Central Bank Research Papers Samples For Students

Question 1

Keynesian argument
The Keynesian ideas were developed in 1930s at the time of Great Depression when orthodox economists had failed to explain the rising effects of unemployment and downturn of the economy. Earlier economists had argued that economy should be left to operate on itself without any external interventions from the government. Keynesian advocates for government interventions. In the case of unemployment, he suggests that the government should intervene by increasing its spending and decreasing level of taxation, which are fiscal policy tools. Through these interventions, there will be increase in aggregate demand and output which, in the ...

Impact of Policy Changes on Financial Stability of Commercial Banks in India

Paper Due date
Abstract
The study envisages financial stability of Indian Banks, especially schedule commercial banks, in the backdrop of macro-prudential policy changes. Banks are put under microscopic vision in terms of performing as commercial units while strictly adhering to the policy norms. The effect of regulatory and supervisory policy changes can be evidently seen in stressed performance of banks in the recent years, in-spite of growth in their retail portfolios. The policy changes of increased provisioning for NPAs, improvement in asset account quality, revised guidelines for Net Stable Funding Ratio, restructuring of large accounts and many more have ...

Unlike most countries, that use the central Bank system the U.S has a federal Banking system which is also known as the fed. The headquarters of the federal Bank is in the capital Washington D.C and also has other twelve district banks in different locations. Decisions made by the Federal Reserve Bank are critical because they ensure that the country has a safe and sound financial system. Federal Reserve Act established the fed in 1913 and was formed to solve problems of money in the country. Therefore, the Federal Reserve Bank is mandated to formulate the best fiscal and monetary policies ...

Higher Educational Establishment

Introduction
Aggregate demand and interest rates, along with the actual economic growth and the prospects are the benchmarks of any Federal government. In order to control the economy, government uses monetary policies to analyze essential measures.

Open Market Operation

Open Market Operations involve purchase and selling of governmental securities which helps to stabilize inflation. The Federal funds rate is equal to the interest and lending rates, according to which financial institutions charge for the loans. The Domestic Open Market Operations are guided by the Federal Open Market Committee and continuing with the aid of strengthening the efforts to support economy recovery ...

International Finance Trilemma

After 2007-2012 global economy recessions, many nations are striving to sustain their economy stability in the efforts of meeting the respective governments and citizens’ fundamental needs. Primarily, Trilemma of international finance hold that a country or nation cannot concurrently peg the exchange rate, maintain the independent monetary policy and permit free financial flows cross-borders (Feenstra & Taylor, 2008). International finance Trilemma states that under no given scenario that a country will enjoy steady foreign exchange rates, capital mobility and monetary policy that is independent. Based on international finance Trilemma, the central bank is often tasked to ensure that the economy is stable ...

ABSTRACT

Federal Reserve Bank, commonly known as FED, has been established with the aim of stabilizing the overall financial system within the US economy. FED has been using different tools and methods like open market operations, moral suasion, discount rate, and the reserve requirements in order to achieve the overall economic goals. These economic goals include; reducing unemployment and inflation, and accelerating the process of economic growth. In order to overcome the today’s economic challenges, the chairman of Fed should work on controlling the monetary measures and pulling strategies which benefit the global economic growth.

INTRODUCTION

Money market is a place ...

Introduction

Banks are crucial in the current society as they operate payment systems and provide financial intermediation. As business corporations, they lend or invest the money people deposit to create profit. Consequently, banks finance entrepreneurs and business people that drive the economy. The US has a complex banking system that has been improving for centuries. In 1913, it founded the Federal Reserve System and proceeded to open twelve regional reserve banks that were to be coordinated from Washington. It is crucial to understand the American banking system. Therefore, explaining aspects of the Federal Reserve and the functioning of the US banking ...

Introduction

The BRIC nations, made up of Brazil, Russia, India and China have been projected to be the world emerging economic powers. These countries account for close to half the world’s population. In recent times, the BRIC nations have contributed to most of the world’s GDP growth. These nations have been regarded as powers to watch as regards to world economic growth. These countries have not only been observed to be emerging economic powers but have also shown signs of gaining control of the world economy. These emerging nations have an advantage over other nations of the world ...

IMF Role and its Determination in Exchange Rate Variation

It is imperative to appreciate that managers need to understand how exchange-rate changes impact on business decisions and the different operations that are carried out in an organization. Moreover, it is also important to appreciate the meaning of exchange rate as the cumulative number of units that one currency is exchanged for another. It is for this significant reason that administrators of any organization need to understand the different issues that are taken into consideration by the government in setting the exchange rate and factors behind the exchange rate variation so as to anticipate effectively for the change. The ...

Abstract

This Research paper critically analyzes various suitable appointments for an electrical engineer while narrowing down to a particular post of chief engineer at Federal Reserve Bank of Richmond. This paper further elaborates the requirements for this post. It also discusses expected salary for this post while considering the technical skills that are required for this job. Furthermore this research paper discusses certificates required for this job and testifies if some of these certifications are offered by ECPI College and what could be challenges in successfully in complete these certifications. At last this research paper put light on the possible sources ...

Financial crisis 2008

The U.S financial institutions provided services to the citizens whereby the mortgage loans were given out without securities and rate of interest. This was extended to the point that the period repayment and its terms were not logical as the borrowers could not meet the terms (Savona, Kirton, & Oldani, 2011). It led to the entire market interest rate to abruptly rise hence interrupting to all the plans that the financial institution had in their plans. The mortgage lenders gave out the money in the form of loans without putting in place the appropriate measures. The financial institution never saw ...

World economy is a complex unity of all local economies represented in the world. Due to the continuous processes of globalization and integration, whatever changes take place in one country, they are easily shifted into another area along with all related effects. That could be even compared to “the domino effect”. And it would be a very positive aspect if not for all the bugs and issues which evolve each day on every market, either local or global, influencing the overall situation in one country or the world economy as a whole.
Quite many economic “viruses” can be recalled now as ...

Liquidity is the ease of buying or selling an asset or a security without significant effects on the market prices (Baum, 2006). In the financial market, liquidity refers to the availability of credit or the ease of borrowing. Unlike a house, securities such as treasury securities, Eurodollar future contracts and the Standard & Poor’s 500 Index are all liquid since they can be easily converted into cash. In this case, liquidity refers to the ability of the central bank to provide money to the economy (Baum, 2006). This is reflected in the multiplier effects of the financial system. The level ...

1.0 Introduction
`According to Barbone et al. (2009) all members States of the European Union are also members of the Economic and monetary Union (EMU). Barbone et al. (2009) further states that the member states coordinate their policy-making in support for the economic objectives of the European Union (EU). Nonetheless, there are some member states that have gone further to adopting a single currency (Euro) (Barbone et al., 2009). They are the member states that comprise of the Euro area. Euro, according to Bekaert (2010) is a single currency that has been adopted by 19 European states that make up ...

Monetary system in India

Abstract
Banks and central banks have a great role to play in the development of a country’s economy. In essence, banks provide and create money through credit, a scenario that provide a country with the much needed where withal to implement major policies. Banks have emerged as the new fore front of development across the world with institutions and government agencies turning to banks for support and growth. Yet, the banking sector remains prone to external shocks such as business cycles and political turmoil. Furthermore, banks require a secure and flexible legal structure to offer services to people. The control of Central ...

Introduction

A discount rate is the interest rate that is used in cash flow discounting so as to determine future cash flows’ present value. This discount rate caters for the time value of money and uncertainty or risks of expected cash flows in future, which could be less or more than expected. Time value of money is an idea that the value of money currently is worth much more than that amount in future since it may be earning interests. A discount rate could also be defined as a rate of interest which an eligible depository organ or institution is charged ...

The two thousand and eight financial crises resulted in significant economic turndowns. Before it began in two thousand and seven, prices of housing rose, new investment options emerged, and risk diversification increased. Following the crisis, house prices fell by huge percentages. It exposed economic weaknesses of the United States. Additionally, it led to an increase in the unemployment rate by ten percent (Mishkin, 2011). Approximately, nineteen trillion dollars of household wealth were lost. Lehman Brothers collapsed in two thousand and eight affecting the global financial system. Taxpayers had to bail out various banks to stabilize the system. This paper ...

Insecurity and Currency Devaluation in Africa: A Case Study of Nigeria

Insecurity and Currency Devaluation in Africa: A Case Study of Nigeria

Introduction

Geography and history have truly taken its toll on Africa. Africa, the cradle of civilization, continues to be an enigma to the rest of the world. The continent commonly referred to as the Dark Continent has suffered from gross prejudice, stereotype, discrimination, and neglect from the rest of the world. Most Europeans and Americans see Africans as inferior, living in the jungle (forest), uncivilized, primitive, violent cannibals and so forth. But obviously, recent occurrences in Africa have proved them true even though not in toto. The genocide and ...

Introduction

Banking, financial, and even insurance-issuing institutions were badly hit by the global financial crisis that happened in 2007 to 2008. It created a serious domino effect that eventually took its toll on the U.S. Federal Government. The struggling dollar and U.S. economy—the world’s largest economy in terms of GDP, led to a serious wave of financial and stock market corrections that were felt globally, especially in countries whose economy is largely dependent on U.S. commodity and financial supply and consumption. The ultimate effect of the global financial crisis of 2009 was an increased uncertainty and negativity in the financial ...

ITERNATIONAL MONETARY SYSTEMS

Abstract
The purpose of this paper was to study three main monetary systems: the Gold Standard, the Bretton Woods, and post-Bretton Woods. International monetary system is a set of methods, tools and intergovernmental bodies, with the help of which the mutual payment and settlement turnover function within the global economy.
There existed and succeeded each other three international monetary system. The first one, the Gold standard, was based on gold which was the main form of money. National currencies were pegged to gold, and the gold content of the currencies was correlated with each other at a fixed exchange ...

The Federal Reserve is popular financial regulator that represents the Central bank of U.S. and has an effective control and influence over the economy of the country. This is done by imposing regulations to financial institutions such as commercial banks that operates in the market. The Federal Reserve also regulates the flow of money in the economy through different methods such as manipulation of the tax rates in the economy (Phillips, 2011). These methods help to control the inflation in the country.
In my opinion, the Federal Reserve System is critical instrument that the country should rely on ...

The following are some of the rules and regulation that applies to Kuwait application of debentures to the investors; the first requirement is that it must be licensed by the Kuwait Ministry of Commerce and Industry. The Ministries has a responsibility to supervise the issuing of the debenture by the Central bank of Kuwait. The Commercials Companies Law requires that company capital subscribed be paid in full and does not allow issuing of debentures that more than the capital paid up. The holder must pass the resolution authorized by the Kuwait issuers. Once the debenture holders are issued with the ...

Introduction

The United States established the Federal Reserve institution in 1913. This central bank was responsible for safeguarding the economy of the United States by raising and lowering the interest rates that the borrowers have to pay to the lenders (Grey, 2002). This paper will determine how exactly the Federal Reserve is controlling the interest rates. It also examines why the interest rates influence the broader economy of the U.S. However, before the establishment of the Federal Reserve Bank, there was economic panic, and this was caused by emergency banking that was the common events as the prospective investors would ...

“Dollar rally” has become probably the top news on foreign exchange markets, which can have serious consequences for the US economy (Graph 1, appendix). Stronger dollar is a kind of head wind for American exporters while import from other countries becomes more competitive. Strong currency can theoretically become a stimulus for the Federal Reserve System provoking increase of interest rates. Many companies all over the world borrowed US dollars for investments or development; therefore, dollar strengthening provokes their debts increase. In current situation Central Banks, foreign exchange traders and exporter all over the world keep a close eye on ...

Puerto Rico has one of the Caribbean’s most dynamic economies, which has however struggled with slow growth and recession over the past four decades, worsened most recently by the global economic crisis. According the Federal Reserve Bank of New York (2012), the territory’s GNP fell by 10% since 2005, with its linkages to the US economy being the main reason for the recession, not least because of the exposure to weakened financial institutions, collapse of the construction/housing industries and reduction in government employment. In 2010, the real GDP suffered a 5.4 reduction compared to the previous year. While ...

After very long negotiations, there have been some indications that the financial problems in Greece could be over soon. This came as the countries from all over Europe made a deal in what could be termed as one of the most discussed financial debates (Fairless). Finance ministers from all over Europe came together in Greece capital to discuss how they thought would be the most appropriate action to rescue any country before it goes into crisis like Greece did. They agreed that European Union Central bank would be used to regulate the economy; the bank will decide when to fund a ...

This is the analysis of the company Apple Inc. in overseas currency markets in which it conducts its business and two of them include; Europe`s Euro and China`s Chinese Yuan. These two markets provide a large proportion of the company`s overseas revenue.
The currency graph of the Chinese Yuan against the U.S Dollar is as displayed below. Details are derived from yahoo finance and they are of the time frame from the year 2011 to the year 2013.

The graph is for CNY/USD

The Chinese policy that is keen to stabilize the growth of the country since the currency has been ...

The banking sector in Taiwan has continued to perform well despite the effects of the Asian crisis which rocked the Asian region in 1997 (Chiu 295). This crisis caused violent fluctuation of interest rates, share prices and exchange rates. However, the effect of the crisis was not extensive in Taiwan as compared to other countries like South Korea and the rest of Asia. Taiwan’s strong foundations on economic fundamentals that have a flexible capital market reduced the financial crisis on this country. Furthermore, the conservative financial policies in Taiwan have strengthened the financial system of Taiwan against crisis.
In ...

Location

The Eurozone Debt Crisis
The Eurozone crisis is essentially a problem of over-borrowing by some countries and their inability to pay these debts. These countries are unable to pay the debts because their economies are not performing well enough so government and banks cannot generate enough revenues from internal economic activities. At the same time, the collapse of some US financial institutions severely aggravated the situation. Banks and government completely lost their investments.
The Eurozone crisis began as early as 2005 when some countries began having problems paying their debt from private banks. The problem escalated when some ...

Introduction

Business banking refers to any form of financial dealings with a commercial institution those grands loans business entities, credit and saving accounts, and checking accounts for companies that exclude individuals. Another term for business banking is commercial banking.

The commercial banking defines the division of a bank that only deals with businesses. In comparison, a bank that details with individuals is called retail banking. Similarly, a bank that trades in capital markets is called in an investment bank. In Australia, the Banking Act of 1959 did not provide a clear a definition of the word bank (Wentworth, 2003). The inclusion of the several institutions that ...

Financial recess is never a novel term. Depressions have always hit the financial system of the world, and the latest recess America is most likely not the final one. Nonetheless, many issues worked together to make the recent U.S crisis the worst financial recession since the global downturn. These factors include failures of market, weaknesses in the execution of policy, as well as macroeconomic problems. The primary concept, which had controlled economic thinking for many years, was that markets functioned. The appropriate prices often get a buyer as well as a seller. Besides, millions of sellers, as well as ...

Response to the great recession of 2007-2008

Introduction
The 2007 financial crisis had various causes, with the primary ones being the failure of key corporations in the state, asset value depreciation, lack of adequate government intervention to control the financial market and finally reduced economic activities. However, to manage the situation, both regulatory and market strategies were sought by different stakeholders, with the aim to achieve economic recovery in the U.S. Global housing bubble reached its peak in 2006, leading to significant fall in the valuable asset price by a margin of 40%. The different securities attached to the housing market were exposed to more risks, ...

In the recent past, Egypt has faced a myriad of economic challenges, ranging from an economic degradation to the popular uprising in 2011 that led to the establishment of new successive regimes. Apart from the political problems, Egyptians are now faced with personal problems that may in the long-run interfere with its social fabric (Bohn). The marriage institution has adversely suffered as a result of all these turmoil.
Since the 1990s to the late 2000s, the average cost of an Egyptian wedding rose by 25%, and it is estimated that the cost will still continue to increase as time goes. ...

1. Monetary Policy

Monetary policy is a strategy related to the flow of money in the economy and its value. It also shows the association between rate of interests in the economy and the total supply of money and exchange rates. It is also a demand side policy which the government can use to accomplish its macroeconomic goals; that is, maintain economic growth, low rate of inflation, low unemployment and stability of payments equilibrium. Moreover, monetary policy is known as accommodative, if the interest rate laid down by the central monetary power is planned to create economic growth; neutral, if it ...

Saudi Arabia is the world's largest exporter or crude oil, with the country exporting 68% the product to the Asian market. The nation enjoys a market share of 40%, enabling the government to fund a significant proportion of the budget from oil revenue. Consequently, Saudi Arabia was able to accumulate vast financial reserves in the years preceding the current low oil-prices when the price per barrel stood at $120 (Baumeister, & Kilian, 2016). However, the state of affairs has changed in the last couple of years following the drastic decline in oil prices. As a result, the country has experienced ...

Eclectic Forecasting Research Paper

1.
The year 2007 is the third year of a series of three consecutive years of broad-based growth in the world. Although developed economies and underdeveloped economies had a world average growth of 3.4 % in 2007 with a previous growth of 4.9 in 2006, the perspective for that year was to an increase in the world growth in 2008 with a value of 3.6% (QUOTE). In the year 2006, 96 of 159 economies of the world increased their gross domestic product with a value higher than 3%, and only nine countries had a negative growth in 2006. The challenge ...

Over the years the PRC existence, the country's banking system passed a difficult and contradictory path of development, reflecting the peculiarities of the economic policy pursued by the state at a particular stage. In the late 70-ies of the last century in China economic and social reform was launched in order to create a model of “socialism with Chinese specifics” which would combine the primacy of market principles and effective macro control of the administering state agencies. In the process of creation of this model, an important role is given to China's banking system, as it is an institution, ...

The financial system of a country is comprised of banks, central bank, securities markets, insurers, pension and mutual funds, market infrastructures in addition to the supervisory and regulatory authorities. The markets and institutions provide a unique framework for conducting economic transactions and monetary policy while also assisting in channeling savings into investment to spur economic growth. Any problems in the financial system not only undermine the effectiveness of the monetary policies, but they disrupt financial intermediation, trigger exchange rate pressure and capital flight, create unbearable fiscal costs due to the need to rescue troubled financial institutions, and exacerbate economic ...

The new article titled “This isn’t 2008, but it isn’t great either” dated February 11, 2016 published in The Economist, has been looked at and summarized along with personal reflection on the matter discussed (R.A., 2016).
The article discusses the situation when most central banks have brought policy rates close to zero, with some even chartering in the negative territory, and how the markets have tumbled recently by taking such decisions into account. The article states that although banks are in a better position right now than they were in 2008 to tackle immediate liquidity concerns, the ...

Introduction

As responsible citizens of the nation it is important to comprehend the economic decision taking of the government and understand how it affects the people in general. We must have an idea about whether a policy decision will have a positive impact on us or it will have any adverse effect. It may also have diverse impacts on different sections of the society. A policy may be taken to boost a certain sector but it may have a drag own effect on some other sector. To analyze the government policies we should have a sound knowledge about some key ...

Introduction

The monetary policy of Colombia has undergone numerous changes from 1994 to 2014. The primary purpose for doing so is to target inflation and stabilize the financial status of the country. For this object, state agencies and other monitoring authorities had occasionally evaluated the response of such policy in relation to various financial variables. Although there is not any specific and explicit target regarding real or nominal exchange rates and the monetary policy has to rely upon mainly on the variation of short-term exchange rates. Therefore, in an open economy like Colombia, exchange rates are considered as the most ...

INTRODUCTION

The real estate market is cyclical to the economic movement (Gray, 10). This relationship results in the movement of the real estate market in a similar pattern as that of the economy. With this pattern at work, the economic downturn results in having direct impact on the real estate market performance. Dubai is one of the most important states of United Arab Emirates. This report has focused on the major factors that have influenced the real estate sector of United Arab Emirates, including the impact of 2008 economic crisis. While discussing prior crisis condition of the industry, report has illustrated ...

Background

Economics is a branch of social science that focuses on studying how individual, households, and organizations work. These individuals are collectively coined as economic actors, agents, or players, as their collectively movements influence how the overall economy works. The study of economics also deal with how these economic players manage resource—especially natural resources which are considered to be scarce or limited; how they use, buy, and sell alternative commodities, all in an effort to arrive at their desired ends. An individual, one of the economic factors we have mentioned, may, for example, go to a supermarket to buy goods for ...

Interest rates are amounts charged by lenders to borrowers as fees on borrowed assets. The interest rate is the price an individual pays for the use of money they have borrowed; it can be thought of as an economic rent. When a person deposits money in a bank, they receive interest as a percentage of the total amount deposited. Similarly, when an individual borrows money, they pay interest to the lender as a percentage of the total money they owe the lender. The percentage of the principal amount paid as a fee over a given period is the interest rate. Interest rates are macroeconomic variables ...

Describe how the US financial markets impact the economy, businesses, and individuals.

In the United States, the financial markets play a significant role in promoting economic development. For example, the financial market has a significant impact on pension funds. Large percentages of pension funds are invested in stock market. In the event whereby the share prices record a drastic fall, the effect is reduction in pension payouts in the future.
Another effect of share price is investor confidence. The share price is an indicator of a company’s performance. A reduction in share price reduces the investor confidence. This was the case in Lehman Brothers. When the share prices began reducing, the demand reduced ...

International Economic Policy-Making of the EU and the US

Foreign economic policy-making varies between regions given the size of their economy and the nature of their foreign policy mechanism in the international arena. Policies would take into consideration political interests and economic competence in the globe, while it can easily blend with domestic policy. In the case of the European Union, the Union represents its member countries in creating foreign policies that would not just cover their international policies but also their domestic policies: may it be for political or economic reasons. Unlike the United States, which only has to represent one state in the international market, the ...

Abstract

Germany has been a model economy for the Euro zone with its fiscal frugality which has maintained the country on an impressive growth while the other European countries were struggling with debt crisis. However, despite a favorable GDP growth and low unemployment, the country is facing challenges with high inflation. The current situation is a result of combination of both poor decision making and market sentiments in the region. In addition, the country’s greatest debt is in the hands of the financials and non financial corporations with each having 87% of the debt while government holds 83%. In relation to the ...

One of the most remarkable developments in Florida in the 70’s was the emergence as an international financial world. Florida’s economy, until then, relied almost entirely on agriculture, tourism and the construction industry but had now acquired a new dimension- international banking. Its proximity to both Central and Southern America, its multilingual population coupled with the promulgation of international banking regulations that were deemed favorable led to the country becoming a specialized Latin American banking centre (Bove &Richard,1991).
With international banking as a major financial activity, the economies has experienced spiraling growth and also increase employment levels ...

The Global Market and its Impact on Society and the Environment

My breakfast is always diverse, but it mainly consists of eggs, bread, lettuce, tomatoes, onions, and coffee or tea. When I skip breakfast for some reason, I still eat an apple or two in the morning. My typical lunch consists of meat and a side dish. The meat is mainly chicken, but I enjoy a steak occasionally. The side dishes used in a typical lunch are rice, carrots, potatoes, and lettuce for the salad. Desserts or snacks are occasional, and my main consumption consists of chocolate. I buy all of my groceries in local supermarkets. The apples come from New Zealand; the ...

The United States Needs More Skilled Foreign Workers

Despite what the current unemployment numbers suggest, the United States (U.S.) still needs highly skilled foreign workers and they need to be encouraged to stay for longer periods.

The U.S. prides itself as being a country built by immigrants and the great work ethic that has built this country. According to a study published by the Federal Reserve Bank of Dallas, the expansion of the U.S. economy during the last decade of the 20th and the first part of the 21st centuries would not have been possible without immigration. Immigrants are valuable to our economy by filling an increasing number of ...

Introduction

In the United States, the Federal Reserve System is charged with regulating the country’s monetary policy. The system was implemented after leaders noted the deficiencies in the previous national banking system. The previous system had a currency that was inelastic and there were liquidity problems in the economy. There were a lot of financial panics in the economy caused by the inefficiencies in the system.
A republican representative proposed the creation of a centralised banking system that would operate with a minimum level of government involvement. The Federal Reserve System was instituted in 1913. The system was able to solve three ...

Abstract

The US economy thrives on the proper functioning of the monetary policy of the government of the day. Interest rates, inflation and recession are all related and happen to influence proper functions of the government warranting their clear understanding. As a victim of a recent economic recession, a consideration of the role of interest rates on the overall functioning of the economy becomes particularly important.
This paper shall seek to understand the concept of interest rates and how they affect the economy of the United States of America. The paper, in doing this, shall consider the causes of the ...

Introduction

A discussion among the classical economists and the Keynesian economists continues on the government intervention in the free markets. According to the classical economists, the free market mechanism can develop solutions for the crisis in the market if there is no external influence on the markets. The Keynesian economy merely expresses that the free market economy carries the risk of generating crises and undesired deficit or surplus in the economy when the demand cannot clear the supply (Posner 234-252). The discussion on the government intervention is changing direction each time the world economy suffers from a global crisis becomes ...

China is one of the fastest growing economies in the world offering numerous opportunities to foreign investors. It has a vast potential for economic growth and offers access to a huge market for goods and services. The country also offers a substantial amount of labor force for its industries both in China and abroad. However, the differences in the cultural and political environment in China still poses a lot of risks and uncertainties among investors planning to establish their businesses in China; especially due to the very stringent policies and a culture that is hard to learn, and adapt. ...

Introduction

Strategic interdependence is the primary feature of an oligopoly market form. In our previous analysis we found that our microwaveable frozen food company is an oligopolist. Thus it is very important for the firm to constantly upgrade its strategic decisions based on the market and economic conditions. The firm has to combat the challenges that come its way with effective counter moves. The managers have to be prepared for any changes. It is also important to keep close watch on the economy to make an estimate of the possible changes. In this analysis we discuss how the frozen food ...

International Monetary System  

Introduction
The exchange rate has a significant impact on foreign trade of the country, because the competitiveness of country’s products on world markets largely depends on the level of exchange rate. The exchange rate affects the direction of international capital flows. The decision about investing of the national capital in assets of any country is taken on the basis of the expected real return on invested capital, which depends on the interest rate and the expected changes in the exchange rate (Brigham and Houston, 2011).
The currency parity is at the heart rates of convertible currencies. However, the ...

We live in tough times. For example, the State of Greece’s insolvent economic-bubble bursting may bemuse certain high-level German or IMF officials, but in reality the situation is no laughing matter. The unrelenting fact is, that negotiations matter. Whether parties plan to negotiate terms of future business, or getting out of a serious nationwide financial scrape or collapse, best practices in negotiations is a critical part of the world today. The task of this research paper must convey an adequate summary of the Greek current financial crisis in ...

Introduction

Interest rate, especially the repo and reverse repo rate set by the Reserve Bank of India (RBI) have a profound effect on the value of real estate like any other investment vehicle. Because of great influence of the interest rate on an individual’s ability to purchase houses by increasing or decreasing the cost of the total mortgage amount, many people assume that interest is the only factor in real estate valuation. However, this assumption is not true. Interest rate definitely plays a big role in determining the housing prices, but it is not the only factor influencing the price of a ...

Economics 15: Research paper

Markets – late 19th Century/early 20th Century
Monopoly, Oligopoly and Trusts
The late 19th - early 20th century was the time of rapid development of American industry. In 1895, the majority of industries were competitive with no dominating companies. As a result of intense competition, many weak and small companies “disappeared”. Large and successful capitalistic associations based primarily on a system of participation got the name of trusts and corporations. One after another, the industries occurred in the hands of small groups of entrepreneurs, who used any methods to achieve complete control over these sectors of the economy. By 1904, ...

Chapter-1

Introduction
When it is defined about economics, then it will be definite about the inflation and economic growth (Banerjee and Duflo, 2011). Economies are always in comparison with other economies in terms of enhancing their economic growth and minimizing the level of unemployment rate accordingly. Earning the money and consuming it in a perfect and best possible manner is a basic definition of economics, and economics are utilizing it in a better way. Apart from earning and consuming the money at a better place, economic development and economic management are some of the important aspects that associated with the long run efficacy ...