Growth rates and inflation rate Essay Example | Topics and Well Written Essays - 750 words

Growth rates and inflation rate - Essay Example Increase in prices of commodities result into reduced purchasing power. It is vital to note that the impacts of inflation are not uniformly distributed but they are benefits to some while at the same time they are hidden costs to majority of consumers. For instance, during inflation, the prices of physical assets increase thus making the owners to enjoy increased value of their assets (Auernheimer 25). But on the other hand, individuals who are willing to purchase the assets will pay more. Another impact of inflation is that it results to erosion of real value of money. One of the key impacts of inflation is that it results into inefficiencies that affect the budgeting and planning strategies of a government and firms. Based on its effect of reducing the real value of money, inflation makes firms to incur profits and losses. Another effect of inflation is that it results into uncertainties in the consumer’s purchasing power. As a result, there is low demand of products the level of investment as well as saving decreases. Despite the negative implications of the inflation on the economy, a moderate inflation allows real wages to decrease even if nominal wages are not changed resulting to equilibrium in the labor market. According to Robert Mundell theory, a moderate inflation allows savers to increase their amount of savings in order to have adequate funds to finance future activities. Through the increased saving, money is supply is put under control thus creating an economic equilibrium Conclusion In their efforts to regulate money supply, central banks emulate various microeconomic policies. These include open market operations, increasing or decreasing the rate on interest, discount rates and bank reserves among others. In cases the money in circulation increases to uncontrollable level, inflation results. Similarly, from the above discussion, it is clear that based on the

First World War Essay Example | Topics and Well Written Essays - 2500 words

First World War - Essay Example This is a reflection of the large numbers of deaths, which finally made the war unpopular on all sides. None of this means, however, that the war was unpopular in some countries to begin with. The European powers were still rivals for the spoils of Africa, and certainly Britain suffered from 'Jingoism' (A popular term for what is almost outward-directed xenophobia, extreme rivalry and bigotry aimed at Britain's economic rivals), and the majority of the other nations involved in the war did so too. Perhaps the only member of the Great War who was not a willing combatant is Russia, who entered into battle almost by accident, having become a third party in the Anglo-French Entente. Even there, however, public feeling was partially aroused by the 'neo Slav' movement "The Neo-Slavs envisaged truly independent Slavic nations in a free association"2. Other nations, such as America, also mobilised, but here the conditions of the popular movement are not always clear. While Woodrow Wilson's government swept into action: "People were ordered to 'work or fight'. Every adult male registered with a draft board"3. Although America joined the war too late to count as a subject for analysis here, the support which the war received when they finally joined provides an interesting parallel with the nations of Europe. In addition to the loss of life, the Great War had a number of consequences for all of the nations involved. Britain was obliged to grant women the vote after their war contribution; Russia collapsed into the Bolshevik Revolution, and then Communism; and Germany was damaged so severely that it also effectively disintegrated, and of course the mighty and powerful Austro-Hungarian Empire was finished. None of these consequences could have been foreseen at the beginning of the war. Britain The war in Europe came as no real surprise to anyone in Europe. For most of the first decade of the twentieth century, the continental powers were involved in a rapid series of peace talks and treaties. England and France became allies in 1905, with the Entente Cordial (Which became the Triple Entente when Russia joined). Forces such as the National Service League ensured that the general populace was prepared for war: " Unbelievably glib assertions that 'war is not murderwar is sacrifice - which is the soul of Christianity"4.In many ways, Britain was well placed for a short, sharp war with her continental rivals: the last decade of the nineteenth century has produced "An increase of 98.3 per cent in the size of the Army and a 70.9 per cent in the Navy"5. Marsh suggests the reason for this was the South African (Boer) War, but the ultimate result of this massive increase is that there were a large number of servicemen in the British Army at the outbreak of the war. Furthermore, there were pressing needs to develop a distraction for the British populace: the situation in Ulster was growing increasingly tense. As late as May 1914, the government was passing Home Rule legislation in order to contain the threat of war6. In a game of consequences with the Irish Nationalists, the Prime Minister Asquith was prepared to force a state of war in order to keep as much power in English hands as he could. Asquith was in trouble at home too, where the 1913 act that enabled Suffragettes to be force-fed was coming under fire.7 The additional problems of "intensified industrial unrest"8

Why All the Management Needs to Have a Strong Strategic Preparation Research Paper

Why All the Management Needs to Have a Strong Strategic Preparation - Research Paper Example There is one constituent of an organisation’s risk management structure that includes every little aspect of a company that is Operational Risk Management. Operational risk is so important that it can demolish a business, via fiscal loss, or operating capacity or loss of repute. However, there are still some organisations where operational risk management is not taken as an important issue as it should be seen. (Kotter, 2007) The possibility of loss due to insufficient or unsuccessful internal practices, people and operations or because of exterior events is known as Operational risk. Operational risks also take in legal issues, nevertheless, they do not include strategic risk. Management of Operational risk is extremely crucial for a business. If there is no operational management, there is no surety that a business is being managed on a protected and principled basis. It is most significant for a company to manage Operational risk as both the first and last risk. (Hannagan, 2002, 18) Developing a detailed strategic plan may or may not be viable or even appropriate, depending on the size of the organisation, the size of the projects, and other factors. Nevertheless, a planning process ensures that: Each organisation needs to determine the extent to which it needs a formal strategic plan versus direct-to-implementation plans. Either way, the goal is to drive management in response to the corporate strategy, not have it be based on any "wow" factor or a perception that it will benefit the organisation. (Salisbury, 2008, 18) Business environment alters with time, hence management must acclimatize and modify incrementally too when periodic transformational change is compulsory. (Hebson, 209, 32) All strategy starts with the organisation's corporate strategic plan, which lays out the overall objectives for the organisation, including its business mix, growth goals, and risk tolerance.

China (Economics) Annotated Bibliography Example | Topics and Well Written Essays - 250 words

China (Economics) - Annotated Bibliography Example According to this article, china joining the world trade organization was a significant boost of China’s economy. According to Zheng and Tong, the global economic slowdown poses a greater risk to China’s economy. It further notes that, despite the current global financial crisis, China’s economy still recorded 7.6 percent growth. China has achieved this through its effective use of information evolution, and the increased use of the same will enhance its global trading (Zheng and Tong, 2010). According to Nolan, the investors are deeply concern with slugging of China’s economy. He notes that this deceleration is pegged on global economic crisis and its sovereign debt crisis with Europe and United States economies (Nolan, 2001). However, the Chinese government is taking corrective measures towards these economic slowdowns. Lardy notes that, other global economic players influence China’s economy; therefore, its economic stability depends on the global security. Influx into this security would be a formidable challenge to China and other economies (Lardy, 2012). From this contribution, it is clear that the companies’ movement, industrial sector, trends, government policies, and micro and macroeconomic players influence the current China’s economy. Therefore, China’s economy is the influence by state and none state entities. Steinfeld notes that, despite China’s effort of expanding and restructuring its global and domestic economy, the China’s economy has not been a threat to the western nations (Steinfeld, 2010). Nonetheless, the China’s economy is threatened by global economic crisis and its sovereign debt crisis with Europe and United States economies. Despite, the increasing economic changes, especially to faster growing economies like China; it is advisable for such economies to identify all their current and future economic challenges and difficulties thereby addressing them with concerns to other global economic