There comes a question whether the current increasing trend of globalization is leading the countries towards financial stability or not, is yet to explore. This article critically discusses the question whether increasing globalization directs the financial stability in detail with both arguments in favor as well as against of this question. This article is structured in such a manner that it is divided into four major parts such that the first section emphasizes on the concept of globalization followed by second section which describes phenomenon of financial stability. Third section of this article provides arguments in favor of the statement that increasing globalization assists in gaining more financial stability followed by the last section which provides opposite arguments in contradiction of that statement. Conclusion will lead to an end of this discussion. Globalization The term globalization has different meanings and different interpretations but over here its meaning is taken as the phenomenon due to which the individuals have come closer to each other beyond their geographical boundaries. Today, if any individual whether a person or a country wants to develop some sort of relationship with other individual, that decision is not even in his/her capacity such that all other individuals have joined hands and became a unit. So in case, if an individual tries to be isolated and independent from other individuals, this possibility has become quite rare. If this concept of globalization is viewed on a broader level in terms of the international relations developed among different countries of the world, an important trend can be noticed such that more frequent changes have emerged as the nations are shaking hands with each other despite of even having the worst historical experiences. The current trend which is highly adopted by the countries as well as leading towards an increasingly globalized society is the unification of different sorts of block on different basis (Greenidge, 2008). These blocks are developed due to some mutual interests of the countries such that different backgrounds set the stage for the countries to develop such blocks. For instance, oil producing countries have developed their own block and decide as per their own preferences about the production and supply of oil. Similarly, some countries establish a block for their mutual economic interest like the case of European Union. There are blocks which are developed due to mutual defence related interests for the security of those countries. So in a nutshell, the most important reason behind current movement of emergence of globalization is the increasing pattern of building up various kinds of blocks based on the mutual interests of the participant countries (Greenidge, 2008). Financial Stability The concept of financial stability refers to the financial environment whether on an individual level of a country or on global basis such that the participants of that environment feel confident regarding the value of their economic and financial resources (Rahn, 2010). Basically, it is the confidence level of the people or countries that bring financial stability into that particular region. If the people or institutions are
Evaluation of Feasibility of Financial Stability in Increasingly Globalized Economy Introduction With the ever increasing resources and opportunities of interactions and communications courtesy the media and the emergence and evolution of information technology sector, the world has not even become even a global village but a family home where every other individual family member is informed in all aspects about his/her other family member…
The policies of the Federal Reserve affect international developments as many currencies of the world are pegged against the U.S. Dollar. The foreign exchange market is the mechanism to determine the value of a currency such as the U.S. Dollar against other currencies (Kidwell & Whidbee & Peterson).
The procedure is, however, extremely costly, and only those with economic capabilities can afford. The procedure has provided infertile women with an opportunity to conceive children. Those who engage in this procedure often get in touch with their moral values and make their own decision.
Many a banking sector has been stricken by banking crises for the past decades due to worldwide financial crisis. Although world wars impacted the banking system, the 21st century has thus far been more stable. The increased competition in the monetary markets has been among the main debating issues over the financial volatility across the globe.
The view of competition fragility makes the argument on a negative relationship between financial stability and bank competition while the view of competition stability makes a positive relationship argument (Boyd et al., 2009: 4). Many studies have tested the relationship in different regions and nations and have come up with contrasting results.
The paper details its relevance in the global economy. It also analyzes and details factors that influence, and factors that articulate around international finance. To explain International finance it is the study pertaining to the dynamics of exchange rates, foreign investment, trade deficits, capital inflows, and how these affect international trade.
One of the areas where this trend may be observed is in the call center business, with several companies outsourcing their customer service and other operations to companies in countries such as India and China, in order to benefit from the lower costs and availability of skilled labor.
Crises management is a process by which an organization deals with major events to threat that tries to bring harm to the organization. It becomes very difficult to act during a crisis due to the shear element of surprise the crises meets the
The following paper is divided into three sections where Section A is devoted to a comprehensive Ratio Analysis of Nene PLC. Section B uses tools of corporate finance to analyze situations where the shortage of resources can be appropriately adjusted to get the maximum amount of profits for the concern.
This causal relationship can be rightly identified and its validity tested hypothetically. The hypothetic-deductive logical approach makes use of hypothesis testing as well as inferential statistic to make credible statistical conclusions. In addition, this dissertation
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