Inflation Essay Example | Topics and Well Written Essays - 750 words

Inflation - Essay Example Inflation is defined as the rise of the level prices of goods and services in a given economy over a certain period of time. In the event of an inflation or the rise of prices of goods and services in a given economy, the purchasing power of a given currency is diminished to the effect that it will now require more units of money for the same goods and services purchased or the number of goods and services purchased with the same amount of money is reduced. In effect, inflation is the loss or the diminishing of value of money in a given economy (Blanchard 45). In plain language, inflation is the instance where goods and services get expensive or the phenomena where people complain that the price of commodities is rising. Concretely, if one unit of bread costs $1 before and it now costs $2 for the same unit of bread, the increase in price can be attributed to inflaction. Inflation is typically measured by comparing the annual change in Consumer Price Index (CPI) or the basket of goods that people normally buy over time. The effect of inflation can either be good or bad. Inflation has the effect of decreasing the net value of money because of the rise of the price of commodities. For example, the $1,000 savings this year may only have the purchasing power of $900 next year due to rising prices caused by inflation. This is not good for investors and consumers alike. For investors, this meant that the inputs for production will increase substantially over a short period of time and this could make the business uncompetitive because it has to pass the increase of the price of its inputs to its selling price making it more expensive than its competitors. For the consumers, it makes their lives difficult because their money cannot buy much goods and services and in extreme cases, excessive inflation, such as the case of hyperinflation can drive consumers to hoard goods to shielf themselves from excessive increase of prices causing shortage of goods. Inflation is gener ally caused by several factors. In the case of hyperinflation, it is typically caused by too much circulation of money or excessive money supply (Barro and Grilli 139). This meant that more money are printed and circulated for the same amount of goods and services that it now requires more money to buy the same goods and services. The classic example for this is the phenomena of the Mickey Mouse money in the Philippines during the Japanese occupation whereby the Japanese government issued Japanese peso in excess. The amount of money that was circulated was just too much that the currency was Mickey Mouse Money or play money because it became worthless that buying a mere loaf of bread requires a bag or case of money (Dijamco). Another common factor of inflation is the change either in demand or supply of goods and services. A sudden increase in demand of a certain goods or services can drive the price up given the same unit of supply (law of supply and demand, prices go up when deman d goes up). In the same vein, a contraction in supply can also result in inflation or the increase in price of commodities. The classic example for this is the decision of Organizationof Petroleum Exporting Countries (OPEC) to increase oil price in October of 1973 where the the increase of the world price of oil shot up as much as much as five times and backed by a selective embargo which was directed against the industrialized countries, Latin America and developing countries (Street, 1978). OPEC’s decision to increase the price of oil contributed to the recession of the US economy in 1974 to 1975. Another common cause of inflation is the excessive growth of money supply compared to rate of real economic growth (Mundell 280-283). For example, if an economy only produces an amount of goods services to $100 a year and yet it continues to print and circulate money to the amount of $150, it will naturally cause prices to go up because there are too much money circulating in the economy. Inflation however can also be good when its

Value Chain management Essay Example | Topics and Well Written Essays - 500 words

Value Chain management - Essay Example Another complementor, with respect to Relationship Management and Process Improvement, is the highly competitive automobile industry with cut throat competition between the company and General Motors, Honda and Toyota as is reflected by the competitive stock market of the respective companies (C.Heckscher & S.Adler, 2006)(Appendix 3). This provides an incentive for Nissan to come up with state of the art technology and new ways of serving customers better (process improvement). Furthermore, relationship management with customers is complemented by state of the art technology of the company, including the Nissan Fleet Communications (NFC) which provides customer support and maintains a customer database (Jha, 2008). Technology Management/ Relationship Management Perhaps, one of the most recent and core complementor is the Earthquake in Japan (and previously the Tsunami) which has virtually shaken the foundations of major Japanese manufacturers. The company is recently facing supply ch ain management crisis due to shortages of key parts. In some cases, the supplier was changed, in others; the plant was fixed by the supplier.

Critical evaluation Essay Example | Topics and Well Written Essays - 250 words

Critical evaluation - Essay Example ard for the general practitioners’ support are some of the innovative ways in which access of the people with learning disabilities to the healthcare can be improved. Nevertheless, these methods’ effectiveness in providing the people with learning disabilities with improved access to healthcare needs to be examined. One strength of the article is that both primary and secondary sources have been consulted to collect the data. Another strength of the article is that it proposes a range of innovative ways in which access of the people with learning disabilities to healthcare can be improved. Yet another strength of the article is that facts and examples are supported by credible sources and references that add to the credibility of the points. One weakness of the article is that the authors were not able to study the literature covering every aspect of their model, though the authors do acknowledge this fact

CRIME THREAT SYNOPSIS Essay Example | Topics and Well Written Essays - 1250 words

CRIME THREAT SYNOPSIS - Essay Example Online dating sites, for example, post personal information about individuals that may be used to garner a love interest. Households pay their credit card bills and manage their funds and finances online. School-aged children, once able to play with their friends only by advance arrangement and/or face-to-face contact now enjoy forms of communication such as online gaming, texting, and chatting in a virtual reality, to say nothing of social media websites such as Facebook or MySpace. However, the fact that the internet is a nameless, faceless cache of information with no feelings on the issue of privacy or confidentiality may well be the undoing of society as a whole. In the 1995 movie The Net, the leading character, a computer programmer, worked from home, mainly online, and had few friends outside of her home. Upon leaving for her first vacation in six years, she found herself entangled in a scheme that saw her entire life and even her very identity erased. She quickly found that s he had been replaced by a stranger that was living her life, with her name. In one scene, a man even sits in a car with a portable computer and uploads false information into her police record to keep her on the run and trusting no one. Though in 1995 this movie was nothing more than a wonderful work of fiction that garnered praise from moviegoers and critics, in 2011, the reality of such things occurring is all too familiar. With more and more information being transferred from paper copies to digital media, almost anything is possible; whether information is true or not is another story altogether. According to the Internet Crime Complaint Center (IC3), a partnership between the Federal Bureau of Investigation (FBI) and the National White Collar Crime Center (NW3C), 336,355 complaints were received in the year 2009, up 22.3% from 2008 (Limbach). The main complaint was online fraud, with persons or even entire families being scammed out of thousands of dollars. For example, one wom an in California paid a company who represented themselves as a mortgage company called â€Å"Loan Modifications of America† a total of $3995 to modify the mortgage loan on her home (Limbach). The company turned out not to exist at all, and there is no one to go to that will give her money back, at least not as soon as it is needed. Now she is out almost four thousand dollars, due to someone else that desired to have money without doing an honest eight hours of work for it. Another wonderful yet disturbing facet of the internet and cyber-worlds is that it has brought the country closer together in terms of merchandise. Sites such as EBay offer online auctions across the country and even internationally for merchandise to be bought and sold to the highest bidder. In 2010, the IC3 reported that out of the top ten internet crimes, non-delivery of payment or merchandise ranked number one among them, with 14.4% of the complaints (Internet Crime Complaint Center 9-15). Though milli ons of users write online about positive experiences with EBay, and to be sure EBay is not the only site that lists products for sale, this is of little help or comfort to those that have been scammed and cheated out of their hard-earned money. It does not help, also, that auction fraud, as it is known, has been the leading complaint in cyber crimes, with 71.2% of all referrals being auction fraud since 2004 (Internet Crime C