...EC2B02U DEVELOPMENT AND ENVIRONMENTAL ECONOMICS 1. a) b) c) What is a paradigm? It is a diagram of development. It is the way development takes place. It is a thinking model providing a holistic picture of a process involving a network of interrelationships. 2. a) b) c) Paradigm thinking is necessary to avoid dealing with isolated factors of development help analyzing cause and effect of phenomena identify urgent action 3. Economic growth is not a sufficient condition of development, because a) it does not help poverty reduction b) a country must also have an educated workforce c) there are several other aspects of development 4. a) b) c) Economic growth is pivotal, because it is easier to achieve than the other aspects of development it has a symbiotic link with the other aspects of development it helps generate savings for investment 5. a) b) c) GDP is not a sufficient indicator of development because, some economic activities are left out of the calculation large countries have bigger GDP it does not reflect how income is distributed 6. a) b) c) GDP per capita is a useful indicator because, it helps inter country comparison of living standards it helps to understand what each individual earns in a country it is a better indicator than total GDP 7. a) b) c) To make GDP per capita internationally comparable, they must be calculated in US$ they should be calculated in the strongest international currency ...
Words: 8097 - Pages: 33
...the subject PA026A – PUBLIC FISCAL ADMINISTRATION PREPARED AND SUBMITTED BY GROUP V Vincent Yuzon Rosales II Frances Santos Angelito Laderas Antonio Vitan Jr. Ma. Lourdes Cuenco SUBMITTED TO PROFESSOR CYNTHIA RAVELA CUBOS June 28, 2011 THEORIES OF EXPENDITURE GROWTH Three prominent theories that used the time-pattern of expenditure in the long-run to explain the expansion of the public sector are discuss in this chapter. Although this theories were formulated based on the experience of the now developed countries, the general idea of government expansion and the underlying concepts provide some explanations as to the pattern and growth of our government. Adolph Wagner a 19th century German political economist. Who made one of the earliest attempts to explain public sector growth. Observe the tendency of the public sector in a number of industrialize countries such as Britain, USA, France, Germany, etc. to grow, both absolutely and relative to the rest of the economy. He predicted a public sector that would grow continuously, and considered society’s economic and social structure as factors that influenced this continuous growth. Wagner’s prediction was called the “law of increasing public and particularly state activities” or the “Wagner’s Law”. The equation below shows Wagner’s presumption that the existence of a functional cause and effect relationship between growth of an economy and the relative growth of its public sector. RPCOPG1...
Words: 3839 - Pages: 16
...Country analysis involves the examination and interpretation of a nation’s economic, social and political environment. The analysis offers a comprehensive overview of a country Objectives To identify the common factors used by MNCs to measure a country’s political risk and financial risk; To explain the techniques used to measure country risk; and To explain how MNCs use the assessment of country risk when making financial decisions Country analysis is useful for: * Investors in the financial market * Companies intending to set up a subsidiary * Companies wishing to enter a new market * People wishing to reside in the country Factors Considered in a Country Analysis A country analysis is often conducted through country reports researched by professional government or independent firms, such as the Economist Intelligence Unit, World Bank and Organization for Economic Cooperation and Development (OECD). Some of the data points considered in a country analysis are: Economic Indicators: Indicators such as gross domestic product (GDP), consumer price index (CPI), inflation rate and producer price index (PPI) help in gauging a country’s economic health. High GDP growth, low inflation and high CPI are favorable for companies and investors. These indicators also reflect job availability and standard of living in the country. Government Policy: Governments often introduce policies and programs to promote the growth of certain industries. Favorable government...
Words: 9826 - Pages: 40
...important and necessary because economic isolationism is today impossible. Failure to become part of the global market assures a country of declining economic influence and deteriorating standard of living for its citizens. Successful participation in international business promises improved quality of life and a better society leading to a more peaceful world. Most people are likely, on individual levels, to become involved with international business corporations during their careers. Manufacturing companies, and also service companies like banks, consulting firms or insurance are going global. In an era of open borders, niche marketing, instant communications and free ways of reaching millions of people, huge opportunity emerges for individuals to enter the international business arena. International business offers companies new markets. Since the mid-20th century, the growth of international trade and investment has been substantially larger than the growth of domestic economies. The combination of domestic and international business presents more opportunities for expansion, growth and income than domestic business alone. International business generates the flow of ideas, services and capital across the world. International business also offers consumers new options. It enables the acquisition of a wider variety of products, in terms of both quality and quantity and at reduced prices through international competition. International business facilitates the movement of...
Words: 13773 - Pages: 56
...secretary has been kind enough to go through all of the frustration and hard work to put the guide in the appropriate format and put it online. To her goes my gratitude. The department, neither school, nor the professor make anything whatsoever from this Guide. In fact, the department’s budget and the professor’s own resources are used in the writing of the Guide, and the numerous draft copies that are produced in the revisions of this document. Like the sign in the Mom and Pop bait shop on Big Barbee Lake says, “This is a non-profit organization, wasn’t planned to be – it just worked out that way.” Well, actually it was planned to be a non-profit enterprise in this case. The professor also wishes to acknowledge the fact that several students have proposed changes, improvements, caught errors, and helped to make this document more useful as a learning tool. Naturally, any errors of omission or commission are those of the professor alone. i Introduction & Use of Guide This Course Guide is provided to assist students in mastering the subject matter presented E202, Introduction to Macroeconomics. The commercially available student guides and workbooks are notoriously inadequate and are simply of little value. At several institutions, prepared course materials are made...
Words: 56767 - Pages: 228
...UNIVERSITY OF CAMBRIDGE INTERNATIONAL EXAMINATIONS General Certificate of Education Advanced Level ECONOMICS Paper 3 Multiple Choice (Supplement) 9708/32 October/November 2013 1 hour Additional Materials: Multiple Choice Answer Sheet Soft clean eraser Soft pencil (type B or HB is recommended) *9990546754* READ THESE INSTRUCTIONS FIRST Write in soft pencil. Do not use staples, paper clips, highlighters, glue or correction fluid. Write your name, Centre number and candidate number on the Answer Sheet in the spaces provided unless this has been done for you. DO NOT WRITE IN ANY BARCODES. There are thirty questions on this paper. Answer all questions. For each question there are four possible answers A, B, C and D. Choose the one you consider correct and record your choice in soft pencil on the separate Answer Sheet. Read the instructions on the Answer Sheet very carefully. Each correct answer will score one mark. A mark will not be deducted for a wrong answer. Any rough working should be done in this booklet. This document consists of 13 printed pages and 3 blank pages. IB13 11_9708_32/3RP © UCLES 2013 [Turn over 2 1 What is the purpose of trying to achieve economic efficiency? A B C D 2 to ensure that economic decisions are made equitably to ensure that firms are internationally competitive to ensure that firms maximise their profit levels to ensure that the economy does not waste scarce resources The table shows the total utility that an individual derives...
Words: 2278 - Pages: 10
...sheet). 1) hich of the following is not a consequence of hyperinflation? W A) he price level grows in excess of hundreds of percentage points T per year. B) oneyʹs function as a medium of exchange is enhanced. M C) t causes an economy to suffer slow growth. I D) oney loses value so rapidly that firms and individuals stop M holding it. 2) hich of the following would you expect to lead to increases in W domestic interest rates and an appreciation of the domestic currency? A) xpansionary monetary policy e c B) ontractionary monetary policy C) xpansionary fiscal policy e D) oth B and C. B 3) eteris paribus, an unexpected increase in the current or actual rate of C inflation will cause A) he long run Phillips curve to shift leftward. t B) he short run Phillips curve to shift upward. t C) he unemployment rate to decrease (a movement along the short t run Phillips curve). D) xpectations of future inflation rates to be revised downward. e 4) he interest rate on a Treasury bill that you pay $980 for today that T matures in one year and pays $1,000 is A) percent. 2 B) percent. 4 C) percent. 3 D) percent. 1 5) he international trade effect states that T A) n increase in the domestic price level will raise net exports. a B) n increase in the domestic price level will lower net exports. a C) n increase in the domestic price level will raise exports. a D) n increase in the domestic price level will lower imports...
Words: 4587 - Pages: 19
...European Economic Policies 1. THE MULTIPLE DIMENSIONS OF AN ENLARGED EUROPE 1.1 THE HISTORICAL DIMENSION Many unprecedented achievements characterize the Europe we see today; for the first time since Charlemagneʼs Holy Roman Empire in the 9th century in the ninth century, most of the European continent (400 million citizens) is again united and in peace. For the first time (at least since the last century) a set of countries have autonomously decided to relinquish to a supranational authority the control of one of the key symbols of a nation, its currency, without renouncing their identity or independence (along with numerous innovations). All this in less than 60 years. Historically, a period of war in Europe has ended with one or more treaty (e.g. 30 years war → Westfalia, Napoleonic war → Vienna Congress, WW1 → Versailles) The end of WW2 produced a series of treaties which, among other things (UN), laid down the founding pillars of the modern European Union The First 40 years (1950 – 89) Its acknowledged that the start of the European integration can be identified in the “Schuman declaration” a speech by French foreign minister in 1950. He proposed that France and Germany and other nations wishing to join, pool their coal and steel resources. It was an opening of credit to Germany (only 5 years after the first tank left Paris) and it implicitly recognized the new world order with france and germany allied with the US. It was also a security measure for France with respect to Germany...
Words: 15394 - Pages: 62
...OF ECONOMICS DISCUSS THE VARIOUS ECONOMIC GROWTH THEORIES AND DEVELOPMENT THEORIES HOW CAN SUCH THEORIES BE USED IN ECONOMIC DEVELOPMENT IN NIGERIA. COURSE TITLE THEORY OF ECONOMIC DEVELOPMENT COURSE CODE;ECO 2911 INTRODUCTION According to Dennis Goulet in The Cruel Choice, “it matters little how much information we possess about development if we have not grasped its inner meaning”. Development is not purely an economic phenomenon. In an ultimate sense, it must encompass more than the material and financial sides of people’s lives, to expand human freedom. Every nation strives after development. Development and growth should therefore be perceived as a multidimensional process involving the reorganization and reorientation of the entire economic and social systems. The sources of economic progress can be traced to a variety of factors, but by and large, investments that improve the quality of existing physical and human resources, increase the quantity of these same productive resources, and raise the productivity of all or specific resources through invention , innovation and technological progress have been and will continue to be primary factors in stimulating economic growth in any society. ECONOMIC DEVELOPMENT THEORIES Definition of economic development It can be defined as the increase in the standard of living of a nation's population with sustained growth from a simple, low-income economy to a modern, high-income economy. Its scope includes the...
Words: 6595 - Pages: 27
...inferior good is one for which the quantity purchased decreases when real income increases. Giffen Good: A good for which there is a range of prices for which quantity and price vary directly, not inversely. Dependent Variable: A variable whose value is determined by the model. Independent Variable: A variable whose value is fixed external to the model. Complementary Good: A good whose demand curve shifts along with that of another good. Substitute Good: A good whose demand curve shifts inversely with that of another good. Normal Profit: The amount of profit just sufficient to keep resources in the industry. Included as part of cost. Coase’s Theorem: The exchange solution to external costs. Ricardo’s Theorem: A proof that a a poor country can trade to mutual advantage with a rich one, despite having no absolute advantage in any area. Okun’s Law: An equation relating...
Words: 20551 - Pages: 83
..._____________________________________________________________________ Reducing Child Malnutrition: How Far Does Income Growth Take Us? by Harold Alderman, Simon Appleton, Lawrence Haddad, Lina Song and Yisehac Yohannes _____________________________________________________________________ Centre for Research in Economic Development and International Trade, University of Nottingham 2 The Centre for Research in Economic Development and International Trade is based in the School of Economics at the University of Nottingham. It aims to promote research in all aspects of economic development and international trade on both a long term and a short term basis. To this end, CREDIT organises seminar series on Development Economics, acts as a point for collaborative research with other UK and overseas institutions and publishes research papers on topics central to its interests. A list of CREDIT Research Papers is given on the final page of this publication. Authors who wish to submit a paper for publication should send their manuscript to the Editor of the CREDIT Research Papers, Professor M F Bleaney, at: Centre for Research in Economic Development and International Trade, School of Economics, University of Nottingham, University Park, Nottingham, NG7 2RD, UNITED KINGDOM Telephone (0115) 951 5620 Fax: (0115) 951 4159 CREDIT Research Papers are distributed free of charge to members of the Centre. Enquiries concerning copies of individual Research Papers or CREDIT membership should be addressed to...
Words: 8300 - Pages: 34
...inferior good is one for which the quantity purchased decreases when real income increases. Giffen Good: A good for which there is a range of prices for which quantity and price vary directly, not inversely. Dependent Variable: A variable whose value is determined by the model. Independent Variable: A variable whose value is fixed external to the model. Complementary Good: A good whose demand curve shifts along with that of another good. Substitute Good: A good whose demand curve shifts inversely with that of another good. Normal Profit: The amount of profit just sufficient to keep resources in the industry. Included as part of cost. Coase’s Theorem: The exchange solution to external costs. Ricardo’s Theorem: A proof that a a poor country can trade to mutual advantage with a rich one, despite having no absolute advantage in any area. Okun’s Law: An equation relating...
Words: 20607 - Pages: 83
...ECON 201: Introduction to Macroeconomics Final Exam December 6, 2010 NAME: _________________________________ Circle your TA’s name: Brian Meysam Travis Directions: This test is in two parts, a multiple choice question part and a short-answer part. Use this page to complete the multiple choice section. Calculators are permitted. Books, notes, reference materials, etc. are prohibited. Good luck! Part 1: Referring to the multiple choice questions on the next several pages, choose the one alternative that best completes the statement or answers the question. Each question is worth one point. There is no penalty to guessing, so be sure to answer all of them. Write your answers in the following table using capital letters. |1 |11 |21 |31 |41 |51 | |2 |12 |22 |32 |42 |52 | |3 |13 |23 |33 |43 |53 | |4 |14 |24 |34 |44 |54 | |5 |15 |25 |35 |45 |55 | |6 |16 |26 |36 |46...
Words: 4360 - Pages: 18
... 1. INTRODUCTION...................................................................................................... 02 2. CONCEPTUAL FRAMEWORK............................................................................ 02 3. GLOBALIZATION OF FOOD SYSTEMS IN CONTEXT................................ 03 a. Urbanization.................................................................................................. 03 b. Economics, health and education................................................................. 04 c. Employment................................................................................................... 05 d. Technology and facilitating mechanisms..................................................... 06 4. CHANGES IN DIETARY PATTERNS ............................................................... 07 a. Dietary convergence ..................................................................................... 07 b. Dietary adaptation ....................................................................................... 08 i. Lifestyle changes and adaptation of meal patterns........................... 08 ii. Street foods......................................................................................... 09 iii. Supermarkets ..................................................................................... 09 ...
Words: 6445 - Pages: 26
...The international business and trade environment is the backbone of global economy. Trade agreements to buying and selling goods and services internationally give manufacturers in various countries the opportunity to expand beyond the domestic market. Trading across national borders increases sales, creates jobs, balances seasonal fluctuations and provides a variety of products and services. As the global economy continues to strengthen, international trade continues to be in demand. 4.2 OBJECTIVES Increases Sales For some businesses, the drop in the value of the dollar increases business internationally. To capture the international market, businesses have launched Internet marketing campaigns and websites targeted at consumers in specific...
Words: 9682 - Pages: 39
