Macro & Microeconomics Essays

The process by which a teenager in a developing country chooses to buy a shirt with Nike written on it, even though they may have no idea what the company sells is complex and essentially sociological/psychological in nature. As these disciplines have become an essential part of modern economics the future may be brighter for economic studies of cultural imperialism.

The concept of a single currency for the European Union was widely received with deep enthusiasm as this signaled the convergence of European economies such as Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, and Spain, also known as the Eurozone. 

Government-industry collaboration, a well-built work ethic, the apex of sky-scraping technology, and a moderately undersized defense allowance (1% of GDP) assisted Japan to move forward with astonishing swiftness to the status of the second most technically dominant economy in the world, and the third-largest economy in the world following the US and China.

The author states that most American car owners will talk to you about the decline in the quality of American made cars against their imported brethren. 52.9 percent of cars sold in the first half of 2006 were import cars. Quality, as well as safety and advancing technology all, play a part in this.

This paper analyses Fishman's book and talks that main goal of Fishman’s here is to put readers inside the company’s penny-pinching mindset and truly go to show just how Wal-Mart’s mania to reduce prices has gone to drive suppliers into bankruptcy and as well has sent factory jobs overseas.

Changing the interest rate affect the exchange rate and deprecates the domestic currency as a flow of currency from abroad is reduced. Interest rate and the exchange rate has a positive correlation Import cost rise as bank rate drops. Investment in industrialization reduced. Demand for goods exceeds supply and raise the inflation rate. 

An old theory called Schumpeter Effect (as it is popularly known) is the process of reduction of unemployment due to the increase of entrepreneurs. Caree and Thurik (2002) propose that the vice versa is also true.  The author suspects that there must be a social balance between the emergence of entrepreneurs & intrapreneurs.

Kuwait, the third largest country of the Gulf Cooperation Council (GCC) six-member economies, is in buoyant shape. The removal of a major geopolitical risk from neighboring Iraq, coupled with recent liberalization measures have improved business optimism--evident by a surge in private sector investment over the past two years.

The rising oil prices do not affect the world economy in a macroeconomic stance but the negative impacts are experienced by the less developed, oil-dependent economies including the low-income households. The benefits of the increase are evident in the conservation of energy, reduction of pollution and traffic congestion.  

Despite the fiscal and monetary policies that are aimed at increasing aggregate demand and money supply respectively, it has failed to boost output to a large extent because of the sluggishness of investments to react to the higher savings rate. Because of the excessive dependence on borrowings, the economy has become debt-ridden.

As the paper states, Central America is one of the regions in the world that have agricultural potentiality and has been producing agricultural products to the world. Central America is a region of the western hemisphere which is made up of instruments that forms the bridge connecting North America and South America.

The legal trade legislation of Russia sates that foreign investors can be foreign or legal persona, foreign citizen, Russian citizens residing abroad, foreign states and international organizations. It also states that all kinds of material assets and intellectual property invested by foreign investors for the purpose of profit can be used as property for foreign investments.

The author states that while much of it is idle paranoia, objective analysis will show that America has benefited from International Trade more than it would like to admit. While lower-end production jobs have been lost to 3rd world countries, increased use of automation has resulted in an increase of high-paying manufacturing jobs in the US.

The journal book has been replaced by a computer. The computer then generates a financial statement and all other relevant and much-needed reports like the schedule of accounts receivable and schedule of accounts payable. The banks offer many services in order to earn a living. One of its major services is to accept deposits.

With the airline industry, while the cost of accepting an extra passenger is very low, the fixed cost of airlines turn to be high. The incremental costs of accepting one extra passenger onto a plane are very low, whereas the fixed costs of operating the flight (with or without any passengers at all) are very high.

As a consequence, the ratio of inward FDI stock to the 12 CEE countries studied here in total world inward FDI stock increased more than three-fold, fro m 0.81% in 1994 to 2.89% in 2004. (1) Over the same period, these countries also achieved a substantial increase in their exports, especially towards Western Europe.    

The Bank of Canada, the single regulator of currency and interest rates reverted to what many economists referred to as an unorthodox measure to help the country recover. This was the reduction of the interest rates to an all-time low of 0.25 % from the previous 0.5 %. This was meant to drive down the borrowing cost which would in turn increase finances available to households for spending thus helping to stimulate the economy.

The veracity of the aforementioned is amply evidenced, not only in the fact that Smith is still being studied and debated today but, in the fact that his economic treatise, as expressed in his Inquiry, effectively instigated a substantial amount of reactionary literature and, indeed, served as that which other economists, including Ricardo and Marx, south to refute in their own works

However, any change in the price of a commodity will not shift its demand curve, any price changes will result in an extraction or contraction of demand i.e. movement on the same demand curve, An increase in price will result into a lower quantity demanded that will be represented by a contraction (along the same curve) of demand.

The author states that only 106 islands out of a total of 322 are inhabited. Viti Levu, the largest island in Fiji with 10,388 sq km is home to 58.8 percent of the population. The capital city of Suva and the international airport at Nadi are located on this island. Till the 1980s, the descendants of Indian laborers dominated the country.

There have been numerous examples of how an idea flourished into a new business not only prospering itself but in doing so also brought other small ventures into the net by sub-letting their activities. Above stated is one way to keep focusing on innovation and keeping the production channel focused on manufacturing.

The falls in ethical standards in our social fabric is clearly being manifested in the level of corporate filth that is disgusting everybody. In as much as the public is so appalled by the unhealthy developments in our corporate environment, it is prudent to take a critical look at all the issues that have contributed in bring us this low. 

He established a strict one-party political system with a strong hold on economy and state resources and their allocation. One of Tunisia’s outstanding characteristics is its remarkable economic development, sustained over many decades and currently driven by a process of market liberalization and integration into world markets

The author states that the two concur in many areas, including the fact that despite the illegality of this immigration, it benefits the economic status we enjoy by having the illegal immigrants take positions which are those others would not take in service industries like housekeeping and landscaping and other such jobs.

The International Monetary Fund is a cooperative international monetary organization. It was established together with the World Bank in 1945 as part of the Bretton Woods conference convened in the aftermath of World War II. These institutions were designed to be pillars of the post world war global economic order.

The history of monopoly power in the computer industry is in fact extraordinarily clear-cut. It all started with Tom Watson Sr, who learned the fine art of devastating competitors while selling for the then-notorious National Cash Register Corp. By all measures, the callousness of IBM in the 1920s makes Bill Gates and company look like Santa Claus.   

Many economists are of the opinion that money is not to be considered neutral on a short term basis. Friedman and Schwartz have argued that the Great Depression was extended due to the implementation of the policy of tight money by the Federal Reserve. Economists have derived 'negative relation between wage inflation and unemployment'.

In three years time the patent on the “Neutron” expires and another competitor enters the market making the market an Oligopoly. After a few years, since Quaser faces Monopolistic competition, it has to change its pricing and marketing strategies as there are more competitors and less possibilities of controlling the price

Underlying supply considerations is the fundamental economic reality of scarcity. Agricultural products such as those mentioned above are subject to weather and other factors.

Every product, commodity, process, idea, person, the thing has become internationalized in the concept of globalization. Every nation has access to the resources of the other nation very easily. The boundaries of time, costs, restrictions, and nationality to use a certain resource is lost as people now can acquire basic commodities from each other's country.

The resistance and the strength of the Euro mean that the significance of the high price of import does not affect the Eurozone countries to a great extent. Even the inflation rate in the Euro Zone countries has a less impact than what it had earlier. This is because the price of petrol, grains etc are quoted in dollars which translates into fewer Euros.

The author states that the law of demand simply states that, citrus Paribus, a consumer would demand less of a good if its price is higher and more of the same good if its price is lower. Ceterus Paribus is an omnibus assumption and holds all other factors which might influence consumer’s demand as constant for the purpose of analysis.

Along the way, several innovations and inventions contributed to the revolution that made it possible, if not mandatory, for people to reside in highly concentrated areas that became the hub of industrialization and commerce.

 In addition, Murray and Stern (7) performed an experimental assessment on how intellectual property rights over a particular piece of knowledge, have an effect on the probability of future researchers using up that knowledge in their personal scientific study. 

The author states that since the U.S. Dollar is depreciating, its impact on the U.S. economy and international transactions has been impacted. Many economists and analysts are off the opinion that a depreciated dollar would make it cheaper for other countries to buy U.S. goods. Also, U.S. consumers would find it expensive to buy foreign goods.

This ubiquity of locational designing has led to the interest of many in locational analysis. P-median model is the most popular and most widely used location-allocation models. (John Current, Mark Daskin and David Schilling, n.d.)

The main causes for the US economic success were a large unified market, a supportive political-legal system, vast areas of highly productive farmlands, vast natural resources (especially timber, coal and oil), and an entrepreneurial spirit and commitment to investing in material and human capital. The US economy has overthrown all other economies since then and is ever-growing.

Upon looking at the tables given, demand is apparently elastic, with a lot of competitor networks around. One thing that makes a demand elastic is the presence of many substitutes, meaning competitors which can be easily availed by the potential customers. Network competitors include ABC, ESPN, and Disney from Disney Company; CBS, MTV, and UPN from Viacom and Fox from News Corp.

This essay focuses on determination of the influence, that the existence of the communist systems exerted on the development of market democracies. Communism is a theory that promotes common ownership of property for the use of all citizens, all profits are to be equally distributed and prices on goods and services are usually set by the state

Confronted by the torrents of sweeping globalization, numerous emergent economies wrangle with questions on cultural identity and national sovereignty. How does Mexico define itself and its culture in the age of globalization? Does the country’s growth of free-market principles also mean the loss of traditional ways and culture?

The author states that there is an additional variable cost that includes materials and incidentals that equals $500,000. The total variable cost for the operation is $7,500,000. The output of the plant is 300,000 units per day at a cost of $30 per unit. The total revenue per day is 300,000 * $30 = $9,000,000.

It was the widely held belief that savings resulted in increased investment in the capital structure and would stimulate the economy. Keynes broke ranks with the paradox and challenged the traditional view by postulating that savings would remove demand from the system, resulting in less production, and stimulate unemployment.

The Hong Kong Civil Aviation Department’s approval for reducing the commission for travel agents by airlines demonstrates the fact that airlines reduce their dependence on travel agencies as a distribution channel. The influencing factor in this context was remarked to be the increasing impact of online distribution channels in the region.

The following document presents a brief Introduction to the Manufacturing Productivity of America. It puts forth the various reasons for the cause of stagnation in the Manufacturing Economy. Later on, it deals with the challenges faced by the economy and the probable solutions that were implemented in order to revive the Manufacturing aspects.

 The comparative advantage suggests that even in case of a country lacking the absolute advantage of specialization in any good it can produce and trade with other nations, it still has the option of specializing in production and export of those products with which it has a somewhat relative advantage.

A number of specific trade issues – textiles, leather shoes, and car parts – have seen responses from the EU and the US, which have been characterized, as ‘protectionist’. Also, the annual budget deficit is at the all-time high, government-run banks are essentially defunct desperately need to be rationalized. 

Risk aversion is a theory that explains why people are willing to buy insurance. Indemnity is a principle of insurance that states puts it clearly that an insured person will gets compensation if there is a risk occurrence. The pay off expected by the insured is always less than the premiums; this puts the insurance company in a better position

The money market and the commodity market were two alternative channels through which demand stimulation could be targeted. The commodity market operations would involve stimulating effective demand through directly increasing planned government expenditure or reducing taxes to increase disposable income. 

There is always a high demand for investment opportunities in a growing economy. United Arab Emirates (UAE) economy has been on increase for the past years. This has been attributed to political stability in the country. However, there have been several problems that have prevented investors from exploiting the opportunity.

Strong US Dollar that makes U.S.-made products more expensive to foreign buyers also causes the continued trade deficit. Despite its current trade deficit, American economy is viewed as healthier than other world economies that have been mired by worldwide slump.