizens may move "upward" socially, which typically is directly proportionate to the amount of material wealth. This system is additionally, and arguably primarily, used to trap others (numerous others) within lower status levels, which also correspond to lower economic status, class, etc. Capitalism in the United States is a powerful tool by which people make social movements or become restricted or otherwise limited socially.
The social realm is…… [Read More]
tenets of the capitalistic economic system is that of supply and demand. In its most basic form, supply and demand is an economic model that determines both price and availability in a given market. In a competitive market, price functions in a way that is designed to equality the quantity demanded by consumers, and the quantity supplied by producers, resulting in economic "equilibrium" of price and quantity (Hazlitt, 1988). In the American healthcare model, managed care has attempted to control the supply and demand curve by modifying individual behavior. When this is focused on prescription drugs, however, demand-side controls involve copayment or coinsurance and may push the consumer towards generic brands. For the open market, however, major pharmaceutical companies posit that without adequate future revenue streams, they will be unable to develop new products in a robust manner -- especially in this highly regulated and competitive market (Kongstvedt, 2003).
Part…… [Read More]
Country’s Economic System and Scarcity: Russia
In previous eras, the name of Russia was synonymous with a very particular type of economic system, namely that of communism. After the end of communism, Russia adopted what was a thriving capitalist economy, buoyed in part by oil wealth. Still, Russia has attempted to pursue an independent financial policy, particularly given the considerable tensions which still exist between the nation and much of the industrialized world. It has not sought ties with many other nations, in contrast to the European Nation members. Currency woes, as the Russian ruble’s value has plummeted and inflation has increased, has led to shortages throughout the nation, including food shortages (Schearf, 2016). It might be assumed that this would generate pressure upon the government to take more aggressive action in support of its people or a more amicable attitude to the United States. But as Russia still effectively…… [Read More]
Pain and pleasure are not part of awls' theory. ather, he centers his theory on the concept of justice. awls strongly argued that humans have the capacity for genuine toleration and respect for other humans. From this premise awls felt that true pluralism was possible and a tolerance for true democracy throughout the world community was possible.
With so many different views circulating what is to provide stability in a society based upon the views of awls? What keeps anarchy from developing at any moment? According to awls, stability is provided through what he describes as an overlapping consensus (Love, 2003). Laws are developed that support the basis comprehensive doctrine but for differing reasons. Each citizen supports the same laws but for different reasons. Consensus is not necessarily a compromise but a balancing of interests. Each citizen is free to hold his or her own belief and the overlap between…… [Read More]
Animism is the concentration of those foundational powers within high-status members of social groups and is most common with clans and tribes. Monotheism evolved in the same manner whereas polytheism is more common within larger and more intellectually and economically sophisticated societies.
The concept of family varies considerably among different types of societies. Kinship societies are unique in the degree to which the concept of family encompasses horizontal relations as well as vertical relations. The study of terminology is important precisely because similar phrases such as "family" and "kin" have such different connotations in different societies. Whereas kinship societies are typically endogamous, larger human societies are almost always exogamous and subscribe to strong cultural taboos prohibiting incest. Within kinship societies, endogamous rules apply only to vertical and immediate horizontal relations.
5. Applied Anthropology:
Academic anthropology refers to the empirical study of human societies and to anthropological research. Generally,…… [Read More]
The economy is market-oriented, and highly technologically advanced. Primary sectors include petroleum, steel, motor vehicles, consumer goods, aerospace, and telecommunications (CIA the World Factbook, United States).
Both Ireland and the United States have a high degree of economic freedom. The Heritage Foundation ranks Ireland as the world's 7th freest economy, with high levels of investment, financial, business, and property rights freedom. However, labor freedom is the weakest area for Ireland (Heritage Foundation, Ireland).
The Heritage Foundation ranks the United States as the world's 4th freest economy. Interestingly, the Hertiage Foundation notes "America could do slightly better in fiscal freedom and freedom from government" (Heritage Foundation, United States), while Ireland has more freedom from government (Heritage Foundation, Ireland).
CIA the World Factbook. 2007. Ireland. https://www.cia.gov/cia/publications/factbook/print/ei.html
CIA the World Factbook. 2007. United States. https://www.cia.gov/cia/publications/factbook/geos/us.html
Heritage Foundation. 2007. Ireland. http://www.heritage.org/research/features/index/country.cfm?ID=Ireland
Heritage Foundation. 2007. United States. http://www.heritage.org/research/features/index/country.cfm?ID=Unitedstates
Commanding Heights, PBS. United Kingdom. http://www.pbs.org/wgbh/commandingheights/lo/countries/uk/uk_political.html… [Read More]
An economic system is basically described as specific set of principles that addresses the production, distribution, and consumption of products and services. The involved parties in the production, distribution, and consumptions processes are usually determined by or dependent on the economic system. Throughout the history of humanity, different types of economic systems have evolved because different societies have placed varying emphasis on distinctive goals and priorities as part of their efforts to obtain answers to certain economic questions. In addition, the difference in economic systems is fueled by the tendency by different societies to develop very broad economic approaches to manage their resources. One of the main reasons for the development of different economic systems is to address the challenge of scarcity. The challenge of scarcity is an essential problem that confronts individuals and nations. hile there are four major types of economic systems recognized by economists, there…… [Read More]
Economic Final Report
Types of economic systems
Economic systems vary from one nation to another. Traditional economic systems refer to an economic system founded by tradition. The services and goods that people provide through the work they do, how people exchange and use the resources are trends that follow permanent patterns. These are not dynamic economic systems because there are minimal changes. In this economic system, people live on static standards. They do not enjoy much occupational mobility and financial mobility (Gregory and Robert 19). However, it is possible to predict economic relationships and behaviors. People are aware of what they are expected to do, why they trade, they know what others should give to them. In traditional economic systems, the interests of the community are of great priority than individual interests. People collaborate at work and labor proceeds are shared equally. However, in some traditional economic systems, individuals respect…… [Read More]
Economic Crisis Policies
US current economic crisis is considered to be started from real estate sector. The real sector started to decline in 2006 and it accelerated in 2007 and 2008. Housing prices have fallen from the peak from about 25% so far. The decline in prices left homeowners with no option and they were unable to refinance their mortgages and causes default of mortgages. This default of mortgages and loans swallowed the banks and financial markets such as falling of Lehman's brothers and other anks and blow to rest of economy happened as the whole economy was relying on banks and ultimately it slows down investment in the country and capital flows to other parts of the world like China and India. ank losses cause reduction of bank capital which in turn requires capital reduction thus saving bank from lending. It is estimated that every $100 loss and reduction…… [Read More]
The nation will enforce law and order to protect its public property, regulate monetary frameworks and correct market failures. The government will be responsible for protecting private life of its citizens and property (Grant & Vidler, 2000).
Market and Competition Forces: the country's economy should be designed in such a way that it will promote competition. This is because competition means a fair deal in obtaining results. The government should increase sellers and buyers in the market because this would promote competition thus increasing the quality and efficiency. With competition, the country will be able to control and manage different functions of its economy (Grant & Vidler, 2000). Demand and supply are the prime market forces determining the production of a country produces and the suitable ways to do so.
Market equilibrium, price and output, are determined by market forces. Therefore, I would recommend that any least developed nation to…… [Read More]
The economic policy tools that were employed just after the war subsequently underwent some changes. From 1947 to 1950 direct controls on wages and distribution were eliminated followed by removal of trade controls in 1958. However, the government continued to maintain its hold over prices and credit distribution which made it different from many of its neighboring states in the postwar period. The French Ministry of Finance exerted greater control over the economy than the Bank of France. This led to a greater predilection to resort to devaluation when external equilibrium resulted due to the state failure to control incomes. In France, the period between 1945 and 1975 was known as the "thirty glorious years" because of the phenomenal economic performance. During this period, the average growth rate of GDP was around 6.8% which was quite remarkable considering that Britain's average GDP growth rate was 2.4% and Germany's…… [Read More]
Economic Challenges Canada Faces
In recent years, the challenging economic condition in Canada has emerged as a concern for citizens, policy makers and the government alike. Canada faces challenges in terms of creating a more innovative society, as the country continues to experience a significant productivity gap compared to other advanced industrial economies. The Canadian industry appears to be slower in successfully developing, applying and marketing innovative products, processes and services than a majority of other nations. This lack of innovation is the cause of Canada's low productivity growth and competitiveness, and therefore must be addressed in order to increase employment growth, a higher standard of living and an improved quality of life for all Canadians.
Current research predicts that although Canada's economic performance will gradually strengthen out of the recent mild slowdown into a better pattern of growth in 2004, Canada's economy still faces the longer-term challenge of increasing…… [Read More]
Economic Environment of a Business
The objective of this work is to summarize the economic environment of a business including information relating to microeconomics, macroeconomics, and international trade aspects
The business organization is a "micro-economic unit" and the business environment is that which makes provision of the "macro-economic context within which firm operates." (eddy, ) The business environment can be categorized into the 'economic' and non-economic' and the 'micro- and macro-environment. (eddy,, paraphrased) The firm is an economic institution in a market system with the behavior of the firm reflecting the result of the decisions that were economic in nature that the manager of the firm made.
The economic environment of a business in today's globalized business society is complex in nature. There is an inherent link between the business sector and it relationship with the government, capital market, household sector and the international business sector -- all of which…… [Read More]
Similarly, the subprime crisis represents well the argument between GDP and GPI. The housing bubble resulted in strong profits for the banking, real estate sales and construction industries. Each contributed to GDP growth. Yet, GPI argues that very little real value was created. The sale of a home from one speculator to another increases the GDP, but it creates no value. If that home is flipped three or four times in a year, it inflates the GDP without creating any real wealth for the nation. Churning the economy and growing it are two different things. Therefore in GPI terms, the housing bubble would be deducted from the GDP figure.
Likewise the Iraq ar would be deducted. ar spending increases GDP dramatically, but death, destruction and erosion of goodwill are not "progress" as defined by GPI proponents. hen the negative forces that have propped up the GDP over the past eight…… [Read More]
Two alternative solutions are available. The first sees that the U.S. federal authority uses the budget allocated to support the development of the national industries, without raising barriers to imports. The second possible solution is for the United States to strive to increase its exports by focusing more on international operations.
Criteria / goals
The evaluation criteria for the proposed solutions revolve around the benefits they generate, as well as the costs they imply. Otherwise put, the decision will be made in accordance with the arguments in favour and against each of the two alternatives, and by the solution's ability to meet the established goals. These goals include the insurance of economic stability within the United States (for all population, corporations and the entire system), the maintenance or even development of international relations, as well as the sustained development of the domestic industries.
Evaluation of alternatives
Pro: does…… [Read More]
According to Burrow, Verard and Kleindl (2007), "a market economy is an economic system in which individual buying decisions in the marketplace together determine what, how, and for whom goods and services will be produced." Hence in any hypothetical pure market economy, the government of the day does not take an active role in deciding what products the citizenry should buy and in what quantities. A pure market economy is however taken to be a theoretical ideal. Burrow, Verard and Kleindl (2007) on the other hand note that "a command economy is an economic system in which a central planning authority, under the control of the country's government, owns most of the factors of production and determines what, how, and for whom goods and services will be produced." In such an economic system, the government of the day largely dictates the mode of utilization of the various factors of…… [Read More]
An analysis of the latest figures for key economic indicators and the factors which have affected these indicators. This should include the figures for unemployment, inflation and economic growth.
The unemployment rate is a very important indicator of the overall health of the economy. Currently the unemployment rate is at 7.8% (Office for National Statistics, 2012). However, this figure does not affect the population equally. Different segments of the population have different employment rates. Furthermore, the unemployment rate does not include people that are not actively seeking employment. In the chart these people are considered to be "inactive." Another interesting item listed in the report is that the unemployment rate for the youth demographic was falling due to a record number of 16 to 24-year-olds being enrolled in some type of educational program.
Employment in the UK has suffered from recession. In 2008 there was a…… [Read More]
Meanwhile, Dwight R. Lee (writing in The Independent Review, 2001) points to a situation where a powerful environmental group (Audubon Society) has cooperated with an energy company and both have profited. Free market environmentalism has shown the way for profits and preservation at the same time in this case. The Audubon Society (AS) owns the 26,000-acre Rainey Sanctuary in the swamps of Louisiana, and while the group is opposed to oil drilling and gas drilling in 99 out of 100 cases, the AS has "been willing to accommodate the interests of those whose priorities are different" (Lee, p. 219). Those interests include allowing thirty-seven wells to be exploited for oil and gas in the Rainey Sanctuary.
According to Lee, the AS has received royalties of more than $25 million from those 37 wells, and in the meantime the technology used in the oil and gas development has prevented any spills…… [Read More]
Economics in the United States
Macroeconomics in the United States
Macroeconomics deals with the general economic systems, which have a larger scope compared to individuals and markets. Essentially, microeconomics is mainly used in the determination and forecast of a country's national income. This is done by analyzing the factors of the economy that represent trends and patterns and in most cases influence each other. Economic factors affecting macroeconomics include the rates of employment and unemployment, positions of balance of payments, trends in Gross Domestic Product (GDP) and inflation. Macroeconomics is controlled by the monetary and fiscal policies, which are implemented to control economic factors. Levels of investment and consumption of products and services is also determined by fiscal and monetary policies.
Microeconomic situation in the United States
Figure 1.1: Trends (in percentage) of Unemployment in the U.S. -- 2012
Changes from April to May
Total for…… [Read More]
The recession of 2008-2009 and the subsequent government responses provides a good test for economic theories. There are no controlled experiments in economics, so we can only work with case studies in order to understand how economies work. A good starting point is to consider the issue through multiple different lenses, so that we can understand how the crisis occurred and what prescriptions might be best suited for response either to address the root problems or to engage in prevention. This paper will consider the works of Marx, Schumpeter and Keynes in analyzing the financial crisis. All three of these men would have been able to understand its causes, but likely would have taken very different approaches to solving the problem.
The second issue at hand is the question of the future of capitalism. We have a pretty good sense at this point of what the response of…… [Read More]
Economics - Country Analysis
Country Overview and Current Events (News)
Ethiopia, traditionally known as Abyssinia, is a landlocked Sub-Saharan country located at the Horn of Africa in East Africa, bordering Somalia, Kenya, Eritrea, Djibouti, Sudan, and the newly-created South Sudan. It covers approximately 1,126,829km2 of land; about the size of the state of Texas, and was, until the split of Sudan, the second-largest country in Africa. Being landlocked, Ethiopia largely relies on the port of Djibouti, to which it is connected by both rail and road. Economic elements such as this, together with the country's history, population, geography and economic performance have been explored in the subsequent sections of this text.
Population: the U.S. Census Bureau, in June 2013, estimated Ethiopia's population to be 93,877,025; a figure that makes the country the second-most populous in Africa, after Nigeria (orld Bank, Index Mundi). Ethiopia's population has been on a steady increase…… [Read More]
ealth does not equate to happiness, a sense of purpose, dignity or respect. One of the key underlying assumptions of neoliberal philosophy, as derived from Milton Friedman, is that financial wealth is the ideal end goal of all activity. hile financial wealth solves many problems it does not solve all problems. Opponents of globalization, whatever their other arguments, incorporate this understanding into their protestations.
Naomi Klein goes further, suggesting that the unequal wealth distribution in the globalized economy is deliberate. The march towards globalization is not an altruistic endeavor borne of a firm belief in the power of the free market, but is a calculated strategy on the part of the world's elite to seize the world's wealth and power at whatever expense is necessary. Indeed, any economic benefits realized by the masses are incidental. Casualties -- be they citizens of Iraq, indigenous peoples or indeed any of the world's…… [Read More]
In order for this to happen there must be a lot of industrial production happening. If you look at the history of industrial production, when ever there has been a drop, consumers have stopped spending and a recession has taken place. During the oil crisis from 1973-1975, the industrial production rate fell to about 74%. In 1983 the industrial production rate fell to 71% sparking the recession of the 1980's. Again in 2001, the industrial production rate fell to 74% after September 11th, causing the recession of the 1990's. Today the industrial production rate has fallen to about 73% leading to the current recession (History of U.S. Economic ecession, n.d.). If history holds true the industrial production rate will go back up and consumers will once again spend money and the recession will fade from our memory until the next one comes along.
History of U.S. Economic ecessions. (n.d.).…… [Read More]
The process would take centuries, but by Elizabethan times it had surely begun. Serfdom had all but disappeared from England, and money rents and wages had largely replaced other forms of compensation and exchange. The new importance of trade contributed to a profound change in attitudes, one that was beginning to re-shape society itself. In 1579, Thomas Churchyard defined as nobles, "Merchauntes that sail forrain countreys," a statement that underscores the importance of generating wealth.
Though not legally noble, these individuals were already beginning to emerge as substantial players in English society.
Economic Expansion: The Manor as Productive Estate
The vast expansion of trade and commerce in Early Modern England found its fullest expression in the thirst for new outlets for national enterprise. England's growing collection of colonies represented an attempt to compete economically on a world stage. Rivalry with other European powers encouraged the discovery and settlement of the…… [Read More]
Economics of Alchohol Abuse
Alcohol for consumption is not a necessary food item, but for some has become a standard part of adult culture. Increasing the level of alcohol consumption, however, moves from an economic paradigm to a social issue due to the ancillary health and behavioral effects from alcohol abuse. In turn, this becomes part of economics in that it requires fiscal resources to treat societal issues caused by alcoholism: domestic abuse, crime, traffic or driving issues, etc. The economic effects of alcohol are undebatable, and are pervasive in the overt and covert areas of the economy (short- and long-term) (Fogarty, 2006).
In the economic sphere of political and social policy, alcohol, like tobacco and gambling, are considered a "sin" tax that is ostensibly designed to reduce transactions for issues society considers dangerous or undesirable. However, when it comes to alcohol, many see that this type of a sumptuary…… [Read More]
Systems of Power and Inequality
In early March of 2012, a 28-minute video on the plight of African children received more than 21 million YouTube views. The video vividly depicts how the guerilla warlord Joseph Kony, leader of the Lords esistance Army (LA), reportedly abducted over 60,000 children who were subsequently forced to become child soldiers or sex slaves over the course of the civil war. Captured children who did not cooperate as said to have been mutilated and murdered. Production and dissemination of the video was a result of the efforts of an American charity called Invisible Children. In interviews with the press following the viral reception of the video, Invisible Children campaigner Jason ussell stressed the importance of the video as an example of how social media allows people all over the world to actually see other people -- see, as in the struggles, challenges, plights, and victories…… [Read More]
For example, somebody with no knowledge of military jargon and technology may struggle with understanding how the military works. Systems theory allows that person to examine the linkages and structures within the military, and then to understand how those linkages and structures work towards the desired outcomes. This understanding comes on a broad level, and does not require the observer to understand the nuances of military jargon and technology.
Systems thinking also allows the observer to understand similarities and differences between systems. Understanding the similarities between systems that on the surface level are entirely unrelated is difficult when the observer is focused on the superficialities, but an examination of the underlying systems allows for this understanding to take place. The university, for example, is more similar to a military unit than it is to a symphony. hile within the university there is a clear structure of command, there is a…… [Read More]
Its business alliances have succeeded because of the past encounter and uncompromising principles of Starbucks. When Starbucks created a licensing contract with Kraft Foods, Inc., it permitted Kraft Foods to begin to make Starbucks' items available in grocery markets, and now because of that attempt their items are available all over Northern U.S. And even the United Kingdom. If Starbucks did not have the primary features of what it is looking for in an alliance, it might not have been as effective in its collaboration with Kraft Foods or any other partner. Starbucks was willing to think about the good and bad in the possible collaboration and choose on whether or not the collaboration would benefit its organization (Davidson & Fielden, 2013). If Kraft Foods, Inc. did not have the same corporate perspective and objectives that Starbucks had, Starbucks would not have engaged in business with them. Starbucks has been…… [Read More]
One can therefore expect that Israel will benefit from an increase in knowledge-based industry that will continue to power employment and GDP growth.
Investment is a triple indicator: relative attractiveness of the country, the type of investment being attracted, and political stability or instability. In comparison to the U.S., all countries save Saudi Arabia are attracting more investment. One would expect that the U.S., as a relatively mature first-world economy, would be at a relatively lower level. The surprise in this analysis exists in both extremes: Saudi Arabia on the low side, and Qatar, Kuwait and Dubai on the high side. Israel's relatively low investment can be explained by the type of knowledge-intensive industrial development it is experiencing now.
Qatar and Kuwait are experiencing resource-extraction investment at record levels. The primary driver is natural gas expansion. Unlike oil, natural gas must be processed extensively by capital-intensive facilities before it…… [Read More]
The religious organization has other-worldly goals, but must adapt to the demands of this world in order to survive. There are generally two kinds of responses to this problem -- the church response and the sect response. The church response is to adapt at the expense of the goals and the sect response is value-rational-to maximize goal commitment at the expense of adaptation (Satow, 1975).
EXAMPLE NATUAL -- Management NEED in Business OGANIZATION
Theories and research concerned with individual performance, employee satisfaction, and reduction of tension between individual and organizational goals deal only with internal aspects of events, relationships, and structures that make up the total organizational system. However, if an organization is seen as an open-energy system, it is apparent that it is dependent for survival and growth upon a variety of energy transfers within the organization and also between the organization and its external environment. It is sure,…… [Read More]
Why does GE finance poorly-rated airlines with its aircraft financing? GE benefits in three ways: (1) its lower cost of capital than the airlines means that it can charge a risk premium, and make more money on the airline debt, (2) it sells aircraft engines and, more critically, spare parts, which are the biggest long-term source of revenue for the company, and (3) the loans are well-collateralized. Even in a bankruptcy procedure, the airlines have relatively little recourse to the assets, and GE would be free to sell or lease the airlines to others. Other leasing companies, while they don't have GE's aircraft engine business, are able to lure tax-advantaged investors (offshore, those receiving tax credits, others) who also give them a lower cost of capital; their expertise in leasing and selling planes, as well as their leverage in pricing negotiations with the major airframe manufacturers gives them an advantage…… [Read More]
He contrasted the work done in factories with such tasks as lace making, stocking knitting and rural work and felt that factory work was easier by comparison and less tedious or monotonous in nature. The arguments of Marx and Ure are as dissimilar as two could possibly be. While Marx believed that history of technology since 1830 could be described as one of 'weapons against the revolts of the working-class', Andrew Ure felt that machine system was just so perfect that it could destroy any labor unions that ever came into existence. Writing about the dressing machine, he said:
It affords an instructive warning to workmen to beware of strikes, by proving how surely science, at the call of capital, will defeat every unjustifiable union, which labourers may form.
Thomas Carlyle was another important figure of the time. He can be described as the man whose views ran somewhere in…… [Read More]
Economic Decision Making
Economic decisions are first and foremost influenced by the dividends an individual stands to lose or gain with the choices they make. Because economics are the basis of individual well-being, people must prioritize time and spending, weigh the intensity of wants against the implications of needs, and carefully consider disruptions to earning potential as this most directly impacts each of the aforementioned categories. As detailed by N. Gregory Mankiw, the four basic principles of economic decision making include that all individuals face trade-offs; In order to make gains, some commodity or quality is often lost -- the most common loss includes the trading of money for goods. Next, Mankiw exerts that the cost of something is what you give up to get it, implying that all gains come at a price that extends beyond their monetary value to include time and effort spent. Third, Mankiw explains that…… [Read More]
economics problems from a broader perspective, we need to apply macroeconomic principles. These principles help in understanding collective problems that various industry or countries are encountering and the role government can play in this connection. The paper studies current economic problems in the Transportation sector and explains how levels of supply and demand affect the demand curve.
MACOECONOMICS AND TANSPOTATION SECTO
Macroeconomics deals with economy on a larger scale and studies the principles of economics as they pertain to the whole industry and not just one firm. This helps in understanding national economic problems of inflation, unemployment, slow GDP growth, lower productivity etc. Therefore it is important to apply macroeconomics principles when we want to study and understand the problems being encountered by any economic system. For example in these days of slow growth, we notice that United States economic problems can be better understood in the light of macroeconomics…… [Read More]
Even more, high inflation attracted large budget deficits. In order to cover them from one fiscal period to another, a great part of Canada's national savings had to be directed towards this direction. The effects consisted in public debt accumulation, which in turn led to increased risks in the country's interest rates.
And the chain of effects did not stop here. The situation continued with discouraged investments, especially where equipment and technology were concerned. This is a very important aspect, because of the fact that these factors directly influenced productivity.
In other words, without massive and continuous investments in equipment and technology, productivity cannot be improved. If productivity does not reach satisfactory levels at least, the general economic situation cannot improve. As a consequence, individual economic situation cannot be a satisfactory one either.
Even if matters seemed to be clear from this point-of-view, it took a while until Canada came…… [Read More]
disrupting America's economic system is a fundamental objective of terrorists
Even as the world continues to struggle with the terrible shock from the September 11 attacks in New York and Washington, one principle lesson has already become clear: disrupting our economic system is a fundamental objective of terrorists.
Prior to September 11, our economic environment was certainly not immune to terror, in comparison to many other nations; we lived relatively terror-free. Now, however, the aftermath of the terrorist attacks serves as a grim reminder that international relations and security developments can dramatically affect economic performance.
US History is replete with countless examples when macro fundamentals are overtaken by what economists refer to as, exogenous shocks -- surprise events that can profoundly and often unpredictably shift political and economic resources, and send even the most accurate forecasts astray. Commodity shocks, such as the two OPEC jolts in the 1970s, are classic…… [Read More]
Monopolies and Trusts:
Appropriate Areas for Government Intervention?
Capitalism is the economic system that has dominated the United States virtually since the day of its independence. A social and economic system based on the recognition of individual rights; capitalism demands that owners' rights to control, enjoy, and dispose of their own property must be respected. In a capitalist system, the purpose of government is to protect individual economic rights, and to make sure that no one individual, or group may employ physical or coercive force upon any other group or individual. The success of capitalism is well evident. The surpluses that this system produces have enabled individuals to experiment; to create new products, and market new ideas. These private surpluses are traded in a free market in direct competition with other buyers and sellers. Such competition is best represented by the efforts of two or more parties acting independently to…… [Read More]
Portfolio on Various Economic and Political Concepts
The Industrial Revolution
What was Changed by the Industrial Revolution
How the Revolution Changed the Economy
Examples from Past and Present (1900's & today)
The Industrial Revolution, a multi-decade event that took place in the 19th century (1820-approx. 1870), completely transformed the way goods were produced across two continents. Prior to its start, which took place in the UK, and its continuation, especially focused in Germany and the U.., most goods were produced by hand, at home.
The revolution, however, mechanized production processes and introduced machines and factories that, inevitably, improved and increased production. Yet this could not have been achieved without various inventions, such as the cotton gin and other weaving machines, or water powered machines (i.e. trains), many of which propelled countries, and especially the American economy, forward in a unique and successful way.
Prior to the Industrial Revolution, American…… [Read More]
The effect of all of this is to drive away those who actually worked the land because they loved it, replacing them with hired hands running machinery, neither of which is likely to be kind to the land.
Perhaps the most familiar form of business except for perfect competition, monopoly situations result when there are many potential buyers for a product or service, but only one seller.
In the Grapes of rath, a monopoly situation is created as the banks decide to remove tenant farmers, preferring to sell the land to a single large conglomerate of landowners or even a single corporation.
Steinbeck could hardly have painted a harsher picture of this monopoly-in-progress, with scenes of huge bulldozers razing all evidence of the tenant farmers from the land. However, he also notes that the 'monopolization' of the Great Plains was seemingly an event bigger even than those landowners who…… [Read More]
These include: the European Union, China, India, and Japan. Clearly, what many Americans perceive to be simply an economic problem in the United States, has far reaching effects around the globe.
Barba, R. "Centra Returns TARP Money." American Banker 173(65) 6 Apr 2009: p. 4. Business Source Complete. EBSCOHost. University of Phoenix, Phoenix, AZ. 27 Apr 2009 .
Crain, K. "It's All About Saving an Industry." Automotive News. 83(6348) 23 Feb 2009: p. 12. Business Source Complete. EBSCOHost. University of Phoenix, Phoenix, AZ. 27 Apr 2009 .
Fajt, M. "Iberiabank to Give TARP Infusion Back." American Banker 174(39) 27 Feb 2009: p. 20. Business Source Complete. EBSCOHost. University of Phoenix, Phoenix, AZ. 27 Apr 2009 .
Marino, J. "Red Planet." The Dealmaker's Journal. 44(4) Apr 2009: p. 38-65. Business Source Complete. EBSCOHost. University of Phoenix, Phoenix, AZ. 27 Apr 2009 .
McGreer, B. & Barba, R. "Here's Your…… [Read More]
Subprime mortgages were not by any means a major component of the total market, yet when they crashed, the high degree of market interdependency led to sharp declines in the value of many companies, not just banks that happened to be burdened with toxic assets. The methodology will therefore begin by comparing the interdependence of different markets over time. This will reveal whether or not sectors and global markets have become increasingly correlated over time. It is hypothesized that they have, which in turn has contributed to an increase in systemic risk as such interdependence reduces the value of diversification.
The second component of the paper will examine what is being done with respect to reducing systemic risk. This component will include an overview of the traditional theory and a review of the current literature on systemic risk. The crisis has spurred new work on systemic risk, including work specific…… [Read More]
Healthcare Economics Evaluation
This report is about a proposed healthcare economics investigation. Some early research has been done and will be described based on what was found and how it was found. The report will conclude with a proposed plan for further economic evaluation on that same topic with a great deal the expected and proper form and function of that research to be described in that section. A conclusion will wrap up the report.
Critical Appraisal of the Evidence
The author of this report has chosen how to make health care affordable and have the most amount of people possible covered in the United States as this is one of the more omnipresent issues and matters in American society in the modern time. Health care being at the forefront of the American news cycle is nothing new as it is has been a huge part of the…… [Read More]
Boom times on the gold coast of China" by Mike Edwards and Michael Yamashita (1997) discusses the industrial boom in the Pearl iver Delta. This area of southern China, adjacent to Hong Kong, was experiencing a boom in the 1990s in manufacturing. The authors of the article were writing about it like it was a new things, which I guess back then it probably was. The explored the nature of this boom, touching upon the political and economic system of the PC, as well as some light economic discussion about talent and capital inflows. Hong Kong was seen as the source for a lot of the influx of talent and capital. This is a big reason why the Pearl iver Delta became such a significant manufacturing hub, because Hong Kong served as a gateway for Western money to flow into the region. The article was written around the time of…… [Read More]
Intenational Tade Between Bahain and Saudi Aabia
This is a pape on Tade between Bahain and Saudi Aabia, focusing on how it affects thei intenational tade elations with special attention to OPEC, GCC and the Qata dispute. It uses 22 souces in MLA fomat.
Both Saudi Aabia and Bahain ae membes of the Gulf Coopeation Council along with Qata, UAE, Kuwait and Oman. Unde the GCC Ageement, pefeential taiffs apply among the membe states. Since independence in 1971, Bahain has essentially pusued a libeal tade and investment policy, and has integated its economy closely with those of othe counties in the egion, though the Unified Economic Ageement of the Gulf Coopeation Council (GCC).
Tade and economic gowth in Bahain is stongly affected by vaiations in intenational enegy pices. Real GDP gowth, as a esult, was slowe duing the 1990s compaed with the pevious decade, aveaging aound 3.6% annually since 1994.…… [Read More]
There is a belief, common to economists, that government intervention is necessary to assist economic growth. The current belief that the reason that the economy is faltering is that job growth has faltered, has not altered this perception, even though it probably should have. Recently both the Bush and Obama administrations have tried many different means of stimulating the economy (much as Franklin Delano Roosevelt did during the "Great Depression"), and these means have had varying levels if success. However, despite some small amount of relief and a stronger stock market, job growth remains stagnant and the economy slugs along with it. The efforts of the current administration toward job growth and creation, whether that be in State of the Union speeches or actually policies, have not produced the desired effects. hy is this? Could it be that the Keynesian methods of economic growth and job production are faulty?…… [Read More]
a positive trend?
In order to fully understand the complexities of economic globalization, one must first sufficiently define the term in regards to how it is viewed in today's world. Thomas L. Friedman defines globalization as a system or a paradigm, "an approximate set of rules by which to conduct life," yet he also points out that globalization itself presently serves as a replacement for the old system begun and fostered during the Cold War which came to a close when the Soviet Union collapsed in 1991 (Sjursen, 3).
However, others have countered that globalization is defined by trends related to third-world countries that economically become stable as a result of re-defining their old national standards. For example, Juan Enriquez argues that the global trade market "allows a small region to break its dependency on a larger nation state," whereby "protection is no longer necessary," with the result…… [Read More]
Economics: Neoclassical, Keynesian, And Marxian Theories
Social theories attempt to explain how people interact with each other, and with their surroundings. For this reason, it is believed that social theories shape society, so much so that people will theorize elements in their surroundings based on their life situations and what they experience in their interactions. Towards this end, what one person thinks or believes about a certain aspect may not necessarily be what another person thinks; people hold different theories about how the economy works, and how it influences human interactions - and this is particularly why we have multiple economic theories today. Social theories are broadly categorized into three -- humanism, structuralism, and dialectics. These three have been applied to economic theory to explain how the various elements of the economy interact to realize maximum outcomes. This text demonstrates how the aforementioned social theories have been used to shape…… [Read More]
Economic inequality refers to the situation whereby wealth, assets or wealth are not distributed equally among individuals within a group, among some groups within a population or even among countries. Economic inequality is also described as income inequality, gap between the rich and poor, wealth and income differences and inequitable distribution of wealth. This issue of economic inequality can imply various notions such as equality of outcome, equality and the equality of opportunities. There exist differing opinions on the importance of economic inequality and the impact it has. There are some studies which have put emphasis on inequality as being a social problem. Whereas some inequality might promote investment, when it is too much inequality can end up being destructive. Though income inequality hinders long-term growth, it can also help long-term growth. Economic inequality differs between different societies, historical periods, and the existing economic systems and structures. This paper will…… [Read More]
Has the 2008 financial meltdown in the U.S. And the ongoing economic crisis in Europe have practically ended the era of economic globalization?
Following the financial crisis that marred the U.S. economy along with other global economies as well as the ongoing Eurozone debt crisis, there have been projected concerns that this predicament would end economic globalization. The purpose of this paper is to assess this claim. Going by Immanuel Wallenstein's World Systems Theory, the political economy of Third World economies and developed economies of the West are mutually dependent. Wallenstein's conjecture is that the growth and expansion of Third World economies relies on constant interaction with Western developed economies seeing as the world is characterized by a structural division of labor where the developing nations of the Third World provide cheap labor and raw materials while the developed economies are the holders of capital and controllers of…… [Read More]
If there is a risk that one of the family members will lose his or her job, that will add risk to the purchase decision. The riskier the purchase decision, the lower the price will need to be in order to compensate for that. Another factor here is the expected change in housing prices or interest rates. Buyers are inclined to enter the market if they believe that the cost of home ownership will be higher next year, but they may delay purchases if they believe that costs will be lower next year.
ith new home sales last summer, the dip could be in part due to worries about a double-dip recession. The summer was characterized by an inane fight over the debt ceiling, something that shattered confidence of many in the political system, and some of the key actors within that system. A fractured political system is one that…… [Read More]
In terms of output and growth, Canada's real GDP was 2.96% higher than it was a year ago, but the growth trend is slowing down from a growth rate high of 3.81% in Q3 2010. Japan's economy has contracted in Q2 2011 by 0.76%. It's rate has been volatile, growing rapidly over the past year only to contract again. The UK's growth rate is 1.63%, and that country has had fairly stable, if sluggish, real GDP growth. The current GDP growth rate in the United States is 2.33%. Real GDP growth is on a downward trend in the U.S. But has maintained healthy levels since Q4 2009.
All four countries were affected by the recession. Each experienced real GDP declines during the 2008-2009 period. Japan was the hardest hit. Yet each nation recovered in 2010, only to see the rate of economic growth slow again in 2011.
Canada…… [Read More]
Economic Impact Study: Students at Schreiner University
An economic impact analysis is designed to estimate both the direct and indirect effects on the economy that are associated with any given type of expenditure. In other words, an increase in the demand society has for a product sets in motion a series of various expenditures from the companies and organizations that provide what is needed to make that product. The parts and labor have to come from somewhere, so the economic impact is not just on the company from which the product was ordered, but on that company's suppliers and their suppliers, all the way down the chain. When it comes to services, though, such as would be seen with higher education, the economic impact analysis is somewhat different. Since the student is not ordering a good or a product of any kind from the school, there is more to the…… [Read More]
S. The societal system practiced in France serves as a model towards which the U.S. aspire.
President Barack Obama's healthcare reform plan is considered by many as being a socialist experiment that will significantly hurt the economy (CBS, 2009). In opposition, the President has stated that he does not intend to implement a healthcare system that depends on the government. Instead, he would prefer a system in which the government competes with private insurance companies for selling coverage.
The Invisible Hand Principle
The invisible hand principle was developed as an opposition to the protectionist system. This principle is actually a metaphor describing the self-regulating characteristic of the market. In other words, such a system can be implemented due to a combination of factors, like self-interest, competition, supply and demand. Adam Smith, who developed this theory, considered that the action of these forces and their effects are able to allocate resources…… [Read More]
"The explosive growth of the global economy threatens the natural systems that sustain life on Earth. Despite some significant successes in reducing industrial pollution and increasing efficiency, globalization is devastating natural habitats, speeding global warming, and increasing air and water pollution" (Anonymous). It is in the nature of such an economic globalization to cause negative effects. Globalization has its benefits as well which hold substantial weight.
Advocates for economic globalization state that it is aimed at removing poverty and increasing wealth among the poor. This has been seen not to be entirely true and the gain of wealth is seen only in the upper or elite classes. The rich are getting richer while the poor are getting poorer. Although food has increased, hunger rates have also increased. It is seen that the top class is becoming multibillionaires and today there are more billionaires than yesterday. However the lower class is…… [Read More]
Thus, a region or nation experiencing economic depression will be unable to use the interest rate lever to boost the economy. Similarly a country with high inflation will be unable to independently raise interest rates to contain inflation. Moreover, Islamic countries, which form a large part of the geography, do not believe in interest rates.
Political barriers -- Political differences between nations make it extremely difficult for them to adopt a common currency. It can lead to a loss in political sovereignty as monetary interests would need to surpass political interests. This is unlikely to be acceptable to most of the nations and the idea of a single currency may be difficult to implement (Gimp, 2008).
Will Pros and Cons change Over Time? Depending On the Country?
The economic conditions to determine a monetary union depend on: the openness and size of the economy involved to trade; the free movements…… [Read More]
That is, international financial organizations, such as the World Bank and the International Monetary Fund and which controlled by core states, decide that, in order to grant financial aid to undeveloped countries, these states should comply with some rules that are, in the end, in the detriment of their own economy. For example, Africa pays more to the IMF and World Bank, than it collects in credit from them, and this leads to low living standards, poor education and health systems and undeveloped infrastructure.
Besides financial institutions, transnational corporations have a saying in the economic development of a country. Although one might be tempted to say that a corporation, by creating a branch in an undeveloped country gives that economy a boom, it is actually all about personal gain.
Working in a corporation might be considered the best thing that could happen to a person, on a professional scale. You…… [Read More]