Questions and Topics We Can Help You To Answer:
Paper Instructions:

please comment on this discussion. 

"Hello guys, I read a news about Hobby Lobby. In 2013, Hobby Lobby won the important battle fighting against Obama. Obama would force the company to pay a fine if Hobby Lobby did not comply Obama's policy that if the company followed its religious principles, it would be closed. Under the circumstance, the CEO of Hobby Lobby with a lot of burden chose to be forced to violate religious principles and provide insurance to employees in order to protect their rights and company's profit instead of shutting down the company. Meanwhile during the battle, Obama let Hobby Lobby pay multi-million dollar fines. However, due to law pointed by court, they would not be forced to pay the fines. At last, Hobby Lobby challenged the law. Compared with the company, Obama changed nothing.

According to the case, there are three questions being related to the case. 1) Which economic system belongs to Hobby Lobby? I think capitalism belongs to Hobby Lobby. 2) What is the most important reason causing that Hobby Lobby won the battle? In my opinion, the decision made by the CEO of Hobby Lobby such as insurance provided to the employees is the most important cause lead to win. 3) What can we get from the case? When facing the difficulties and troubles, there are two factors leading us to win. One is decision-making, the other one is law. We should use our intelligence to know the problem clearly and deal with the issue instantly. At the same time law can protect us rights and profit. What are your viewpoints? Thanks for listening!"

Questions and Topics We Can Help You To Answer:
Paper Instructions:

Issues of economic growth, inflation, and unemployment and their relationship to the business cycle.

Questions and Topics We Can Help You To Answer:
Paper Instructions:

Come up with a “catchy” acronym that includes at least four countries similar to CIVETS or BRICS.  Creativity is encouraged.  
Tell why you chose these particular countries and the unifying theme of why you decided to group them together.
Further explain why people should be looking to invest their money in these emerging economies now and in the future. 

Questions and Topics We Can Help You To Answer:
Paper Instructions:

A critical analysis of the sources of comparative advantage of China
and  A critical assessment of the complexity of the forces that cause volatility in foreign exchange rates and their impacts on international trade and of balance payment of the country.

Questions and Topics We Can Help You To Answer:
Paper Instructions:

title : Less skilled workers have suffered declines in relative wages, increased unemployment, and sometimes both, in the OECD economies since the 1980s. Discuss the role played by technological change in this trend. 

category:Labour Economics and Income Distribution
subcategory1:Labour
subcat2:human capital theory
subcat3:macro

Need in-text reference.
At least 12 reference

3 reference:
1. Berman, E., J. Bound and Z. Griliches (1994), Changes in the demand for skilled labour within US manufactuing industries:  evidence from the annual survey of manufacturing, Quarterly Journal of Economics,vol.109, no. 2, pp. 367-98.
2.Krueger, A. (1993), How computers changed the wage structure, Quarterly Journal of Economics, vol.108,no. 1, pp. 33-60.
3.Sachs, J. and H. Shatz (1994), Trade and jobs in the US manufacturing, Brookings Papers on Economic Activity pp. 1-84.

Effects of Obesity to a Nation’s Productivity and Economy

Abstract

In recent decades, Obesity has become a major global threat to the economy and individuals' overall productivity. For instance, in the United States, a bigger margin of the adults are overweight, and a significant number are obese. Researchers to date have outlined on the minimum four major categories of economic and productivity impacts linked to Obesity: productivity costs, transport expenses, human capital costs, and direct medical costs. This essay outlines how these factors affect a given nation's economy and productivity with respect to the research done. The epidemic impact offers room for more study of production factors to have a growing nation.

Key words: United States, productivity cost, Obesity, epidemic.

Introduction

Obesity has grown to a global pandemic in recent decades. This has posed a major threat to individuals' general productivity affecting the productivity and economic status of the nation. Obesity and overweight have been linked to some chronic maladies such as diabetes and cardiovascular diseases. This impacts the productivity of an individual to the growth of the economic status wholesomely. Research carried out In the United states outlines that Obesity endangers society's development due to the financial burden. Attributes of Obesity, such as cost linked to disabilities and absenteeism at workplaces, poses a significant economic threat. Certain factors such as production cost, transport expenses, human capital costs, and direct medical costs have been identified to cause an economic burden to the nation (Hammond & Levine, 2010). This essay outlines how these factors integrate into the financial well-being of a nation.

Medical spending by obese victims poses an economic threat to the nation. Individuals suffering from Obesity incurs huge medicals as this disease is linked to other prolonged ailments such as hypertension, diabetes, coronary heart disease, and stroke. To have the body system running and sustain all these maladies linked to Obesity, individuals have to keep seeking medical attention and have bills to settle. Obesity medical spending occurs to not only the adults but also to children. Annual medical expenditures to children suffering from Obesity in the United States is estimated to be $14 billion (Hammond & Levine, 2010). This is a considerable amount of capital that can significantly help build the economic status by investing it in projects that will generate more income. 

Other than the medical cost, productivity costs due to Obesity also impacts the economic status of a nation. Obesity affects an individual's general productivity as it makes them less active and vibrant (Tremmel et al., 2017). Due to obesity victims being less active, the labor market experiences a shortage of employees. This shortage is due to absenteeism and decreased productivity at the workplace. Absenteeism happens when the victim is seeking medical attention and hence fails to show up at work, leaving a gap in duty attendance. Obesity victims are less productive in the workplace, and this lowers productivity. The economy of a nation depends solely on its citizens' productivity and the utilization of its resources (Tremmel et al., 2017). Low productivity dictates low outputs, and hence if the nation falls victim, economic burden will be a factor hindering the growth of a country.

Besides the production and medical costs, transportation, and human capital costs affect a nation's productivity and economic status. Due to the overweight nature, victims of Obesity tend to spend more on transport, as walking for longer distances is stress (Spieker & Pyzocha, 2016). Larger and accommodative vehicles have to be put in place to ferry the overweight individuals, fuel cost is added on top. According to Spieker and Pyzocha (2016), victims of Obesity tend to spend more fueling the vehicles, which poses a threat to the environment due to greenhouse gas emissions. This impacts the surroundings creating a non-competitive business environment lowering productivity. An enabling environment is essential in creating an economically thriving nation. The human capital cost is another factor influencing productivity. For an economy to grow, a knowledgeable human resource is mandated. Research has outlined that Obesity leads to low performance in school and drop out cases are present. A cohort carried out showed that obese people have low self-esteem and tend to perform low (Hammond & Levine, 2010). These individuals acquire less or no skills if drop out cases happen. With a low level of skills, productivity, and the economic status of the nation is altered.

Conclusively, it is evident that Obesity has adverse impacts on the productivity and the economic status of a nation. The economic rate of a given country is directly affected by its productivity. Low levels of production will automatically dictate for a distorted financial situation. With the rising cases of Obesity, the fate of an economically thriving nation needs to be readdressed. The adverse impacts a country experiences due to Obesity can be solved by educating its citizens on leading favorable lifestyles. This can be achieved through regulating what diet people take and the substantial amounts one should do in a day. Improving medical diagnosis will also help in fighting Obesity. Further research on ways to curb Obesity is still open.

References

Hammond, R. A., & Levine, R. (2010). The economic impact of Obesity in the United States. Diabetes, metabolic syndrome and obesity: targets and therapy, 3, 285.

Spieker, E. A., & Pyzocha, N. (2016). Economic impact of Obesity. Primary Care: Clinics in Office Practice, 43(1), 83-95.

Tremmel, M., Gerdtham, U. G., Nilsson, P. M., & Saha, S. (2017). Economic burden of Obesity: a systematic literature review. International journal of environmental research and public health, 14(4), 435.

 Business Case for Retiring an Unprofitable Service Line

Potential Economic Opportunities and Risks

            There are potential economic opportunities and to retiring the outdated and unprofitable service line. Retiring an outdated service line is a necessary risk that can be the driving engine for improved efficiency and profitability within the organization. Most people think about hazards when they hear about risk rather than the significant opportunities and possibilities they offer. It can drive innovation and offer competitive advantage improving organizational profitability both in the short and long-term. Risk and opportunity exhibit duality in that one cannot exist without the other.

Care centers are continually focusing on controlling costs while maintaining high-quality care standards. The challenges have never been greater in meeting the needs of the community while ensuring long-term financial sustainability (Weinstein et al., 2017). The challenges mean that organizations are evaluating their service lines to take note of those that should be emphasized and those that need discontinuing. Service line organization is a process of managing, planning, and evaluating a care center’s performance. In the process of attending to a patient, they may need to come into contact with many departments. For example, in caring to cardiology patient, they may have to be served by not only the cardiology department, but also the nursing, registration, radiology, pathology, and many others.

The potential benefits from discontinuing the line include increased profitability for the organization and enabling physicians to concentrate on what they do best. The organization is set to be more lean and streamlined leading to highly motivated workforce to achieve set goals. However, the threats pose a financial security risk resulting from the foregone revenues earned from the retired service line. Laying off redundant workers will increase severance pay and is likely to have ripple effect to other departments due to demotivation. However, the potential economic benefits from discontinuing the unprofitable line outweigh the potential economic risks.

In analyzing a service line as a master-level health care practitioner, I will use a wide range of data from diverse departments to understand how each contributes to the organization’s financial sustainability and position. The analysis will enable understanding how the service line to be retired affects the entire organization and other service lines will be affected. Among the potential opportunities from retiring the outdated service line include increased revenues, investment in other lines, quality and efficiency improvement, and cost-effective treatments for patients. There is also the opportunity for consolidation with other services (Sunstein, 2011). A key threat is a fallout from affected stakeholders owing to the diminishing and discontinuing the service line. Another threat is key audiences not having sufficient information to understand the financial drain and the long-term viability of the organization.

Although care centers are continually reviewing their service lines to ensure profitability, there is a need to carry out a feasibility study to understand the financial risks. It is not only about providing services that are profitable since it may be detrimental to the patient’s wellbeing. Hence, it is vital to understand the implications of retiring the service line. In this particular case, the potential opportunities outweigh the potential threats, since the service line is outdated and can easily be merged with other departments.

Ethical and Culturally Sensitive Solutions

            The risk of community and employee backlash, lost revenue, and decreased quality of care because of the increased workloads in other service lines are the most significant risks. On-going reviews, good communication and planning will help mitigate the risks. Other experts in various organizations have faced similar risks by either not discontinuing outdated service lines early or implementing the strategy without offering sufficient information to concerned stakeholders. 

            To understand the risks that are most significant, it is essential to make data-driven decisions through undertaking service line assessments. Through a financial analysis, we understand the growth potential verses the contribution margin and revenue verses contribution margin of the service line to be discontinued. The behavioral health service line is to be discontinued because it low margin and low growth potential.

            The ethical and culturally sensitive solution consider factors such as the community the organization serves. One ethical consideration the organization needs to review is whether it is the only facility offering the service. It is important to consider the responsibility of the organization from a mission standpoint. Another consideration is the impact on quality and the viewpoint of quality (Dafny and Lee, 2016). Because there are competitors that are market leaders in offering the service and the organization has no chance of displacing them, it is better to concentrate on the service lines it does best.

            Ethics and equality factor into the proposed solution to ensure no demographic is disadvantaged by the decision to discontinue the service line such as if there is other facility that offers the services in the community. Employees who are rendered redundant will also be treated humanely and offered severance pay or a chance to move to other service lines. Although the physicians who the duties will be transferred to will be burdened at first, the solution will seek to streamline the services over the 5 years.

            The behavioral health service line exhibits duplication and the organization often faces problems during reimbursement. However, we have to weigh ethical issues such as disadvantaging the demographic that are primary purchasers of the services. A significant risk during the elimination process is escalation of expenses. There are actual and direct expenses involved in the process. One such expense is severance pay to staff who will be rendered redundant. Another significant risk is affecting the morale of other staff who might fear for their job security. The elimination may create a ripple effect to other departments because of alienated staff. Another risk is community backlash especially if the service is not available elsewhere within the locality.

            To mitigate the impact of these risks, it is important to undertake a complete assessment of the payer mix and the market dynamics. The process has to be professionally handled and adequate planning undertaken within time. Good communication will ensure all the stakeholders to be affected receive adequate information in time to minimize backlash. The problem is a major risk as well as not undertaking assessments on an on-going basis to ensure sufficient time for exit, communicating to the various stakeholders, and recalibrating the resources of the organization.

Ethical and Culturally Equitable Ways of controlling Costs

            There are three internal data types that important during financial analysis of the service line. First, is the revenue and expense data derived from the service line. The other is patient accounts and demographic data, and finally the cost accounting data. Cost accounting is one issue that offers many problems for many healthcare organizations. It is essential to consider the contribution to the bottom line by using a good cost accounting system. This is by considering the revenues, expenses, and allocating indirect costs appropriately.

            The process will use a business intelligence tool with healthcare accounting features to link patient revenue data and costs to the department. To understand the cost for single behavioral health patient, it is important to connect the two systems together. It will provide insight into the service line’s performance revealing allocation of total costs to each patient served. The exercise will allow the organization leaders to view whether the service line is really generating a profit or loss.

            Before discontinuing the service line the organization leaders should have a complete picture of the service line performance. Hence, the financial analysis should connect with quality data. The analysis should also combine the internal data with external data such as competitor analysis and market demographics. The decision makers should consider whether improper management is the reason for the service line failing to break even.

            The reason for the failure may be due to the organization failing to allocate sufficient resources necessary for success. Another infrastructure necessary is organization marketing and advertising efforts by allocating resources service line leaders to control, although they tend to centralize the tasks to a single department. The other departments that will be handling the service line need empowerment through equipping them with business training and experience to ensure seamless transition. The organization will use the dyad management model where the practitioners and administrators share management responsibilities.

            The service line analysis will try to make sense of the real profit points to set a strategic direction for the 5 years coming. It should go beyond understanding the contribution margin to arrive at absolute profitability. Apportioning the service line to other departments may not be profitable, or may place increased workloads leading to decreased quality care (Swansburg & Swansburg, 2002). Thus, the executives will use the analysis to understand capital investments necessary in other departments and a baseline for tracking performance of the service line going forward.

            For the organization to position itself for the future, a number of steps are necessary. First is a review of all the service lines to understand their contribution margin and share to total costs. Second is to identify the service lines that can absorb the services rendered by the one being retired. Next is to study the market to forecast future volumes. Another step is reviewing the case-mix index to make sense of complexity of the patients served. Next is to calculate the percentage of revenues from each. The other steps assessing include assessing the impact on overall profitability, and finally benchmarking the financial and operational performance against other service lines.

            The process adopts strategies to maintain and maximize benefits while controlling costs and conform to ethical and equitable standards. The service line exhibits decreasing volume and low profitability. Reimbursements cannot be improved (Marcinko, 2006). The line also shows decreasing payor mix, and the employees working in the department are demotivated leading to the decision to discontinue.

            It is vital to commit to decision making based on data rather than discontinuing a service line based on articles it is no longer profitable or in reaction to actions of a competitor. To justify decisions made, it is essential to make sure data is reliable. The staff that will be running the service line during the five years will need to be knowledgeable about the process. On-going reviews of the data will verify the accuracy of the analysis.

            Practitioners with vested interests in the outcome of the analysis may pushback, hence it is vital to be prepared to ensure credibility of the process. Periodic reviews will keep the management informed about trends and performance of the service lines taking on the extra duties for better planning and decision making. Profitability is only one of the consideration in deciding the service lines to be expanded or eliminated.  

References

Dafny, S. L., and Lee, H. T., (2016). Health Care Needs Real Competition. Harvard Business Review. https://hbr.org/2016/12/health-care-needs-real-competition

Marcinko, D. E. (2006). Dictionary of health insurance and managed care. New York: Springer Pub. Co.

Sunstein, C. (2011). Humanizing Cost-Benefit Analysis. European Journal of Risk Regulation, 2(1), 3-7. Retrieved August 19, 2020, from www.jstor.org/stable/24323237

Swansburg, R. C., & Swansburg, R. J. (2002). Introduction to management and leadership for nurse managers. Boston [u.a.: Jones and Bartlett.

Weinstein, J. N., Geller, A., Negussie, Y., Baciu, A., & National Academies of Sciences, Engineering, and Medicine (U.S.). (2017). Communities in action: Pathways to health equity. Washington, DC: The National Academies Press.

Globalized Economy

            The globalization of businesses, technical advancements, the dynamic requests, and burdens of customer demands exerted pressure on companies resulting in the formation of various competitive patterns (Singh, Garg, & Deshmukh, 2010). These altering competitive patterns forced organizations to contest along with various scopes- designing and creating innovative items, adopting smart strategies to industrialization, putting in place swift measures to supplies and marketing, effective communication, and coming up with suitable marketing approaches thus leading to glocalization. In simpler terms, two fundamental bases of globalization are information and modernization.  Internationalization and the fast-paced information systems generate information on products and services. Hence, globalization increases the demand for quality education. This phenomenon has seen a rise in the need for higher education all over the world.

            The role of globalization and higher education intertwine. For instance, in contemporary societies, higher education students need to grasp globalization concepts and apply their theories based on business models and understanding different cultures (Roudometof, 2014). Besides, comparative education theories claim that scholars need to comprehend local and global mechanisms for the sake of initiating comparative evaluations so that education content can become more global and relevant to societies all over the world. This way, comparative education theories seek to widen student's perspectives on various disciplines.

            It is vital to note that higher learning institutions facilitate the expansion of the world’s communities and this drives higher education demand all over the world (Singh, Garg, & Deshmukh, 2010). The organizational frameworks of higher education institutions tend to accommodate various traditions and ancient past hence bringing out a common interest which in turn shapes economic globalization. Just like another organization, a higher education center has to hire based on skills and knowledge hence bringing the precepts of globalization in it’s entirely.

References

Roudometof, V. (2014). Nationalism, globalization and glocalization. Thesis Eleven, 122(1), 18-33.

Singh, R. K., Garg, S. K., & Deshmukh, S. G. (2010). The competitiveness of SMEs in a globalized economy. Management research review, 33(1), 54.

1

Economic Security Appraisal and Other Security-Related Risks in Cambodia

According to the Cambodian context, economic security refers to a situation resulting from attaining steady streams of income and other financial resources in order to support decent living presently and in the near future. For instance, Sihanoukville gained economic security when the Chinese arrived in the small town and set up business enterprises aiming at generating a conducive investment zone where people could come and invest in different ventures. Sihanoukville’s economic security developed swiftly due to the ‘Belt and Road’ project. The growth of the underdeveloped town led to extensive urbanization and industrialization hence causing social and environmental alterations. The entire town was under construction once the Chinese landed within its borders (Green, 2019). Economics experts claim that Sihanoukville's economic security growth was highly extensive and the city could not have handled the intensive growth due to its small capability and lack of participation from the Cambodian people. In other words, the town's infrastructure was not designed for excessive capital streams. The result made basic commodities rise hence complaints from the locals on the relevance of the immense development. In addition, barring Cambodians from taking part in Sihanoukville's infrastructural development was one of the downsides of the project. Even though the coastal areas are public spaces, the investors did not build any supporting infrastructure in this zone- affordable accommodations, eateries, and restrooms hence Cambodian did not get to enjoy outings and other festivities. The expensive Chinese projects failed to integrate Cambodian culture into the development project and hence failed to accurately meet the needs and demands of the majority of the people. Even though some benefits such as affordable rental subscriptions and sufficient real estate are accorded to few people, such benefits do not spread to all Cambodians but only a few enjoy these advantages. At the end of it all, Cambodians never got to secure jobs that would give them a steady income and decent life.

2

Understanding Economics Security from the Cambodian Context

 Presently, the Cambodian economy is designed based on an open market system where economic development is at an all-time high for the past ten years. In 2018, Cambodia recorded a $24.57 billion gross domestic product. Even though it's per capita revenue is gradually rising, it's still below average compared to its neighboring nations. Cambodia relies on textile and tourism sectors while its agricultural sector remains one of its primary sources of economic progress as most of its citizens practice farming due to their rural setting (Chheang, 2017). Cambodia’s service department is highly focused on trading happenings and catering to other connected service industries. Recently, Cambodia that experts found oil and gas ores around its coastal areas hence a promising future for the developing country. In the past, the Cambodian government insisted on transforming the economic system into a strategic economy hence the current market influence system. This led to significant economic growth due to the increased economic activities triggered by foreign aids, importation, and exportation.

3

China-Cambodia Collaboration Background

            Even though these nations do not have much in common, since time immemorial China had a significant national and profitable association with Cambodia. Chinese people make up 3% of the Cambodian population. Despite the discrimination against the Chinese people by the Khmer Rouge, the Chinese people emerged as a successful business community hence a key factor in driving the Cambodian economy. The commercial relationship began when Cambodia met with China in medieval times during the Khmer empire (Sambath, 2018). In the past, China used Cambodia as a counterweight factor during the Vietnam impact. All through the 20 century, communist sections of China supported Khmer Rouge's administration during the Cambodian war. These historical relations led to the development of the relations between the two nations.

 4

Foreign Investments

            Based on the Cambodia situation, foreign investment is good for the country's economy. This is because foreign investment brings with it superior skills which are then turned into functional information relevant to the rest of the citizens. For instance, Sihanoukville grew due to the tremendous activities caused by Chinese investments (Ly, 2018). The Chinese were able to make use of Cambodian raw materials to convert the city into an economic hub hence attracting tourists from all parts of the world. In summary, even though not perfect foreign investment truly sparks economic growth which in turn strengthens the economic security of the nation. As stated earlier, Cambodia is an open market thus helps it to attract numerous foreign investors.

5

The Implication of Economics Security Issues

 One of the most important factors is that the Cambodian economy gained momentum after years of declining growth. Experts claim that the economy will grow at a 3.5% rate compared to the past decade (Heng, & Po, 2017). The improvement emerges from foreign investment and proper business policies hence preventing any impending financial crisis that would have emerged from the international economic meltdowns. The growth of the industrial sector especially textile or value addition industries led to both short and long term projections. The three most affected industrial sectors are industrialized exportations, tourism, and building. These industrial sectors contributed an estimated 70% of the entire employment sector. In some areas, poverty might increase to 11 due to income loss caused by the pandemic.

Reference

Chheang, V. (2017). The political economy of Chinese investment in Cambodia.

Green, W. N. (2019). From rice fields to financial assets: Valuing land for microfinance in Cambodia. Transactions of the Institute of British Geographers, 44(4), 749-762.

Heng, K., & Po, S. (2017). Cambodia and China’s Belt and Road Initiative: Opportunities, challenges and future directions. UC occasional paper series, 1(2), 1-18.

Ly, B. (2018). How China influence Cambodia from the past to the present for the case of politics, diplomacy, military and economic relations perspective.

Sambath, P. (2018). Cambodia-China Relation: Past, Present and Future. Sem data. Disponível em:< http://www. ncku. edu. tw/cseas/98CSEAS/report% 20SEA/CAM/cam11% 20phou, 20.

Section A: Microeconomics

Show how different economies attempt to solve the fundamental problem of economics.

According to The Basic Economic Problem (1), economic efficiency is used to minimize waste by ensuring that all the goods and production elements in an economy are distributed to their worthy uses. Economic freedom helps by having the ability to make choices of what goods and services to produce and distribute. It is the right of every person to work, consume, and make investments however they please. Economic security consists of having secure income and resources to keep up with the standard of living presently and in the future. Economic equity involves the fair dispensation of economic resources. Economic growth and innovation involve the use of new concepts to develop goods and services contributing to higher productivity and overall economic growth.

Explain what you understand by Division of labor

          Division of labor is the separation of tasks in production so that workers can be able to focus on specific tasks. The overall efficiency in production is increased when workers focus on specific tasks. The division of labor is connected to the growth of the total production and the business as well.

Ways to increase productivity

The ways to improve productivity include increasing the skills of the workforce. This enables them to have better and more skills to incorporate with what they know. Productivity is also increased by improving the allocation of financing to research and expansion. Research helps to improve productivity growth in the long term. Technology is another way to improve productivity. It helps to save time, work efficiently, and increase innovations.

The law of diminishing marginal returns

This is a principle in economics that is significant in finding the correct balance within a company. It plays a major role in the production theory which is the process of transforming inputs into outputs Hayes (1). The law of diminishing marginal returns states that adding one production unit in a production process and at the same time keeping the other stable causes the general production to decrease.

Section B: Macroeconomics

Why do governments seek to control inflation?

When an economy grows, inflation occurs because of the increase in expenses. This causes a rise in prices and the currency becomes worth less than it was previously weakening the exchange rate Kramer (1). Inflation is dangerous to the economy and therefore the government is prompted to use different methods to control inflation. Inflation makes goods and services expensive and also causes an increase in unemployment. It impacts consumers directly for example the high prices for food and other essential needs that a consumer uses daily. The government therefore must control inflation and create job opportunities and solve the unemployment crisis. 

How may a government protect an economy from rising imports?

Government protection from rising imports can be done by the implementation of trade barriers. Such barriers include import quotas, administrative trade policies, and tariffs. Tariffs are taxes that are put on imports which increase the prices of those imports for consumers which will make them choose to purchase domestic essentials Guarino (1). Import quotas reduce the supply of imports whereby the purchasers have to buy domestic products at higher prices compared to the global products. They help to limit the number of goods that can be imported to a country over a specific period. Administrative trade policies include laws that are developed to make it difficult for an importer of products in a certain country.

The Great Depression and the Economic Emergency

Introduction

The great depression was an extreme worldwide economic depression that began in the USA. It took place at different times in different countries. It demonstrates how the economic global economy can decline because it was the deepest and took the longest time. The economic emergency is any of a wide variety of situations that make some of the financial assets lose their worth. Economic emergencies were connected to the banking panic and other downturns that connected with the panics.

 Foreign transactions are restricted by the Government to protect domestic producers from foreign competition. In most instances, this harms the consumers. When trade is restricted, the consumer gets commodities at very high prices for low-quality goods and the world output reduces. The stock market crash was one of the significant causes of the great depression (Cecchetti & Karras 1994). There was a decline in the purchases that were made covering the board. When the stock market crashed, fear and economic distress made people stop making purchases. This led to a decrease in the number of items that were produced hence a reduction in the labor force. Another cause was the failure of the banks which led to people losing their savings. The drought conditions that made people result in selling their farms as a result of not being able to pay their debts and taxes living them with no profits and no money for themselves was another cause. The development of the Smooth-Hawley tariff by the government that was meant to help the American industries made tax for imports very high. This led to little trade between America and the foreign countries causing the great depression.

President Hoover reassured Americans that all was well and that they should believe in the future of the economy in the country. Hoover believed that working hard yielded great results. The response of Hoover to the economic emergency was to individuals telling them to work hard and requested the business society to aid in sustaining the economy by keeping the employees and not to stop manufacturing. He pleaded with the industrialists to maintain their wages as America fought the economic panic and assure them that they had nothing to worry about. When it was evident that the economy could not get better by itself, Hoover thought that it was of importance for the government to intervene. He developed an organization that assisted state and private relief companies. He pleaded with people to make contributions that would help the less fortunate and as an example, he donated for worthy causes (Carcasson 1998). Hoover opposed the direct aid of federal government programs because he thought that it destroyed the stability of power between the states and the integrated government. The projects he supported were those that involved working and getting their wages.

Conclusion

The great depression affected the economy in a very huge way. Banks closed, businesses closed and people became unemployed. The stock market crash had a huge impact on the great depression. President Hoover believed in hard work and did not support the direct relief programs that were proposed. He urged individuals to make donations that would help the people in need. Hoover himself donated large amounts of money for worthy courses.

References

Cecchetti, S., & Karras, G. (1994). Sources of Output Fluctuations During the Interwar Period:

Further Evidence on the Causes of the Great Depression. The Review of Economics and

Statistics, 76(1), 80-102.

Carcasson, M. (1998). Herbert Hoover and the Presidential Campaign of 1932: The Failure of

Apologia. Presidential Studies Quarterly, 28(2), 349-365. Retrieved May 15, 2020, from

www.jstor.org/stable/27551864

• GDP (current US$) – this refers to the monetary value of all goods and services that are produced in a country within a certain period of time. The Canadian GDP is used as the basis for measuring or providing a snapshot of the economy by estimating its growth rate. It is based on its income, production, or expenditure rate (Disha, 2020). From the statistical information collected, the Canadian GDP (Gross domestic product) was found to be 2 trillion.
• Population- this refers to the total number of people that are registered within the country. In Canada we have 38 million people as at the census that was collected within the year 2020
• GDP per capita (current US$) – this refers to the gross domestic product of a country. It measures the economic output of the country as per the number of people. It is computed by dividing the GDP with the total population (Barro, 2008). Therefore, the GDP per capita of Canada is $ 1.713 Trillion
• Literacy rate, adult – this is the education measure of individuals who are aged 15 years and above. The literacy rate of Canada as at the year 2020 was found to be 48%
• Life expectancy at birth, female, Life expectancy at birth, male = life expectancy measures the time an organism is anticipated to live basing that duration on its current age as well as other demographic factors such as gender. In Canada, the data collected indicates that it has a life expectancy rate of 82 %
• Fertility rate, total = fertility rate refers to the number of children that are born by each woman (Gilliard et al., 1995). As at 2020, the fertility rate of Canada was 74%
• Inflation = this is the quantitative measure of the price of goods and services that are produced in the country within a certain period of time. The rise in its prices is the one that is perceived to have the propensity of affecting its supply in the market (Vroman&Brusentsev, 2005). As at the year 2020, the inflation rate of Canada was found to be 0.61%.
• Unemployment = this refers to the number of people who are willing and ready to take any kind of job that is available but they are not able to find any job (Barro, 2008). As at the year 2020, the Canadian unemployment rate was found to be 7.47%
• Poverty headcount ratio at $1.25 a day (PPP) (% of population)- as at the report that was published in last year, the Canadian poverty rate was found to be 0.15%.
• One additional indicator of your choice. NDP (net domestic product) - this refers to the annual measure of the country’s output that is aimed at adjusting the account of depreciation rate (Disha, 2020). As at the information collected in the year 2020, the Canadian NDP was found to be 1.643%

Give a brief explanation why you find this indicator interesting.

            From the information collected above, the reason as to why these indicators are interesting is because they are the ones that highlight the wellbeing of the country. Taking into consideration the gross domestic product is paramount in estimating the propensity of the country to produce goods and services that meets the demands of the people. In case the country’s productivity decrease, it implies that the wellbeing of the state will also decrease. Inflation is another factor that is perceived to have the likelihood of increasing the rate of unemployment. Despite that, the economic the compositions of GDP simplify the rate the economic growth of the country. The living standards of the Canadian people will have to be based on the various forces of demand and supply (Fitz & Economic and Social Research Institute (Dublin), 2003). The increasing supply of products and service is the one that is perceived to have the likelihood of stimulating the economic wellbeing of the country.

            The decline in the economic growth of the state could have been fostered by the competitions that exist in the modern country. In computing the gross domestic product of the decline of the economic growth could have as a result of the rate of demand and supply. The main forces of demand that are used in the modern market economy include supply and demand, government expenditures, speculations and expectations, and international transactions. Therefore, the rate of rate of development of the state is depended on the productivity rate of the country (Nallari at al., 2011).  The expenditure of the state is one of the powerful strength for indicating the dependency rate of the state. The unemployment rate of the state is the one that is based on the literacy level of each individual.

            Canada has trade agreements with over a half of the world countries. As the 11^th biggest economy in the world its share of exports to the global market has decreased from 4.5% to 2.5% over the last 15 years as it enters into more and more free trade agreements. For example, in 2014 the country signed a milestone agreement with the European Union. Another factor that has impacted investment in the country is the availability of labor (Artis, 1982).  The number of factory workers has been declining at an alarming rate. For example, the total number of factory workers in the country in 2014 was 1,710,900, the lowest since 1976. The lack of labor has severely impacted Canada’s manufacturing capabilities.

            Among the monetary policies implemented by the country include: target for the overnight rate, short term interest rates, and flexible exchange rates, having stable banks, and controlling inflation. Among the stabilizers the country has built into its economy is reducing inflation below the 2 percent target. The country is also ready for supply shocks by stimulating demand in the instances where demand falls. However, the main stabilizers include tax revenues and employment insurance payouts. Canada’s public debt is approximately CAD$768 billion. It is 34% of the gross domestic product of the country. The public debt is as a result of the shortfall in tax collections against government spending. The banking system in Canada is mostly stable owing to the strong guidance of the central bank. It is one of the safest in the world with Canada’s banks ranking among the top banks in the world. For instance, the Royal Bank of Canada and the Toronto Dominion Bank rank in the top 20 banks in the world (TEXTBOOK, E. Q. U. I. T. Y. E. D. I. T. I. O. N., 2014). The central bank plays a crucial role in creating a stable environment in the banking system and the overall economy. Canada’s central bank, Bank of Canada, sets monetary policy and other measures to control inflation and preserve the value of money. Among the key indicators the central bank looks at to measure the health of the economy includes the consumer price index (CPI), inflation, and the CPI-trim.

            Canada’s fiscal policy has evolved since the 1930s. With the assistance of the monetary policy it aims at keeping prices stable. The fiscal policy balances the budget of the country where the Canadian government has to act prudently just as the households. Over the years Canada’s fiscal policy has had to respond to tax shortfalls and decreases and low economic activity to lower the impact on the economy (McEachern, 2012). Canada’s ability to keep the value of its money stable provides the backing. Money is a legal tender of the government while deposits of the customers are liabilities of the banks. The monetary and fiscal policies of the country have had an impact on the country over the years. Choosing an appropriate fiscal and monetary policy is a challenge for every country (Vroman&Brusentsev, 2005). Canada has adopted diverse frameworks over the years to attain price stability and fiscal sustainability. The stability in the Canadian economy is by adopting principles that gain broad public support and achieve macroeconomic stabilization.

References

Nallari, R., Griffith, B., & World Bank. (2011). Understanding growth and poverty: Theory, policy, and empirics. Washington, D.C: World Bank.

Fitz, G. J., & Economic and Social Research Institute (Dublin). (2003). The mid-term evaluation of the national development plan and community support framework for Ireland, 2000 to 2006: Final report to the Department of Finance. Dublin: Economic and Social Research Institute.

Disha, E. (2020). UPSC EPFO (Enforcement Officers/ Accounts Officers) Exam 2020 Guide. Disha Press

Barro, R. J. (2008). Macroeconomics: A modern approach. Mason: Thomson.

Vroman, W., &Brusentsev, V. (2005). Unemployment compensation throughout the world: A comparative analysis. Kalamazoo, Mich: W.E. Upjohn Institute for Employment Research.

TEXTBOOK, E. Q. U. I. T. Y. E. D. I. T. I. O. N. (2014). PRINCIPLES OF ECONOMICS VOLUME 2 OF 2. Place of publication not identified: LULU COM.

Artis, M. J. (1982). Demand management, supply constraints and inflation. Manchester: Manchester University Press.

Gilliard, J. V., Saunders, P., & National Council on Economic Education. (1995). A framework for teaching basic economic concepts: With scope and sequence guidelines, K-12. New York, N.Y: National Council on Economic Education.

McEachern, W. A. (2012). Econ macro 3. Mason, Ohio: South-Western Cengage Learning.