Macro & Microeconomics Essays

When money is exchanged across countries essentially for the use of one or more countries, we may call this international credit. In an open economy, different types of external assistance and foreign borrowing can play a role along with the associated problems of debt servicing. One may think of foreign assistance or international credit. 

Besides, the implementation of such a monetary policy would see a dramatic decline in the quantity of Chinese banking system reserves. More banking deposits with the Central Bank will extend the Central Bank credits which would in return create money multiplier effects in addition to posing significant balance sheet impacts.

sticity of demand include the price and availability of substitute goods, the percentage of income (that a person spends of a particular good in question), whether the goods are a necessity of a luxury, and the duration of the goods. Cross elasticity of demand is a economic

The agreement seems to be more in favor of the United States than Colombia. The trade agreement will greatly help in the creation of employment opportunities to the American

It is essential to state that 2013 saw the fall of yet another country’s financial system. On 25 March 2013, Cyprus reached a bailout agreement of ten billion euros from the European Union. The economy’s contraction started way back in the year 2009 following the United State's subprime mortgage crisis.

In a nutshell, an exchange rate refers to the price in one nation’s currency of one unit of another nation’s currency. Ever since the collapse of the Bretton Woods regime (soft peg) in the 1970’s, economists have never concluded the debate whether fixed or floating exchange rates are preferable.

Since competition is inevitable in the global market, Canadian companies must continue investing since they cannot compete on cost and volume. This is because low-cost nations like China and India compete on low labor costs, wider market share, and a combination of good customer service, design, and quick product development. 

The project is to pass through the Hills of Nebraska, a place considered ecological sensitive by the environmentalist. This makes the project to be a

Putting the condition of MR=MC, and the FOC conditions of profit function with respect to Labour and Capital, the profit-maximizing condition of Labour and Capital. From APk=1.05, we can derive the returns from Capital. APk= Total Output/Capital=1.05. Therefore the Capital received will be of the form - K=( L0.5/1.05)0.5

This article raises many encompassing issue in macroeconomics particularly the necessity of providing employment to people for an economy to recover. Government’s

Unemployment numbers are static, but some caution against taking the government figures as truth, given that official unemployment numbers reflect only the urban situation, and do not factor in unemployment numbers in the rural areas, where an estimate pegs the number of unemployed as reaching more than a hundred million or more workers.

Generally speaking, mainstream economics refers to widely accepted economics across the world which entails formal mathematical modeling. It is also referred to as mathematical economics and applies mathematical approaches such as linear algebra, game theory, calculus, and computer science (Mankiw, 2006).

The graph also shows that there are limitations to the production of goods and services, so that an economy, must decide on the best combination of goods and services to be produced (Heakal). The first PPF chart represents an economy that6 produces capital goods

Foreign direct investment helps in the open and also effective international economic system. FDI is one of the leading catalysts to the development and growth of the world's economy. One of the most chronic problems among developing countries is the fact that they do not have enough or adequate finance to make investments in their countries.

Various economic theories explain that the variation in real estate prices has key macroeconomic implications. There is clear evidence that house prices and macroeconomic factors are closely related. Economic factors like inflation and income levels are key factors

Elizabeth Warren and Amelia Warren Tyagi have made a strong case for the much maligned middle class in their book. The doomsday pundits of “Affluenza” quote a string of figures and data calculated to show the irresponsibility of the middle class. They tell us horrifying tales of how much the American families have sunk deep into debt.

Greece must form a new Government or lose EU membership. While Germany’s pharmaceutical sector took advantage of the Greek market inefficiencies to reap the huge profits, they are today labeling Greeks as corrupt and lazy. The public has lost faith in the Government and wants the non-political leaders.    

It is a common belief that the world view education as a direct contributor to economic growth of a country, and attribute education of both men and women as having a

The key purpose was to not only learn the interpretation and re-presentation of data, but also improved our skills in accurately understanding and recording data (Ferrari, 2010). The course comprised of three managing data workshops where we put into practice. These were

The authors draw an important definition of the “extremely poor”, which was set out by the World Bank in its 1990 World Development Report” for their study. This definition indicates the extremely

Changes in cost; fixed cost remained unchanged as they acquired the premier league rights as operation cost increased to addition of channels while marginal cost increased as the company had to acquire an extra channel as they decided to broadcast on its own sports (Hubbad &

On this note, business deals under a free market economy are always based on mutual consent and agreement. In as much as a free

f previous republican leaders who passed laws that inconvenienced did not favor employees, such as, the Indiana Governor who brought an end to collective bargaining for state workers. Robert Lynch, the deputy director of the local council of the American Federation of State,

One of the most notable features of these stones was that they could be kept away from the owner depending on the size of the stone. The use of these stones as a medium of exchange was based more on beliefs than the

 Inappropriate information may also result in a situation characterized by one buyer influencing the decisions of the suppliers in the market, a situation referred to as a monopsony (Ferguson, 2004). An example of a monopsony is the Natural Led Lumber Media Company where it is the only company conducting lumbering operations in Lumber town.

The principle is the best since it ensures that the firm sets up strategies that would be effective in increasing its profits in the future and ensures that all the factors leading to the profitability of the organization are put into action and consideration. The factors to be considered include the firm’s inputs, outputs, the pricing of goods, and its targeted revenue, among others (Suárez 2012). 

This essay focuses on the main agreements, that were reached at the conference at Bretton Woods, with main sole aim of reviewing the performance of the gold standard after the occurrence of a great depression in the US. Main rules and policies for financial and commercial relations between industrial states were established at the Bretton Woods.

Located in the Far East, China has risen to be among the world’s most trading nations. Ideally, trade has become of pivotal significance among the factors that control its economy. Twenty-five years after the Republic of China was founded in 1949, Chinese’ institutions of business were observed to have developed to the modern trends.

In relation to multinational companies, there are three major economic components that are usually given a high sense of priority, when analyzing the economic status of a country in relation to its fitness for business activity (Mohr, 2011). In this research, the discussion will be based on an analysis of three major economic indicators.

This amounts to 48 observations. Theoretically, it has been proven that the level of advertising of any business or organization affects the entire sales in a manner

Therefore, it is the need of the hour that the glasses manufacturing company should review their target audience and their marketing tools and strategies. The reason behind the decline in the sales can be the

The podcast talked about the recycling business, the difference between recyclables and trash, and the connections of the recycling business to the fluctuations in petroleum prices down to the currency exchange rates between Europe and the United States. They have introduced that these things may offer profit in the form of a recycling business.

Gasoline is one of the main sources of energy which fuels internal combustion engines. This energy resource is vital for the global economy as it fuels the various sectors of the industry by making possible the transportation of goods and services as well as providing heat.

In the nature of things, deciding to adopt a strategy just to stop importing what may have been efficiently done by other countries could just not work as well to developing nations simply because of the incapacity to sustain the requirement of subsidy or the inefficient result of too much dependency for support.   

The PPP doctrine is an important assumption in most models in international economics. The theory of PPP throws light on some important factors, which affect the exchange rate movements. It has also been used as a basis for determining the exchange rate levels, and also in comparing income levels between countries, which takes a researcher a step ahead to establish its validity.

New technological breakthroughs in transportation systems shorten the distances between rural areas and cities. Some of the key transportation technologies that appeared were the cable street car, the electric trolley, and elevated railroad which allowed the population and families to move away to intermediate regions.

Classical economics believe that the market is supply-driven whereas the Keynesians believe that the market is demand-driven. Both Keynesians and the classical economist differ in their opinions about savings, wages, unemployment, prices, etc also. In the current world, Keynesian economics seems to be the best economic theory compared to classical economic theory in handling recession like economic problems.

Responsibilities fell heavily on German and Japanese combined policies to cause a downturn in the American economic sector by driving them not to withdraw but to continue pace with over production and less profitability. Hard driven by these competitors as America was, it started to experience boom once again in the last two years of Reagan’s government.

Economists define recession as a significant downturn in activity that affects all the economic segment, the decline in activity normally last for a span which could be more than months. Effects of economic recession are usually witnessed in

One of the systems that is used in organizations is risk assessment tools as a system of internal and external control. Risk assessment is

In this light, the humans developed at a slower rate compared to the Neanderthals whose development was exemplary and very fast. In this context, they lived fast lives that ended at tender ages compared to the modern man. The slow developmental rate of the human

Despite their benefits increase being recorded at 1.8%, the figure is reduced to around 0.3% after the inflation. This is according to the index for the cost of total compensation which was released by the Labor Department. This meager wages

. Monetary policy can be changed within a short time because the Bank of England has complete authority in such matters. Based on this therefore I can conclude that the most convincing school of thought is the fiscal policy due to its effectiveness in the short run since in the long run both policies are considered ineffective.

Explain the general relationship between IS-LM analysis and this definition of aggregate demand: IS-LM subdivides total demand into two sections: willingness to buy and ability to buy. IS-LM is based on the fact that the produced quantity is able to satisfy the market’s demand. The ability to purchase is shown by the LM curve while the willingness to purchase is indicated by IS curve.

Gulf Airlines especially Qatar Airways is increasing its business operations in the USA. This can be signified by the airline’s 2014 business strategy in which it plans to launch its services in Fort Worth, Dallas. Experts suggest that once this service will be initiated then the competition of Gulf Airlines in the USA will significantly increase.

Just as many other college students who sadly were not born with a silver spoon may have already accumulated massive student loan debt. That is no surprise at all as education nowadays proves to be just a privilege and not a right, as opposed to what progressives believe. Let us face it, college is pricey, and without student loans, many would just be drooling over the feel of the classroom and that dreamed college diploma.

This paper delves into Alberta’s oil sands' contribution to Canada’s future prosperity. It also discusses the pros and the cons of Alberta’s oil sand. Through the discussion of the pros and cons of Alberta’s oil sands, the paper digs deeply into the economic benefits and environmental impacts of Alberta’s oil sands.

Faludi argues that Sandberg’s approach of personal empowerment does not effectively address the limits of the structure that hold back women working at low pay levels of a corporation. Faludi suggests that a woman who does not earn promotion at Wal-Mart would

Consider a 2-firm case, suppose firm 1 moves first and sets price p> MC, in an effort to maximize profit.  Firm 2 will have an incentive to lower the price such that p1>p2>MC, to capture a larger market share. Rationally, consumers will shift to the lower price, p2 and firm 1 will make zero profits.  The assumption is that consumers are well informed and the products are homogeneous.

The current state of welfare system in Asia is very different from America and Europe because the welfare state that is embraced these two countries is not universally admired in Asia. Asians believe that handouts, a system used in America