Macroeconomics is the branch of economics concerned with the aggregate, or overall, economy. Macroeconomics deals with economic factors such as total national output and income, unemployment, balance of payments, and the rate of inflation. It is distinct from microeconomics, which is the study of the composition of output such as the supply and demand for individual goods and services, the way they are traded in markets, and the pattern of their relative prices.
At the basis of macroeconomics is an understanding of what constitutes national output, or national income, and the related concept of gross national product (GNP). The GNP is the total value of goods and services produced in an economy during a given period of time, usually a year. The measure of what a country's economic activity produces in the end is called final demand. The main determinants of final demand are consumption (personal expenditure on items such as food, clothing, appliances, and cars), investment (spending by businesses on items such as new facilities and equipment), government spending, and net exports (exports minus imports). Macroeconomic theory is largely concerned with what determines the size of GNP, its stability, and its relationship to variables such as unemployment and inflation. The size of a country's potential GNP at any moment in time depends on its factors of production-labor and capital-and its technology. Over time the country's labor force, capital stock, and technology will change, and the determination of long-run changes in a country's productive potential is the subject matter of one branch of macroeconomic theory known as growth theory.
The study of macroeconomics is relatively new, generally beginning with the ideas of British economist John Maynard Keynes in the 1930s. Keynes's ideas revolutionized thinking in several areas of macroeconomics, including unemployment, money supply, and inflation.
Keynesian Theory and Unemployment
Unemployment causes a great deal of social distress and concern; as a result, the causes and consequences of unemployment have received the most attention in macroeconomic theory. Until the publication in 1936 of The General Theory of Employment, Interest and Money by Keynes, large-scale unemployment was generally explained in terms of rigidity in the labor market that prevented wages from falling...
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...ould be willing to accept a lower wage in order to get a job. However, by widening the range of variables over which individuals optimize to include variables such as loyalty and self-respect, it has become easier to reconcile labor market disequilibrium with the usual assumptions of optimizing behavior.
Macroeconomic theories regarding the way that the determinants of total final demand operate form the basis of large macroeconomic models of the economy that are used in economic forecasting to make predictions of output and employment and related variables. During the last few years, the record of most such predictions has been poor, and an analysis of the errors has led to continual revisions of the basic models and refinements of the theory.
Phillips curve
The Phillips curve illustrates the trade-off found by economist A. W. Phillips between lower unemployment and increased inflation. If unemployment is low at 4 percent, inflation is slightly high at 6 percent (point a). If inflation is eliminated, unemployment increases to 8 percent (point b). The trade-off poses a dilemma for policy-makers, although economists disagree on whether this relationship exists.
Osland, Joyce Sautters. "Working abroad: a hero's adventure." Training & Development Nov. 1995: 47+. Academic OneFile. Web. 26 Nov. 2013.
"Macroeconomics/Employment and Unemployment." Macroeconomics/Employment and Unemployment - Wikibooks, Open Books for an Open World. N.p., n.d. Web. 04 July 2017.
If solving the “the woman problem” – what feminism in the 1800’s was called – was not Ibsen’s theme for A Doll’s House, then what was? Well, as the author said so himself, the description of humanity, a person finding who (s)he is, but why is A Doll’s House not a feminist play? A Doll’s House is not a feminist play because women, especially Nora, are portrayed too flawed.
The classical economists before the great depression claimed that if wages fall unemployment also falls, because workers will accept lower wages as a way to get a job, so the nation decreases the wages in order for workers to work with low wages and increase employment, however this did not happen, unemployment was increasing and Keynes was the savior. According to Keynes, the reason of unemployment is not wage rate but aggregate demand, and
The main manufacture of SIA industry is Airbus and Boeing, SIA industry purchase the fuel and aircraft from them. (Daga. A, Hepher.T, 2013) SIA industry needs their expertise in manufacturing, so they will do not change the supplier. They also need a large sum of capital if they open a manufacture aircraft. SIA industry had been continuously renewing its fleet even during peak of crisis which gives sales order that helps aircraft manufacturer pull through financial difficulty. (Scott. B, 2008). This makes SIA industry becomes the important customers of Airbus and Boeing and they enjoys high power over the manufacturer. (Essay UK,
In conclusion, regardless of Macropoland’s current economic condition, it is fair to say that it is all part of the business cycle. The business cycle has three parts: peak, trough, and peak. The peak is the date that the recession starts. In Macropoland’s case, the peak would be at the beginning of 1973, its trough somewhere between 1973 and 1974, and then its peak again at 1974. In the second scenario, Macropoland is either at its trough, where it is about to head up again because of its low inflation rate, or it is at its expansion, on its way to heading to its next peak.
Sociocultural adaptation can be understood as a process of social learning and is associated with the length of time, the existing cultural distance and the amount of contact with members of the host culture. These could make it more or less difficult to adapt to a new culture (Zlobina, Paez 2004). Foreigners who leave their culture of origin and are immersed in a new culture with norms, values and customs that they do not recognize as their own, have to make an effort to adapt. The above process of adaptation or adjustment involves three basic aspects: 1) Psychological adaptation, including acceptance and the degree of satisfaction in the new cultural environment. 2) Cultural learning, which is the acquisition of social skills that enable the sojourner to adapt the host culture, and establish links with members of the host culture and, finally, 3) Learning behavior appropriate for the resolution of social tasks. Sociocultural adaptation involves social and cultural learning. The three dimensions are linked, but have some independence between them (Moghaddam, Taylor , Wright, 1993). Ward ( 2004) showed that international students, who were culturally adapted, adopted elements of both cultures and tried to achieve a bicultural identity. It is important to note that any sojourner has gone through a series of grieving process after migration due to the loss of two important elements such as: firstly, the extended family and friends, who constitute the soc...
Classical economic theories are the priority themes in this video. It mainly emphasizes the causes and effects of a classical theory principle. Also, generalizing what economics beliefs are and what impacts they have on society. Refers to the economy as being vulnerable. A Scottish philosopher, by the name of Adam Smith examines society relating it to a world of business affairs. He writes a book called “Wealth of Nations”, which is known as the starting point for classical economist’s theories. According to Wealth of Nations, (Adam Smith book) he believes that price wages and interest rates are considered to be flexible. Classical economists strongly believe that the economy is self- regulating. If there is an increase in spending, aggregate
In order to get a comprehensive analysis on SIA's financial statement analysis , we compared SIA's 5 financial year ending(FYE) results with the industry's average and 2 of its main competitors Cathay Pacific Airways and Qantas Airways . Cathay has been trailing closely to SIA in terms of first class cabin service and profitability for years. Qantas has long been dominating the highly profitable Kangaroo route and is ranked 5th in the world by Skytrax's survey . Please refer to appendix for the actual figures for every analysis below.
It has been noticed from past times that there has forever been a really huge and noticeable gap within the roles that ladies and men each play within the everyday social group developments. In Ibsen’s words, “There are two kinds of moral laws, two kinds of moral conscience, one for men and one, quite different, for women. They don’t understand each other; but in practical life, woman is judged by masculine law, as though she weren’t a woman but a man…. A woman cannot be herself in modern society”. The theme in “A Doll’s House” which shows us that during Ibsen’s time and in our current day and society the issue about gender continues to raise important concerns between men and woman like: the role of the wife in a marriage, the right of which a woman is to determine and direct the course of their own lives. The whole conflict is written to the audience and listeners of the play the ridiculous social expectations demanded of both women and men. Ibsen with his portrayal of Nora and Mrs. Linde shows that these social expectations are mindless and wrong. The thesis of this paper is to analyze Henry Ibsen’s play by taking a look at the characters Nora and Mrs. Linde in Henrik Ibsen’s play “A Doll’s House”. When this play is being read you will notice that the society’s negative view of women may have had an impact on Ibsen for him to come up with a play about a female hero in Nora and Mrs. Linde during an era where it wouldn't have been viewed favorably and the reason why many generations of audience and readers of this play choose to identify the play as a work of feminism. I will also analyze this play with additional elaboration on the Victorian era.
SIA regularly maintains its service quality standards through splendid recruitment process and procedures, intensive personnel training and excellence development of service culture. Apart from the service standards, SIA keeps up low costs via measures for example, outsourcing of non-core activities, low maintenance expenses, cutting costs where it possible without compromising on aviation safety. Furthermore, SIA was the first one to introduce many in-flight experience and innovative entertainment for instance, they was the first one to serve complimentary drinks (both alcohol and non-alcohol), hot meals, hot towels with unique fragrances. These two core elements differentiating themselves from others and until the present time, the airline still has remained true to its brand attribute and created competitive advantage.
As a consequence, SAA markets has gradually suffering from slack down recorded from the past three years dated 2012. SAA is finding itself difficult to sustain profitability due to reduction in passenger’s traffic and increased in operating expenses coupled with heavy competition burdened by competitor’s pressure. Customers are more than ever demanding a different and personalised relationship with the airline.
The current global competition among businesses has attracted an environment where companies or organizations must devise all the possible ways in order to make the most of profits and also ensure growth by concentrating on the strategic marketing methods. A good example of a competitive business is Classic Airlines. The company has the potential to change the general outlook of the airlines business. As a way of guaranteeing its success in the airline industry, the company must be in a position to suitably predict the market capacity as well as the impending demand through the creation of long-term marketing goals.
It is difficult for government to achieve all the macroeconomics objectives at the same time. Conflicts between macroeconomics objectives means a policy irritating aggregate demand may reduce unemployment in the short term but launch a period of higher inflation and exacerbate the current account of the balance of payments which can also dividend into main objectives and additional objectives (N. T. Macdonald,
Singapore Airlines should remain competitive by providing better service and comfort to customers as in the long- term the market will grow.