1. How does Monetary Policy Affect the Economy?
Monetary policy is a strategy by which a monetary authority of a given state or country formulates with intent to regulate the supply of money in the country targeting stabilization of interest rates to ensure general trust in the currency (Poloz 10). Monetary policies serve to stimulate the economic growth in various dimensions as a long run way to control inflation. These policies affect the primary business when they are executed by the stipulated standard modules used in the policy analysis. When the central bank lowers interest, households and firms adjust ...
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Article Review
Article Review
The motor vehicles industry in Mexico is facing a jolt due to the fall in demand from Europe, Latin America and Asia. The economic slow-down in these areas have reduced demand for cars and light trucks whose production has fallen by 4.1% in February this year from the previous year. But there is the brighter side as well. Though the world outside North America is under recession the USA is experiencing robust growth with the job market faring quite well. This is reflected in the 75 per cent of export of the auto industry of Mexico finding ...
27th January2016
The article talks about Canada central bank’s move to keep its interest rate unchanged despite an economic slowdown. The Bank of Canada revised down its annualized growth rate from 2% last year to 1.4% in the first half of this year. The economic slowdown can be attributed to the current decline in oil prices. The central bank’s move to maintain the lending rate at 0.5% is a move seen to encourage more lending by the banks and, as a result, increase spending rates in the country. Oil is a product that has a significant impact on Canada's ...
Evidence showing that RBA is justified in considering an interest rate fall
At the beginning of the month of May, the Australian cash rate was said to be at 2.75%. This statistic was achieved shortly after the May’s bank rates were cut by the Reserve bank of Australia. This marked the lowest cut level achieved in the last 53 fiscal years in this country. The RBA’s board should consider cutting the cash rate because of the prevailing economic conditions in Australia today. The country’s financial markets are currently trading at a 14% chance of suffering a 25 basis points reduction; this sentiment was echoed by Credit Suisse while advocating for ...
Article summary
Article summary
The article explains that how technology in the man’s grooming products have taken place with advancement of providing comfort for their living. This article has provided details about the male grooming product brands that are named as Gillett, Dollar Shave Club and Manpacks. Whereas, Gillett is referred to the blade that include “one razor for every pitchman who it is going to hire”. The Global analyst report showed that the Global Shaving Market has a worth of $25 Billion and the industry is making this much amount on an annual basis. The theory behind Gillett Company is ...
1. Anderson, L.V. (2016, May 19). Ethics compliance training is a waste of time. Slate Magazine.
This article, despite the cynical title, provides good research concerning the process by which companies implement ethics compliance training programs, including what incentive they have and how the external legal environment influences them to do this. The article begins by stating that the predominant form of ethics compliance training that all onboarded employees typically take in corporate organizations in the United States are in the form of eLearning courses. The article describes the typical mandatory basic ethics, harassment and discrimination training that are ...
Q1. What were the three signs that the U.S economy continued to improve at the beginning of 2016?
Ans: The three signs that showed that U.S economy improved is the consumer spending which grew from 1.8 % to 1.9 % from the previous year. The inflation rate increased by 0.7% from the year 2015 and the GDP growth rate increased from 2 % in the first quarter to third quarter(“U.S. Economy Staring 2016 on Solid Footing”,2016).
Q2. How does the current state of the U.S economy compare to macroeconomic conditions in Japan and Europe?
Ans: The U.S economy was more ...
1How does monetary policy affects the economy?
There is no doubt that national monetary policies pose a great impact on the economy of any country, that is, employment, income and investment. Theories trying to explain this mainly draw their arguments from the general nominal rigidity as applied in prices and wages. It therefore means that monetary policy has an impact on the economy due to the fact that workers and firms respond to the increase in liquidity through improved production rather than increasing the prices and or wages. Notably, there is a significant disparity in decision making as far as wage setting is concerned. Most theories ...
In this paper, I will highlight the economic concepts and principles that we have learnt in class and relate them to Mayenkar Siddesh’s article on gold premiums. The article was published in the Reuters website on Wednesday Jun 26, 2013. The major issues addressed in this article include the doubling of the gold premiums in India, imbalances on supply and demand, ban on consignment imports, international trade (Import/Export), exchange rates and strength of the dollar, and price fluctuations.
According to the article, this considers India as the world’s biggest buyer of gold; the country currently requires ...
- What are the potential benefits and problems associated with providing foreign aid to countries? How might foreign aid be helpful or harmful according to the two theories discussed in the paper? What does the evidence suggest?
It is a common assumption of Benign Dollar Hypothesis that when poor countries are supplied by financial aid from rich countries, they grow economically and alleviate the living conditions of their people. However, the assumption has been falsified by Bauer (1972, 2000) as in his view, foreign aid does not contribute towards economic alleviation of any poor country; rather it prevents any ...