Macro & Microeconomics Essays

The author states that the policies and programs adopted by governmental organizations to promote exporting are an increasingly important force in the international environment. Many of the activities involve implementation and sponsorship by the government alone while others are the results of the joint efforts of government and business.

This essay primarily focuses on identifying the most efficient economic measures on the part of Australian government to tackle the consequences of the global financial crisis in the country. It is proposed, that the government should focus on keeping strategic industries and get off their hands on relying on foreign capital and ownership.

Being the largest continent in the world, Asia is composed of several developing countries with varying economic profiles. However, those that stand out have indeed surpassed the economies of great countries which are not developing. Although considered developing countries, they cannot be underestimated as to their skill and knowledge in economics and trade policies.

Market risks of shares of the company, instead of risks of its business that the rate of discounting should do. If it is supposed that the market soon will start to fall, how we can choose the discount for the company with β, close to 1? And what will be, if there is a crisis not in the share market, but on commodity markets?

The recent financial turmoil on account of mortgage crisis/subprime lending crisis has appealed the attention of economists as well as non-economists (general public) across the globe. The US subprime lending market crisis continues to rattle the global financial markets like a distant tornado. The epicenter of this tremor was the US, but its ripples were felt all over the world.

These bills bear a fixed rate of return on the terms of the bill and are to get mature within the time span of less than one year. Treasury bills can be defined in the following way: A negotiable debt obligation issued by theU.S. government and backed by its full faith and credit, having maturity of one year or less.

Historically, oil, and recently natural gas, has contributed vitally to UAE’s overall economic development and growth (UAE Federal e-Government Portal 2006). Currently, the energy sector, especially oil and gas, contributes as much as 62% to UAE’s overall economy (UAE Federal e-Government Portal). Essentially, Abu Dhabi holds sway over UAE’s oil capacity both in overall production capabilities.

Many companies are reducing the number of employees in an effort to cut costs while there are no new companies or growing companies that are creating more job opportunities. On the other hand, the lending ability of many banks has gone down. The rates of unemployment are in themselves a threat to the efforts that are being put in place to try and revive economic growth by stabilizing the banking systems.

The author states that Malaysia has been colonized by Great Britain and Japan. The occupation of foreigners together with the struggle between the parties in pursuit of independence has adversely affected the natural resources of the country. The rapid economic growth during the 1980s to 1990s.

This essay mainly focuses on the characterization of the current level of political and economic integration among member countries of GCC. It also exposes major hindrances on the path of such integration, that become apparent in the countries of GCC. A belief that globalization creates world peace is supported by the countries of the union.

The attempt is to seek answers to questions viz. What led to a fall in housing prices, are mortgage arrears and repossessions increasing, what is the attitude of banks towards borrower in this time of economic downturn Since housing is the basic need of human life, the discussion also focused on the social impact of resulting unemployment.

The author states that the market expects the interest rates to be reduced, this means that investors and other financial institutions expect to gain from the discount rate cut and therefore inflation is expected to rise as more funds are available. If the Fed does not change the fund rates then the increase in inflation will lead to a decline.

It is a term referring to the process of freeing of domestic barriers to movements in trade and capital amongst countries, and actual cross-border movements of such goods and capital. The concept of globalization rested on the unprecedented advances in the fields of communication and information technologies into a compact global marketplace.

Globalization has brought about the integration of world markets. In this sense the global market place has tended to move towards a perfect and pure market structure as defined in the economic theory; however, the exact form of global markets have remained far from the theoretical ideals of perfect and pure.  

The results of the study and research leaded to outcome that corruption is a global problem that exists at all levels. Corruption can be defined as the abuse of public power for personal ends. Corruption can be defined as use of authority or power to meet personal ends

Central Banks are one of the four special players which essentially affect the money supply process. Central Banks are the main government agency which oversees the banking system and are in control of monetary policies, which are geared to achieve economic goals such stability in the money supply and interest rates.

The author states that the unemployment figures, 5.1 percent at the end of 2005, were expected to drop to 4.7 percent, better than the 5.0 percent originally forecast, but rise to 4.8 percent was expected in 2007, with 4.9 percent in 2008. Inflation would be higher than predicted, and consumer prices would rise by 3 percent in the year.

On January 4th, 2006, following the death of Sheikh Maktoum bin Rashid Al Maktoum, His Highness Sheikh Mohammed bin Rashid Al Maktoum became the Ruler of Dubai. He is a man of many guises—poet; champion horseman; author of the book ‘My Vision – Challenges in the race for excellence’, Chairman of DTCM, United Arab Emirates Vice President, Prime Minister and Defense Minister.

Jeffrey Sachs is a rare phenomenon: an academic economist famous for his theories about why some countries are poor and others rich and also famous for his successful practical work in helping poor countries become richer. He distills his experience to propose answers to the hard choices now facing the world.

The basic definition of sub-prime mortgages is basically lending to borrowers who want to buy a house but who have a weak credit rating. Lenders did so by providing small or zero down payment, and low introductory adjustable rate mortgages. Between 2004 and 2006, there were bookings of $1.5 trillion of sub-prime mortgages.

For the past years, Russia’s economy grew at a fast pace, clocking a 5.1% year-on-year growth in the gross domestic product (GDP) in 2001, which accelerated at its highest rate in 2003 by growing at 7.3%. While GDP growth slightly slowed down the following year at 7.2%, the economy still grew a healthy 6.4% in 2005.

The inflow of speculative capital, in a bid to borrow at lesser rates and lend at higher, tend to increase the overall demand from currency thus appreciate it. This fact, however, is against the theoretical evidence which suggests that a currency with a current account deficit should depreciate rather than appreciate.

According to the essay findings, globalization is considered a powerful and progressive force, that is presupposed to create prosperity and employment, to lessen unemployment and misery. By opening possibilities of growth in underdeveloped countries, by generalizing prosperity, liberalization has to be the driving force for the social progress.

The paper operates mainly based on research questions which can be stated as follows: What is the benefit to consumers of price increasing in hot weather? Price is being allowed to act as what role? The current prevailing system of machines having a fixed price has what effect on pricing (causes the fixed price to effectively act as a what)?

The study also suggests ways to improve the situation. By the very nature of the topic, the study would also try and find out the mechanism of an economy and its banking system, as both these elements play a vital role to avert any financial crisis. There is also a mention of the recent shutdown and take-over of Lehman Brothers.

Globalization is an international phenomenon with far-reaching consequences in the social and economic realms.  Economic globalization, namely the spread of neoliberalism and capitalist-inspired consumerism as the dominant engine of economic growth, has both supporters and detractors.   The world is becoming more and more interdependent.

It is apparent that if the central bank has lost the confidence of the population due to earlier mistakes than ascertaining the economic acceleration would result from this interest rate slashing of 5% to 1% is something that cannot be categorically stated as something that will happen over the course of time.

Trading with other European Union (EU) countries offers a number of key benefits to businesses in the UK. The EU's 27 member states include some of the world's wealthiest and most productive countries” (Business Link). The EU is a huge market in which to sell goods and services - it also gives access to a huge source of suppliers (Business Link).  

The author states that with eugenics’ past history as a tool of repressive governments and its image as a coercive tool, is there any way in which a democratic government would be able to utilize eugenics. However, due to flaws within Dr. Miller’s theory of genetics, it should be argued that Dr. Miller’s ideas are not politically feasible.

If a truly global city sneezed, the rest of the world would indeed catch a cold! (New York, post 9/11) A global city captures “cultural imagination”, and “ it would be one, people look to as portents of things to come; when you’re in one, you feel connected to the world, when you look on one from afar, you feel you’re seeing the future.”

A close study provides interesting facts. The UK is the 5th largest economy in the world, and following closely is Italy in the 6th position. The 6th position is vulnerable and sometimes displaced by Canada or China. As of June 2002, the figures show unemployment at 3.1% in the UK and 9.5% in Italy. Unemployment among males stood at 3.4% and 8% for the UK and Italy respectively.

The wave led to an unexpected picture of world economies. Developed countries such as the US and European countries felt the strongest shocks much more than that could have been predicted and economies ran on the ventilating situation with bail-out plans to ensure their survival and growth within these regions fell below 2% (Das, 2012).

In recent years, the world has witnessed a huge wave of technological advancements that have changed the way things used to happen. Particularly, this technological change has not remained as a notion in isolation but it has resulted in globalization that has turned the whole world into a small global village where different countries are now connected with each other and the actions of one country affect processes in another country.

The economic progress in developing countries has taken an upward swing after World War II, but the results are not sufficient to boost the ongoing efforts. Poverty and unemployment have become structural flaws in the economy of developing countries. Technological gradation has become a prime concern with respect to climate change.

However the United States follows a more specific definition which the OECD has designed. According to US, FDI is the "ownership or control of 10 percent or more of an enterprise's voting securities, or the equivalent interest in an unincorporated business" (Pustay & Griffin, 2006)

The rational theory of economics, says that the economic decisions of the people depend on the rational choice that people tend to make over a period of time (John Scott 2000). This also introduced the concept that the price of a product is not decided by the cost of production of the product but on the perceived value of the product.

The reaction of the markets to this step of ECB was typical as the shares prices rose and euro declined against the dollar within several days about the rising of the interest rates had been made (However, the reaction of American markets was more typical one as the Dow Jones Stock Index of 600 major European companies fell by 2 points). 

The next output is “ Total Variance Explained” which gives the “eigenvalues”. The eigenvalues are in decreasing order of magnitude for the component 1 to 4. the eigenvalue for a component indicates the total variance attributed to that factor. The total variance accounted for by all the four factors is 4 which is equal to the number of variables.

At the beginning of the 30s, the unique revolution in relation to economic theory has taken place – the revolution, which finished the age of the perfect competition dogma. Professor of Cambridge University Joan Robinson (1933) made a report with decisive critics of the newly conservative competition conception.

.It starts out by pointing out that at the annual meeting of the Inter-American Development Bank (IDB), there was a seeming role reversal as the usually debt-saddled Latin firms were riding high on an economic upswing.

With the launch of PlayStation Portable (PSP) in September 2005, Sony has reaped enormous gains as it sold more than 185,000 units in UK shops just four days after its release.  The huge success of PSP is owed to the fact that the product, aside from the usual game features, also plays films, music and surfs the internet through wi-fi technology.

The author states that many theories were proposed to solve this but in the end, it’s the same scenario that has happened time and again that shifted the balance of the market.According to Karl Marx, the Business Cycle is the reason for the failure of Capitalism where as Joseph Schumpeter believes the Business Cycle is the reason for success.

Economics is a social science whose concepts can be readily applied to any business organization. The operation of business entities is being strongly governed by the different economic principles, such as the law of supply and demand and concepts such as elasticity. These laws and concepts are contained in a field called microeconomics.

That convenience includes long hours,multiple locations, easy access to products, minimal checkout waiting time, and similar advantages to workers, retirees, students, commuters, travelers, etc.

This document contains a brief introduction to the airline industry with specified determinants for the demand for airline tickets generally from customers, and competitors and based on income flows. It describes how customers choose to buy their traveling tickets and how airlines influence each other by setting prices for airline tickets among other activities using an oligopoly market. 

The researcher states that he views democracy as the right of people to elect their government representatives which can solve their problems of private property, law and order, judiciary ,health and care, food and shelter, employment, infrastructure, social equality and higher standard of living etc.

The current financial crisis has now become a global economic phenomenon which has spread all over the world. When considering the possible causes for this economic situation, the fundamental defect of the free market system is the prominent reason for the crisis. In the US economy, a secure and sustainable economic order is not ensured by the economic regulatory.

Using up the available land may also trigger environmental concerns and loss of the local flavour being preserved and cause objections. All this had led to stagnation in supply causing a severe shortage of housing. All this triggered a demand for the existing limited available properties fuelling a high priced market in the early 2000s.

The medium to short term triggers of the crisis can be traced back to 2005 when house prices surged and started dropping in late 2006.The crisis has burst the housing bubble which has even aggravated the current economic situation in the US which according to economists is already tantamount to a recession.

The World Trade Organisation is continuing guiding its member nations to enact trade policies designed to minimize the impact of trade on the environment. Today, the WTO explicitly includes nontariff barriers and other issues which impinge on commercial and governmental activities beyond the trade domain during trade policy negotiations.