Environmental regulations Research Paper Example | Topics and Well Written Essays - 1000 words

Environmental regulations - Research Paper Example Due to the fact, the following essay explains various regulations that have come of age. Development of standards that guide the proper usage of water has been the work of the department of the pollution control with the assistance of other agencies (Rerks-Ngarm, 2009). The institute together with other agencies provides the item, the pollution center of excellence in an attempt of improving the air situation in the country. Other works include the monitoring of the air and pollution, emission inventories, and air quality teaching as the others were studying in order to work alongside other partners. Another step is the provision of technical expertise for the provision of support for groups working to reduce contaminated soil, as well as water emissions. In addition, the Thailand government prohibits direct emissions of polluted water by manufacturing companies into the environment. Other enactments ensure the limited burning of waste products such as the burning of PVCs is in an open air. Some of the direct legislation includes the conservation and enhancement of the natural environment quality act of 1992. The standard of water quality act that ensures clean waters is a consistent provision to the citizens. The noise and air quality acts of 2007 that limit the extent of noise, as well as air pollution. In addition, there is the quality of soil act of 2004 that ensures the conservation of soil. The department of labor stipulates the working conditions that articulate the holidays, the minimum wage, the severance pay and the supreme working hours. The supreme number of working time is eight hours in a day that sums up to forty-eight hours a week. The enactments are an exception of work that the law defines as hazardous. In such scenarios, the working hours are seven or forty-two hours in a working week. Employees have thirteen holidays in a year. Besides, the employees are entitled to vacations of six days after a whole year of work that has no breaks. The

18th Century English Poetry Essay Example for Free

18th Century English Poetry Essay Eighteenth century poetry consisted of several types of literature including ode, elegy, epistle, verse tale, hymn, song ballad and epigram. This period is frowned upon by critics who compare the context of this era to that of another. They claim Eighteenth century poetry is considered frivolous because often times the content lacked a true essence that poetry upheld for many centuries. Perhaps this is true, for the times of this period were changing and people were facing greater hardships in their daily lives. Melancholy plagued those who were greatly concerned with social ills which may explain the presence of abstract and satiric themes that were heavily prevalent. Perspectives evolved from the Renaissance period into Neoclassicism where individuals became secondary and a greater emphasis on the straight forward mechanics of poetry existed ( Rowles). Although there were many artist noted among this genre of poetry, William Blake established himself as a simple yet dramatic writer who used irony, naà ¯Ã‚ ¿Ã‚ ½ve subjects, and traditional ballad structure to baffle the many readers to come( Norton p. 2264). William Blake wrote The Chimney Sweeper of Songs of Innocence in 1789. This poem is about young children who whose families were unable to care for them financially, therefore sent to work in English mines during the 18th century. These boys were often sold to master sweepers and in turn were treated inhumanely ( Arp and Johnson p.117). Blake took this harsh treatment of human life to reveal serous social criticism of his European society. Their heads were shaved bare to prevent black soot from soiling their hair and often suffered from serious diseases. Now, one can understand why Blakes work was frowned upon by aristocracies and often viewed as insane as he strongly disapproved and openly dissented the social welfare programs in his country (Norton p.2268). There is no identifiable audience except for those that hear the third line of the first stanza, weep! weep! weep! weep! in the streets of England. This is interpreted as a childs attempt to sing Sweep! Sweep!, which was the chimney sweepers street cry. There are two ideas which evolve throughout the Chimney Sweeper. Depending on ones outlook, the first possibility is that Blake is stating no matter how detrimental life becomes, no matter how bad the church (government/law) is; one will be with God after death. Sadly children are celebrating the morality of this concept. The idea is if these children continue to work hard, eventually life will resume in the peaceful heavens. This is revealed through a dream the little boy had when, an Angel who had a bright keyopened the coffins and set them all free. The last stanza completes this thought by stating, Though the morning was cold, Tom was happy and warm, so if all do their duty they need not fear harm. The other possibility is a negative-toned belief that children are conned into accepting their lives as slaves for adults. Either way, these boys are mocked by their naà ¯Ã‚ ¿Ã‚ ½ve states (Arp 117). Blakes use of dramatic irony is shining bright as he deliberately creates a cheerful sound for six stanzas while simultaneously developing a drastically different meaning. Ironically, this poem shows that children succumb to a positive perspective on life and do not fear death for they are too young to understand the realm of the situation. In the first two lines, Blake gives us an image of a child in a state of agony or even in a state of corruption as he is left all alone with no parents. However, after a night full of merry dreams the boy wakes up feeling happy and warm. This leads the reader to believe life continues with no worries instead of completing the story with a boy whose future is bleak and laborious. Perhaps, although I doubt, Blake would desire the reader to believe that anyone has the ability to be content with a depleted life so long as his/her dreams fulfill that empty space. Blake uses the image of two colors to represent the simplicity of this picture. The color black which holds significant importance as it is used to represent death and corruption. Black is the color of the boys coffins in the little boys dream. The color black is also referenced to the soot which is filth that covers the boys as they perform their daily chores. On the opposite end of the spectrum, the color white represents purity and angelic-like spirit. The eighth line, Toms hair is white before his head is shaved. At this point, Tom is compared to feeble lamb, a symbol of the ultimate sacrificial animal, as he cries when his head becomes bare. And similar to biblical stories, Tom is naked and white when the angels carry him off to heaven where God will be his father. Blake creates an allusion by giving the reader a peace of mind while using God as a symbol for safety and care (Norton p. 2268). There is no discernible meter for the poem, the beats jump anywhere from eight to twelve, with no repetition or pattern found. The Chimney Sweeper tone sounds very much like a nursery rhyme. Similar to Rock-A-Bye-Baby, the sounds are sweet an innocent, but if you read the words, when the bow break, the cradle will fall the words are quite disturbing. Like the dramatic irony established in this poem, tone presents itself as two-dimensional, sounding soft but actually disheartening. Williams Blake writes an excellent poem in my opinion; he used terms and ideas that we have studied in this course such as irony, symbolism and allusion. Although his language is simple rather than manipulating complicated words that Shakespeare prefers, I find his style easier to evaluate. Please do not get the wrong idea, by easy I mean a better understanding. Old world writers are fascinating, but often times are too difficult to comprehend, much less interpret. Not only did I learn about 18th century poetry, I also gained knowledge of Europe social ills of the time. Woks Cited Arp, Thomas, and Greg Johnson. Sound and Sense: An introduction to Poetry. 10th Ed. Heinle Heinle: Boston, MA, 2002 Hugo, Howard, and Patricia M. Spacks. Revolution and Romanticism in Europe and America. The Norton Anthology of World Masterpieces. Ed. Maynoard Mack. New York City, NY: W.W. Norton Co. 1997. 2264 2268. Rowles, Kelly. Overview of 18th Century Poetry. New Jersey, 2004. Richard Stockton College of New Jersey. Aug. 2004 http://caxton.stockton.edu/pom/stories/storyReader$6

Fascism Essay -- essays research papers

On the 23 March 1919 after a series of Communist demonstrations, the almost forgotten Mussolini decided to attempt to revive his Fasci movement. A meeting was held in a hall in a Milan and was attended by some fifty malcontents. From this seemingly small and insignificant event the Fascio di Combattimento' (Combat Group) was born. Initially, it would seem that the Fasci were destined for failure with none of their candidates (including Mussolini) winning a single seat in the 1919 elections. How was it that a party with no clear programme, save a belief in action of some sort, became a ruling dictatorship little more than ten years later? By the end of 1919, Mussolini possessed hardly more than 2% of the vote in Milan, less than 5000 votes against 170,000 for the Socialists. Was this a complete disaster? At the time it seemed so; the Socialists were so confident of their success that they staged a mock funeral in Milan stopping outside Mussolini's house to invite him to attend the burial of his party. Incredibly, by 1921 the membership of this previously tiny group was to rival the size of the Socialists. How was this achieved? It was certainly by no easy means; Mussolini's skill and luck played a vital role, but he was also helped by the seemingly blind incompetence of his opponents. Mussolini's path towards the top of Italian Government was hindered by many forms of opposition. However, most of his opposition came from the Government and the rival Socialist (PSI) party. Soon after the summer of 1920 the Fascists and their opposition inevitably clashed. The fact that Gioletti's government was faced with  « million workers sitting in in factories showed that Italy was a far from stable country in 1920. Did an opportunity present itself for Mussolini to gain ground over the Socialist opposition? If it did, Mussolini certainly did not take it. He was still recovering from his party's humiliating election defeat. Eventually the union leaders, evidently surprised by this sudden, spontaneous revolutionary outburst persuaded the workers to give in in return for higher wages. Although initially it would seem that the workers had won, the strikes had sown the seeds of fear amongst Italy's Socialist opposition. The overall effect of this was that many of the opponents of Socialism joined Mussolini's Fascist' party. The Socialist party by... ...ht home the importance of opportunism and action as opposed to inactivity and fixed ideologies. As S. Lee argues, Mussolini was strongly inclined to intuitive behaviour and projected himself as a flexible pragmatist. This allowed him to make full use of the chaotic conditions in Italy, and considerably increased the Fascist party's fortunes. However, we must also consider that to a certain extent, the opposition's continued failures and misjudgments almost pushed Mussolini into power. We must also take account of the fact that Mussolini certainly had his fair share of luck - a prime example is the King's refusal to declare a state of emergency, which would have allowed the army to attack the Fascists. However, it was his ability to act out the role of the Italian people's dream leader that gave him the most success. He played upon the post-war crisis, and made it appear that Fascism was the only way in which socialism would be smashed, and Italy's society and status would be rebuilt. To the Italian people, Mussolini was the great leader they had been desperately searching for - the leader who was going to make Italy a great power, and a respected force in the world.

External marketing environment factors Essay

Marketing assignment on: External marketing environment factors Q1. Identify & Discuss which external marketing environment factors more impact on Ford. Ans1. Ford Motor Company refers to an American multinational enterprise which deals in the manufacturing of the automobiles. Ford has been known for manufacturing cars on a large scale. Ford refers to the second largest manufacturer in case of the automobile sector. Based upon the annual sales figure, Ford has been termed at the fifth largest amongst all across the globe. In order to study the external environment of the same, the five major fact ors such as Political, Economic, Social, Technology & Legal aspects should be kept in mind. One of the external marketing environment factors which would impact more on Ford would be the Technological Factors. In order to attain competitive advantage as compared to the other automobile manufacturers, use of the upgraded technology would play one of the most crucial roles. These days technology is being changing in a blink of an eye. Therefore, Ford must do proper research in order to see what all changes have been made in the same. In case of the automobile industry, innovation would also play a major role. Innovating the existing automobiles would give the old cars an entire new look. Use of internet would also help the organization in order to communicate with the internal as well as the external customers. Internet would also help in order to protect the privacy of the organization. Q2. Product Strategy A) Evaluate products Strategy which can adopt to Ford industry. In order to sustain amongst the competition, Ford industry should keep in mind the following product strategies. This would help in order to redesign or re consider the entire product line of Ford. ? In order to reduce the level of pollution, Ford should try to make eco friendly cars which would help in order to emit less amount of smoke. ? The car so developed should be made out of approximately 85% of recyclables. Eco friendly bio based seats should be incorporated in the same. ? Ford should make commitment with it’s customers that in order to have a broader sustainability all across the globe they shall follow the principle â€Å"reduce, recycle & reuse†. ? Use of renewable along with recyclable material should be used. This would help the organization to go green & help save the planet from the pollutants. ? Use of flexible fuel vehicles, Hybrid technology & Electric Vehicles should be used. This would help in order to reduce the level of emissions in the atmosphere. B) Analyze what kind of impact of Ford on the performances. By adopting the various product strategies mentioned above, Ford would have the following performances over the same. ? With the use of various recyclable materials, the level of emissions would decline. ? People would prefer Ford as compared to any other automobile manufacturer. ? Use of flexible fuel vehicles, Hybrid technology & Electric Vehicles should be used. This would help in order to reduce the level of emissions in the atmosphere. ? Productivity as well as the efficiency or performance of the cars would also be increased. Q3. Strategy Marketing Planning A) Do you think large companies need strategy marketing planning? Yes. Why? Yes, large companies require strategic marketing planning. A strategic market plan refers to a type of plan which would help any organization or a sector regarding the various types of objectives to be taken into consideration in the years to come. One of the major reasons as to why large companies need a strategic marketing plan is that it has been regarded as a well structured guide book which consist of all the relevant points of a marketing plan. The strategic marketing plan would take into consideration a detailed budget, source of media to be used, potential target audience, and channel of distribution to be chosen. The strategic marketing plan would help the organization in order to have an in depth knowledge regarding the automobile industry. This would help Ford in order to have detailed information regarding the marketing strategies to be used & measure its performance as well. This would also help in order to examine or re-examine the objectives to be used at Ford. A well structured strategic marketing plan would help Ford in order to create a difference amongst successful strategies as compared to the failed ones. The strategic marketing plan would also help in order to define the marketing objectives, plans, procedures, goals, vision, target audience in the most cost effective & efficient manner. Hence, it must be noted that Ford should use a well structured & a formal strategic marketing plan which would help the organization in order to have well defined objectives, goals, vision, mission, etc regarding the same. This would help in order to assess the current status of the organization with respect to product, promotional, pricing & distribution strategies. B) Analyze strategy marketing plan on Ford and discuss why Ford’s strategy marketing plan is not working and give solutions for it. By analyzing the current marketing plan on Ford, it can be concluded that the current market share of the same has been declined. It could be stated that the current domestic market share of Ford has been declined by an approximate figure of 5% since 2001. The stock for Ford has also closed at a price of $8. 01in Jan. In order to stabilize its market position, Ford should launch various models of car catering to the small segments. This would help in order grasp demand from the other segments as well. This would also help in order to scant the demand in the years to come. The organization should try to adopt various pricing strategies such as bei8ng cost effective, low cost model which should be priced approximately in the range of $9,000 – $13,000. This would help in order to target the young potential buyers as well. In order to get into them, revitalization of the product line with a new marketing strategy along with the product design should be done. This would help in order to boost up the level of sales & stabilize its position in the market.

Critical Lens

The following quote, â€Å"Sometimes failure is more beneficial than success† is a bold and eccentric statement to make, but it is indeed true. In my view, success is largely dependent on how we fail since it is what breeds learning and new understanding. It is impossible to be perfect in life and not to have committed a single mistake. Obstacles constantly present themselves, challenging and sometimes hindering our ability to overcome them at first. Although it may reveal our weakness, failure undoubtedly builds character and allows us to become what we ideally wish to be. The following works of literatures, The Alchemist by Paulo Coelho and Frankenstein by Mary Shelley, demonstrate how failure pushes the protagonists of each individual story and provides a stepping stone toward reaching their goal. In The Alchemist, Santiago falls to several disheartening events, but they enable him to pick himself back up and continue on with the rest of his journey from Andalusia to the pyramids in Egypt. For instance, when Santiago arrives in the market town of Tangier, a thief robs him of his money for his journey, forcing him to seek work at a crystal shop. During his time there, Santiago learns the workings of a business and encourages the merchant to takes risks. These risks eventually pay off and Santiago becomes a rich man in just a year. The true test, however, for Santiago came with the passing of the desert, which is an important symbol in the book. With its harsh conditions and tribal wars, the desert is symbolic of the serious difficulties that await anyone in pursuit of reaching their goal or Personal Legend, but it also serves as an important teacher to Santiago during his journey to the pyramids. More than the desert heat, the desert’s dull and barren state test Santiago, as it diminishes his confidence at times. As Santiago learns, however, he discovers that even the desert contains life and the Soul of the World. Santiago begins to understand his environment and to see the signs of life in what seems to be a wasteland. This prepares him for the greatest test of all: to connect with the desert in an effort to become the wind. In the end, he does succeed, propelling him forward to reach his destination. In Frankenstein, Victor Frankenstein becomes consumed by the desire to discover the secret of life and, after several years of research, becomes convinced that he has found it. Equipped with the knowledge, he spends countless months over creating a creature out of old body parts. The symbols of light and fire, which are constantly brought up throughout Victor’s experimentations, represent his knowledge and discovery. Victor experiences several failures, breaking him physically and deteriorating his health, but his determination strengthened. He learned about the errors he was making that caused him to fail, and with this, he finally brings his creation to life one climatic night. When he looks at the monstrosity that he has created, however, the sight horrifies him. In this case, light represents danger, as Victor’s act of creation eventually results in the destruction of everyone dear to him. The characters of Santiago and Victor Frankenstein are two perfect examples as to why failure is needed in order to succeed. From these books, it is shown that success is really the progressive understanding of pre-determined goals, while the very journey is what makes or breaks us. Both Santiago and Victor do face failures in their journeys toward achieving their dream, but without failing, they would have made not learned from their mistakes and gained an experience from it. Although the end result of Victor’s failures worked against him and Santiago’s failures allowed him to lead a life of success, what is most important from these experiences is the lesson learned and knowledge gained. This is what makes Victor and Santiago successful as the end result is not what matters most, but the amount of effort and ability to rise from failure in order to reach one’s goal. Critical Lens According to Seneca, a Roman philosopher, â€Å"The bravest sight in the world is to see a great man struggling against adversity. † In other words, the boldest thing in this world is to see an honorable person fighting against misfortune, and never give up. I agree with this statement because it happens in real life and in literature. A man who goes against tragedy caused by nature, human or himself is considered great and honorable. Two works of literature that illustrate the quote as I have explained it are Robinson Crusoe by Daniel Defoe and Night by Elie Wiesel. Robinson Crusoe by Daniel Defoe is a good example of this statement because the protagonist, Robinson Crusoe, ensures his survival through storms, enslavement, and twenty-eight year isolation on a desert island. Robinson is both the narrator and protagonist of the novel. The major conflict in this novel is Crusoe shipwrecked alone, forcing him to fend for himself and his basic needs. He lost his only friend, Friday. He struggles between hardships, loneliness in his attempt to survive on a desert island. Crusoe was fighting alone against the force of nature and his own inner fears. Night by Elie Wiesel is a good example of this statement because the protagonist struggles with Nazi persecution and with his own faith in God and in humanity. It is written in first person’s point of view. Fire appears throughout the novel as a symbol of the Nazis’ cruel power comes against humanity. The rising action is Eliezer’s journey through the various concentration camps and the subsequent deterioration of his father and himself. The climax is when his father died. This cause Eliezer’s eternal conflict, he was now alone by himself, struggling to maintain faith in a generous god, silence and cruelty towards other human. In conclusion, it is clear that in both Robinson Crusoe and Night the characters discover â€Å"The bravest sight in the world is to see a great man struggling against adversity. † A great man who fights against misfortune is considered as the bravest sight in the world. Both Robinson and Eliezer experienced misfortune that caused by nature and human. They lost their friend and family members, but they did not give up. They were struggling against it and gain victory at the end. Critical Lens According to J. F. Clarke, â€Å"The bravest of individuals is the one who obeys his or her conscience. † In other words, people are only truly brave when they follow their own sense of goodness instead of following others. This idea is clearly evident in the novels A Walk to Remember by Nicholas Sparks and Of Mice and men by John Steinbeck. The quote is exemplified in both novels by the literary element of theme. In A Walk to Remember, Landon Carter befriends unpopular Jamie Sullivan. In Of Mice and Men, George kills his friend Lennie to spare him from a horrific and painful murder. In A Walk to Remember, Jamie Sullivan is an unpopular, religious girl who gets teased constantly for her beliefs. Popular Landon Carter befriends her, and asks her on a date to the homecoming dance at school. His friends tease him for this, but he knows that Jamie is a genuinely good person, and although his friends think differently, he is doing the right thing. The two develop a relationship. Eventually, Jamie confesses that she has an incurable form of leukemia, and is dying. Landon watches her get more ill, but he stays with her as often as he can, and tries to help in any way he can. After Jamie dies, he looks back and realizes that by following his conscience, his life has changed. The theme love conquers all relates to both the quote and the novel. Landon and Jamie’s love for each other changes both of their lives. Throughout Jamie’s illness, Landon learns a lot about himself and life, and his bravery allows him to do that. In Of Mice and Men, George faces a difficult decision. George’s best friend, Lennie, accidentally kills Curley’s wife, and he leaves the ranch. When Curley, the boss of the ranch’s son, discovers the death of his wife, he puts together a mob and sets out to find Lennie and shoot him in his guts. George knows that this will be very painful and agonizing, and he is not sure what to do. He ultimately decides to kill Lennie himself by shooting him in the back of the head. George meets Lennie by the pool of the Salinas River, and tells him his favorite story, the story of the farm. As soon as Lennie is calm, George shoots him. He knows that killing him this way will be instant and without pain. George feels that he is doing the right thing y sparing his friend of pain. The theme of loyalty and sacrifice relates to the quote and novel. George’s loyalty to his friend forces him to sacrifice him. This takes a lot of courage, but by doing this he is sparing his friend of extreme suffering. People are only truly brave when they follow their own sense of goodness. Landon’s bravery allows him to have a great relatio nship and gain knowledge about life. George’s bravery spares his friend of a painful death. Both novels show that the best form of bravery is when a person follows their conscience. Critical Lens According to Seneca, a Roman philosopher, â€Å"The bravest sight in the world is to see a great man struggling against adversity. † In other words, the boldest thing in this world is to see an honorable person fighting against misfortune, and never give up. I agree with this statement because it happens in real life and in literature. A man who goes against tragedy caused by nature, human or himself is considered great and honorable. Two works of literature that illustrate the quote as I have explained it are Robinson Crusoe by Daniel Defoe and Night by Elie Wiesel. Robinson Crusoe by Daniel Defoe is a good example of this statement because the protagonist, Robinson Crusoe, ensures his survival through storms, enslavement, and twenty-eight year isolation on a desert island. Robinson is both the narrator and protagonist of the novel. The major conflict in this novel is Crusoe shipwrecked alone, forcing him to fend for himself and his basic needs. He lost his only friend, Friday. He struggles between hardships, loneliness in his attempt to survive on a desert island. Crusoe was fighting alone against the force of nature and his own inner fears. Night by Elie Wiesel is a good example of this statement because the protagonist struggles with Nazi persecution and with his own faith in God and in humanity. It is written in first person’s point of view. Fire appears throughout the novel as a symbol of the Nazis’ cruel power comes against humanity. The rising action is Eliezer’s journey through the various concentration camps and the subsequent deterioration of his father and himself. The climax is when his father died. This cause Eliezer’s eternal conflict, he was now alone by himself, struggling to maintain faith in a generous god, silence and cruelty towards other human. In conclusion, it is clear that in both Robinson Crusoe and Night the characters discover â€Å"The bravest sight in the world is to see a great man struggling against adversity. † A great man who fights against misfortune is considered as the bravest sight in the world. Both Robinson and Eliezer experienced misfortune that caused by nature and human. They lost their friend and family members, but they did not give up. They were struggling against it and gain victory at the end. Critical Lens According to J. F. Clarke, â€Å"The bravest of individuals is the one who obeys his or her conscience. † In other words, people are only truly brave when they follow their own sense of goodness instead of following others. This idea is clearly evident in the novels A Walk to Remember by Nicholas Sparks and Of Mice and men by John Steinbeck. The quote is exemplified in both novels by the literary element of theme. In A Walk to Remember, Landon Carter befriends unpopular Jamie Sullivan. In Of Mice and Men, George kills his friend Lennie to spare him from a horrific and painful murder. In A Walk to Remember, Jamie Sullivan is an unpopular, religious girl who gets teased constantly for her beliefs. Popular Landon Carter befriends her, and asks her on a date to the homecoming dance at school. His friends tease him for this, but he knows that Jamie is a genuinely good person, and although his friends think differently, he is doing the right thing. The two develop a relationship. Eventually, Jamie confesses that she has an incurable form of leukemia, and is dying. Landon watches her get more ill, but he stays with her as often as he can, and tries to help in any way he can. After Jamie dies, he looks back and realizes that by following his conscience, his life has changed. The theme love conquers all relates to both the quote and the novel. Landon and Jamie’s love for each other changes both of their lives. Throughout Jamie’s illness, Landon learns a lot about himself and life, and his bravery allows him to do that. In Of Mice and Men, George faces a difficult decision. George’s best friend, Lennie, accidentally kills Curley’s wife, and he leaves the ranch. When Curley, the boss of the ranch’s son, discovers the death of his wife, he puts together a mob and sets out to find Lennie and shoot him in his guts. George knows that this will be very painful and agonizing, and he is not sure what to do. He ultimately decides to kill Lennie himself by shooting him in the back of the head. George meets Lennie by the pool of the Salinas River, and tells him his favorite story, the story of the farm. As soon as Lennie is calm, George shoots him. He knows that killing him this way will be instant and without pain. George feels that he is doing the right thing y sparing his friend of pain. The theme of loyalty and sacrifice relates to the quote and novel. George’s loyalty to his friend forces him to sacrifice him. This takes a lot of courage, but by doing this he is sparing his friend of extreme suffering. People are only truly brave when they follow their own sense of goodness. Landon’s bravery allows him to have a great relatio nship and gain knowledge about life. George’s bravery spares his friend of a painful death. Both novels show that the best form of bravery is when a person follows their conscience.

Careers Ideas for English Majors

Careers Ideas for English Majors English majors are fortunate in that they graduate with degrees in a field that nearly everyone has heard of. The problem they face, however, is turning that English major into an actual job. Fortunately, many employers are aware that English majors come with a unique set of skills. Consider applying your knowledge in writing, critical thinking, and literature in one of the following careers. Careers in English Teach English in the United States. Its the classic choice for many English majors - and for good reason. If you love literature, working with students and writing, teaching in the U.S. through a program like Teach for America can be a great first gig.  Teach English abroad. Love to travel? Want to live somewhere new? Want to learn a new language? Teaching English abroad can be a great option for blending your personal and professional interests.Work in marketing for a for-profit company. Writing well may come easily to you, but it doesnt for everyone. Put your skills to work at a big companys marketing department.Be a freelance editor. Love helping people develop their own work? Consider freelancing as an editor.Be a freelance proofreader. Are you the person whom everyone comes to on campus to make sure their grammar and punctuation are perfect? Start charging for those services and see if you can make a career for yourself.Work for a newspaper. Contrary to popular belief, news o rganizations are on the rise and still hiring. Consider working as a journalist or editor. Work at a bookstore. Love books? Use your passion for literature to inspire the same passion in others.Work at a nonprofit that focuses on a love of literature. Consider working for a place like 826, which  focuses on bringing reading and books to those most in need.Do communications work for a large company. Creating copy and communication plans for a large company can be a fantastic challenge.  Do communications work for a nonprofit. You have awesome writing skills. Nonprofits need awesome folks. Pick an organization you love and you just might have a match made in heaven.Work as an editor or proofreader for a magazine. See if you can blend another of your passions - like photography, for example - by working as an editor or proofreader for a magazine in the field.Work as an editor or proofreader for a website. Most websites are designed and written by folks who want to get their information out. Make sure that information is clear and well written.Pursue life as a freelance writer.  Throw your hat in the ring and see if your skills as a freelance writer can pay the bills. Work at a library.  Working at a library can be a great way to interact daily with books and other tomes of information, with the added bonus of working more extensively with the community.Work at a local theater. Many local theater houses need folks with multiple talents: writing, acting, proofreading, editing. Put your multiple skills to use while having fun, too.Write promotional materials for a sports team. Love sports? Have a local sports team nearby? See if you can get a gig helping with the teams writing needs.Work at a TV station. You may think you need a degree in broadcasting to work at a TV station. But all those stories you hear on the news at night need to be written, edited, and proofread by someone who knows what theyre doing.Work at a radio station. Similar to TV, radio stations are in need of English majors. From writing marketing materials to proofreading promos, a radio station can be a fun and exciting place to work.Work for a technology company. You may picture tons of techs working in cubes when you think of a technology company. But all those instruction manuals, websites, user guides, and even video games need people to translate them from code to real English. Be a grant writer. Grant writing is a unique field that will allow you to help support a cause you believe in, work for an interesting organization, put your writing skills to work, and see the direct results of your efforts. Not too bad for a days work.

Micro and Macro Environment Factors Essays

Micro and Macro Environment Factors Essays Micro and Macro Environment Factors Paper Micro and Macro Environment Factors Paper In this report I will be trying to help and advice marketing manager of Dynamic International Ltd. I will explain what are micro and macro environment factors and how do they affect his marketing decisions as well as consumer buying behavior. I will propose him segmentation criteria, targeting and positioning for his products. Micro environment Micro environment consists of the different types of stakeholders outside the organization. The constituents or stakeholders of the micro environment include customers, suppliers, creditors, distributors, dealers, etc. Although these constituents arent the direct control of the organization, still they can be influence by organization through its policies and strategies (Dry. Carmine Gunman, 2010 page 37). Micro environment factors which could influence Dynamic International Ltd are: Employees Employees are critical to success of the organization, the dynamic international is hand gloves manufacturing company and their employees are the ones responsible for keeping their company going. Employing the right stuff, providing them trainings and keeping them motivated gives ability to et customers deadlines and produce high quality hand gloves. Suppliers Suppliers are those that provide goods and services which are transformed into value by organizations. Dynamic Ltd should look for right suppliers and keeping good relationship is crucial to organization, getting competitive prices and high quality goods are the one of the good relationship examples. Customers Customers are the ones who make a market; they are the ones who buy goods and using them. Customers are the reason why companies start business, why companies developing new products and differentiated their existing products. By selling the goods to the customers organizations makes a profit, thats why Dynamic Ltd have to concentrate on satisfying their customers needs and wants. Macro environment The macro environment consists of constituents that are beyond of the business organization. The constituents are social-cultural, technological, economical and political factors which constitute their own individual environments (Dry. Carmine Gunman, 2010 page 37). Macro environmental factors which could influence Dynamic International Ltd are: Political Government is the one that responsible providing the rules of the game which make business function smoothly, government responsible for introducing new laws and regulations, taxation for the business. For example if government decides to cut funds for public sector in order to save money, all councils may have to look for cheaper options to buy gloves for their workmen, which means Dynamic Ltd could lose their customers. Economic It is very important to look at economic environment. Almost every business depends on it, some countries have strong economy some countries dont. Economic environment is very dynamic; it keeps on changing in changes with government policies. If economy is poor there will be negative effect on the business and organizations would have to find the way out to make people buy their products. For example if there would be high unemployment in the country Dynamic Ltd would have to use different marketing strategies by using commercials or advertising, or dropping their prices to show compassion for their customers. Technology Technology is changing fast and the adoption of the new technology could be a good investment in the business, for example Dynamic Ltd decide to buy a new manufacturing machine , this could be a competitive advantage for hem, and it could increase a speed of the production and save the money instead of hiring extra employees. Segmentation Criteria To segment the market is crucial because you have to allocate resources and to know who you are concentrated at. There are four types of segmentations which is geographic, demographic, cryptographic, and behavioral segmentation. I will be proposing two segmentation criteria for Dynamic Ltd which is: Demographic segmentation Dave Needled (1999) suggests that this is the most commonly approach to the market. The division of consumer groups according to demographic rabbles such as age, gender, income, occupation, education, family size helps you to target market. Dynamic Ltd could use this to understand how these characteristics influence the products they selling. For example, knowing that customer needs changes with age they could promote their products to meet the needs Of all age Of groups or using gender segmentation they could increase productivity buy start selling both male and female hand gloves. Behavioral segmentation Behavioral segmentations concerned about buyers behavior, they are divided into segments according the way they behave, such as usage of the reduce, knowledge of the product, loyalty, and attitude toward the products. For example loyal customers might be able pay extra price for a pair of gloves, because their trust the quality and standard of the product, but some may not be interested because they know little or nothing about it. Targeting Strategies Another step after we finish segmentation is targeting. Once the market has been segmented, the Dynamic International need choose targeting strategy. Targeting is about which and how many groups of customers organizations are going to target with its products or services. There are three targeting strategies: differentiated, undifferentiated, and concentrated. Differentiated strategy This strategy is when the company decides to target more than a one market segment. Using this strategy the company can spread risk across the market, so if one segment declines the company still has revenue from others. The disadvantage is that it requires a high level of marketing expertise and will incur higher costs (Marilyn A. Stone, John Despond, 2007 page 172). Undifferentiated strategy This strategy is when organization assumes that the market is homogeneous nit, in other words company ignores market segment differences and goes after all market with one product offering (Marilyn A. Stone, John Despond, 2007 page 172). This approach would suit for large global companies that have strong offerings, or organizations who sell commodity products. Concentrated strategy This strategy involves specializing in one specific segment. This can lead to detailed knowledge of target segmentÃ'Å¡ s needs and wants, with the added benefit that organization is regarded as a specialist over it mass-market competitors. Advantage of this strategy is that it reduces costs, as there is only one marketing mix to manage (Marilyn A. Stone, John Despond, 2007 page 172). I think the most suitable targeting strategy for Dynamic International Ltd would be differentiated strategy, because this strategy is perfect for organizations wishing to grow. Targeting more than one segment means that Dynamic Ltd would have got more products to offer, so even if some segments would fail they would still get profit from other segments. Consumer Buying Behavior Why do we need to understand customer behavior? Analyzing customers behavior helps to understand why buyers buy and use certain products and revises, it helps business to adjust their marketing strategies and promote their products. Consumer buying behavior is ;the decision processes and acts of individuals involved in buying and using products or services (BP Learning Media, 2010 page 131). There are many situations that buying behavior could affect marketing activities. As I illustrated below in the first situation it could depend on customers lifestyle. If the customer is young student who doesnt really know much about technology and needs new laptop, because the old one is broken down, would probably make up his mind quick and easy. While professional IT specialist would probably take is time and think about performance and quality of the product. Second situation as illustrated below it might be psychological factors, where customer is loyal to Apple products and belief that is better than any others. Buying a laptop (second situation) Buying a laptop (first situation) Positioning After finishing segmenting and targeting I am going to decide what type of positioning strategy could Dynamic Ltd use for its products. Positioning strategy helps to differentiate organization products and services from its monitors. Havilland (2010) suggest that positioning could be defined as the distinct place of products (or service) occupies in the minds of the target customers relative to competing products. In other word, how the firms wants its products to be perceived by target customer on important attributes or benefits. Differentiating themselves from competitors is crucial to success, being able to create different perception about your product in your targeting customers minds that is where the success is. First thing Dynamic Ltd could try to be different by offering different prices to their customers; however their competitors could switch their prices easy to be competitive. But having good competitive price and quality products that what makes different from your competitors. Dynamic Ltd should come up new design gloves that are comfortable, long lasting and safe gloves that could suit both male and female. Being the first to offer something unique would be a success. They could even use a slogan for their products such as The Best hand gloves to protect your hands Conclusion clearly showed what and how micro and macro factors could affect Dynamic Ltd marketing decisions. Also suggest you the best suitable segmentation criteria, targeting strategy and positioning for your product. Pop my suggestions will help George to make future decisions easier for his company.

Blissful Quotes About Love

Blissful Quotes About Love Have you ever noticed that when you are in love, you always go around with a smile on your face? Indeed, love brings immense happiness to the lives of those who are experiencing it. The following happy love quotes talk about the bliss that those in love experience. Jennifer Aniston True love brings up everything - youre allowing a mirror to be held up to you daily. John Sheffield Tis the most tender part of love, each other to forgive. Nora Roberts Love and magic have a great deal in common. They enrich the soul, delight the heart. And they both take practice. Teilhard de Chardin The day will come when, after harnessing the winds, the tides and gravitation, we shall harness for God the energies of love. And on that day, for the second time in the history of the world, man will have discovered fire. Erica Jong Love is everything it is cracked up to be. Thats why people are so cynical about it... It really is worth fighting for, being brave for, risking everything for. And the trouble is, if you dont risk anything, you risk even more. Helen Keller The best and most beautiful things in the world cannot be seen or even touched; they must be felt with the heart. George Elliot I like not only to be loved, but to be told that I am loved. Leo Buscaglia The life and love we create is the life and love we live. Barbara De Angelis Love is a choice you make from moment to moment. Joseph Conrad Woe to the man whose heart has not learned while young to hope, to love - and to put its trust in life. Michael Dorrius Love transforms; it simultaneously makes us larger and limits our possibilities. It changes our history even as it breaks a new path through the present. Saint Jerome The face is the mirror of the mind, and eyes without speaking confess the secrets of the heart. Karr Love is the only passion which includes in its dreams the happiness of someone else. T. S. Eliot Love is most nearly itself when here and now cease to matter.

Gulf Regional Legal Environment of Business 3 Essay

Gulf Regional Legal Environment of Business 3 - Essay Example Competition law is part of the legal environment of business in Gulf region that requires numerous amendments and enforcement. Competition laws facilitate the entry of foreign firms in the economy and ensure that the economy gains from increased product innovation and high quality products. Fair competition laws also facilitate bilateral and regional cooperation between several states thus strengthening both the economic and political relations. Oman has certain anti-competitive laws that hinder free trade in the economy. Examples of the anti-competitive laws include subsidies to the national companies, exempt of import custom duties for national companies dealing with agriculture and manufacturing and requirement that foreign entities cannot have 100 percent of shareholding of the investment. In addition, Oman grants tax exemptions to local shipping companies and uses discriminative tariffs that hinder fair competition within the Gulf region (Kawai & Wignaraja, 2011). 2. Free trade agreements One of the agreements that Oman has entered with other countries is the Gulf Cooperation Council free trade agreement that consists of other countries such as Saudi Arabia, United Arab Emirates, Kuwait, Bahrain and Qatar (Ramady, 2012). The free trade agreement is committed to improvement of investments and trade in goods and services. The agreement aims at elimination of both tariff and non-tariff barriers and expediting the movements of goods and services between the two countries (European Commission, 2013). Accordingly, members of the G.C.C acknowledge that anti-competitive practices restrict trade among the countries and each member is required to implement competition laws that ensure free and fair trading practices (European Commission, 2013). The GCC agreement aims at attaining liberalization of trade and promoting competition among the member countries. The parties to the agreement appreciate that anticompetitive trade practices will restrict the trade among the countries and the parties must maintain competitive laws. The agreement also aims at fostering common scientific progress in fields such as economy and trade and setting up of joint ventures. a. Importance and advantages of the agreements The G.C.C free trade agreement is expected to provide new export opportunities for Oman exports within the bloc. The trade agreement also aims at protecting intellectual property through allowing Oman to establish increased protection for copyrights, patents and trademarks (Bilateral.org, 2012). Accordingly, Oman will conduct government procurement procedures in free and transparent manner without any discriminatory practices. The free trade agreement will spur economic growth in Oman and entrench democratic ideals that are essential for peace and stability in the Gulf region (BBC News, 2013). Ramazani & Kechichian (1988) asserts that he G.C.C free trade agreement will increase the competitiveness of Oman exports through improving the access of the global markets. The agreement also will strengthen the role of the private sector in the economic development of the country. The trade agreement will enable Oman to lower the production process and increase the efficiency in the utilisation of the available raw materials such as oil reserves. All the products manufactured within the member countries are allowed to move freely within the member

Policy argument Essay Example | Topics and Well Written Essays - 1250 words

Policy argument - Essay Example Accordingly, this paper would be divided into several categories wherein reasons for the cessation of troop deployment to the Iraqi and Afghan warzones would be in the best interest of all the stakeholders, including alternative policies currently undertaken and feasible proposals by respective governments. First and foremost however, a factual backdrop would be necessary regarding troop deployment in Afghanistan and Iraq. In February and March 2009, respectively, the Obama Administration declared its strategy to amplify troop deployment levels in Afghanistan, while providing for the decrease of troop deployment levels in Iraq. In Afghanistan, 30,000 more troops are deploying this year while in Iraq; troops will gradually decline to 35,000 to 50,000 by August 31, 2011 with all troops to be out of Iraq by December 31, 20111 (Belasco, 2009). The possibility of increase in troop deployment in the aforementioned warzones has been met with reluctance, and even expresses political disappro val by several of the stakeholders. Conversely, the counter-proposal of withdrawal is constantly gaining support, from the US and the invaded countries themselves. In the case of the United States of America, public support for the war has constantly waned. Both public opinion and government policy require the means to cease or at least lessen further war expenditure and troop deployment. Recent events relative to the conduct of the war continually depreciate popular support at home for the United States. US military causalities in Operation Iraqi Freedom, Operation New Dawn, and Operation Enduring Freedom total to 6049 soldiers killed in action, further fanning public outrage against the conflicts, apart from hundreds of thousands of civilian casualties in Afghanistan and Iraq2 Accordingly, the economy of the US is also one of the major concerns. The  financial cost of the war  for the US has reached almost $845 billion  to the U.S., while the entire cost to the U.S. economy is projected to amount to  $3 trillion, a majority of which to be shouldered by American taxpayers.3 The conflict has also disrupted Iraqi  oil  production, which has spawned energy security concerns such as significant increases in the price of oil, thus disrupting the world economy. 4 The conflicts also have had adverse effects for international political relations. These include the circumstances of the legality and morality of the invasion, including the refusal of the US to comply with UN Security Resolutions and international law. Public opinion of several countries and diplomatic relations with Middle Eastern countries and their allies has also been severely affected. The US has been portrayed as imperialists and hegemons, effecting to massive protests not only in the Middle East, but also in Europe and even the US itself, drawing comparisons of the war to the Vietnam War 5. With regard to Afghanistan, political analysts have asserted that the democratization and develo pment of the country has been obscured by a â€Å"lack of agreement on objectives, a lack of resources, lack of coordination, too much focus on the central government at the expense of local and provincial governments, and too much focus on

How is genocide defined Essay Example | Topics and Well Written Essays - 1750 words

How is genocide defined - Essay Example They are a phenomenon of the plural society, with its marked divisions between racial, ethnic, and/or religious groups. Plural society theory deals with the relations between these groups, and the conditions promoting peaceful cohabitation, integration, or violent polarization leading to genocide. It has no application to the genocides of international war, committed in armed conflict between separate states. The Convention definition of genocide is summarized as the intent to destroy in whole or â€Å"in part a racial, ethnic, religious, or national group as such, by killing members of the group or imposing conditions inimical to survival† (Show and Schott 2005, 34). The inclusion of mental harm among the acts constituting genocide seems incongruous, but it must be read in the overall context of the intent to destroy the victim group. Under Article I of the UN Convention, the contracting â€Å"parties confirm that genocide, whether committed in time of peace or in time of wa r, is a crime under international law† (Show and Schott 2005, 17). The Convention was adopted in 1948 by the UN General Assembly. The notion â€Å"genocide† was developed by R. Lamkin in 1943. He joined two words â€Å"genos† which means family or tribe and â€Å"occidere† which means massacre and killing. Also, Lamkin developed a draft for the Genocide Convention. The main strength of this Convention is that 137 countries recognize mass killing as a crime against humanity and were obliged to prevent genocide on their territories. The main strength of the Convention is that it recognizes genocide and interprets it as â€Å"the crime against humanity†.

Leadership, Teambuilding, and Communication Essay

Leadership, Teambuilding, and Communication - Essay Example These three characteristics are therefore an essential part of an organization, and from their study, one can come up with a conclusive understanding of an organization’s performance. This essay takes a look at some of the organizational behaviors at Apple Inc. The company has been a complete success to the extent of being a team leader in its line of production. Apple Inc. itself, however, has had a unique organizational behavior since its formation to its present status. This unique trend has been especially in terms of leadership, which has been attributed largely by the number of times the company has had to change its leaders in order to be able to reach a suitable leader and to deliver the company’s objectives. The following analysis gives an inside look into Apple Inc.’s organizational behavior focusing on the leadership trends, teambuilding activities, and communication level. Leadership theories and interpersonal forms of power at Apple Inc. Appleâ€℠¢s organizational behavior Right from its inception into the technology business, Apple Inc. has had a historic background in its leadership, leading it to become a market leader in its field. The achievement can only be linked to the organization’s dedication and severity when it comes to leadership. Over many years, there have been a number of developmental changes in the organization’s structure and leadership. The organization’s objective of changing the world through a provision of computers to the masses has led to multiple changes within the company that have either been positive or negative to the company’s growth (Freedman & Vohr, 1991). The company was first under a centralized organizational structure in 1983, being run by its co-founder Steve Jobs and CEO Markkula. Under this structure, authority was restricted only to higher levels of leadership which were all under Markkula (Schermerhorn, Hunt, Osborn, & Uhl-Bien, 2010). At its early stage, the organization was made up of five product divisions, an additional four divisions offering product support services and other several administrative departments (Freedman & Vohr, 1991). All the divisions and departments reported to Markkula and Jobs; however, this system was not an effective one. This is because, with time, there started to be divisions of interest within the divisions unto which the newly appointed CEO had to carryout re-organization and restructure of the management system (Apple Inc. 2010). Over the years, there have been several changes in the management of the company including the dismissal and re-appointment of the company’s co-founder Steve Jobs. This essay will forego all the changes that took place in the company and concentrate on the leadership of Steve Jobs and his influence over the company during his tenure as the company’s CEO. Traditional leadership theories The traditional leadership theory was first described by Marx Weber (1947). The leadership theory relates to a style that bases its belief in power being bequeathed to a leader as a way of maintaining tradition. According to Chun Hai (2007), Weber gave the characteristics of a traditional leader as: The leader’s followers gain favor in terms of promotions depending on the office politics. The leaders gain followers, owing to the fact that they are in their current position, but not due to their individual charisma. The leaders get

Critically appraise the developments, challenges and understanding of Essay - 1

Critically appraise the developments, challenges and understanding of corporate social responsibility (CSR), by business and academics in todays business environment - Essay Example They only need to strive to fulfil the several societal requirements. For this, they not only need to be socially responsible but also have to undertake ethical implication of their decisions. Considering all the emerging societal issues and requirement of the society from the corporation, it has been intended to demonstrate the aspects of corporate social responsibility in this paper. It will start with the historical development of the concept and then will exhibit the various theories related to CSR. The basic objective behind presenting this paper is to address the issues and challenges of CSR and to devise a new strategy considering the existing theories and further demands of the society from business entities. To validate the entire discussion, instances from an existing business will be undertaken. There was a transformation and drastic change from the hand-made items to the machine made products after the industrial revolution. It brought changes in the general life in both positive and negative manner. Impact of this revolution has been noticed in every field, such as art, music, architecture, literature and even in the man’s way of looking. Simultaneously, there was a rise not only in the working conditions and of declined pollution level but also in the number of working children and women. In other way it can be stated that the revolutions resulted in both dire consequences and productive. Therefore, requirement of society has also developed and with the passage of time outlook of the business entities has also changed. Not only the government sector but also the private sector has encompassed strategies based on corporate social responsibility (ICFAI, 2003). Again at the end of the Second World War, re-examination of the relationship between the community, state and the industry became necessary. The ‘US Marshall Aid Program’, Mac Arthur’s ‘Reconstruction Program’ in Japan and

Lower Gas Prices In America Essay Example | Topics and Well Written Essays - 500 words - 4

Lower Gas Prices In America - Essay Example The lowering of gas prices is an advantage to the America. The prices of gasoline have fallen from $3.68 in the mid-year to $2.77 on Monday, this is according to the auto club AAA analysis. The drop in prices should be a key boost at an era when growth abroad is faltering even though it may curb investment in the expanding energy sector. According to the IMF chief on Monday, she said that the falling oil prices will be of help in boosting the economies in the U.S and across the world. Lagarde also projected the U.S economy to grow at a 3.5% rate as at next year (Timiraos, 2014). The lowering of gas prices in America means that the people will have more to spend. It is apparent that Americans will have a bounteous Christmas due to the Saudi discounts from crude oil at a time of falling global demand. In my opinion, the American economy will get a multibillion-dollar increase during the Christmas season and beyond. The impact will be significantly more for the low and middle-income Ame ricans who have been left behind by the economic recovery that began in 2009. It is apparent that American household uses 1,200 gallons annually so if the prices continue to fall the people will save 15% that is about $400. In my opinion, this extra cash in shoppers will lead to a generation of half a percentage point in the economic growth at the end of the year (Schwartz et al, 2014). On the other hand, the falling oil prices will have a negative impact to the producers. The low prices will lead to slow domestic oil and gas production. Thus, dimming one of the economic bright spots of the decade. The low prices will also make it difficult for companies to explore costly oil shale deposits and the deep offshore reserves. The economists argue that the overall momentum will compensate for any expected slowdown in the energy sector.

Critically appraise the developments, challenges and understanding of Essay - 1

Critically appraise the developments, challenges and understanding of corporate social responsibility (CSR), by business and academics in todays business environment - Essay Example They only need to strive to fulfil the several societal requirements. For this, they not only need to be socially responsible but also have to undertake ethical implication of their decisions. Considering all the emerging societal issues and requirement of the society from the corporation, it has been intended to demonstrate the aspects of corporate social responsibility in this paper. It will start with the historical development of the concept and then will exhibit the various theories related to CSR. The basic objective behind presenting this paper is to address the issues and challenges of CSR and to devise a new strategy considering the existing theories and further demands of the society from business entities. To validate the entire discussion, instances from an existing business will be undertaken. There was a transformation and drastic change from the hand-made items to the machine made products after the industrial revolution. It brought changes in the general life in both positive and negative manner. Impact of this revolution has been noticed in every field, such as art, music, architecture, literature and even in the man’s way of looking. Simultaneously, there was a rise not only in the working conditions and of declined pollution level but also in the number of working children and women. In other way it can be stated that the revolutions resulted in both dire consequences and productive. Therefore, requirement of society has also developed and with the passage of time outlook of the business entities has also changed. Not only the government sector but also the private sector has encompassed strategies based on corporate social responsibility (ICFAI, 2003). Again at the end of the Second World War, re-examination of the relationship between the community, state and the industry became necessary. The ‘US Marshall Aid Program’, Mac Arthur’s ‘Reconstruction Program’ in Japan and

Admission letter for Maryland University Essay Example | Topics and Well Written Essays - 500 words

Admission letter for Maryland University - Essay Example Also, working as a Finance Analyst is promising in China because of the support of the government, the society, and all other factors, which is enabling the Chinese finance market to develop in an incredibly fast rate. This is substantiated as many companies involved in Finance have succeeded and captured great profits. With all these said, this is just the beginning of how the finance in China will grow, benefit the economy, and foresee the booming of companies in the future. Thus, I would really like to take this opportunity to hone my passion and skill for Finance as it is a career path that would not only open a lot of opportunities for workers with financial background like me but at the same time provide fulfillment and success to society. To be able to achieve my life-long goal, I have set specific plans to get to it. First, I want to complete the CFA program after I finish my master science degree. I think this would be best for me to be well-equipped and be an asset in schoo l and society. Second, I want to find a job in the U.S in the finance related area not only because the United States has the best finance market in the world but more importantly because work experience in such a perfect market will strengthen my ability to do the finance jobs in a very lucrative market. After gaining some work experience, I will then go to an MBA program which could help improve to serve my countrymen. As for my long term goal, I want to set up my own finance company in China in the future. Knowing the finance market.

Purchasing Power Parity; Does It Exist Essay Example for Free

Purchasing Power Parity; Does It Exist Essay Introduction   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   The Purchasing Power Parity doctrine is perhaps one of the most controversial financial theories. Over the years, it has had its ebbs and flows, with proponents expositing several mathematical and statistical formula to strengthen the theory, while critics have severally condemned the utility of the theory; however, according to Belassa1 the doctrine has managed to survive nevertheless. Belassa argues that, though in somewhat ambiguous terms, the doctrine has been invoked as early as during the Napoleonic wars, the christening and explanation of the doctrine came from Prof. Gustav Cassel during the First World War and was popularized after the Second World War. The author further posits that interests in the theory tend to be invoked when existing exchanges rates were thought to be unrealistic and there was, therefore, a search for what is considered equilibrium rates2.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Perhaps one of the controversies that have built up around the Purchasing Power Parity starts with the issue of definition. Different authors tend to come up with their own definition (version) of the theory, and as a result, the theory has come to mean different things to different authors3. Before looking at some of the conceptualizations of the theory that has generated over time, it is pertinent, to first examine the theory as was professed by its author Prof. Gustav Cassel.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Bunting4   presents the first exposition of the theory in Cassels’s Money and Foreign Exchange after 1914, which he said was one of the earliest and best explanation of the theory by the author.   Bunting explains that the concept of purchasing power parity was borne out of the need to establish what determined exchange rates in Europe after the era of gold standard was gone, that is, when national currencies were on inconvertible basis. On this basis, Cassel explains that considering the fact that the primary reason a country’s currency is in demand in a foreign country is the need to purchase goods produced in that country. Thus, when normal, unrestricted trade between [two] countries have been established over time, the exchange rates become fixed relative to the purchasing power of each currency domestically, and as long as this domestic purchasing power of the currencies do not change, nothing will happen to the exch ange rates5. Further, the theory states that when the currencies of these countries undergo inflation, the â€Å"the normal rate of exchange will be equal to the old rate multiplied by the quotient of the degree of inflation in the one country and in the other†6. While this explanation describes the basic skeleton of the theory, there have been several adjustments and modifications of the meanings and concept of the theory as several authors tend to strengthen or criticize it. Some of these adjustments to the meaning of the theory will suffice to buttress this point.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Everett and his colleagues7   attempting to measure currency strengths and weakness with the purchasing power parity concept, posited that as long as there is unrestricted trades, exchange rates of currencies tend to obey the purchasing power of the currencies. In this regard, they succinctly conceive the theory to mean thus regardless of how currencies are denominated, when adjusted for units; all currencies tend to command the same basket of goods8. This definition is similar to that adopted by Klein et al.9, who likened the purchasing power parity doctrine to the law of One Price with the explanation that an identical good (or service) would command the same price, measured in a given numeraire system, all over the trading world10.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Belassa, however, gave a more elaborate explanation of the purchasing power doctrine, differentiating between the relative and absolute interpretations of the theory. According to him, the absolute version of purchasing power parity theory argues that when purchasing power parities are calculated as a ratio of consumer goods prices for any pair of countries, the result reflects the equilibrium rates of exchange. On the other hand, the relative version of the theory asserts that, when compared to a period when equilibrium rates prevailed, changes in the relative prices of goods would indicate the necessary adjustments in exchange rates11. In a sense, one can infer from these definitions that the absolute version of the theory seeks to establish ‘equilibrium’ exchanges rates between any pair of countries based on purchasing power of their currencies, while the relative version intends to measure the over and undervaluation of currencies at any period in time12.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Despite the controversies surrounding the validity and utility of this theory, recently, authors have sought to clothe the doctrine in â€Å"the garments of respectability† and in this regard, several statistical materials have been presented that more accurately reflects the relationship between power of currencies and exchange rates, as conceived in the theory 13. The purpose of this paper is, therefore, to examine some of the literatures regarding the theory and perhaps to infer from these, the implications and future research possibilities of the theory. Literature Review   Balassa, Bela (1964). The Purchasing-Power Parity Doctrine: A Reappraisal.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Belassa14 apparently belongs to the group of authors that intend to strengthen the validity and utility of the purchasing power parity doctrine. He begins by first differentiating between absolute and relative versions of the theory, as explained above. He, however, asserted that the doctrine as postulated by Cassel tends towards the absolute version when he states that the rate of exchange between two countries will be determined by the quotient between the general levels of prices in the two countries15. Further, he explains that theory as invoked by another author indicates that the German mark was undervalued against the dollar, while the mark too was overvalued, and the Austrian shilling, Danish crown and Dutch guilder all undervalued, by extending the theory to the currencies of less developed countries, their currencies appears to be undervalued against the dollar. The author contends that the deviation from the calculated exchanges were too much to be caused by errors.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   In the bid to correct the perceived weakness in the theory, Belassa created a new model for the theory by introducing non-traded goods (services) into the traditional two-country, two-commodity model of the theory. This model of the theory is strengthened by the following assumptions; that there is only one limiting factor – labor, and constant input coefficient. Also, under the assumption of constant marginal rates of transformation, countries with relative higher productivity levels will experience higher relative price of non-traded commodity compared to another. From these propositions, the author posit that income levels play a significant level in the calculation of purchase powers and that purchasing power parities will be more closely related to exchange rates when prices are expressed in terms of wage units.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   From this equation, the author posit that if we were to assume production of traded goods relative to non-traded goods constitutes the major difference in international productivity, currencies of country with higher productivity will appear to be overvalued using purchasing power parity calculations. However, if per capita income was to be used as a representative of levels of productivity, the ratio of purchasing power parity to exchange rate will be an increasing reflection of income levels   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   In providing empirical confirmation the proposed relationship between purchasing power parity, exchange rates and income levels, the author argues thus: â€Å"if differences in tastes do not counterbalance differences in productive endowments, there will be a tendency in each country to consume commodities with lower relative prices in larger quantities†16 . The result is that the purchasing power of country II’s currency will be undervalued if country I’s consumption pattern is used as weights and overestimated if country II’s consumption is used. This is shown in the tables below.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   The second table above shows the comparison of the cost of household services in the United States and Italy for 1950. The author argue that after conversion at exchange rates, domestic services in Italy seem to cost about one-fifth of their United states’ price, barber and beauty shops cost one-fourth, laundry and dry cleaning the same cost. In the same vein, purchasing power equivalents for household services was 391 lira at US weights and 165lira at Italian weights. These figures confirm, the author argues, that services (non-traded goods) cost more, relatively, in countries with higher income levels. Thus, it buttresses the relationship between purchasing power parity, exchange rates and income levels. Bunting, H.   Frederick (1939). The Purchasing Power Parity Theory Reexamined.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Bunting18, while conceding that the purchase power parity doctrine has been severally criticized, further adds his criticism by, according to him, submitting the theory to an improved statistical test. The basis of the argument set forth in this paper is that though the author of the doctrine of purchasing power parity discussed some likely exceptions to the theory, which could account for the differences observed between actual exchanges rates and parity calculated rates, several other exceptions that render the theory impracticable exists.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   The author proffered an elaborate definition (explanation) of the theory, as conceived by Cassel and the proposed relationship between purchasing power of currencies and their exchange rates. Further, he went on to summarize the major exceptions to the general rule into seven main points, as discussed by Cassel in his book; Money and Foreign Exchange After 1914. Accordingly, he explained that exchange rates are expected to deviate from the calculated rates if, domestic prices fluctuate in relation to one another, due to any series of factors; tariffs and/or shipping costs change in relation to those prevalent in the base year used for the calculation; obstructions to trade other tariffs and shipping costs becomes operational during the year under consideration; sudden devaluation of currency occurs during the transition period; the activities of speculators affect exchange rates; governments are in need of foreign exchange, for example to pay international debts; and the base year or general price index is not properly selected, as defects in the price index used or the base year could cause predictive error in calculated rates. In sum, Bunting posits that though these exceptions are many and powerful, they do not fully subsume factors/reasons responsible for differences in actual rates and calculated rates.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   In this regard, the author asserts that the critique of the theory can be simplified by considering problems of price levels and direction of change. On the issue of price level, he argues that, problems with choice of base year and the commodities that should make up the price indices to be used in the calculation shows ambiguity in the theory. First, with base year determination, the author argues that Cassel’s contention that it is only if we know the exchange rate which represents a certain equilibrium that we can calculate the rate which represents the same equilibrium at an altered value of the monetary units of the two countries19 i.e. we can only calculate the equilibrium rate now if we know the rate at a particular ‘base’ year; is faulty because there is no such thing in international trades. He argues that the fact that international economic conditions do not persist for long means that a given base year can only be reasonably used to measure relative price changes for only a short period of time.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   On the commodity prices to be included in the price index, Bunting also faults Cassel’s insistence that ‘general’ price index should be used, arguing that not all goods are traded internationally. Thus changes in commodities not traded internationally can, therefore, have no effect on foreign country’s evaluation of a country’s currency. Further, on the direction of change, the author argues that Cassel’s contention that â€Å"when currencies are not on a convertible specie standard it is parities which determine exchange rates†20   tend to overlook the possibility that the direction of change could be the reverse i.e. price levels may be caused by changes in exchange rates. Thus, while Cassel concedes that the actions of speculators could cause changes in exchange rates without necessary price changes; there are several other factors that are capable of inducing change in exchange rates. Bunting mentions the following factors; Government monetary policies – alterations of central bank rates, stabilization funds, international government loans; Private international loans and special considerations such as large corporations transferring their capital holdings from one country to the other to protect their profits, or tourist expenditures and immigration remittances, which both involve the purchase of foreign currencies with no regard for the purchasing power of the currencies involved.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Subjecting the purchasing power parity theory to statistical tests, the author presents his result in the graphical form shown below. In the charts below, Franco-American exchange rates were compared for 1920s and 1930s. The solid line represents calculated rates while the broken line labeled no lag represents actual rates. The differences exhibited between the actual and calculated rates for the statistical test constitute discrepancy in the theory. The 1month, 2months and 3months lag periods were allowed in the assumption that time should be allowed for changes in purchasing power parities to effect a change in exchange rate, thus the 1-3months lag should show more correlation with the actual rates, however, this was not the case. The author concludes that proponents of the theory should simply recognize the fact that the theory as it stand is defective and needs to be refined. The authors of this paper proffered answers to criticisms of the validity and utility of the purchasing power parity theory, and especially to the claims that though the theory worked relatively in the 1920s, it failed in the 1970s by some other authors. Davutyan and John21 contend that possible reasons for the apparent failure of the purchasing power theory to predict exchange rates accurately when figures from the 1970s are used could include the fact that relatively to 1920; monetary policies were more coordinated in the 1970s. They therefore, assert that it is the coordination of monetary policies, not the failure of the purchasing power parity theory that causes conventional statistical tests to reject the validity of purchasing power parity for the 1970s. Providing evidence to support their claims, the authors posit that if we are to assume that there are no obstructions to trade, i.e. all goods are tradable and effective arbitrage refers to the relative version of the purchasing power theory, as explained by Bellassa22 above. In consolidating their argument, the authors contend that purchasing power parity tend to fail under two instances: when arbitragers fail to respond to profitable opportunities or when transaction costs and other impediments inhibit trades. However, they contend that the first factor might not be feasible, so the latter appears to be more important. Elucidating on the second factor, Davutyan and John   posit that under the assumption of zero transaction costs all goods are tradable, when this assumption is listed, goods could be divided into two categories, tradables with zero transaction costs and non-tradables with high transaction costs. Thus, in the absence of transaction costs, arbitrage keeps relative prices of tradable goods across countries equal, but this is not the case between non-tradables as well as between tradables and non-tradables. Therefore, when there are economic shocks, the equation above holds tradables but not for non-tradables. Furthermore, the authors contend that even with tradables, while the zero transaction costs is convenient in theory, it is not always so in reality. The fact is that relative transaction cost differs between countries and this too, tends to introduce errors into the purchasing power parity calculation, as with the non-tradables.   Another source of error in purchasing power calculation, according to the authors, is unequal weights used for calculation. They argue that in the second equation above, the weights in the price index are the same for both countries; however, using CPI or wholesale price index or GNP deflators would violate the requirement for similar weights and could introduce error into the measurement. To support their claims, the authors present the data in the table below, where R2 and estimate of the regression coefficient supports the argument that purchasing power parity works.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Everett24 and his colleagues presented a practical and working model of the purchasing power parity theory and argued that by using this model of the theory to calculate exchange rates, currency strengths and weakness can be measured. Defining purchasing power parity, the authors contend that the primary concept of the theory is that when the forces of price mechanism are unrestricted, exchange rates tend to conform to the purchasing power of currencies. Thus, instead of price levels adjusting to exchange rates, the reverse is the case. In this regard, the authors assert that while this general idea of the theory applies to a world of floating exchange rates, their model of the purchasing power theory can be adapted to a variety of exchange rate regimes, such as managed floats, crawling pegs and fixed exchange rates.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   In explaining this model of the purchasing power parity, the authors refer to what they called the parity chart. As shown below, the chart is derived thus: the horizontal axis measures time from a chosen time of origin – the base year; while the vertical axis measures two things, one, the difference in the percentage of the purchasing power of currencies and two, the percentage change in the actual exchange rate from the base year. While the dotted line represents the actual/observed exchange rates, the parity (solid) line represents parity (calculated) exchange rates over time.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Using the two country model to explain the ‘parity chart’, the authors explain that if we assume that there are no restrictions to trade, and the perfect base time, under this scenario, if the change in the purchasing power of country A’s currency differs from that of country B, the parity line in the chart above will have a positive or negative slope, depending on the sign of the difference between the purchasing power of the currencies under consideration. Further, if actual exchange rates were to be plotted on the same chart, the slope should conform closely to that of the parity line. What can be inferred from this explanation is that the parity line in the chart closely reflects the expected change in exchange rates that should follow changes in the purchasing power of country currencies.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   To support their claims that the parity chart can be used to measure changes in exchange rates under any type of exchange rate regime, the authors presented empirical results of several currencies with different exchange rate regimes, these included the German mark-a more or less freely floating exchange rate; Spanish peseta-a strictly managed exchange rate; Colombian peso-a crawling peg currency; and South African rand-a fixed exchange rate25. The result for the German mark is presented below:   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   The authors explain that the vertical axis measures the percentage deviation from the calculated rate. While the line representing the inflation factor shows a fairly steady rise, in line with the well known fact of relatively lower rates of increases in the West German price level compared with most other countries, the line representing the exchange rate, on the other hand, shows no apparent trend, reflecting the fact that the exchange rates of West Germanys trading partners vis-à  -vis the dollar on a trade-weighted basis may have moved in opposite directions. These two factors when compounded, yields the parity line.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   After presenting empirical results for all the four representative countries listed above, the authors concluded that an indepth examination of the parity chart and line indicates that the parity line provides an effective and informed judgment about future currency movements. Further, that if â€Å"the parity rate diverges from the actual rate, this indicates that the currency is presently either over- or undervalued, and will therefore have to adjust, the longer the persistence of such a divergence, the more likely that an adjustment will occur soon†26.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   This is another study that attempted to strengthen the validity and utility of the purchasing power parity doctrine. These authors, in this study, posited that purchasing power parity could be used to derive a more effective simulation or projection of world economy. Admitting that the theory has come to mean different thing to different writers, the authors adopted the law of ‘one price’ definition of the theory, which explains that an â€Å"identical good or service would command the same price, measured in a given numeraire system, all over the trading world†27.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   The authors further state that though there are several controversial issues about the theory, such as what category of goods should be included in the calculation or what time should be used as origin/base in the calculation, they assert that any detailed exchange rate modeling system should obey the purchasing power parity rule, in the long run. Statistically estimating the movement of exchange rates in relation to the purchasing power parity principle for the 1970s, the authors presented the following formula:   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   According to the authors, this formula states that the â€Å"U.S. dollar terms, should have a common rate of change across all countries, namely, the U.S. rate of change of export prices†28. Thus, if the exchange rates during this time, had moved in accordance with the principle of purchasing power parity, then the estimates of: would be consistent with the hypothesis of purchasing power parity. Where a =O; b = -1.0; c = +1.0; eit =additive random error. Scatter diagrams of the data points of the two equations above are shown below. Conclusively, the authors assert that judging by these statistics, all the regression estimates in the charts above passed significance tests. Thus, it could be deduced that the relationship between purchasing power of currencies and the actual exchange rates was tightest for members of the EMS, but slightly less tight when the UK is included. Based on this evidence, the authors believe that their contention that, on average, purchasing power parity movements approximately reflects actual exchange rates in the 1970s has been adequately justified, and as a result, it could be generalized that calculations of purchasing power parity could be used in predicting movements of exchange rates.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   John29 proffered answers to criticisms concerning the predictive errors observed with exchange rates calculated from purchasing power parity. They observed that studies carried out by several authors indicate that for several countries, the predictive error of purchasing power parity during the 1970s followed what they referred to as ‘random walk’ i.e. whatever the deviation between the parity rate and actual rates observed this month, next month it is likely to increase as decrease.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   In this regard, the author argued that the basic idea behind the purchasing power parity doctrine is that in the long run, the differences between the parity rates and the actual exchange rates tend to disappear and the tow rates are equated. They argue that, though economic shocks, in whatever guise, could, in the short term, drive the actual rate from the parity rates, but in the absence of new shocks, the price mechanism tend to equate the tow rates, in the long run. Based on this argument, the author contend that predictive errors for purchasing power parity should not perform a random walk, instead there should be a gradual decline or increase towards the actual rate.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Supporting their claims that predictive errors in purchasing power parity does not perform random walk in the long run; the authors presented the results of empirical studies of several countries using data for over seventy years.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Following the same path with paper reviewed above, Yeager30 also sought to strengthen the validity and utility of the purchasing power parity theory. He started off his argument with the basic assumption that people primarily value currencies for what could be bought with it, based on this assumption, he argues, it is safe to presume that in an unrestricted market, people will tend to exchange such currencies for their relative purchasing powers. The author admits that the theory, in its basic form, as stated above, is loose and ambiguous, he posits, however, that the theory performs tow main functions. First, the theory gives an expression of what the equilibrium exchange rates should be for currencies, however crude this rate appears. And two, the theory act like a stabilizing force for exchange rates. Explaining this second function, he assert that when for any reason, actual exchange rates deviate from the equilibrium rates, the theory describes pressures at work tending to check and reverse this random departures from the range of equilibrium rates.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   The author provides this example to buttress the point made above about the stabilizing powers of the parity theory:   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Let us suppose, for example, that prevailing exchange rates unmistakably   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   undervalue the British pound in relation to the purchasing powers of the pound   Ã‚  Ã‚   and of foreign currencies.   Foreigners -say Americans- will offer dollars for   Ã‚  Ã‚  Ã‚  Ã‚   pounds to buy British goods at bargain prices. Britons will offer relatively few pounds for dollars to buy, American goods at their apparently high prices.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Unmatched attempts to sell dollars and buy pounds will bid the exchange rate toward the equilibrium level.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   In the same light, the author evaluates some of the numerous objections raised about the theory and posits that in most of these objections, the stabilizing pressures aspect of the theory has been mostly ignored. In sum, the author concludes that most of the discrepancies observed in purchasing power parity rates are due to â€Å"inappropriate base periods; disequilibrium exchange rates (including base-period rates), often imposed by official pegging; tariffs, quotas, and other interferences with trade, payments, and exchange rates.31†   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Wyman32   extends the utility of the purchasing power parity further, by applying the concept of the doctrine to calculating gains or losses incurred by holding foreign items, such as foreign currencies or goods. Relating purchasing power parity to currency changes, the author explain that purchasing power is related to the exchange rates of currencies, in that, differential rates of inflation between, say the United States and a foreign country, influences the exchange rates between the monetary units if each country. Putting this definition into an equation, he states that the calculation of the purchasing power parity can be illustrated thus: If the exchange rate between the United States and a foreign country is 20FC = $1 where FC denotes a unit of ‘foreign currency’, if during the year, the US price level index changed from 100 to 110 and that of the foreign country changed from 100 to 120, the purchasing power parity rate can be calculated by determining an adjustment factor that would be applied to the exchange rate. The adjustment factor is calculated as:   ÃË†t à · Øt = the adjustment factor for period t or (120,100t 110,100) = 1.0909 where ψt =   the price-level ratio in the United States defined as the general price-level index at   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   the end of period t divided by the general price-level index at the beginning of   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   period t Øt = the price-level ratio in the foreign country defined as the general price-level index at   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   the end of period t divided by the general price-level index at the beginning of   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   period t   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Explaining this formula, the author assert that when the adjustment factor is applied to the exchange rate, for the example above, result is FC 20x 1.0909 = FC 21.8182=$1. So, if the actual exchange rate at the end of the time t is at the calculated rate of FC 21.8182 to $1, investors in either country will maintain their purchasing power relative to each other, however, if for example, the exchange rate was to be at FC 22 to $1, FC would have depreciated more than is necessary to maintain the purchasing power parity, and so US investors in need of the foreign currency would have exchanged the currency at a loss. The author went on to establish a multiequation system that can be employed in analyzing potential gains and losses in foreign exchange, based on the purchasing power parity concept. Ruble, L. William (1961). A Comparison of the Parity Ratio with Agricultural Net Income Measures: 1910-1958. Journal of Farm Economics, 43(1):101-112. And Stine O. C. (1946). Parity Prices. Journal of Farm Economics, 28(1):301-305.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   These two works covered a slight different aspect of purchasing power parity. They were focused on the purchasing power of farmers, comparing prices changes in farm and non-farm products, and thus, what farmers are paid for their farm products and what they have to pay to buy non-farm products.   Stine33   explains that in the years after the first World War, when the purchasing power parity concept was birthed and first applied as measurement in of changes in purchasing power, marked changes in general price levels was observed, as expected, however, it was also observed that farm products declined more rapidly and farther compared to non farm products. As a result, what farmers had to pay for products they buy was considerably different from what they earn from the sells of farm products.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Ruble34   supporting this line of argument, argues that since the prices received by farmers and prices paid by farmers affect the livelihood and wellbeing of the farming family, the parity ratio provides a good indicator of the standard of living of farmers. Further, contends that the level of the parity ratio is expected to give   good indication of the following methods of estimating the standard of living of farmers: Net money income per capita, per farm, or per worker. Net real income per capita, per farm, or per worker. Income of farmers compared to income of non-farmers on a per   Ã‚  Ã‚  Ã‚  Ã‚   capita or per worker basis (the parity income concept)   Ã‚  Ã‚  Ã‚  Ã‚   However, data and result of empirical studies was presented to measure the relation between the parity ratio and the well being of farmers suggests that the parity ratio might not indeed properly reflects the general well being of farmers, if the well-being of farmers in general is expressed by the per capita, per farm, or per worker net income, real or money. In arriving at the figures in the table, the parity ratio was correlated separately with the per capita net agricultural income of the farm population, the net income of farm operators from farming per farm, and the net income of farm workers from farming per worker, income from all sources, and deflated by the index of prices paid by farmers for family-living items (1917-19 = 100) Summary   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   There is no denying the fact that the Purchasing Power Parity doctrine is an important theory in the financial world. It is true that a lot of controversies have been generated about its validity and utility, but it is also true that several authors have been able to categorically prove its validity, and more importantly, utility, in an array of fields. Just as the theory has come to mean different thing to different authors, it has also carved for itself, different functions, depending on the perspective one adopts. It is not surprising, therefore, that authors have been able to apply the doctrine to a number of endeavors, as seen in the reviews above.   Ã‚  Ã‚  Ã‚  Ã‚   In its most basic form, the concept argues that people primarily need currencies of other countries for the purpose of buying goods/commodities of that country. Therefore, people will only be prepared to exchange currencies for its relative worth. Here lies the relationship between purchasing power parity and the exchange rates of currencies i.e. when it is suspected that a currency is under or over valued, market forces will tend to force the rate back to the equilibrium level. Equilibrium here describes the rate achieved after trades have occurred between two countries, uninterrupted, for a certain period of time and a common exchange rate has been established, as a result.   Ã‚  Ã‚  Ã‚  Ã‚   From this very basic understanding of the theory, as proposed by the author Prof. Gustav Cassel, several modifications, adjustments, and extension of the theory have been proposed and proved. For example, Bellasa fine tuned the predictive value of the theory by modifying the basic two-country, two-commodity model, to include considerations for non-traded goods (services) and the per capita income of each country, which, he argues, play crucial role in the purchasing power of currencies. Klein and his colleagues   modified the theory and employed it in simulating/projecting changes in world economy; Everett and others , also modified the theory and proved it to be useful in appraising strengths and weaknesses of countries’ currencies; while John   showed that the predictive errors in rates calculated with the purchasing power parity concept could be as a result of  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   faults inherent in the calculation methods and data.   Ã‚  Ã‚  Ã‚  Ã‚   From the foregoing, one can only infer that purchasing power parity is still an important financial concept. Although, further academic and research efforts should be geared towards resolving some of the objections raised against the theory. It is obvious that criticism of the theory will further help to strengthen it, in the future, as we have seen it done in the past. Most of the objections raised have been somehow addressed, even if not completely resolved. One can, thus conveniently conclude that with time, the theory might be better fine tuned and become more effective at explaining and predicting exchange rates of currencies. Endnotes Balassa, Bela (1964). The Purchasing-Power Parity Doctrine: A Reappraisal. Ibid p.584 Klein, R. Lawrence, Shahrokh Fardoust and Victor Filatov (1981). Purchasing Power Parity in Medium Term Simulation of the World Economy; Balassa, Bela (1964) Bunting, H. Frederick (1939). The Purchasing Power Parity Theory Reexamined Bunting (1939) provided almost a word-for-word definition and explanation of the theory as postulated by Cassell. The author gives a better idea of the original theory Ibid p.283 Everett, M. Robert, Abraham M. George and Aryeh Blumberg (1980). Appraising Currency Strengths and Weaknesses: An Operational Model for Calculating Parity Exchange Rates. Ibid p.80 Klein et al., 1981 Ibid   p.486 Belassa, 1964 p.584-585 This is personal opinion based on the definition of the absolute and relative PPP proffered by Bellasa, 1964 Ibid Ibid Belassa, 1964 p.585 quoting Cassel in his book Money and Foreign Exchange After 1914. Ibid   Ibid p.587 Bunting,   H. Frederick (1939). The Purchasing Power Parity Theory Reexamined. Bunting, 1939 p.285 quoting Cassel in his book Money and Foreign Exchange After 1914. Bunting, 1939 p.288 Davutyan, Nurhan and John Pippenger (1985). Purchasing Power Parity Did Not Collapse During the 1970s Balassa, 1964 Davutyan and John, 1985 p.1151 Everett, M. Robert, Abraham M. George and Aryeh Blumberg (1980). Appraising Currency Strengths and Weaknesses: An Operational Model for Calculating Parity Exchange Rates. Ibid p.84 Ibid p.90 Klein, R. Lawrence, Shahrokh Fardoust and Victor Filatov (1981). Purchasing Power Parity in Medium Term Simulation of the World Economy. p.486 Ibid p.487 John, Pippenger (1982). 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