Chinese investments in Africa
CHINESE INVESTMENTS IN AFRICA China’s growing involvement in Africa has raised concern from western countries for the past decade. China claims to have distinguished itself from western countries with regard to its Africa policy by a great financial involvement based on “political equality and mutual trust, economic win-win cooperation, and cultural exchange”[1]. Indeed, as Hu Jintao says, “China and Africa are good friends, good partners and brothers”[2]. Chinese “investment” in Africa involves political, economic and cultural exchange. Trade, investment and aid are the three main economic components of China’s Africa policy. In order to understand the full scope of Chinese investment in Africa, we first need to define the terms more precisely. Chinese investments in Africa don’t, for example, include Taiwanese investments in the continent even though China imposes the One-China policy. Then, even though Africa is not only a continent but also a full range of countries, we’ll tend to consider Africa as a whole entity (excepted Maghreb) because many of the African countries have similar political and economic characteristics. Trade, investment and aid are the three main components of China’s economic engagement in Africa. These terms are not always distinguished because they are tightly link together: concerning China trade is end to the investments
India: Current Economic Reforms and its impact on Credit ratings.
________________ Indian government is pushed into dark corners from all sides. Policy paralysis, rising food prices and inflation are creating huge unrest among the general public. The corporate sector too is not happy with the way the government is functioning. Global rating agencies like the Standard and Poor’s and the Moody’s have downgraded India’s credit rating from ‘Investment’ grade to ‘Speculative grade’. Also it has come out heavily criticizing on the Congress’ leadership over its inability to convince neither its own allies nor the opposition and push the reforms measures. Also, Congress is widely split within itself on economic policies and there is serious opposition to any kind of attempt towards liberalization of the economy. But things have started rolling recently after the new finance minister has taken charge. A host of new announcements have started coming up to save the sliding economy. This is widely perceived as Reforms 2.0 in continuation to the reform measures which Dr. Manmohan Singh had initiated during 1991. The government has started wooing foreign investments and rationalising subsidies. The cabinet has approved to open up FDI in major sectors like airlines, retail and insurance which have created political heat. Some key allies have seriously condemned the move and left the coalition, creating serious threat to the smooth passage
Economic Indicator Project - analysis of the US Economy and Advice to the Fed.
Economic Indicator Project Brian Tessler AP Economics Mrs. Fischer 7 December 2012 The current condition of the economy can be described as stagnant recovery. Although the economy has been recovering, it is doing so at a slower pace than people had hoped and expected. These trends can be seen in many of the major economic indicators, including Consumer price index, Gross Domestic Product, industrial production, and retail sales. As a result, the U.S. economy has still not fully rebounded from the recession. Consumer price index is extremely important to the total economy because it is a measure of the change in the average price level of a fixed basket of goods and services purchased by consumers. CPI is the most widely followed monthly indicator of inflation. The CPI is considered a cost-of-living measure since it is used to adjust contracts of all types that are tied to inflation. Labor contracts are tied to changes in the CPI; Social Security payments are tied to the CPI; and even tax brackets are tied to the consumer price index. As for the current condition, consumer price inflation dropped in November on lower energy costs and the core rate softened. The consumer price index in November fell 0.3 percent, following a 0.1 percent increase the month before. The latest number posted lower than the consensus forecast for down 0.2 percent. Over the last year, CPI
How did Japan perform until 1991? How do you explain this performance?
Pinyada Khaochan 504 32655 26 .How did Japan perform until 1991? How do you explain this performance? The stimulus of Japanese economic miracle was the sorrow and revenge of the Japanese after surrender in World War II that had severely affected Japanese way of living. Likewise, it pushed the Japanese together to work harder for economic reform. Japan experienced tremendous economic growth and becomes the second largest economy in the world in 1968[1]. There are several underlying mechanisms behind the success of economic and social recovery. First, Japan was strategic and competitive in terms of trading. This includes the concept of Neo-mercantilist[2]; in other words, it encourages exports and discourages imports both physical goods and capital where it had advantage over America in terms of balance of trade. Another example is “Keiretsu”[3]- a grouping of enterprises with the same core business. This integration allows them to be more industrial efficient resulting in economies of scale. Second, Japan’s labor force was growing in number as well as productivity. People worked long hours and were dedicated to the company because of permanent employment policies with attractive wage. They also placed importance on bank savings, which enable banks to give loans for further investments, creating more jobs and raising the standard of living for the Japanese. Third
Causes and Effects of the Global Financial Crisis
U.S. & Eurozone Financial Crisis ________________ Uzma Altaf ERP # 04128 ________________ Table of Contents Causes contributing to the development of financial crisis in the US & the Eurozone Greed! The Housing Bubble in the U.S. & Eurozone NINJA Loans & Speculative Purchases Chinese mercantilism And Then the Bubble Burst! Role of Credit Rating Agencies Role of Regulators Net Capital Rule Relaxed No Regulation of Shadow Banking System Allowance to meddle with accounting rules Self-regulation of derivatives Removal of the Glass Steagall Act Corporate risk-taking and leverage Different names, one purpose (of investment portfolios) Mark-to-Market Accounting Challenges facing economic managers of US and Eurozone today The Federal Budget Deficit Lengthy Recession Risk of a country exiting EU Stimulus Programs The Housing Market Remains a Challenge Dodd Frank Act Position of the banking system in the U.S. Limited ability of Germany in EU’s bailout plan Austerity or no austerity Pressure on fulfilling promises on Hollande Effect of people’s perception of Mario Draghi Domino effect Bibliography Causes
European Business Environment. In this portfolio I will cover the topics regarding how and why the EU was formed along with the EUs environmental policy.
European Business Environment Assignment Contents Page ________________ Introduction………………………………………………………………………………………………………………page 3 How and why the EU was formed? ...............................................................................page 3 The European Union’s environmental policy…………………………………………………………….page 9 References……………………………………………………………………………………………………………….page 12 Introduction ________________ In this portfolio I will cover the topics regarding how and why the EU was formed along with the EU’s environmental policy. The information provided will be in a guide format, using articles and diagrams to enhance the points being made. The guide will include the history behind both subjects, discussions regarding their prerogatives and where these subjects currently stand in society. How and why the EU was formed? ________________ In order to understand how and why the EU was formed, we have to go back nearly 150 years in history and look at what was happening within Europe at that time.1870 was the year the Franco-Prussian war started between the second French empire and the kingdom of Prussia. The cause behind this war was mainly to do
Describe the Positive and Negative Effects of Globalisation on China
Study Skill College of Technology London Master Entry Programme Positive and Negative Effects of Globalisation on China Module: Study Skill Code: MEP5 Instructor: Mariana Bogdanova Submitted By: Ramesh Neupane CTL ID: 105724-77 Part 1 Essay The Positive and Negative Effects of Globalisation on China Introduction The combination method of local economics, civilisation and sophistication through the worldwide system of communication, transportation and trade is known as globalisation. The combination of the local economy to the foreign economy through different activities such as international trade, investment, international migration and the expansion of new innovation which are related to economic globalisation. It is commonly known as the integration of local economy, new technology, the tradition of the people and political factors to the foreign countries. Globalisation has influenced the different countries depending on their level of achievement and their expose to the movement of the global economy (Milward, 2003). Globalisation is a multi-dimensional process approach from view-point of the distinct disciplines. Economists give emphasis on the increase of global trade, flow of international capital and the liberal governance of the international companies. Political scientists observe globalisation as a procedure which tends to demoralise the nation and
Trade Liberalisation and Poverty - the examples of Britain, Vietnam and Nepal.
. International Trade Today there are so many issues which needs to be reformed, one of which is International Trade otherwise known as globalization. International Trade is simply referred as the exchange of goods and services across national boundaries. International trade accounts for a significant share of gross domestic product (GDP) in most of the countries. The value of international trade in 2010 was $19 trillion which is 30% of the world GDP. It means about one third of the goods and services are exchanged globally around the world. According to "Global Policy Forum", till 2030, 60% of the world economy will exchange their goods and services internationally. Theories of International Trade . Trade Liberalization When countries are interested in International Trade they need to follow trade liberalization or free trade. Over 200 years two opposing forces: the promotion of free trade and protectionism has been the main challenge of International Trade. Trade liberalization is the removal of the restriction or the reduction of barriers on the free movements of goods and services across countries. The main objective of trade liberalization is to remove tariff and non-tariff barriers. It includes the removal or reduction of both tariff and non tariff obstacles. The easing of such restrictions is often referred to as promoting "free trade." Trade liberalization
Discuss the assertion that the sole purpose of the tax system is to promote economic growth. Illustrate your answer with reference to examples from British and American tax policy over the last ten years
22/4/2013 Z0932142 .0 Introduction Governments are all committed, to some extent, to provide services for the population. This can be through provision of the legal system, defence, health services, as well as infrastructure such as roads. They must acquire funds in order to be able to fund such public expenditure. "The point to remember is that what the government gives, it must first take away." (Coleman, 1956) Revenue can be obtained through borrowing, but is more commonly obtained via taxation. Taxation is a government system that enforces levies or extractions on income, profit, expenditure or capital assets. It represents the transfer of resources from the taxpayers to the government. Historically, the sole purpose of this transfer was to finance public expenditure. While tax systems are still required primarily for financing public spending, nowadays they also aim to promote and address other social and economic concerns. In today’s world, there is extreme diversity in the types of tax systems used by governments. Disreali (1862) stated that expenditure depends on policy. Taxation and policy are linked no less in 2013 than they did in 1862. The consequences of taxation affect many household decisions including the savings decision and investment in human capital. Taxation also affects the decisions of firms to
Evaluate the macroeconomic and structural effects of overseas investment during the period 1870-1913
Evaluate the macroeconomic and structural effects of overseas investment during the period 1870-1913 During the period 1870-1913, net foreign investment averaged 4.3% of GDP, implying (gross) overseas investment was larger. This capital outflow was higher and sustained longer than investment previously (e.g. 2.8% in the 1860s). Overseas investment gave rise to various macroeconomic effects. Investment in the most profitable projects may have maximised national income and welfare in the short term. The income generated from overseas investment altered the UK's balance trade and balance of payments, perhaps causing the exchange rate to rise. Overseas investment may have reduced foreign producers' prices, improving the UK's terms of trade. Linked to these macroeconomic changes, structural effects also arose. Excessive overseas investment may have led to the UK's relative economic decline up to today. Insufficient domestic investment could have resulted in a failure to develop new industries with the potential of greater growth and income. The worsening balance of trade perhaps discouraged firms from innovating, further weakening industry. Over-dependence on services may have turned the UK into a rentier economy. According to Davis and Huttenback, investment funds flowed to the projects paying the highest returns, allowing for risk. In the period 1860-1912, higher safe returns