Lending Critical Thinkings Samples For Students

The great depression of 1930s was a world economic crisis. In the United States, there was unemployment, decline of industrial production and decline in stock prices. Stock market crash occurred on “black Tuesday” 29/10/1929. This was the major cause of this great depression. The market lost about $9 billion, and business people with bought stocks using borrowed money, sold them without profit to meet their debt deadline.
The second cause of depression was failing of banks. The number of banks deposits decreased at a high rate and many people lost their savings. So many investors became bankruptcy and lost a lot ...

Introduction

The corporate governance is the mechanisms that involve the rules, processes and the practices to which an organization is directed and controlled. Therefore, it is a process of balancing the interests of many stakeholders in an organization, which mainly includes the customers, financers, management, suppliers and the community. It provides the foundation and framework for achieving the company goals and objectives, and it looks at every part of the management including their actions, performance measure and corporate disclosure. It is a field in economics that investigates on how to motivate and secure the efficient administration of the corporations by ...

Reply to Classmate 3:

Sharing an insight to my classmate’s reference that the nation faced failing foreign currency loans post the 1981 period, important to note, during 1980 and 1981, the nation was receiving good amount of net foreign loans that amounted to 6.2% and 3.1% of GNP, respectively during the years. However, beginning with 1982, the net new lending declined significantly and turned negative. As a result, net resource transfer that accounted for 3.1% as a percentage of GNP during 1981, plummeted to -3.4% in 1982 and -6.9% in 1983, thus infusing the early stages of hyperinflation in the country.
In addition, ...

What skills credit managers possess in order to manage the credit function efficiently?

Credit Management:Credit management is the process of collecting and controlling payments from the customers. Credit management is one of the functions of the banks or companies to control credit policies, to improve the revenues and reduce financial risks (Burt, 2004). A good credit management system is an essential part of an organisation, as it reduces the amount of capital tied up with the debtors and minimise the company’s exposure to the bad debts and doubtful debts, it is also important when considering the cash flow, as it is profitable for the company, and also helps the business to ...

The winner of Oscar Awards for the Best Documentary in 2010, ‘Inside Job’ presents an inclusive analysis of the 2008 global financial crisis which made millions of people lose their homes and jobs in the worst slump after the Great Depression. This financial crisis was at a cost of $ 20 trillion and almost led to a global financial crumple. Through extensive interviews with key academics, politicians, journalists, and financial insiders and exhaustive research, this film gives a trace of a rogue industry that has corrupted regulation, academia and politics .
One sector that should be blamed for the financial crisis is the private ...

Introduction

The need for government and central bank intervention in the market has historically received support from a number of scholars. For instance, the economic idea of government intervention (demand-side management) in the market is largely attributed to the Keynesian economics, which is highlighted in the book, “General Theory of Employment, Interest, and Money” by John Maynard Keynes published in 1936. According to the Keynesian economics, automatic market forces (alone) may not trigger a condition of economic equilibrium, particularly during a financial crisis. This is primarily due to the presence of economic inefficiency brought about by market externalities. Closely linked to government intervention ...

Question One

The deadly economic crisis that hit the US since the year 2007 placed several challenges to bank institutions that had not been experienced for several years. This called for the Federal Reserve under the watch of Federal Government to come up with innovative ways of addressing this threat so as to prevent further worsening of the situation. To tame liquidity and counter credit crisis stimulus packages and policies came to play. These included promotion of public understanding of Fed’s inflation objective to avoid development of deflationary expectations, issued guidance on expected future course of the new policy interest ...

The United States is a federal country that has a large economy as a result of the fast-economic resources found in it’s over fifty states. In order to achieve continued economic stability, the United States has put in place well structured systems and programs that guide its policy on revenue collection, government expenditure and other monetary policies. This has been done carefully to grant the semi-autonomy status of its sates a clean bill of health. It is a fact that the monetary policy enshrined in the United States constitution and the mandate given to various constitutional officers play a great role in influencing and ...

As a new entrepreneur in the market Zach Johnson should take the entrepreneurial characteristics in a keen manner. In order for an entrepreneur to survive in the he must be a hardworking person and someone who thinks out of the bracket. To launch a business effort that is global he needs to take into consideration some things.
First of all he needs to have a plan of what he wants to do. He needs to plan every aspect of the business and this is not only a must but it is something that will build a habit that also other entrepreneurs develop, implements, and also ...