Macroeconomics

It’s a common saying that you shouldn’t “fix what isn’t broken” and I want to prove that these decisions were very self-interested by the elites of the governments, and were made on behalf of personal monetary gain by the wealthy. I found some statistics that support my argument that Latin America was much better off before the United States jumped in, and the choices made by a newly elected official were to his benefit, not to the benefit of the citizens. When looking at something very…

Economist John Maynard Keynes was not only credited with the solution to the great depression of the 1940’s, but also as one of the greatest economists of all time. Keynes believed that the macro economy would never be completely stable and government intervention would always be necessary. The idea seemed ludicrous to civilians and economists at the time as the accepted economic theory is what today is termed the classical theory. The classical theory suggests that the macro economy will always…

Wooden Nickels: The Theory of Trickle-Down Economics The theory of trickle-down economics was first coined during the Reagan administration. The theory asserts that tax breaks for large businesses and the wealthiest Americans subsequently benefit all Americans with an increase in the standard of living, job creation, increased wages and an improved economy. Trickle-down economics assumes that large corporations and the wealthiest Americans are the sole drivers of economic growth; their tax…

A Foreign Direct Investment (FDI) generally means an investment made to acquire long-term interest in enterprises that operate outside of the economy of the investor. Open economies (like Bangladesh) with a vast workforce and good growth prospects gradually tend to attract larger amounts of foreign direct investment than closed, highly regulated economies. The third world countries are considered the best places for the investors for foreign direct investment. Foreign direct investment has…

Canada is one of the wealthiest nation in the world, it has a Gross Domestic Product (GDP) that was worth 1786.66 billion US dollars in 2014, which ranks 14th worldwide. The GDP value of Canada represents 2.88 percent of the world economy. GDP in Canada has continually increased year to year, with the exception of 2008 to about 2010. Canadas average GDP is 581.41 USD Billion from 1960 until 2014, reaching an all-time high of 1838.96 USD Billion in 2013 and a record low of 40.77 USD Billion in…

Financial actors within the food industry have substantially increased within the past decades, due to the food industry being seen as a higher-return investment opportunity. Financialization is emerging within the food industry as financial actors are holding increasingly important and active roles (Burch and Lawrence, 2009). It is these financial flows, which could be perceived to contribute towards the food crisis e.g. over accumulation of capital. Furthermore, Clapp reinforces the increasing…

Answer a: Coefficient of the Price of pizza: This coefficient identifies effect of Price of Pizza. This term provides information that how the average demand for pizza can change with the change in the price of Pizza changes. The Coefficient is -100P where P is the price of Pizza. If there is increase in one unit price of Pizza then the demand for pizza decrease by 100 units. Because -100 X 1 will result in decrease by 100 and if P is 2 then decrease will be -100 X 2 = -200. Coefficient of the…

The main point is about to explain that China and India economic growth are likely to fall sharply, as Lant Pritchett and Larry Summer stated that China and India have been growing super-rapid and has already lasted three times longer than the general episode. This was observed with regard to Japan in 1960s, and it is seen today with regard to China and India. Moreover, the paper point out that to evaluate the growth prospects of an economy is not to look at its past but rather as economies in…

Explain how current economic indicators, such as inflation and unemployment, affect you personally. In addition, explain how they may affect you as a supervisor, manager, or a business owner. In order to understand how the current economic indicators would affect me I must first understand inflation and unemployment. Unemployment to me is defined as not having a stable job or career that is bring in income on a regular basis. Inflation is defined as the rise in consumer goods over a period of…

The key concepts of the section Regional Economic Development are: localized economies and agglomeration, backwards-and-forward linkage, social capital, and spread effects. Localized Economy is when an industry clusters in an area giving the area economic advantage and growth. An example of this is when there is a large natural resource, like steel, is close to a manufacturing site, like railroad tracks. The agglomeration is the effect is the causes and effects between the manufacturer and…