...Case Study – The U.S. Economy from 2009 to Present JWI– 515 Jack Welch Management Institute At Strayer University JWI– 518 Since it's opening it's first establishment in Denver, Colorado in 1993, Chipotle Mexican Grill now has more than 1200 locations including restaurants in 41 states, Canada, and England. Considering it's success, it is unlikely that Chipotle would have earned a net income $215 million(1) last year without the strategic implementation of social media. Chipotle has employed social media as both a stand-alone means for promotion, as well as a smaller component to much larger campaigns. Among the successful applications are burrito give-aways, event promotion, “foil” art contests, and the most notable and successful “locally grown” campaign – which included a recent spot during the 2012 Grammy Awards. The “locally grown” campaign is indeed Chipotle's most involved social media promotion, including videos, contests, and conversations all surrounding the local farming movement. The campaign's official moniker is “Food with Integrity,” and according to the official website is a “commitment to finding the very best ingredients raised with respect for the animals, the environment and the farmers.”(2) “I think it's really important that people know where their food comes from” says Steve Ells, Founder and Chairman of Chipotle. The campaign's first successful venture was the “Boorito” event, where they encouraged customers to dress up as family farm-inspired...
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...report will look at country specific factors such as political economy, consumer culture, industry regulations etc. that may impact the feasibility of the NANO car in the US and on-going business costs. PRODUCT DESCRIPTION [pic] TATA NANO CAR-2009 (Tata Nano 2009) TATA MOTORS, an Indian based automotive company unveiled the Tata NANO car model in 2008. The most unusual feature of the NANO is its extremely low price tag of approximately $2000 plus taxes and dealer charges. The higher end variants of the Nano are up-to 30% more expensive which come with luxury features such as air-conditioning etc. Highlights – • The world’s cheapest car - $2000 ex-showroom • 624 CC engine, 2 cylinders & seats 4 passengers • Mileage of 23.6 km’s per litre • Currently manufactured in Gujarat, India • Compliant with BS3 emission standards (Tata Nano 2009) UNITED STATES OF AMERICA The U.S. is the third largest country in the world and divided in to 50 states. The population estimate is 307 million in 2009 with a median age of 36.7 years. The U.S. is also the biggest market of the world with a GDP of over $14 trillion (CIA 2009). U.S. POLITICAL SYSTEM The United States political system is based on strong individualism ideals. • The U.S. is a federal republic and has a representative democratic...
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...The Economic Impact of Civil Aviation on the U.S. Economy August 2011 Contents 3 4 6 6 8 12 18 18 19 19 20 20 25 26 28 30 32 36 38 38 40 40 42 44 48 Foreword Overview Introduction Economic Impact of Civil Aviation Highlights Current Outlook Impact of the Recession on U.S. Airlines, Coping Strategies and Future Outlook National Impact of U.S. Civil Aviation Methodology Types of Economic Impacts Measures of Economic Impacts Update Results Aviation’s Contribution to Gross Domestic Product Real Change from the Previous Year Manufacturing General Aviation FAA Spending Overview Enabling Impact Passenger Expeditures Freight Flows Freight Exports Domestic Air Freight Conclusion Appendix – Supplemental Tables Glossary of Economic Terms Foreword Look around. In today’s ever-changing and innovative world, aviation provides a vital link to economic opportunities at home and abroad. In the wake of global economic and financial uncertainties, runways have become the new main streets for cities and towns to get down to business and soar once more. In 2009, civil aviation supported over 10 million jobs, contributed $1.3 trillion in total economic activity and accounted for 5.2 percent of total U.S. Gross Domestic Product (GDP). Civilian aircraft engines, equipment and parts also contribute $75 billion toward the U.S. trade balance. Civilian aircraft engines, equipment and parts have been the top net export for the past decade. Our economic success clearly depends on the success of...
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...Decline Value of the U.S. Dollar For more than sixty years the United States dollar has been the central reserve currency for the world. A reserve currency, also referred to as an anchor currency, is a currency that is held in significant quantities by governments and institutions as part of their foreign exchange reserves (Carbaugh, 2011). As the world’s reserve currency, the U.S. dollar is used throughout the world as a medium of exchange and is used as the global currency for products traded within the global market. In recent years the status of the U.S. dollar has been contested by a select few around the world. Leaders are unconvinced about the future of the United States economy as their deficits are exceeding record highs. The following analysis will discuss the history of the world reserve currency, how the U.S. dollar became the controlling currency and the benefits the U.S. has experienced as a result of having the controlling currency. Presenting analysis will also discuss the cause of mounting concerns over the future of the United States as well as the effects if the dollar was to lose its status as the world’s reserve currency. Finally, alternatives for the dollar will be evaluated as well as what the United States can do to maintain the standing of the dollar. History of World Reserve Currency During the 1800’s and the first half of the 1900’s the British Pound served as the foremost world reserve currency. Due to WWII Great Britain accrued a high amount of debt...
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...Bryant and Stratton College ECON220: The History of Recessions in the U.S. Instructor: P, Created by: Brandon April 8, 2014 Throughout history the United States has gone through many economic ups and downs and has tried to create new procedures to ensure that the same problem does not occur again. In this presentation we are going to look at some of the recessions that the country has endured, how these recessions happened, when, and how the government attempted to correct the problem. While there are many different opinions on how to correct and prevent these recessions from happening we are going to look at the facts that lead to these crisis’ in the U.S. economy. The financial press often states the definition of a recession as two consecutive quarters of decline in real GDP. NBER (National Bureau of Economic Research) states that a recession is a period between a peak and a trough, which does not necessarily always consist of two consecutive quarters of decline in real GDP but a significant decline in economic activity that spreads across the economy and can last from a few months to more than a year. [1] The first recession we are going to explore is The Great Depression which many say started as a recession. Although the economy began to decline in the middle of 1929 and continued to fall until the first few months of 1933, Black Tuesday, (October 29, 1929) was the day the stock market crashed and what many people affiliate to the beginning of...
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...U.S. Trade Analysis with other Countries Abstract Purpose- This paper presents the analysis of U.S. imports and exports by managing the trade balance. It also presents the leading U.S. imports and exports in terms of value along with the important partners. Design/methodology/approach- The author explains the balance of trade including the rise and fall of U.S. trade deficit using the analysis between different countries imports and exports. Research limitations/implications- The study is limited to analysis of imports, exports, trade surplus and deficit of U.S. trading. Originality/value- This paper will help to build up the understanding about the basic imports, exports and importance of balancing the trade cycle for a country. Keywords- Deficit, Import, Export, Surplus, Economy Introduction Every country has to follow a set of policies, methods and processes in order to perform imports and exports. A number of conflicts arise due to weak foreign trading policies by countries. It requires professional expertise to manage the trade of a country. There are also a number of conflicts generated between the different countries related to financial decisions of countries. To eliminate the risk involved in financial issues a system of principles, procedures, policies, responsibilities, accountabilities are used by stakeholders. Many of the famous financial scandals are noted in the history occurring at Parmalat, Nortel, and Enron. It has cost a lot of drop in the market...
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...for Automotive Sector The U.S. automobile industry is large and dynamic sector contributing significantly to the nation’s output and employment. Auto industry provides the basis for a mass of related service and support industries. The industry is highly volatile and sensitive to global and domestic economic changes. During the 1960’s & 1970’s the big three accounted for 90% of automobiles purchased in U.S. However, since 1980’s foreign manufacturers entered the U.S market. So, the industry faced intensive competition from Japan, Germany & other countries. During 1998’s availability of foreign substitutes flooded the U.S automotive industry. Foreign producers, particularly Japanese, provided solitary competition to The U.S. oligopoly. Besides, the demand for automotives are highly found to be fickle and sensitive to macroeconomic conditions like, income, unemployment, interest rate etc. Regarding cost of production, The U.S automotive firms are characterized by huge fixed and variable costs. The variable cost in terms of wages and other benefits are, because most of the automobile firms like GM, Ford, and Chrysler have long been unionized. The United Auto Workers (UAW) ensures higher wages and generous benefits in the form of health insurance and Medicare for automotive industry workers than in any other non unionized firm. Eventually, UAW contracts with the auto firms lead to mounting variable and fixed cost for the The U.S auto makers. Further, the Federal...
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... Effects on global trade * Trade and Industrial production * Unemployment * Financial market * Travel * Insurance * Small business lending * Pollution 5. Global responses 6. Policy recommendations 7. Risks 8. References Introduction In 2008, the world experienced a major financial crisis which was rooted from the US housing market; moreover, many economists considered it as one of the great recession since the Great Depression in 1930s. After posing a huge affect on the U.S economy, the financial crisis expanded to Europe and the rest of the world. In this paper, I will analyze the impact of the recession on the global trade, the results of it and the risk and opportunities that came along with it. The Recession In April 2009, the world economy appeared to be in a free fall. Global trade between the countries had decreased 15.8 percent over the last two quarters of 2008 and the first quarters of 2009. This global trade collapse had...
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... 1 What is Gross Domestic Product? Jesse Leslie Argosy University Macroeconomics George Williams 07/ 26/2014 GROSS DOMESTIC PRODUCT 2 Current-Dollar and "Real" Gross Domestic Product | 6/25/14 | | | | | | | | | | Annual | | Quarterly | | | | | | | (Seasonally adjusted annual rates) | | | | | | | | | | | | | GDP in billions of current dollars | GDP in billions of chained 2009 dollars | | | GDP in billions of current dollars | GDP in billions of chained 2009 dollars | | | 1982 | 3,345.0 | 6,484.3 | | 1960q2 | 542.7 | 3,108.4 | 1983 | 3,638.1 | 6,784.7 | | 1960q3 | 546.0 | 3,116.1 | 1984 | 4,040.7 | 7,277.2 | | 1960q4 | 541.1 | 3,078.4 | 1985 | 4,346.7 | 7,585.7 | | 1961q1 | 545.9 | 3,099.3 | 1986 | 4,590.1 | 7,852.1 | | 1961q2 | 557.4 | 3,156.9 | 1987 | 4,870.2 | 8,123.9 | | 1961q3 | 568.2 | 3,209.6 | 1988 | 5,252.6 | 8,465.4 | | 1961q4 | 581.6 | 3,274.6 | 1989 | 5,657.7 | 8,777.0 | | 1962q1 | 595.2 | 3,333.6 | 1990 | 5,979.6 | 8,945.4 | | 1962q2 | 602.6 | 3,369.5 | 1991 | 6,174.0 | 8,938.9 | | 1962q3 | 609.6 | 3,401.6 | 1992 | 6,539.3 | 9,256.7 | | 1962q4 | 613.1 | 3,414.8 | 1993 | 6,878.7 | 9,510.8 | | 1963q1...
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...Banking Industry and the Economy Ja’Net McQueen Slater Strayer University Birmingham, AL Instructor: Dr. Lisa Kincaid Research and Communication- RES 531 April 18th, 2010 Context of the Problem Today the economy is at its worst than it’s ever been before since the 1940s. Unemployment is at a record high as well as companies that are continuing to close down due to financial issues. The housing markets, auto industry, banking industry, & loss of jobs are all major things that are being affected by the way the US is spending money. The housing market and banking industry are both some of the main things that are having a major affect on the U.S. and to how this affects all other aspects of daily living. Some people may ask, “How did we get this way”? Over the past 180 years the United States grew to a huge, integrated, industrialized economy that makes up over a quarter of the world economy. The main causes were a large unified market, a supportive political-legal system, vast areas of highly productive farmlands, vast natural resources (especially timber, coal and oil), an entrepreneurial spirit, a commitment to investing in material and human capital, and at times a willingness to exploit labor. In addition, the U.S. was able to utilize these resources due to a unique set of institutions designed to encourage utilization and extraction. The economy has maintained high wages, attracting immigrants by the millions from all over...
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... is that the Swedish model provides a more effective outcome for both the citizens and businesses by offering greater economic stability within the internal economy and also the banking sector. This argument is supported by examples that demonstrate how the Swedish model enabled quick and effective implementation and has provided the Swedish banking sector stability since its inception in1992. Sweden has a socialist democratic system with a capitalist economy, a socialist embedded welfare system and a deregulated financial market which has benefited from constant economic growth (Central Intelligence Agency, 2010). Sweden’s growth continued till the 1990’s when it experienced the ‘1990 Bank Crisis’ similar to the American subprime mortgage crisis (Phillips, 2009). The United States has a liberal democracy with a market orientated economy which is one of the most powerful economies in the world with a GDP of $14.29 trillion (Central Intelligence Agency, 2010). However unlike Sweden the United states economy does suffer from insufficient economic infrastructure and medical and welfare systems (Central Intelligence Agency, 2010). Both Sweden and the US have central banks, the Riksbank and the Federal Reserve Bank respectively. Riksbank’s primary role is monetary policy and responsibility for stability within the economy and, in doing so has to act with in the guidelines of the Sveriges Riksbank Act (The Sveriges Riksbank, 2010). The Riksbank works closely with the Swedish government...
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...of the United States Economy By looking at the past five years of data, it is clear that the United States economy is in a state of rebound from the Great Recession. The data shows that before the recession the United States’ economy was operating at a solid level. The recent numbers show that the economy is on its way back to the state it was in before the recession hit. The Great Recession began in December 2007 due to major factors that lead to economic turmoil. Causes of the recession include failure of the federal to stem the tide of toxic mortgages, breakdowns in corporate governance, a excessive mix of risky barrowing by the households and wall street, key policy makers were not prepared for the crisis, and breaches in accountability and ethics at all levels. Due to the combination of these factors the Great recession was started and did not officially end until June 2009. During this time the unemployment rate took an all-time high and GDP growth was slowed down and at one point went negative. This was a rough time for the United States financially. Many people were in debt and did not have a job. The housing market also crashed, leaving Americans with little money and high prices on real-estate. Consumer cutbacks took a major increase, which also increased inflation, which lead to the decrease in GDP. Although the recession ended in 2009, it was the worst year for the United States unemployment rate. The annual unemployment rate in 2009 was 9.2%. The most recent...
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...In the years leading up to the crisis, high consumption and low savings rates in the U.S. contributed to significant amounts of foreign money flowing into the U.S. from fast-growing economies in Asia and oil-producing countries. This inflow of funds combined with low U.S. interest rates from 2002-2004 resulted in easy credit conditions, which fueled both housing and credit bubbles. Loans of various types (e.g., mortgage, credit card, and auto) were easy to obtain and consumers assumed an unprecedented debt load. As part of the housing and credit booms, the amount of financial agreements called mortgage-backed securities (MBS), which derive their value from mortgage payments and housing prices, greatly increased. Such financial innovation enabled institutions and investors around the world to invest in the U.S. housing market. As housing prices declined, major global financial institutions that had borrowed and invested heavily in subprime MBS reported significant losses. Defaults and losses on other loan types also increased significantly as the crisis expanded from the housing market to other parts of the economy. Total losses are estimated in the trillions of U.S. dollars globally. While the housing and credit bubbles built, a series of factors caused the financial system to become increasingly fragile. Policymakers did not recognize the increasingly important role played by financial institutions such as investment banks and hedge funds, also known as the shadow banking...
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...When assessing the size and importance of the U.S. manufacturing sector, it is vital to recognize that many other sectors, such as finance, telecommunications, wholesale and retail trade, and accounting, depend on a strong manufacturing base. While U.S. manufacturing itself is the eighth largest economy in the world, its impact on the overall U.S. economy is much larger when this “multiplier effect” is taken into account. And reports of the demise of the manufacturing economy in the 21st century are clearly premature. While the general public perceives a manufacturing sector marked primarily by a loss of jobs, the facts about the industry paint a different picture. The United States is the world's largest manufacturing economy, producing 21 percent of global manufactured products. China is second at 15 percent and Japan is third at 12 percent. U.S. manufacturing produces $1.6 trillion of value each year, or 11.2 percent of U.S. GDP. Manufacturing supports an estimated 18.6 million jobs in the U.S.—about one in six private sector jobs. Nearly 12 million Americans (or 9 percent of the workforce) are employed directly in manufacturing. In 2009, the average U.S. manufacturing worker earned $74,447 annually, including pay and benefits. The average non-manufacturing worker earned $63,122 annually. U.S. manufacturers are the most productive workers in the world—twice as productive as workers in the next 10 leading manufacturing economies. U.S. manufacturers perform two-thirds of all R&D...
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...The U.S. Financial System and its Complexities Principles of Finance Week 4 Assignment 1 Professor Neilson Olin Frye 7/22/14 The effect of the US financial markets on the economy is considerably high. Part of the reasoning behind this is that all the major companies listed in the Stock Market directly contribute in the economic growth of the U.S. When the individual company performance decreases, their Stock Market rating starts to trend downward. This downward trend develops a negative impact on the U.S. economy. The Stock Market (whose dynamics have their own issues) doesn’t always produce an impact on the economy. In 2008, the U.S. went through a global financial crisis. The Stock Market crashed and negatively impacted the U.S. economy. These issues show the impact of US financial markets on economy (Chong & Miffre, 2009). The U.S. financial markets even have an impact on the companies and business. When the U.S. financial market is in a favorable position, there is a positive impact on the businesses and companies but is not always normal, some businesses flourish solely on their performance and not on their position in the Stock Market (Gai, 2007). When the overall performance of the U.S. financial markets is positive, the consumer that makeup the economy also has a greater self-confidence in regards to the overall health of our country. The consumers are not as hesitant to spend money on their needed items, and the banks are more willing to loan...
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