Measures of national income and output

Income inequality is the extent income is distributed in an uneven manner among the population (McConnell, Brue, & Flynn, 2011). For more than 30 years, in the U.S., the income inequality has been on a steady rise. The gap between the very rich and everyone else is a gargantuan proportion, by every major statistical measure. In today’s reports, the top 10% of the U.S. population is making an average of nine times the income as the entire bottom 90%, averaging 38 times more income (Inequality…

Introduction The Great Depression (1929-39) is known as the deepest, most pervasive and longest-lasting economic downturn in the American history and also in the history of the Western industrialized world. The effects of the depression were massively felt in virtually all corner of the world as it was one of the greatest economic disasters in history. The Great Depression’s timing greatly varied across the nations, but in a good number of countries it started in 1929 but lasted until the late…

Following World War II, two global powers emerged: the Soviet Union and the United States. Possessing conflicting ideologies, the two dominated separate spheres of influence that engaged in proxy wars throughout the second half of the twentieth century in what was called the Cold War. However, the war suddenly ended when the Soviet Union unexpectedly collapsed. This event led many social theorists like Francis Fukuyama to question whether this was the end of government structural development.…

Pakistan’s international trading policy consisted of ensuring a highly protective trade regime until the late 1980s. Tariff rates were excessively high and non-tariff barriers kept competing imports away from the domestic markets. It was only in the 1990s that trade liberalization policies were initiated. During the period of protection the manufacturing and tax revenues grew by less than 5% annually. Once the tariff reforms were adopted manufacturing, revenues and exports have all grown in…

“The result was drastically falling output and drastically rising unemployment; by 1932, U.S. manufacturing output had fallen to 54 percent of its 1929 level, and unemployment had risen to between 12 and 15 million workers, or 25-30 percent of the work force” (The Great Depression, n.d.). As Franklin D. Roosevelt takes office as president, he develops New Deal programs by creating employment opportunities, providing farm subsidies and other economic measures. The purpose of these programs is to…

overpopulation and poor education. Both factors play a crucial role in demolishing the economy and providing unreliable employees that can not hold on to a job or do not have the required skills for it since education is the most important aspect that measures the development of the countries. Furthermore, overpopulation wrecks the economy as it creates confusion and injustice distribution of resources. Finally, unemployment has a disastrous effect on the GDP as it decreases it produces a drop…

Economic growth relates to the increased output within an economy. It can come from rural to industrial shifts, invention, innovation and technological progress; it requires savings and investment, along with a well-implemented policy framework and can be measured through the economies GDP. Haggard, (2004) suggested economic growth can result from productive inputs, capital and labour or from greater efficiency in their use. It can lead to economic development, which Michael Todaro (2011)…

Inequality is about the disparities in levels of living—for example, how much more is held by rich people than poor people. Measures of poverty and inequality are typically based on household consumption expenditure or income normalized for differences in household size and the cost-of-living. For the purpose of this paper I will look into how economic globalization has contributed to global poverty and inequality among…

Financial Markets Rattle the Fed Historically, the semi-annual testimony to Congress on monetary policy by former Fed Chairmen has consisted of many platitudes. Consequently, there was usually very little guidance provided as to the future path of interest rates. Last week’s testimony by Fed Chair Yellen constituted, therefore, a departure from normal practice: she indicated a preference for higher interest rates sooner and more gradually vis-à-vis later and more rapidly. This signalled a…

probably gained a lot. These citizens would come back to help in economic development of the country or else get employed in those states. They would have repatriated their earnings which would have aided in the reduction of the burden subjected on the national…