New Zealands Monetary and Fiscal policies

New Zealands Monetary and Fiscal policies (a) (i) Inflation Targeting An inflation targeting is a monetary approach used by government as a strategy to maintain the interest rate at a certain level. This normally involve up to two parties which are a government and a central bank that are responsible in keeping the price within a specific range. They would alter the interest rate in order to achieve favourable level of interest rate to keep away inflation in an economy. In New Zealand, the targeted inflation rate was 1 per cent to 3 per cent as desirable range (Reserved Bank of New Zealand, 2007). However, this policy able to protect the business sectors in New Zealand especially the University education sector. Education was as crucial contributor to increase living standard of New Zealander. The University education sector was not much differ from other sector because it is like a business to offer employment and increase production growth. The goal of Reserved Bank of New Zealand set an inflation rate range of 1 per cent to 3 per cent is to maintain the equilibrium of price and avoid fluctuation (Parliamentary Library, 2002). As the price is stable, it will attract more foreign student to study in New Zealand and the demand of the New Zealand dollars would be increasing since the education system is comparable to world leading education. (a) (ii) Policy Target Agreement Policy Target Agreement is the mutual agreement between the Governor of the Reserved Bank of New Zealand and New Zealand Government. This agreement goal is to keep economy from minimum inflation and maintain the price stability. The Reserved Bank of New Zealand was also responsible in monitoring and measuring the level of prices. There is various way of measuring the inflation and Consumers Price Index (CPI) was one of the measuring tools used in the Policy Targets Agreement (Reserved Bank of New Zealand, 2007). This tool will record the transaction of prices change from buying goods and services by New Zealand household and the percentage of the change will be the CPI inflation. Using this tool, the price of the currency would be under control and services price from University education sector is under supervision of the Reserved Bank of New Zealand. Reserved bank would maintain the inflation rates of 1 per cent to 2 per cent to avoid any inflation occur. The qualities of the New Zealand Education system itself are already famous among education system among the world, if the prices of the education services are low, it will attract more and more foreign student. Such agreement not even beneficial to education system itself but also bringing advantages to economy whereby the education system in New Zealand is comparable and competitive to other countries in term of services price. (a) (iii) Official Cash Rate Official Cash Rate was first introduced by New Zealand government in year 1999, it is the monetary policy used by Reserved Bank to control the inflation rate. Through Official Cash Rate method, the Reserved Bank able to control the short and long term of interest rate as well as the foreign exchange rate. As in Policy Target Agreement (PTA), both government and the Reserved Bank have obligated to meet the 2 per cent of inflation in future. However, the range defines in Policy Target Agreement which was signed during September 2012, should be achieve the price stability between 1 and 3 per cent average per midterm (Reserved Bank of New Zealand, 2007). In future, the Reserved Bank will increase Official Cash Rate if necessary aiming for 2 per cent rate of inflation in future. (a) (iv) The overall impact on the economy and consequently to University education sector In a nutshell, government and the Reserved Bank adopted the monetary policies to control the supply of money, it can be also saying that to manipulate the fluctuation of the interest rate and in the same time balancing the market price. In context of University Education sector, by set up a targeting inflation method through Policy Target Agreement could be beneficial. The University education sector in New Zealand is moving toward to contribute more in growth of economy. As the University education sector growth is mainly depends on the quality of the education and also the attractive fees rate offered to student. When the Reserved Bank of New Zealand applying the monetary method, the interest rate will be maintaining in a stable range of 1 per cent to 2 per cent to avoid inflation occur (Reserved Bank of New Zealand, 2007). As these price of education is low, it attract foreign student from other countries to enroll into the local university of New Zealand. Such price make the universities of New Zealand a target country for foreign student that providing an A class education system in the same time offering affordable rate of fees. It will influence the demand of New Zealand dollar to be increase in the same time raising the value of the currency. (b) (i) Explain the objectives of government Basically, fiscal policy involves the choice made by government either spending the revenue or collecting the revenue through the tax imposed. It is mainly about how the government and manage its budget in order to stabilize the economy growth. The main concern of fiscal policy is the price stability. In order to maintain the economic growth, a desirable level of price in New Zealand should be achieved because expensive good or services will not be affordable by consumers where this encourages in decrease of the demand level. The price should be remained in a reasonable level of acceptance by consumers to avoid any fall in demand where it discourage business to generate goods and services. High rate of employment is also the main objective of fiscal policy. The high unemployment rate will lower the rate of production and it will influence the level of economic growth to drop. Hence, the government of New Zealand tends to increase the spending such as allocating budget invests in University education sector. The government is rooting for the universities to further expanding New Zealand economic by allocating budget invest in the tertiary education to increase number of graduates with skills required and rate of employment to boost the economy. About $42 million invested for the next 4 years to increase the tuition subsidy to selected courses (Tertiary Education Commission, 2012). Indirectly, it generates more employment by expanding the University education sector because it requires large number of workforce to run the sector. In the other hand, fiscal policy encourage in foreign exchange earnings through exportation of goods or services such as tertiary education. The New Zealand government is enhancing the tertiary education system through Budget 2012 by focusing to improve the educational performance in order to expand this sector (Tertiary Education Commission, 2012). Through the focus given by government, the level of New Zealand education is increased and it attracts quite a number of foreign students from China for approximate 25,345 students and an increase of 2% from last year (New Zealand Education, 2014). These numbers prove that the higher number of foreign student the higher income could earns from foreign countries. (b) (ii) Fiscal policy fine-tuning and its limitations Through fiscal policy approach, government able utilizes this tool to adjust the interest rate and control the spending rate in order to boost the economy (Chirantan, 2014). This policy had its own limitation even though using fiscal policies could stabilize the economy. Inflexibility of fiscal policy can be seen during changes in taxes or spending by government. The objective of fine tuning is to minimize the negative implication by apply the right policy at the right time depending on the state of economy during the different level of economy such as contraction or expansion (Pavlina R. Tcherneva, August 2013). A period of lengthy time could be taken when both political and moral reason to be taken as consideration. By boosting the aggregated demand would lower the rate of unemployment may contribute to inflation as the right shift of aggregate demand would cause rise in price. In the other hand, by shifting the aggregate demand to left would contribute to the increase of unemployment when there is inflation would rather cause dilemmas too. The time lag in applying the approach could be one of the limitations of fiscal policy. It may take up a considerable amount of time to implement unlike monetary policy able to influence economy growth rate easily and time saving by adjusting the interest level. Besides, the fiscal policy implementation involves a comprehensive research to make sure of the economy conditions. The state of the economy might be not the same anymore when the policy is finally ready to be implemented. Government might be gathering the wrong and inaccurate information in such a short period of time and hence economy would suffer from deficit or inflation when the prediction went wrong. (c) (i) Budget deficit Budget deficit in an economy is an situation whereby the federal government spends more than it earn in revenues and causes a budget deficit. The reverse situation will generates a budget surplus as the government earns more revenue than spending. Both fiscal and monetary policies share the same goal which is maintaining the economy rate and achieve a steady economy growth. In fiscal policy, government will increase the tax to decrease the spending because when the goods are expensive, the aggregate demand shifted left and would cause the country to run a deficit. Monetary policy would use to control inflation as well as deflation by manipulating the interest rate. Unlike fiscal policy, the monetary policy will not enlarging the national debt by applying the approach to tune the interest rate to stabilize the economy (Expansionary Monetary Policy Does Not Raise the Budget Deficit, 2013). (c) (ii) A Fully Funded Deficit A fully funded deficit occurs when government expenses is fully funded by tax revenue. This is applicable in theory when there market is perfectly healthy in which the economy is in stabilize state. There are few options, government will either issuing bond or security for a time being to fund the economy. Such options will reduce the spending and boosting the economy. However, during deficit period government will adopt an expansionary fiscal policy to influence the aggregate demand such as supplying money to the economy to lower the currency value. Such move might result in inflation when the demand is higher than supply. (c) (iii) Monetized deficit Monetizing deficit approach is to finance the economy when there is a fiscal deficit in the economy. The government would sell bonds or security by financing the fiscal deficit. Implication from such approach will increase the debt of government. In monetized deficit scenario, the bank would be financing the government debt by producing extra banknotes. Inflation will be happen when the supply of the money is increase in the market and the value of the money will fall. This will help bank to keep targeted inflation rate in ideal range. (a) Trading internationally could of benefit and/or a disadvantage to the business sector. The objective of the international trade is to maximize profits between the interchange of goods and services internationally. The international trade is not only involving the exchanging goods and services across the border, it also creates opportunities for the market to the whole new level. The supply and demand of the goods and services will be created along the international trade occur. In this fast growing economy, the University education sector is no doubt developing an important qualities and criteria on next generation in order to raise the economy level. To ensure producing more competitive and high quality next generation, New Zealand is one of the countries moving towards to achieve the top class of education among the world. The more foreign investments the higher opportunities to stimulates the economy through foreign direct investment. Attracting more foreign investment opportunities will increase the number of universities by expanding the classes and branches worldwide. The government of New Zealand made an effort to attract foreign students such as offering US$2,000 to fund their flight to New Zealand through Education New Zealand Study Abroad Travel Awards (ENZTA) program (New Zealand Education, 2014). Thus, expanding the tertiary education sector will produce much more employment to meet the demands in the market. Higher number of lecturers and administration personnel will be needed to operate the sector. By the times, it could help government to achieve full employment goal. Current balance of payment figures for New Zealand and evaluate the implications of the figures As we can refer from chart 1 and chart 2 from the Appendix A, Statistic New Zealand published the latest seasonally adjusted current account balance of $2 billion deficit in the quarter of June 2014. The amount of deficit is increase for further $1.4 billion since quarter of March 2014. The export of goods and services shown a fell for amount of $1.1 billion and was the main reason contributed to the total deficit value. Referred to chart 2, the balance of goods remains a surplus of $1,250 million in quarter of June 2014. For the year ended of June 2014, the current account shown deficit of $5.8 billion which is 2.5 per cent of the total GDP causes by the fall of export of goods and services. This is can be comparable to 2.7 per cent of GDP from the quarter of March which shown an recovery. New Zealand’s net international liability was recorded at $149.7 billion which equivalent to 65.3 per cent of GDP during 30 June 2014. There is slightly reduction of $1.4 billion from last quarter of March 2014. The external debt shown from the chart was increased by $2.0 billion to total of $142.3 billion to the latest quarter. The high interest rate in New Zealand suspected contributed to the fall in exports of goods and services. This might explain that the fall in export is causes by the low demand of currency. When the currency is expensive, it tends to lower the demand and hence affected the currency value to shoot up. When this applies to New Zealand University education sector, the tuition fees would be relatively expensive than other country. However, the budget 2012 supports Government’s effort on improving the educational performance of students in tertiary education. Through the effort in budget 2012, they invested approximately $42 million to subsidy selected engineering courses for over 4 years (Tertiary Education Commission, 2012). Even though the falls in balance of payment are mainly contributed from the export of goods and services, the effort from government such as allocating the budget to subsidies the tertiary education sector will prove that the sector will continue to benefit t o the economy. (i) ) The impact of exchange rate on the demand and supply of New Zealand dollars The demand and supply was the variables to determine the exchange rates of currency. Shifting the aggregate demand to right will affect the price to rise and shifting supply to right will lower the price. Thus, higher demand of currency will contribute to high price of currency while excessive of supply contributed in low price of currency. It is applicable to University Education sector and can be seen through budget 2012, government provides subsidies and incentive to enhance the education system and bring opportunities to attract foreign students. When there is certain reputation of New Zealand education system among the foreign market, it attracts more foreign to study in this country and the demand for New Zealand dollar will be increase. Since studying in New Zealand requires its currency as fees, it definitely attracts higher investment from the other country. Consequently, the demand of education in New Zealand market from foreign countries will raise the demand of New Zealand currency. The higher of the demand of education, the higher value of the currency (ii) ) The impact of exchange rate on the exports and imports The aggregate demand of the exchange rates is influence by the effect if export and imports. If the exchange rate undergoes a rise, the exports will be cheaper and imports will be more expensive in other currencies. This could be inflationary situation in an economy if the price of import experience rises and make export is cheaper. This effect would increase demand of currency from overseas since the New Zealand dollars is relatively cheaper than other currency because they will find beneficial to their business. The demand is mainly depends on the price elasticity of demand for exports and hence influencing the exchange rate of currency. (iii) The impact of exchange rate on the balance of payments All the payments receipt or pay from other countries is recorded as the balance of payments in a financial account. The financial account records all the transaction either from an individual to a size of business internationally. It involves the inflows and outflows of money for foreign investment in an economy. Generally, the currency value in a balance economy will be more attract more demand for it and hence leading an increase value of currency. When the balance of payment was in negative state, the economy accountability of the balance payment will decrease and it will influence the exchange rate to experience a falls. The scenario happens when there the supply of currency is higher than demand in the market. (iv)The impact of exchange rate on the monetary policy In generally, monetary policy is used to maintain the economy level by manipulating the supplies of money and altering the interest rate. When facing inflation, the approach is used by central bank to increase the interest rate. Such attractive interest rate will attract foreign investor when the return is high and profitable. Hence, it increases the demand of the currency and boosting the level of exchange rate simultaneously. In short, the monetary policy influences the price of money by altering the interest rate to increase the demand. Such exchange rate is simply a reflection of foreign demand for a country currency. References Expansionary Monetary Policy Does Not Raise the Budget Deficit. (2013, October 15). Retrieved September 23, 2014, from Monetary Vs. Fiscal Policy: http://blog.supplysideliberal.com/post/64090184528/monetary-vs-fiscal-policy-expansionary-monetary. Chirantan Basu. (2014, August 31). Business Society. Retrieved September 24, 2014, from What Are the Four Most Important Limitations of Fiscal Policy: http://www.ehow.com/info_8512661_four-important-limitations-fiscal-policy.html New Zealand Education. (2014, September 17). New Zealand Education. Retrieved September 22, 2014, from Market Research : China: http://www.enz.govt.nz/markets-research/china Pavlina R. Tcherneva. (August 2013). Reorienting Fiscal Policy. A Critical Assessment of Fiscal Fine, 1-27. Reserved Bank of New Zealand. (2007, July). Monetary Policy. Retrieved September 23, 2014, from Reserved Bank of New Zealand: http://www.rbnz.govt.nz/monetary_policy/ Tertiary Education Commission. (2012, May 24). Tertiary Education Commission. Retrieved September 22, 2014, from Budget 2012 : Universities: http://www.tec.govt.nz/Funding/Budget/Budget-2012/Universities/ Appendix A Chart 1 Source : Statistic New Zealand Chart 2 Appendix B ; Source : Statistic New Zealand

Osmolarity: Concentration and Sucrose Solutions Essay

My group and I conducted the experiment that estimates osmolarity by change in weight of potato tubers, this was conducted in order to explore the process of diffusion and osmosis and more importantly to investigate the question of â€Å"Does different concentrations of sucrose solutions have an effect on the final weight for the potato tubers?† In this experiment we estimated the osmolarity of potato tuber cores by submersing different potato cores into sucrose solutions of 0.0-0.6M, and weighing the potato. The results showed the weight of the potato tubers had the highest percent change in weight meaning that they weighed more than the initial weight in sucrose solutions from 0.0-0.3M; it also showed that sucrose concentrations from 0.4-0.6M the weight of the potato tubers decreased. My group and I concluded that the osmolarity of the potato was about 0.4M since the weight of the potato decreased by about -1.3%, which was the closest value to the initial weight of the potat o tuber. We also found that the potato was hypertonic to sucrose solutions of 0.0-0.3M and hypotonic to 0.5-0.6M. Introduction: Diffusion and osmosis are two types of passive transport. Diffusion is a random movement of molecules from an area of high concentration to an area of low concentration. According to the book Biological Sciences, â€Å"Osmosis is a type of diffusion that occurs when solutions are separated by a membrane that is permeably to some molecules but not to others, that is, a selectively permeable membrane† (Scott 2011). To further explore the process of diffusion and osmosis, we conducted an experiment that would demonstrate these processes and also investigate the question of â€Å"do different concentrations of sucrose solutions have an effect on the final weight for the potato tubers?† In my group’s experiment our goal was to estimate the osmolarity of potato tubers from weight change. The hypothesis for this experiment was, â€Å"if the concentration of the sucrose solutions in which the potato cylinders are in is changed, then I hypothesize that the final weight o f the potato will also change.† And the prediction that my group and I formed was â€Å"if the weight if the potato tuber changes when submerged in different sucrose concentrations, then I predict the weight change will decrease as the sucrose concentration increases.† In my group’s experiment, several potato tubers were tested in different sucrose solutions ranging from 0.0-0.6 M. The potato tubers were then submerged into all the solutions to test osmolarity and to see what would happen to its mass if they were in different sucrose solutions. To fully understand the purpose and understand the results obtained there were three major concepts important to know, they are hypertonic, hypotonic, and isotonic. According to the journal The American Biology Teacher, â€Å"An isotonic solution is when the solute concentration inside a system is equivalent to the solute concentration outside of a system, thus resulting in no net change of diffusion. In a hypertonic solution, the solute concentration outside of a system is larger than the solute concentration within a system, so water diffuses out of the system to attempt to even out the ratio disparity; this results in the system shrinking in mass† (Marvel, Kepler 2009). In a hypotonic solution however, the solute concentration is greater within the system than outside of the system, so water diffuses into the system; this results in the system being â€Å"bloated†. Materials and Methods: The materials that my group and I used in our experiment was 1 large potato, a cork borer this is necessary to obtain seven potato tuber cylinders. Forceps were needed and a balance that weighs to the nearest 0.01g, a Petri dish, razor blade, paper towels, ruler, calculator, and also necessary for the experiment to work was sucrose solutions from 0.1-0.6 molar. Deionized water was used to represent 0.0 molar in our experiment and seven 250ml plastic cups. First, my group and I obtained 50ml of deionized water and 100ml of each of the sucrose solutions and put each solution in separate and labeled 250ml paper cups. Then by using a cork borer we obtained seven cylinders form the potato by pushing the borer through the length of the potato and removing the potato from the borer. Making sure none of the cylinders were damaged, we modified the length of each cylinder to 5ml and repeated this step seven times until we had a total of seven undamaged cylinders of equal length with the peels removed from each length using a razor blade. We then placed all seven cylinders into a Petri dish and kept them covered to prevent from drying out. Before weighing each of the cylinders we placed each one between folds of a napkin to blot out the sides and ends and then weighed them individually to the nearest hundredths of a gram on the balance. After doing this step we recorded the results in our table. After weighing the potato cylinders we immediately placed each in different molar solutions starting with 0.0M through 0.6M. After the cylinders were submersed in the cups we recorded the time witch was 3:20 pm. We then took the cylinders out of their solutions at 4:30pm and calculated the incubation time to be 1hour 10 minutes. The instructions said to leave for 1.5 hours to 2 hours but due to time constraints we took them out a little earlier. After removing the cylinders from each sample we blotted each with a paper towel to remove excess solution only. After doing this my group and I recorded the final weights of each of the cylinders in the chronological order in which they were initially placed, and recorded it in our table. After recording our data we finally calculated the percent weight change for each of the cylinders. Our group then decided what the variables were and agreed that the independent variable was the concentration of the sucrose solution and the dependent variable was the percent change in weight. This experiment was repeated only once in the given time we had. Results: The osmotic concentration was determined by measuring the percent change in mass of the potato cylinders. Change in mass was measured of seven solutions, each containing different levels of concentration 0, 0.1, 0.2, 0.3, 0.4, 0.5, and 0.6M. The percent change in mass decreased as sucrose concentration increased, therefore, relative osmotic concentration also decreased as sucrose concentration increased. However, the osmotic concentration of 0.3 M sucrose solution was relatively greater than that of 0.2 M sucrose solution. In sucrose concentration 0.6 M, the osmotic concentration decreased almost double from that of 0.5, and significantly from those of all other sucrose concentrations. The osmotic concentrations were greater than zero in sucrose solutions of 0, 0.1, 0.2, and 0.3 M; these cells were hypotonic, meaning the potato had more solute. The osmotic concentrations were less than zero in sucrose solutions of 0.4, 0.5, and 0.6 M; these cells were hypertonic, meaning the solutions had less solute. Osmotic concentration decreased as sucrose concentration increased and cells became more concentrated. Table 1: Data for Experiment Estimating Osmolarity by Change in Weight Sucrose Molarity (M)|0.0|0.1|0.2|0.3|0.4|0.5|0.6| Final weight (g)|2.57|2.43|2.48|2.24|2.21|2.05|1.82| Initial weight (g)|2.23|2.18|2.28|2.03|2.24|2.19|2.06| Weight change (g)|0.34|0.25|0.20|0.21|-0.3|-1.4|-0.24| % change in weight|15.2%|11.5%|8.8%|10.3%|-1.3%|-6.3%|-11.7%| Discussion: When starting this experiment my group and I formulated and agreed upon the hypothesis of â€Å"â€Å"if the concentration of the sucrose solutions in which the potato cylinders are in is changed, then I hypothesize that the final weight of the potato will also change.† My group and I also agreed upon the prediction of â€Å"if the weight of the potato tuber changes when submerged in different sucrose concentrations, then I predict the weight change will decrease as the sucrose concentration increases.† After conducting the experiment and obtained our results, we found that our results support our hypothesis and prediction. The experiment supported our prediction because the sucrose solution diffused from areas of high concentration to areas of low concentration, thus affecting the final weight of potato cylinders when submerged in varying amounts of sucrose concentrations. According to the article Diffusion, Osmosis and Cell Membranes,†There are two ways that th e molecules in a solution move: passive transport and active transport. Active transport requires that the cell use energy that it has obtained from food to move the molecules (or larger particles) through the cell membrane. Passive transport does not require such energy expenditure, and occurs spontaneously (Mccandless 1998). Because the molecules in the sucrose solutions in our experiment were moving with the gradient meaning they were moving form areas of high concentration to areas of low concentration we found that the movement of the molecules was passive transport. The principle means of passive transport is diffusion. Diffusion is the movement of molecules from a region in which they are highly concentrated to a region in which they are less concentrated. In the solutions ranging from 0.0-0.3M the potato acted as the ‘system’ and the solution concentration inside the system was greater than outside which was the sucrose solution, so water diffused into the system (potato) and caused it to become bloated. In the sucrose solutions 0.4-0.6 it was hypertonic because the solution concentration was larger than the system’s concentration so the cylinder decreased in size. This experiment allowed us to take a closer look at the biological process of life and how and why it works the way it does. This experiment allowed us to a take a deeper look into the mechanisms of diffusion and osmosis and apply it real life examples. According to the book, Cell and molecular biology: concepts and experiments,† When a diluted solution and a concentrated solution are separated by a membrane, there is a net transfer of the solvent from the diluted solution to the concentrated one. Entry of water into root hairs and movement of water within the plant body are good examples of osmosis† (Karp 1991). Osmosis plays a significant role in life first, â€Å"the entry of water in to the roots from the soil takes place by this process, cell to cell diffusion of water is controlled through this process, young cells require turgid condition for their growth which is fulfilled by osmosis, and last turgidity of cells is maintained by the process of osmosis† (Karp 1999). A few errors were made in the experiment but none were significant enough to heavily affect our results. For example, the lengths of the individual potato cylinders may have differed slightly; we may have made mistakes when measuring a specific amount of the sucrose concentrations. We also believe that the potato cylinders should have been incubated longer, ours incubated for 1 hour 10minutes and the instructions said to incubate for at least 1.5 hours. For the most part these mistakes seemed to be small and not significant because in the end our prediction and hypothesis was supported. I thought that this was an interesting lab to participate in especially because this experiment has been conducted several times by other biology labs, I don’t really believe there were any significant weaknesses to our experiment except maybe the time. It would have been better to have more time to further explore our results. This experiment was conducted smoothly and without complications, and even better supported our prediction. Some questions that would be interesting to be answered by further research is would temperature affect the rate of diffusion in sucrose concentrations? Works Cited Freeman, Scott. â€Å"Lipids, Membranes, and the First Cells.† Biological Sciences. 4th ed. Vol. 1. Boston: McGraw Hill, 2011. 90-91. Print. Karp, Gerald. Cell and Molecular Biology: Concepts and Experiments. New York: J. Wiley, 1999. Print Marvel, Stephen C., and Megan V. Kepler. â€Å"A Simple Membrane Osmometer System & Experiments That Quantitatively Measure Osmotic Pressure.† The American Biology Teacher 6.7 (2009): 355-62. Print. Mccandless, John. â€Å"BIOLOGY.ARIZONA.EDU.† BIOLOGY.ARIZONA.EDU. University of Arizona, 27 Feb. 1997. Web. 26 Feb. 2012. .

Macroeconomic Aims of a Government Essay

The government and policymakers of a country intervenes in the economy in order to achieve economic growth, price stability, and low rate of unemployment. First and foremost, economic growth can be defined as an increase in the country’s output over a period of time. This means there is an increment in her productive capacity hence a rise in national income. A high economic growth is desirable as it represents an improvement in the material standard of living of the society. A rising real income per head brings about more and better quality goods and services, which are available for consumptions of individuals. However, an improvement in the case of consumer welfare due to economic growth is highly doubtful if the growth is accompanied by undesirable side effects such as negative externalities, leisure time forgone or even a dilution in the society’s tradition & custom. Through redistribution of income, economic growth can eliminate poverty. A higher output allows households to enjoy more goods and services thus generating higher income and through the multiplier effect increases national income by folds. Besides that, the government’s tax revenue will rise too, leading to more benefits for the poor such as education and training. This may even help curb the problem of poverty. The authority also highly regards sustaining a stable price level as a primary objective of economic policy. This is because inflation, defined as a sustained and inordinate increase in the general price level, could have harmful effects both socially and economically. A rising price level creates uncertainties and complicates decision-making, thus may hamper economic growth. Fluctuations in the level of prices makes information conveyed by prices harder to interpret. Consumer, firms, and the government may face a tough time in allocating funds or resources for the future in an inflationary environment. Furthermore, as the society strives to maintain its real value of income by keeping up with rising price level and competing with other social classes, the country’s social fabric could be severely strained. The mere existence of inflation means that the real value of money is falling. Thus, it will be necessary for the government to intervene in  the economy in order to prevent hyperinflation from happening. The countries that experienced the most extreme examples of trotting inflation are Argentine, Brazil and Russia. The slow growth brought about eventually crippled virtually the entire economic system. Every government places a low rate of unemployment at the top of its priority. The percentage of total labor force unemployed makes up the rate of unemployment. Economic costs of unemployment can be devastating, as it could mean a lower Gross Domestic Product (GDP) to loss of potential income to factors of production, whilst social costs such as increased poverty, personal hardships to individuals, decay of unused skills, raise in crime rates and family disputes prove the worthiness of the goal of achieving high employment. On the other hand, stability of a country’s exchange rate in the foreign exchange market (FOREX) is vital, as fluctuations of the exchange rate create adverse effects to the economy. There are mainly two cases which are prevalent in most economies. Firstly, an appreciation of the exchange rate may cause exports to become relatively dearer, and lead to loss of competitiveness (comparative advantage) to a country. Secondly, a depreciation of the exchange rate brings about serious domestic inflation, encourages exodus of capital and thus puts the country under stress of lack of investment and unemployment. On the external aspect, the government aims to achieve equilibrium in the balance of payment, especially the current account. A deficit in the current account drains the savings and reserve of a country significantly, leading to a chain effect of higher national debt and burden to future generations. In view of the above objectives, the government is needed to regulate and rectify situations. Therefore, the conclusion can be arrived that government intervention is fundamental to every economies in the world.

Business Administration essay

Business Administration essay Business Administration essay Business Administration essayApple, Google and e-Bay are the strongest brands that are likely to retain the competitive advantage and enhance their position due to the popularity of their brands. These brands will hold a strong position because they are recognized as leaders in the high tech industry and online business. They are renowned worldwide and focus on innovations as is the case of Apple and Google, while e-Bay is the major online auction that will retain a strong position due to the popularity of online transactions.The internet’s capabilities will have the determinant impact on the three brands, especially e-Bay and Google because these brands are primarily internet-based ones. The huge impact of internet is the result of the transforming internet into the mainstream media.Internal EnvironmentThe internal environment of Google is strong due to the focus on innovation and the high level of autonomy of its employees, who work on multiple projects, while the company pr ovides funding for the most prospective ones. On the other hand, the major weakness of the internal environment is the high costs of operations of the company and the lack of control and close interaction between different project teams.The company can enhance its competitive position through elaborating the clear strategy and focus on specific projects that match the chosen strategy.ECO -320 Money and BankingThe Structure of Interest RatesThe choice of 30-year or 15-year mortgage depends on the level of income of the home buyer. If the home owner wants to make smaller payments but for a longer time and, eventually pay more for the home in total, then the owner should choose 30-year mortgage, but if the owner wants to pay off the loan faster, he/she should chose a 15-year mortgage. The 30-year mortgage also makes sense more than the 15-year one because $200,000 plus interest rates may have lower value compared to the same sum plus interest rate for the 15 year period.Secure investm ent is the core concept that would determine my decision to invest a $10,000 in debt securities because such investments will bring me low but certain profit.Real Interest Rates Explicate the significance of unexpected inflation so someone completely unfamiliar with economics could make better financial decisions (if he / she listened to your explanation).The unexpected inflation can trigger a profound economic crisis because prices grow fast, while the banking industry and businesses are unprepared for the inflation. As a result, prices grow fast that forces the central bank to issue more money, which turn out to be devaluated because the growth of price forces customers to pay the higher price for the product, which used to be cheaper recently. As a result, businesses and customers become uncertain in their future and shift to saving being afraid of their inability to afford living, if they keep spending their money, while price keep growing.If the inflation rate is low, it is bet ter to invest money into debt securities because they will bring low but certain profit. If the inflation is high, it is better to invest into derivatives which can bring higher profits, even though they are associated with higher risk compared to debt securities or focus on long-run investments.

Crime and Violence in Film essays

Crime and Violence in Film essays The films Bonnie and Clyde (1967, Arthur Penn) and Scarface (1932, Howard Hawks) are set in the same basic time period, the 1930s, though the films were made more than thirty years apart and reflect different sensibilities in keeping with the time of production. At the same time, they also reflect certain similar ideas about the nature of crime and violence, its origin, and the societal elements that contribute to crime and violence. Both films are violent, though the 1967 film is more overtly violent and also more able to show the results of violence in a more realistic way as people whoa re shot bleed, often profusely, unlike the characters in the 1932 film, who are more likely to be shot and expire with hardly a mark on them. The gangster film is a uniquely American genre based on a number of images and characters found in film after film. Thomas Schatz describes film genres as something that can be viewed as systems that have developed within the confines of commercial filmmaking in order to sell films to audiences that want a certain type of experience. Any genre can also be defined as a cultural artifact that becomes a meaningful system when recognized as such. The gangster genre is one genre based on an inherent ambiguity in terms of the underlying value system, and in time this ambiguity has worked its way into American culture (Schatz 95). The screen gangster emerged from headlines beginning in the 1920s as "Hollywood exploited the notoriety and social significance of their real-world counterparts while it adjusted their character and environment to the peculiar demands of Hollywood narrativity" (Schatz 82). Scarface is such a fim and was produced at a time when the pubic was much interested i n and frightened of gangsters who were at the time creating a bloodbath on the streets of cities like Chicago. Scarface Camonte in the 1932 film is an ambitious man on the rise in his world because of his brutality, and th...

Are women treated fairly in the workplace Essay Example | Topics and Well Written Essays - 500 words

Are women treated fairly in the workplace - Essay Example No matter up to what extent the women are given freedom and the issue of gender discrimination is addressed, women will always have to face gender inequality. Women working in offices have to face a number of problems and issues particularly relating to the wages and job promotions (DeLaat, 1999). The women working in offices claimed that although they work equally as men but they were not given equal pays and privileges like their men counterparts. Many surveys have been conducted in order to find out what women feel regarding their treatment in various workplaces and the conclusion of nearly all the surveys was same, which was that the women felt that they were not being given equal rights, facilities and favors as the men in the same position were being given (Samuels, 1995). The European commission also declared that although much effort has been made to eliminate gender discrimination but women have not being given the equal status as men in the work market. It was also said that although the women work equally as the men, and in fact in some cases the women end up doing more work than men in the same positions, but women’s work is less valued and is not much appreciated. It is generally considered that women are only capable of doing jobs which are related to care, hospitality, cleaning and social working. Women are usually not hired on managerial positions and other higher posts in the office because it is a general perception that women cannot do such jobs efficiently. Although women have a number of other duties to oblige to apart from work, yet the women put in all their efforts to produce the best work but still it is thought that the women are not able to produce efficient results for the concerned companies (Bradley, 1999). It can be summed up to say that in majority of the cases the women feel that they are not being equally treated and are not being given the same accommodation and convenience as their male

United Nations Essay Example | Topics and Well Written Essays - 1250 words - 1

United Nations - Essay Example Members are joined together and bound by treaties signifying their participation within the larger UN political framework. The political decisions of member-states are thus constrained by their allegiance and signatory status to overarching United Nations treaties. Established in the wake of the Second World War, the United Nations was created to ensure that the horrors of World War II never happen again. Since the United Nations represents multilateralism, collective decision-making and negotiation on a global scale it is the most pronounced example of a supranational political body ever created. Seeking to explore the history, purpose and goals of the United Nations, this essay will provide a holistic analysis of the United Nations. A supranational organization which evolved in the aftermath of the horrors of the Second World War, the United Nations was created with the goals of ensuring that the calamity of the Second World War never occurs again through peaceful diplomacy and collective negotiation through intercultural communication. This essay will describe the emergence of the United Nation as a viable multilateral organization, explain the reasons for its emergence and discuss the goals of this supranational body. Why was the United Nations established and what role does intercultural communication play within the UN? These questions, and many more, with respect to the development of the United Nations will be analyzed and discussed in depth. We will then summarize our analysis and conclude with a concise overview of the UN. An international organization which promotes world peace through a variety of social initiatives, the United Nations grew out of the calamity of the Second World War. Presently composed of 192 member states from all corners of the globe, members of this multilateral organization include nearly every recognized country in the world and membership in the UN is considered the international stamp of