Introduction South Korea has had an impressive reputation in economic success based on sustained economic growth and industrialization, despite being among the poorest countries in the 1960’s. Generally, South Korea’s industrial transformation was aided greatly by the U.S government, which had high hopes that South Korea would become a model...
The World Bank, also officially referred to as the International Bank For Reconstruction And Development (IBRD), came into existence in 1944 alongside the International Monetary Fund. It was the brainchild of 44 allied nations congregated at Bretton Woods in New Hampshire to strategize on how to revive the war-ravaged economies....
Introduction Asia is the largest continent in the world. It is also the most populous region. According to Duara, the continent has about 4.5 billion people (961). In addition, it is regarded as the world’s fastest growing region in terms of economic development. The continent is made up of 46...
Introduction China began to implement economic reforms in 1978, which enabled it to transform from a planned to a market based economy. The reforms have enabled the country to achieve an average economic growth rate of 9.5% in the last three decades. In 2011, China became the second largest economy...
Background According to International Labor Organization, unemployment is defined as having a population without jobs; for a workforce to qualify as unemployment, it must have been looking for a job in the past four weeks in vain. The unemployment rate in a country is measured as a percentage of unemployed...
Background A key principle of macroeconomics is that the optimal choices are based on trade-offs (Ball, 1994). This principle applies to the formulation and execution of monetary policy as well. Failure by central banks to rein in on inflation results in more expected inflation. On the other hand, very tight...
Introduction Poorly managed capital funds and investments, uncontrolled international capital flows, and incorrect resources chosen by lenders and investors are the main reasons for the development of a financial crisis. To comprehend the value of such economic situations and the steps that could be taken to investigate and avoid financial...
Managerial economics. Decisions regarding the allocation of scarce resources Managerial economics is a subfield of economics which seeks to amalgamate the basic definitions of economics such as allocation of resources and study of production, distribution, and consumptions with real-world business practices. The primary purpose of managerial economics is to provide...
Price, income, and demand for goods are not static variables in today’s business and economic environment. They are always changing, and they tend to influence how individuals and businesses go ahead purchasing given quantities of goods and services which they need to either use or sell. Price elasticity of demand,...
Perfect Economy A Perfect economy is an economy that is characterized by several unique conditions. For instance, in a perfect economy, there is perfect rationality of consumers, most of the agents in the economy are price takers, and there are transitive and stable preferences. The economy has perfect information that...
What is meant by Fiscal Policy? Fiscal policy refers to the government’s program for expenditures and responsibility for implementation to spur economic growth. Fiscal policy works together with monetary policy and is both implemented by the Central Bank of the country. Fiscal policy is employed every year by the government...
Introduction The United States is one of the leading importers of oil. Around 50 percent of its crude oil demand is acquired from different countries in the Middle East. When the prices of oil increase, many citizens become dissatisfied since they find it hard to achieve their economic goals. The...
Introduction In spite of differences in the impact on economic sectors, the global financial crisis of 2007-2008 influenced all the world economies. The crisis first attacked the economy of the United States, and the U.S. partners, including the world advanced economies, became most vulnerable in relation to the further crisis...
Globalization is one of the forces shaping current macroeconomic realities. It is the process of the elimination of the geopolitical barriers to trade and communication (Guttal 56). GDP is widely accepted as the macroeconomic indicator that shows changes in economic growth (Zatzman and Islam 27). It usually applies to specific...
Inflation Inflation is a common occurrence in the world’s economies which occurs when the prices of goods and services go up for a given period of time. When this happens, the economy’s currency is normally negatively affected because its value decreases such that the currency during inflation buys lesser goods...
Figure 1: Qatar’s key macroeconomic data KEY ECONOMIC DATA 2006 2007 2008 2009 2010 2011 2012 GDP (current or constant USD billions) 60.5 billion 79.5 billion 115.0 billion 97.6 billion 127.3 billion 173.0 billion GDP per capita (USD) $ 61,836.32 $ 67,516.14 $ 82,388.85 $ 61,075.01 $ 72,397.61 $ 92,501.50...
Introduction The economic crisis in South East Asia affected the whole region and the world economy. Market models of regional integration assume that institutional development was driven by a rational and functional response of governments. This remains problematic, because it undervalues the importance of different types of regional political project...
Introduction The last months of 2007 saw unprecedented economic growth with the Dow Jones stock market index hitting its peak in October with the real estate market flourishing as homes hit peak prices as well. However, there were clear macroeconomic red flags across the board that a recession was coming,...
Introduction The countries of the Gulf Cooperation Council (GCC) have witnessed a significant advancement in the economic field since the discovery of oil and natural gas in this region at the beginning of the twentieth century. The extensive extraction of mineral resources was implemented with the application of technologies and...
Introduction Illegal immigration is one of the continued challenges faced by politicians in the United States. The number of illegal immigrants among the US population has increased from five million to approximately twelve million in the past decade, making the challenge a pronounced one for the policymakers in the country....
The debate on whether natural resources contribute positively or negatively to an economy is complex. On the one hand, countries that have natural resources are perceived to also have better bargaining power on the global platform. However, there are countries that have fallen to war and poverty because of the...
Scarcity Influences the Power of Bargain Tim Harford’s “The Undercover Economist” advances various arguments regarding the forces that drive economics. This paper presents five of the main arguments, as well as reasons why the writer agrees with the assertions. In the chapter “Who Pays for Your Coffee?”, Harford introduces the...
Alternatives to a market economy A market economy is regulated by the forces of demand and supply. The main characteristic of a market economy is that all resources are privately owned. Therefore, the decision on how to allocate the resources is made by the individuals without the intervention of the...
Introduction The concept of the Efficient Market Hypothesis (EMH) is fairly simple. According to the primary tenets of the theory, the available information encrypted in share prices reflects the current situation completely. Herein the crucial assumption of the theory lies; based on the concept of information availability, it is practically...
Interest rate The interest rate is a significant variable in the economy because it shows the number of returns that are due to financial instruments. It also determines the amount of saving and borrowing. It also influences other key variables such as investment and inflation among others. Literature review From...
Introduction Tourism refers to travelling for the purpose of pleasure, research or business. The concept of tourism covers a very wide area of the economy. These areas include the travel or transport industry, the hotel and accommodations sector as well as the agriculture sector and the manufacturing industry. Tourism has...
The main market structures that business can take place are four. Although, they are interrelated in some ways, the dynamics of trade in each is different (Albarran, 2009, p. 31). The main market structures taught in this course are perfect competition, oligopoly, monopolistic competition and monopoly. Oligopoly market structure An...
Introduction Perfect competition refers to the type of market where competition is experienced at its highest possible level (Djolov 200). Perfect competition can be described based on a number of features evident at the market setting. Consider a vegetable vendor in a busy street selling kales and onions in the...
Introduction Rodríguez (2009) refers to the economic growth of Latin America as disappointing because it has been slow compared to other regions in the world. Despite having a good environment to promote economic growth, the region has been characterized by low per capita GDP. The economic growth of Latin America...
Bahrain Subject Descriptor Gross domestic product, constant prices Gross domestic product, constant prices Gross domestic product, current prices Units, Scale National currency (Bahraini Dinar), Billions Percent change U.S. dollars, Billions 1995 4.565 1.923 6.785 1996 4.714 3.25 7.055 1997 4.824 2.348 7.316 1998 5.058 4.849 6.994 1999 5.36 5.972 7.581...
The Rentier State Theory A rentier state is one whose economy entirely depends on the income obtained from the selling of natural resources to the outside world; in other words, the proceeds obtained from renting of these resources. Natural resources, in this case, are oil, natural gas, and other mineral...
Introduction Swaziland is a developing country in Africa. The country is landlocked and depends on South Africa to import and export products. The diagram below shows the geographical location of Swaziland. In 1968, Swaziland achieved independence, and since then, the country has made progress towards improving the sovereignty of the...
Each developing country is unique in its own way. Though the main aim of every country is to attain a state of self-sufficiency, the means of development available for each country is different. Not every country is blessed with abundant natural resources that can enable it to have enough income...
Introduction The past three decades have been characterized by numerous transformations in the global economy. The Chinese economy has surpassed that of the United States (Yuan, Liu, and Xie 1809). Interestingly, experts have predicted that the country’s economic growth rate will increase significantly in the future. Petras argues that “political...
Introduction Every country has a history of economic growth development. Once a sustainable economic development has been attained in a country, there is a high likelihood of democratic growth in the governing system. On the other side, there is little possibility of a country attaining economic growth and development while...
Introduction Economic development is the ability of any country/economy to be able to achieve its goals for raised standards of living for its citizens and ensuring that the high standards of living are sustainable. This way, the population within the country can move from a status where it earns a...
Introduction Financial markets and institutions, including banking and insurance companies, encounter several risks whenever a crisis threatens them. The risks may be operational, credit, or systematic in nature. Improper mitigation of these risks may translate into the failure of financial systems operations, thus leading to a crisis. The global financial...
United States budget and current account deficits Data showing the budget and current account deficits of the United States between 2005 and 2011. Year The budget deficit (U.S. $ billion) Current account deficit (U.S. $ billion) 2005 318.59 175 2006 248.57 210 2007 160.96 190 2008 458.55 158 2009 1412.69...
Introduction The 2007/2008 global economic meltdown is considered one of the world’s worst financial crises after the great depression of the 1930s (Fligstein & Roehrkasse 2016; Jensen & Johannesen 2017). It gained this reputation because it affected multiple aspects of economic performance not only in America but also in parts...
All industries can be divided into four market structures: pure competition, monopoly, monopolistic competition, and oligopoly (McConnell, Brue, & Flynn, 2012). These market models substantially differ in several important respects: a number of firms operating in the industry, type of products they produce, control over prices, and conditions of entry...
Abstract This study is systematic research into justifying the strategy that Saudi Arabia should adopt to maintain stability despite competing fluctuations in oil prices and shrinking market size. The fundamental principles of macroeconomics of demand and supply fail to justify how reducing production quotas could drive up prices and increase...
Indicators 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Real GDP (Current prices US $ billions) C. 1198.5 1324.8 1453.8 1640.9 1931.6 2256.9 2256.9 2712.9 3494.2 4520 4990.5 5878.3 6988.5 A. 4169.2 3804.2 3972.4 4684.6 6152.8 6960.3 7493.1 785.8 954.5 1060.7 987.1 1238 1507.4 G....
The viewpoints of classical and Keynesian economists Classical economists operate in the laisser-faire economic market concept. This is also referred to as the free market and it is of significance to note that it needs little or even no intervention from the government. Regarding economic decisions, this concept permits individuals...
History of UAE and Political structure previous and current United Arab Emirates was initially formed from tribal sheikhdoms that existed along the Persian Gulf. The country borders the Gulf of Oman on the western side. For many years the inhabitants of the region used to harass foreign ship that passed...
Definitions Investment can be defined as the acquisition of property or assets that will be used for the generation of wealth. For instance, R&D expenditures of companies can be viewed as a form of investment. The monetary base is the term used to refer to the total amount of currency...
Introduction Expansionary fiscal policy is a more favorable tool for inducing consumption during a recession. As observed in the Great Recession, the monetary policy failed to provide the required level of aggregate demand that can stimulate production. The Fed has been able to rule out crowding out effects by keeping...
Abstract China and Japan are among the leading economies in the world. They have huge influence on a wide range of global issues such as economy, democracy, trade, politics, education, environmental conservation, security, energy, global recession, innovation, technology, agriculture, and manufacturing. They also have immense influence on international organizations such...
Introduction The United Arab Emirates is an economy of the Arab world that has recently been receiving a lot of global attention due to its rapid economic development and other unique fiscal factors that define it. According to Young (9), since the UAE began attracting global attention, analysts have wanted...
Alternative budget action to reduce budget deficit In a scenario where government expenditures exceed government tax revenues in a single year, it is said that the government is running on a budget deficit for that year. Budget deficit normally occurs when the government does not plan its expenses after taking...
Introduction The Australian government has concentrated on controlling inflation to ensure economic growth and stability. The government has minimized debts to limit economic fluctuations by controlling demand. When viewed from a macroeconomic perspective; balance in supply and demand may not result in constant economic growth. With such control over demand,...
Policy Issues Expansionary Policies Monetary and fiscal policies are used to adjust aggregate demand (APE). Monetary policy influences indirectly APE by adjusting aggregate supply (ASF). This results in a decline in interest rates. The interest-sensitive section of APE thus rises or falls. APE is directly affected by fiscal policy (APE...
Analysis rate of growth, employment, population and GDP of China before and after open market door policy to the world Launched over three decades ago by Deng Xiaoping, China’s open market door policy aimed at opening the country’s doors to foreign investors. In 1980, Shenzhen, a Special Economic Zones (SEZ)...
List the difference between the hard method and the hard method, which method is suitable for the case, why it’s the suitable method? The purpose of this study is to analyze the soft and hard approaches to problem-solving in the context of an organization and to measure the extent to...
Introduction In the competitive global marketplace, companies operate in different market structures. For instance, some companies operate in a monopolistic market while others work in an oligopolistic market. Every country has a monopoly firm that can control the prices of commodities and output. A firm is said to be a...
Introduction The emergence of the United Arab Emirates (UAE) and China as key players in the world economy is a huge economic advancement experienced within the last four decades. It is fundamental for these two economies to mix with global economies and adapt global changes related to the open market....
Abstract The unemployment rate is normally subject to diverse economic factors that prevail in the varied economic environment. In this case, the purpose of the study was to ascertain the influence of inflation rate, gross domestic product, mortgage rate, and income growth rate on the unemployment rate in the United...
Macroeconomic Shocks: Excess Demand Cases Six shocks will initiate the macroeconomic coordination process (MCP) of an organization. These shocks are external (they do not respond to a prior change in the level of interest rates or the level of GDP) and involve an initial rise or fall in GDP, APE,...
Introduction In the contemporary business world, quality management is used to ensure high levels of consistency within firms. This is achieved through practical plans, controls, assurance, and improvements (Dale, Van Der Wiele & Van Iwaarden, 2013: 28). Because quality management does not concentrate on only the quality of goods and...
Introduction Reflectively, there are several factors affecting the rate of unemployment. These factors include minimum wage, wage differential, and other market dynamics. In relation to this research, the scope of the paper will concentrate on establishing the relationship between the unemployment rate and minimum wage. The research paper will also...
Background of Norway Norway has a mixed economy that is composed of low trade barriers. Traditionally, Norway’s economy depended on local farming communities where fisheries, oil, and metal contributed the bulk. The oil industry is state-controlled through regulations and large-scale enterprises. Thus, much of the country’s revenue is gotten from...
Introduction to doing business in china and why businesses do business in China In November 2001, China officially joined the WTO (World Trade Organization), which caused its rapid growth in trade and foreign investment (Hedley 2011). As a member of the WTO, China has enjoyed reduced tariffs on agreed products,...
Introduction The economic development of any country depends on a number of interrelated components. Major among the issues are political and economic philosophies of a country. This report, therefore, compares and contrasts the UAE and the China economy, evaluating some of the key factors that determine the level and development...
Summary of the article The International Monetary Fund estimates that the United Arab Emirates’ economic growth will slow down from 3.9 to 2.3 percent in 2012 due to the consolidation policy by the Gulf States. The economy of the United Arab Emirates is likely to continue with the same trend...
Introduction Reflectively, there are several factors affecting the rate of unemployment. These factors include minimum wage, wage differential, and other market dynamics. In relation to this research, the scope of the paper will concentrate on establishing the relationship between the unemployment rate and minimum wage. The research paper will also...
The recent recession had a negative effect in the performance of both private and pubic sectors in Greece (Athanassou, 2009, pp. 364-372). The financial markets experienced a lack of sufficient credit facilities and liquidity. The public sector on the other hand, had a huge budget deficit. Consequently, the government is...
Economic data, especially of macroeconomic scale, is necessary for any nation when it comes to making investment decisions. Increased investments in a nation have the impact of escalating economic growth due to the amplified inflow of foreign currency and job creation rates. Thus, it is important to measure the health...
Introduction In recent years, countries in the developing and developed world have demonstrated a keen interest in improving the business environment as a primary means of promoting enterprise development and growing their national economies (Hindson and Meyer-Stamer 1). The importance of promoting the business environment has also been reinforced by...
Types of Market Structures The four major types of market structures constitute the oligopolistic, monopoly, monopolistic and perfect competition. When critically analyzed, these types of market structures have different types of price structures, outputs, and determination of profits, depending on how demand and supply forces play within the markets. From...
Abstract One of the United Arab Emirates, Dubai, has recently become a symbol of prosperity, innovation, and business excellence. In a mere 50 years, the state has managed to grow from a scarcely populated area with little infrastructure and a weak economy to a thriving business hub that is home...
Introduction to UAE The United Arab Emirates (UAE) is an Arab nation located in the Southeast of the Arabian Peninsula. It borders Oman to the East and Saudi Arabia to the south. In addition, it shares sea borders with countries such as Qatar and Iran. The country is a group...
Industrialization Industrialization is a phenomenon that comprises both social and economic changes in society often due to disparate factors. In most areas of the world, the industrialization process occurred after the Agrarian Revolution following an increasing demand for basic commodities to satisfy the ever-growing populations. The process required most societies...
Before the world war one and world war two, world economies were quiet apart, but there was intense factors of trade countries controlled their imports and exports. There was manipulation in currencies to shape the foreign trade and exchanges. Currency war fares were a common thing and restrictive market practices...
Abstract Institutions are fundamentally vital in the growth and development of countries, regions, or other sections with economic boundaries. Many researchers have identified, researched, and reported these roles due to the growing concern about the part taken by institutions in economic growth and development (EGD). Probably, there are many people...
Abstract The study aims to develop a more profound understanding of the financial crisis in the emerging economies during the period of 1999 to 2001. The two emerging economies further selected for a comparison are Argentina and Turkey. Both the countries have exhibited similarities in economic and political background hence...
Introduction Climate change is currently the world’s most prominent problem that affects almost every sector of the economy (Palmer 1965). It highly affects sustainability of business activities today (Colander 2008). Balancing economic growth and environmental sustainability has been a great challenged for all governments, businesses and all the stakeholders across...
Abstract The United Arab Emirates (UAE) is a league of seven distinct emirates, which jointly make the third biggest economy in the Gulf region. It is the second largest economy in terms of per capita output. The country’s economic growth has averaged roughly 4 percent over the last decade but...
Executive Summary The macroeconomic performance of Australia and the US has been analyzed in this report. The analysis shows that an increase in GDP reduces unemployment rate in both countries. However, a rapid growth in GDP always leads to a high inflation rate. Interest rate affects economic growth by determining...
Introduction India is a federal republic whose capital is New Delhi. India has the second-largest population in the world. The country has a population of 1.2 billion people. The Indian rupee (INR) is the official currency of the country. India is a lower-middle-income country. Sound economic policies have helped in...
Introduction Saudi Arabia has experienced economic development, but also many challenges due to oil price volatility. In mid-2014, oil prices declined, impacting the country’s economy despite the government’s earlier diversification strategies. The government roadmap for development, Vision 2030, envisioned a bright future for Saudi Arabia in terms of full progress...
Introduction The Unite Arabs Emirates (UAE) is a federation of seven emirates situated in the Middle East, in the Arabian Gulf. The federation was formed in 1971 and implemented its permanent Laws in 1996. In early 18th century, the British signed a peace treaty with the coastal rulers of the...
Abstract The recession refers to a slump in economic activity in an economy over a considerably long period. The great recession of the 2007-2009 was the most profound and extensive economic slump in recent times. The 2007/2009 recession is mainly attributed to the US subprime crisis. However, most scholars and...
Introduction The US possesses the most diverse economy among all countries in the world. The recent years have seen researchers develop interest and enthusiasm in studying the economy of the US, with findings showing US as the largest, and the most advanced in regards to technology. The GDP results also...
The remote territories in Saudi Arabia are desert lands. The residents living in these regions have no access to energy sources. Although Saudi Arabia is an actively developing country, these residents are often considered as living at the edge of the world. Being often deprived of such benefits of civilization...
Introduction The business practise all over the world has been such that countries come together to form strong integrated bodies. International integration often occurs either at the regional level or globally and mainly focuses on enabling the member states to benefit from numerous advantages that comes with association. International companies...
Nowadays, it became quite clear to just about everyone that the idea that, by providing a financial aid to the so-called ‘developing’ countries, Western nations would be able to help these countries to get out of poverty, has been deprived of the remains of its former legitimacy. This could not...
Introduction The United Arab Emirate’s debt has been rising sharply in recent years, from around US$17 billion in 2003, almost 19 percent of GDP, to US$184 billion in 20092. Of the debt, only a significant proportion can be traced directly to the public sector. A report by UBS bank notes...
Abstract This paper analyzes the reasons behind the economic diversification strategy in Dubai and then proceeds to gauge the successes of this strategy in the emirate. The paper begins by defining diversification and demonstrating why it is a desirable strategy for many governments. It then notes that Dubai adopted this...
Introduction The World Trade Organization (WTO) is an international organization, which was established on January 1, 1995 as a predecessor to the GATT. The organization’s goal is to ensure optimal supervision and liberalization of international trade by regulating trade between member states. Furthermore, the WTO has formulated a framework, which...
In the contemporary world globalization is being studied and researched almost in every sphere of human life. Over the last several decades the process of globalization has created very serious impacts on such fields as science, communications, medicine and public health, politics and international relations, travelling, business and trades, finances...
When addressing the economy of any country, it is imperative to highlight some of its basic details such as its geographical location as a way of hinting one on its accessibility as a fundamental determinant of its economy. The paper focuses on Australia, which is an island continent and a...
Introduction Organisations have ethical and legal issues that determine their productivity as well as creating a good working environment for its workers. There are a number of ethical principles that can be used by an organization to address some of the issues it faces. These are human ethical conducts and...
Introduction International trade is described as the exchange of services and goods between different countries. Countries engage in trade because they are endowed with different natural, capital, and human resources. Some countries may have the requisite resources, but may not have the capacity to produce or manufacture some goods or...
Introduction The economic sphere of the global economy has changed significantly over the last two decades. These changes have affected how organizations move up and down in the national system. Globalization has its historic background on the development of new technology and deregulation of capital markets (Apfelthaler, Shane & Hruby,...
Introduction Different countries have different levels of economic growth. Such a difference may be due to the fact that countries differ in resource endowment and leadership. As such, this explains the difference in the challenges that different countries face in their attempts to build a sustainable source of revenue. This...
Introduction Nations within the Gulf region (GCC) rely heavily on oil to sustain their economies. Recently, the prices of oil have been spiraling down, causing panic among policymakers. The drop in oil prices is projected to affect the economies of GCC countries in various ways. Emirates Airline is a carrier...
Introduction Purchasing and supply management entails the selection and coordination of suppliers to ensure that a business receives products on time. It also involves the procurement and management of advertising, marketing, and information technology-related services. Barney (2012) claims, “Companies exist by selling, but earn profits by purchasing” (p. 4). Therefore,...
Introduction The Gulf Cooperation Council (GCC) consists of Arabic States within the Gulf region. The members of GCC are Kuwait, Qatar, Bahrain, Saudi Arabia, Oman, and United Arab Emirates. Interestingly, all the members of the GCC are monarch states. Under the GCC pact, the member states have experienced robust growth...
Introduction In conventional economic analysis, there are four market structures namely: monopoly, monopolistic competition, perfect competition, and duopoly (oligopoly). These four market structures can be said to be present in Australia. To study and understand the operations of these types of market structures in the Australian context, this research paper...
Introduction Macroeconomic Environment Saudi Arabia is a country, which relies on oil. The macroeconomic indicators demonstrate a full reliance on oil that is a major export in the kingdom. According to Azzam, the exports and revenues from oil contribute more than 90% of the region’s GDP (69). Indicators such as...
