Group items tagged

The Nigerian government must diversify the economy if the country is to survive falling global oil prices, said World Bank VP and Treasurer, Arunma Otteh. She said that Nigeria ranks 152 out of 188 in the HDI, and ranks below the average for sub-saharan Africa. Life expectancy in Nigeria is 53 years, 8 years lower than Ghana and 21 years lower than Brazil. Nigeria also ranked 136 out of 168 most corrupt countries in Transparency International's 2015 report. This affects the flow of FDI to the country. Nigeria's rapid GDP growth over the past decade hasn't translated to strong human development or competitiveness. Nigeria can no longer only depend on oil, which not sells for as low as $26/barrel which accounts for 95% of the country's foreign exchange.

This article highlights how the GDP is not the only factor in measuring the development of a nation, but how corruption and business confidence can play a role. This is seen by the decreasing oil prices, which has affected the Nigerian economy greatly.

GDP growth starts here. I chose this article because of one of the TOK questions we had this week it brings up education. Well this article talks about how education can lead to economic growth in many different ways. It doesn't just build up one sector it affects multiple, an interview has shown that people will need more than a high school education if they want to find a suitable job. If education standards increase so do income, technology , jobs all leading to an economic growth and I feel that this is actually even better because since it creates new things there is not chance of people losing jobs so employment is not at risk and as for inflation it will increase in the short run but level off.This research was done by Wössmann.

Overwhelmingly, more economically developed nations are states with a well-educated workforce. There is a clear and strong correlation between the educational attainment of a nation's workforce and economic productivity. Nations can build a strong foundation for economic success and shared prosperity by investing in education. Nations can increase the strength of their economies and their ability to grow and attract high-wage employers by investing in education and increasing the number of well-educated workers by improving the literacy rate. Investing in education is also good for the long run, since employees with higher incomes contribute more through taxes over the course of their lifetimes. Hence it can be concluded that investing in education , will definitely boost GDP maybe not in the short run but indefinitely in the long run.

Japan's economy is another recession. Many economists believe that the amount of old people int he country could be causing this. Japan's GDP reduced by .8%. Japan has been having economic issues for many years now. Japan's demographics aren't benefiting the country's economy. Since there are more old people then young people in Japan this hurts their GDP. The old people's population is bigger and growing faster than the working population, so the workers cant produce enough to sustain a stable economy. The GDP is Japan suffers because of this.

India's economic growth has exceeded expectations. India's GDP increase by 7.4% which was more than expected. The manufacturing sector that needed to improve grew by 9.4% which helped increase the country's GDP. Trade, hotels and transport, broadcasting, and professional services sectors all saw increases. India's economic growth and increasing GDP shows that the country's economy is getting stronger.

It is estimated that the Indian economy will grow between 8.1% and 8.5% in the 2016 financial year. Trade, hotels and transport & communication and services related to broadcasting, financial, insurance, real estate and professional services and manufacturing have registered growth over 7%. It indicates that although India majorly focuses on primary and secondary industries such as agriculture and manufacturing , the tertiary industries such as the services industry have been largely boosting the economic development in India.

- In this article, Nomura has seen an 8% GDP growth for the fiscal year. Chief economist in India states that some factors that caused the growth include "policy efforts from both the RBI and government support the projections for higher growth." Foreign investors continue to rise on the stock market which is evidence of the rise in investors participating in the market.

Christian Wienberg illustrates how expansions and contractions have an effect on the global economy. Recently there has been a contraction, illustrated by the decrease in consumption, thus production and trade. The business cycle would suggest a recovery soon, because of lowered inflation or even deflation.

The combined annual gross domestic product (GDP) of China and the European Union (EU) may grow by an additional US$200 billion by 2030, according to a study on the impact of a EU-China free trade agreement....

The article mentions of the increase in jobs being add in November and during the holidays, which will lead to a drop in unemployment thus an increase in real GDP. However the jobs are only seasonal and there has also been a drop in the deficit.

This article shows what the problems could be if the households/consumers/workers demanded higher minimum wages. On research in this article says it will decrease employment and give less incentive to the firms to HIREpeople and give them higher wages. However, another studies show that firms might cut back on some benefits for the worker, they might improve the productivity of the product. Moreover, the workers might as well work harder. And much more. The point is that the workers will do whatever it takes to have a high income. Thus it is possible to say that higher minimum wages could improve the economy because then, the national income will rise. And then this will increase the overall GDP of the country, leading to a higher economic growth.

This article discusses the problems with China's economy and what needs to be done to resolve these issues. In China economics and politics are very closely tied. This is due to the fact that China's authoritarian leaders are largely in charge of the economy and must deliver economic prosperity in order to stay in power. However, industrial production has fallen, fixed-asset investment and retail spending has slowed, and home sales have plummeted. This has caused concern among Chinese leaders. While there was once a consensus in the West that authoritarian politics were beneficial for the Chinese economy, this is becoming increasing questioned. For the past several years, the aim has been to "rebalance" the Chinese economy by avoiding over reliance in fixed investment and imports as well as greater reliance on domestic consumption to drive GDP growth.

This article discusses global economic growth. For the past several years, aggregate GDP growth has been around 3-3.5% per year, with similar levels of inflation. Growth trends in major economies have slowed and a gap between global aggregate demand and supply for goods/services persists. There is an excess of global supply relative to global aggregate demand. The article claims that falling oil prices, low interest rates, and monetary accommodation are responses to the issue of excess supply.

The left wing want to do "a Greece" to get back on track. They refuse to conform with the austrity demands of the EU, and want to get the country back on track by national measures, like reversing privatization. The political instability leads to lower investment and Portugal is warned that it might risk going the way Greece did.

Britain is experiencing a downfall in their economy due to less consumer spending. The GDP growth of the country has been slowing at a pace of .3% and according to economist Chris Williamson, this is due to the fact that consumers are being cautious with their spending and are pulling back and also that the manufacturing sector is struggling. The pound value has weakened compared to the euro and dollar. Also a poll done in the service sector shows growth at a slow pace since April 2013.

In the final quarter of 2015, Britain's trade deficit worsened. The shortfall between exports and imports increased significantly between the first and third quarters of last year which added to concerns that Britain's worsening trade position will negatively impact GDP growth this year. Howard Archer, the chief UK economist at IHS Global Insight, said,"UK exports have clearly struggled in recent months, as they have been hampered by sterling's overall strength in 2015, particularly against the euro, and moderate global demand." While recent declines in the value of sterling may boost export sales, this could be mitigated due to the deteriorating global situation.

With Canada creating free trade policies with many countries in Europe and also South Korea. They left out a hole on trade policy with China. This is what they need to now fill. Although China's economy is not booming, they are expected to increase in GDP of 6-7%. This can be benefiting to Canada. Considering the benefits Australia is having, after the relations with China. Australia and Canada have similar government policies.

This article discusses the financial recovery in America. The GDP growth is America has been well it and the job gains are more than what was expected. It also discusses Conor Sen at New Rivers Investments views on the economic cycle after the recent economic crisis in the country. To Sen even though the economy is improving but the economy that we are used will probably changes.

This article, published on November 30, 2015, describes how the US GDP growth (that is, economic growth) has been slowing in recent months. The article also describes fiscal drags on the economy, interest rates, and investment in US companies.

Euro has been facing slow recovery from the suffering economy in Europe however it is hard for the euro to get out of deflation because of emerging markets that are making it harder for recovery. The recovery has been led by Germany which makes up 30% of euro-zone GDP however their exports have fallen in August compared to that of July.In France an issue in oil prices has acted the same as tax cuts for consumers and businesses.The euro still looks like it will be facing very low inflation in the coming years.