Monetary economics

Arguably the most important of the economic agents are the businesses themselves. Businesses create products or services and pay employees, so they are the keystone of any economy’s flow of money (besides the government in some cases). However, businesses still claim a myriad of other motivations besides profits as the basis for their company’s work. The first counter-monetary motivation that could be provided is that a company has the pure objective of positively impacting and improving society…

In Wealth of Nations, Adam Smith explained his very own concept of the economic success of a civilized nation. Smith believed that the best way a nation could accumulate wealth is through the division of labor. If everyone specialized in a certain occupation, then, together, they can increase production, resulting in economic growth, which is what every nation should try to attain. Smith used examples, such as the pin example, to help validate the effectiveness of the division of labor: “Those…

Ricardo: Theories on Classical Economics David Ricardo was an 18th century, London economist who developed several theories contributing to what is now referred to as the “classical” system of economics. Classical economics, attributed primarily to 18th and 19th century Britain, is known for its focus on laissez-faire policies and pragmatic liberalism (Staff, 2015). As a Classical economist, Ricardo was a strong proponent of free trade, voicing his concerns in both the economic and political…

financial intermediaries can enhance risk sharing, which can be a precondition of liquidity provision, and can thus improve welfare in an economy. Provision of liquidity and economic performance arises due to high…

Throughout history since the birth of Civilizations such as Egypt or the Roman empire, economics has played a vital role in assessing the strength and global dominance of a Nation over its adversaries. The components which make up a nation’s economy vary from one another as certain countries are geographically located to resources which make for a better economic source as well as the strength of a countries coastal structure. America a relatively new nation in the perspective of civilizations…

Buttonwood (2017) alerts about the grave consequences the rising wealth inequality within and between countries may have worldwide if the economics profession and the policymaker do not manage to address this problem properly. He notes that manmade ways that have brought down this problem whenever it emerged in the past was mass warfare, genuine revolution, and state collapse. Based on a dynamic wealth accumulation model, Pikkety and Saez (2014) suggest that wealth inequality starts rising when…

become one of the top priorities for countries; “But in recent decades, leaders have come to see the economic clout that trade produces as more than merely a purse for military prowess: they now understand prosperity to be a principal means by which countries measure and exercise power.” (Froman, par.1). This brings in more money and jobs into the economy; “Trade supports higher-paying jobs, spurs economic growth, and enhances the competitiveness of the U.S. economy.” (Froman, par. 3). With…

EVOLUTION OF GOLF FROM JEWELLERY TO TRADED COMMODITY -Pankaj Pandey Introduction This article aims to explain the evolution of Gold as a medium of trade and how, over the time, Gold has changed its image as mere jewellery item to a commodity that can be traded. This article also explores both global as well as regional factors that affect the demand and supply of gold thereby affecting its prices. We also explore how gold has traversed its journey from jewellery shop to being the most traded…

Border”, the narrator tells the story about why most of the Latin American countries have been so economically unstable, and this is due to their increased debt to the International Monetary Fund (IMF). This debt caused the Latin American Countries to go bankrupt and continue to borrow money from the International Monetary Fund. The rise of the more liberal groups in the nation began to stop this continual borrowing, and leaders such as Hugo Chavez and many others sought to end their debt to…

allocation of resource and maintaining substantial economic growth by introducing series of policy as ‘microeconomic reform’ during last 30 years. The motivations behind those policies were poor performance of Australian economy and loss of international competitiveness. So reforms were undertaken with intention to get more individual agency and market into economic activity and less government intervention in private sector, enhancing economic flexibility. Before Hawk-Keating government came…