Diversity at work - organisational politics to employees Essay

Diversity at work - organisational politics to employees - Essay Example As the case study shows, Isobela intelligently participates in the organizational politics at TopNotch and eventually gets a promotion after the retirement of James, their CEO. Alternatively, participating in organizational politics can have adverse effects on the careers of various individuals as happened to Alexis and George in the case study under consideration. The main issue that Alexis, George and Chetan are facing is their participation in organizational politics in an effort of seeing their efforts at the organization recognized and in turn get promotions. Their participation takes place when Alexis discovers that a former minister in New Zealand plans on hosting celebrations for his seventieth birthday. Alexis sees this as an opportunity of advancing her own agenda through playing politics to assist the company in achieving their objective of attracting latent clients while strengthening their status (Schermerhorn, Osborne, Uhl-Bien & Hunt, 2011). Alexis relies on rumors tha t are circulating within the organization concerning their relationship with their competitors. This enables her to obtain vital information concerning their organization of the various parties they have contracted (Martin, 2005). On the other hand, the company’s CEO also utilizes organizational politics in eliminating his competition in the attainment of contracts. He is able to threaten the management of ExcelEvent with the possibility of cutting ties with their major catering organization that is run by his relative. It is this move that enables him to eliminate part of their competition leaving one company vying for the same contract as his company (Sievers, Long & Lawrence, 2006). This therefore implies that the organizational politics utilized by the CEO of TopNotch were beneficial for his company (Case Study 2, 2012). Isobella is also perceived to have begun the steady rise in her career through the use of organizational politics. She reportedly manages to get the prom otions through having dinners with the company’s CEO and her family’s background. Isobella is said to be incompetent and leaves most of her duties to her assistant, a Mr. George. She utilizes the time she would have been performing beneficial duties for the company in blackmailing, gossiping and making negative reports concerning her subordinates to the CEO. This strategy enables her to propel her career to levels which other employees within her company only dream about. She additionally utilizes threats to damage the image of her subordinates who have not been complying with the organizations regulations (Champoux, 2010). For instance, she utilizes the pictures she had taken of George dating a colleague since the company has strict regulations concerning the relationships that exist between their workers. The types of organizational politics that are utilized by Isobella are meant to help her in pursuing her self-interests through the promotions she will get (Daft & Willmott, 2010). Alexis on the other hand uses her skills of negotiating directly with officials from other organizations in the pursuit of excellence for the company (Samuel, 2005). She uses her influence through positive organizational politics that would greatly have helped the company in achieving their desired objectives (Schermerhorn, Osborne,

Law. Offer and Acceptance Essay Example | Topics and Well Written Essays - 1250 words

Law. Offer and Acceptance - Essay Example When the party accepts the offer it is generally assumed that all negotiations have been done and the part unconditionally accepts the offer. Hence, there is no halfway through, either there is a contract or there is no contract at all. In this case, Anthony is the offeror who made the offer and Joyce is the offeree; to whom the offer is made. An offer must give a clear indication that the offeror intends to be bound by those terms as soon as they are accepted by the offeree. An offer may remain open until the specified time has been completed. Anthony told Joyce to respond to the offer within a specified time which was Wednesday mid-day. After that time, the offer would have been terminated. According to the English legal system, other circumstances in which the offer will terminate are rejection of the offer, a counter offer made by the offeree, death of the offeror or offeree and withdrawal of the offer (Schulze, 2007, p. 321). In this case, Anthony has withdrawn from the offer th rough sending a letter which Joyce received after posting the acceptance. Under the law, withdrawal of the offer must be communicated to the offeree. The withdrawal of an offer is known as the revocation of the offer. The case of Payne v Cave (1789) established the principle that an offer could be withdrawn anytime before it is accepted. There are many rules that apply to the withdrawal of offers. One of the main rule is that the withdrawal must be communicated which means that the offerors must notify the offeree that the offer is revoked (Young, 2009, p. 87). This rule was established in the case of Byrne & Co v Leon Van Tienhoven (1880) in which the defendants were a company based in Cardiff. They posted a letter on 1st October to New York making an offer to sell 1,000 boxes of tinplates to the plaintiffs. When the plaintiffs received the letter, they accepted it by telegram. However, in the meantime, the defendants wrote another letter to revoke their offer but the letter was re ceived by the plaintiffs later. The court held that a binding contract existed between the two parties as revocation would only take place on communication but acceptances take place as soon as they are posted. Anthony posted his revocation by post and it was received by Joyce after posting the acceptance. This means that the offer had not been revoked and Anthony was still under the circumstances of the offer and must be fulfilling his promise despite the losses it would cause to him. Thus, the offer has not been revoked because acceptance was already posted. If the acceptance would not have been posted by Joyce, the offer could have been revoked because the specified time given for the offer was still valid. Thus, an offer has been made and accepted as well. An offer is revoked only if the revocation is communicated to the offeree but the acceptance is made as soon as it is posted. The contract law establishes that acceptance of an offer is when the offeree has unconditionally acc epted to all terms of the offer. Acceptance can be oral or in writing, but at times acceptance can be done by an act such as delivering goods in a response to the offer. Acceptance does not take effect until it is communicated by reasonable means. Lord Denning explained this principle in Entores Ltd v Miles Far East Corporation (1955) that if A shouts an offer to B over a river and just as B shouts back in acceptance, a noisy aircraft flies over and prevents A from hearing B’s acceptance, no legally binding contract is made. This means that A must hear the acceptance of B only then will it be called communicated (Schulze, 2007, p. 321). However, there are some exceptions to this communication rule. One of the

Impact Of SMEs On Economic Development

Impact Of SMEs On Economic Development CHAPTER 4 Small businesses contribute substantially to two fundamentals of poverty reduction job creation and economic growth (The World Bank Group). In the previous chapter we examined a complete picture of MA in the theory of banking and at offering economic evaluation and strategic analyses of the process, also high lighting the performance of commercial banks in post consolidation period in Nigeria. It then viewed the benefits, consequences and limitations of MA and concluded with recent estimates of the effects of bank consolidation on Small Business Lending. In this chapter we shall be looking at the roles of SMEs, its benefits and impacts on the economic development. We shall also be looking at how SME get funded and the main sources of cash. Finally we will compare this credit availability to SMEs before consolidation and after consolidation in the Nigerian banking sector 4.0 Introduction Small enterprises are the seeds of the private sector, and also the source of innovation and diversification. They supply larger companies and develop their own activities and product lines. When they grow, they provide employment and tax revenues. Small and medium-sized enterprises can be the motors of economic growth. In most African countries, however, the business environment is not conducive to enterprise development ( Bercy, 2005 ). Small and Medium scale Enterprises (SMEs) are important for successful economic growth and social development. SMEs, properly supported, foster Entrepreneurship a proven pre-requisite for national economic success. Public and private policy support of SMEs is most effective when SMEs are part of the formal sector. One key objective therefore is to encourage migration of SMEs from informal to formal sector (Oyekanmi, 2006) Nigerian SMEs in informal sector are beyond the reach/help of public or private policy Policies do not provide sufficient support Difficult access to finance To use SMEs to stimulate economic growth and encourage businesses requires SMEs to move from informal sector to formal sector. 4.1 Definition of SMEs SME is an acronym for small and medium enterprise. It is a term that is used in a different way in different country and used differently even within the same industries. In the United States for instant SMEs can be used to express firms from small office home office to even large company. In Europe SMEs is used to refer to a business firm or company that has fifty to two hundred and fifty employees with an annual turnover of seven to forty million euro. Yet these SMEs must have a total asset less than twenty-seven million euro. In Canada, the industry uses the term SMEs as a reference to any company that has less than five hundred employees while categorizing company with employees above this number as large business. The definition of SMEs is country specific which is measured on size and level of development. In Nigeria SMEs are the moral fibres of the economy, a large percentage of businesses in Nigeria employ less than one hundred employees (Oyekunmi, 2006). This segment provides fifty percent of employment and fifty percent of the total industrial output. This can be said that most of the developing nations, its private economy comprises totally of SMEs and seen as the only reasonable employment opportunity for communities ( Oyekunmi, 2006) 4.2 Impact of SMEs on Economic Development Nowadays, the importance of SMEs has been recognised worldwide and their immense involvement to economic growth, community organisation, employment, catalysts of growth, innovation and skills and development. SMEs account for over 95% of enterprise and 60%-70% of employment, and generate a large share of new jobs in Organisation for economic Co-operation and development economies. (OECD Africa). Since the dawn of industrial changes and globalisation the importance and contribution of small firms is enhance as the economies of scale reduces. Nevertheless a lot of the conventional problems SMEs faces have also become more acute in this global environment. Such problems as lack of funding or credit availability, problems in utilization of technology, constrained managerial capabilities, regulatory weight down and low yield. Since every economy stands to gain from SMEs precise strength and weakness, policy framework and the role of government must evolve for these enterprises to flourish , adapt to new demands and strains and to reap the benefit of globalisation. For this reason encouraging entrepreneurship is high on the agenda of governments in OECD member countries, developed and developing economies. The importance of entrepreneurship stands out in this time of innovative change, and fostering a climate to help the dynamism in firm creation is considered fundamental worldwide.( OECD African Economic Outlook ,2009) 4.3 Role of SMEs to Economy Small and Medium Enterprises (SMEs) occupy a place of pride in virtually every country or state. Because of their significant roles in the development and growth of various economies, they have been referred to as the engine of growth and the vehicle for socio- economic change of any country. SMEs are seen as an authentic medium for the realization of national economic objectives of poverty alleviation and employment generation at low investment cost. Another benefit of SMEs includes access to the infrastructural facilities made available by the very existence on these enterprises. Also the spur of economic activities through supplies of items produced, distribution process stemming from rural to urban centre, enhances the standard of living of the employees and their families as well as those who directly and indirectly related with them ( Onuorah, 2010). The benefits of SMEs are innumerable and cannot be exaggerated. These benefits are summarized below. Economy contribution in the provision of outputs in form of goods and services. Generation of employment involves creation of jobs at relatively low capital cost. And the employment opportunities provided reduces village to city (rural-urban) migration and allows for even development Utilization of local resources: This promotes the use of local raw materials requiring simple technology SMEs help to reduce income disparity by developing a group of both skilled and semi-skilled workers as a basis for expansion Income generation: SMEs constitute major avenues for income generation and participation in economic activities in the lower income and rural brackets of developing societies especially in agriculture, trading and services. Stiglitz and Weis (1981) observe that small and medium scale firms with opportunities to invest in positive net present value projects may be blocked from doing so because of adverse selection and moral hazard problems. This selection problem occurs when providers of funds cannot validate the firms access to quality projects. While the hazard problems is related with the possibility of SMEs diverting funds to alternative projects or taking more risks than they can afford to. (Ogujiuba, Ohuche, Adenuga, 2004). Since SMEs ordinarily do not have access to public funds through the capital market, they obviously have to depend on banks for funding. The reliance on banks makes them even more vulnerable for the simple reason that crisis in the financial system can have a great impact to credit supply to SMEs, thus, SMEs are subject to funding problems in equilibrium and these problems are worsening during periods of financial instability. Berger and Udell (2001) further note that shocks to the economic environment in which both banks and SMEs exist can significantly affect the willingness and capability of banks to lend to small and medium scale firms. Government worldwide have realised the importance of SMEs and have encouraged them by originating and creating policies that are favourable to encourage, support and make funding accessible. To encourage the developments in small and medium enterprise are a plus as the role SMEs plays in economic development. (Oladele, 2009). 4.4 SMEs Promotion in Nigerian The Nigerian government has supported the SMEs development programs since its independence, yet very few of which have yielded impressive results. Now the challenge is to recognise the factors that influence their performance and development as well as the implications of these factors for policy. Ever since the attainment of independence in Nigeria, every known regime recognizes the importance of promoting SMEs as the basis of economic growth. As a result, several micro lending institutions were established to enhance the development of SMEs. Unfortunately, records indicate that the performance of SMEs in Nigeria has not justified the establishment of this overabundance of micro-credit institutions. Odedokun (1981) notes that in spite of the quantum of credit made available to the SME manufacturing sector; the contribution of the index of manufacturing to GDP was only 7 percent between 1970 and 1979. Source: CBN Annual Report, 2008 The major credit programs and specialized credit delivery institutions implemented to promote SMEs in Nigeria between the year 1971 to 1997 includes: The small scale industries 1971, agricultural credit guarantee scheme (ACGSF)of 1973, the Nigerian Agricultural and Co-operative Bank of 1973, the Nigerian bank for Commerce and Industry of 1973, the small and medium scale enterprises loan scheme 1 2 of 1992, National Economic Reconstruction Fund of 1994 and The Family Economic Advancement Program of 1997.( Oyekunmi, 2006). Others includes micro credit institutions include the Nigerian Bank for Commerce and Industry (NBCI), National Economic Reconstruction Fund (Nerfund), the Peoples Bank of Nigeria (PBN), the Community Banks (CB), and the Nigerian Export and Import Bank (NEXIM), and the liberalization of the banking sector. (Ogujiuba, Ohuche, Adenuga, 2004). In addition there has been an entrepreneurship development centres in three zones since 2008, which is has trained nine thousand people and is expected to create about five hundred and twenty-five thousand jobs in three to five years. Most of these programmes failed due to poor administration in loan processing and credit procedure, poor monitoring techniques and the abuse of the scheme attributed to corruption (Oyekunmi, 2006). CBN initiated together with the Bankers Committee In 1999, an interventionist strategy called the Small and Medium Industries Equity Investment Scheme (SMIEIS). This scheme requires banks to set aside 10 percent of their profit before tax to fund SMEs in an equity participation framework. (Ogujiuba, 2004). SMIEIS requires all banks in Nigeria to set aside 10% of their PBT for equity investment in SMEs (revised to 5% from end 2006) ( Oyekunmi, 2006) According to Mambula (1997), since its independence, the small business development programs have generally yielded poor results, despite the immense amount of money invested by the Nigerian government. But this can be associated to the fact that these funds hardly reached the SMEs business because funds got lost to bureaucratic bottle neck and end up in accounts of public office holders. It has however been worrisome that despite the incentives, policies, programmes and support aimed at revamping the SMEs, they have performed rather below expectation in Nigeria. 4.5 Funding opportunity for SMEs To assist SME development, priority should be given to financial reforms and appropriate financing. Effective financing of SMEs should include regulatory reform the creation of a friendly business environment for doing business, the extension of guarantees to local banks to entice them to lend in local currency (e.g. USAID Development Credit Program), tax incentives for rewarding companies that agree to have their financial statements audited, the creation of equity funds suitable for SMEs, financial incentives for partnerships, etc. (Bercy, 2005). SMEs being very unique and important and because of their relative small size can be negatively affected by changes in the financial institution especially banks during crisis period. The credit availability to SMEs is very important and significant not only from a theoretical point of view but also for policy purposes. In many countries different innovation have enthused extensive restructuring in the financial sector. Commercial banks have engaged in mergers and acquisitions, which has lead to the vanishing of many small credit institutions and appearance of complex financial conglomerates. Merger has open previously isolated markets due to the lifting of geographical barriers hence reducing market segmentation. SMEs can be funded in two major ways; internal finance, concerned with getting money from personal savings and from friends and relatives and external finance when the company grows and begins to expand. External financing is sourced from most financial institutions. There are two notable variants of external finance and these include debt financing and equity financing. Dept financing engages interest bearing instruments and are secured by asset collateral and have term structured into it. This can be long termed or short termed. Examples of dept finance include loans, overdrafts, leasing and hire purchase arrangement and letters of credit. Equity financing allows the banker or investor the right of ownership in the business. This as such may not require collateral since the equity participant will be part of the management of the business. ( Ogujiuba et all, 2004). We have seen the two approaches to overcome financial gap to SMEs. This approach has been further encouraged by two approaches. The first has been to broaden the collateral based approach by encouraging bank lenders to finance SMEs with insufficient collateral. The second approach is to broaden the viability based approach since its concerned with the business itself and the aim has been to provide an increase return in the general business, create a favourable environment and reduce risk. Viability based financing is especially associated with venture capital. This often entails a detailed review and assistance with the business plan. A common aim or feature of the viability based approach is the provision of appropriate finance that is tailored to the cash flows of the SME. (Berger and Udell, 2005). Levy in 1993 reported that smaller enterprises have limited access to financial resources compare to larger organisations and he discussed the impact of his findings in economic growth. SMEs funding is supplied through the business financial market in the following Retained Profit The Financial Market The use of banks. Government monetary policy 4.5.1 Retained Profit In the course of running a business profits are made, when these profits are kept for future use to expand the business it is referred to as retained profit. This profit is there for use to help buy new machinery, vehicle, computer etc to improve the business and keeps it going. On the other hand the retain earnings can be used to expand the business by diversification. And it can also be kept for a rainy day. 4.5.2 Financial Market The financial Market is a system that allows buying and selling of financial securities and instruments. It is a centre where bonds and stock are traded, and allows people to buy or sell commodities such as precious metals or agricultural good and other items of value at low transaction costs. Both general markets (where many commodities are traded) and specialized markets (where only one commodity is traded) exist. In finance, financial markets facilitate: The raising of capital (in the capital markets) The transfer of risk (in the derivatives markets) International trade (in the currency markets) The financial market matches those who want to buy with those who want to see. Money market is one component of the financial market for asset involved in short term borrowing and lending usually not exceeding one year. Trades in the money market involve T-bills, Commercial Papers (CP), bankers acceptance, Certificate of Deposits (CD) and both mortgage and asset backed securities. 4.5.3 Banks The systems of banking in Africa are not properly adapted to lending to SMEs with some exceptions. This makes financing a more difficult approach, hence making financing more flexible would be a welcoming help (Bercy, 2005). All over the world the importance of promoting SMEs as a channel of growth and industrialization has been recognized. One of the vital roles of the banks is to devise a way to creating loan package and providing loans to small business that are otherwise not properly informed. (Berger, Klapper and Udell 2001). Conversely credit provision to small borrowers may be affected by a number of factors. Bank consolidation is one of the major factor affecting credit to small borrowers. The creation of mega bank suggests that large institution devote less of their asset proportion to lending to small business than smaller less complex institution. ( Emeni and Okafor, 2008) .These mega banks may be oriented towards transaction lending and providing capital markets services to large corporate clients. These institutions often have their headquarters in business metropolis far away city centre that are a great distant from small borrower. Ogujiuba, Ohuche and Adenuga, 2004) Banks in Nigeria although reported to being highly liquid and wanting to make loans available, they are usually put off by the uncertain nature of SMEs. And since these banks do not provide the necessary funds required to start a business, run the business and keeps it going, SMEs tend to rely on personal assets for their working capital. This reliance on personal funds makes it very difficult to operate at optimum capacity, increase output and make sales. It also limits investment to develop, expand operation or even improve technology. This risk on bank not lending is attributed to lack of information on SMEs true situation in terms of finance and their performance ability to repay loans both principal and interest. And since the judicial system is not reliable, banks cannot enforce contracts, hence making business environment generally risk prone and uncertain.(Ogujiuba, Ohuche and Adenuga, 2004) The table below show the proportion of loans given to SMEs by commercial banks. It gives a brief summary for six years from 2000- 2005 of the ratio of loans given to SMEs to the total credit available to commercial banks in Nigeria. From this table it can be deduce that percentage of loans made available to SMEs is very low and over the years it reduces even more to a more trivial proportion. Table 4.1 Ratio of Loans to SMEs to Commercial Banks Total Credit YEAR Loan to SMEs (=N=M) Commercial Bank Total Credit (=N=M) Ratio of Loan to Total Credit (%) 2000 44,542.3 508,302.2 9.7 2001 52,428.4 796,164.8 6.6 2002 82,368.4 954,628.8 8.6 2003 90,176.5 1,210,033.1 7.5 2004 54,981.2 1,519,242.7 3.6 2005 50,672.6 1,899,346.4 2.7 Source: Central Bank of Nigeria Statistical Bulletin Volume 16, 2005 4.5.4 Government policy (New Monetary Policy) The Nigeria Government in a bid to encourage small and medium scale enterprises has introduced several monetary policies. This has been mentioned in the previous chapters. The success of this strategy is based on its proper implementation, co-ordination and supervision. These monetary policies includes: The Small and Medium Enterprise Equity Investment Scheme (SMEEIS), the Small and Medium Enterprises Credit Guarantee Scheme (SMECGS) and the Microfinance Banks and Micro Credit Fund. 4.5.4.1 Small and Medium Enterprises Equity Investment Scheme (SMEEIS) The Small and Medium Enterprises Equity Investment Scheme is a voluntary initiative of the Bankers Committee in agreement with CBN, approved IN 1999. It was aimed at mitigating the risk-averse behaviour of banks. The scheme was a responds by the federal government to the promotion of small and medium enterprises as a tool of industrialization, poverty alleviation and job creation or employments. This scheme required all commercial banks in Nigeria to set aside annually ten percent of their profit before tax (PBT) for promotion of small and medium enterprises and equity investments. This was the banks own contribution in responds to the federal governments efforts in economic growth. This takes care of the burden of all financial charges such interest under normal bank lending. In addition the scheme provides financial, advisory, technical and managerial support from the banking industry. ( Soludo, 2005). Activities approved for funding under the scheme includes manufacturing, constru ction, Information technology, education, tourism and services. The funds set aside by banks under the scheme increased from N13.1 billion in 2002 to N41.4 billion in 2005. However, actual investments grew much slower from N2.2 billion in 2002 to N12.1 billion in 2005, representing only 29.1 per cent of the funds set aside. This further increased to N21billion in 2007 representing a further 21.5 per cent of funds set aside. (CBN Statistical Bulletin, 2008) Figure 4.2 Banks Investment in SMEs through SMEEIS Source: CBN Statistical Bulletin, 2008 Table 4.1 SME Reserve for Small and Medium Scale Industry of Top Five Commercial Banks in Nigeria. (NM) Zenith First Bank UBA Union Bank Intercontinental 2009 3,729,204 11,193,000 2008 3,729,204 9,439,000 2,635,000 3,868,498 2007 3,729,204 7,916,000 2,635,000 5,537,000 3,868,498 2006 3,729,204 6,998,000 2,635,000 4,931,000 2,387,122 2005 2,580,324 1,379,000 2,050,000 4,429,000 1,527,532 2004 1,224,242 1,379,000 1,426,000 3,491,000 856,935 2003 1,224,242 1,379,000 865,000 2,280,000 856,935 Source: Annual Reports of the Various Banks Various studies have pointed out that inadequate data on SMEs business activities and the vague scope of economic activities are some of the major issues constraining disbursement of funds under the scheme. Two very important policy actions were than taken by the Bankers Committee in 2005, to restructure the scheme so it could take proper effect. The first policy action was to implement the funding of all business activities with the exception of general commerce and financial services under this scheme. It was restructured to contain and provide for non-industrial enterprises so that other sectors of the economy such as agriculture, housing, transport and utilities can be funded under this scheme. The name of the scheme was, therefore, changed to Small and Medium Enterprises Equity Investment Scheme (SMEEIS), to reflect the expanded focus. The Bankers Committee also embarked setting the guidelines for the management of withdrawn un-invested funds during the year. The second policy a ction was to set the limit of banks equity investment in a single enterprise. This was increased from N200 million to N500 million, thus accommodating the real medium sized industries that constitute the missing middle in Nigerias industrial structure. These two policies had an instantaneous impact on the scheme as investment rose by 29.4 per cent in 2005 to N12.1 billion. The cumulative amount set aside by the banks at end- December 2005 stood at N41.4 billion, compared with N28.8 billion at the end of the preceding year 2004. The final benefit of this policy is expected to manifest fully from 2006, following the success on bank consolidation exercise in 2005. (CBN Annual Report, 2005). 4.5.4.2 Small and Medium Enterprises Credit Guarantee Scheme (SMECGS) CBN established the Small and Medium Enterprises Credit Guarantee Scheme (SMECGS). This scheme was set up in a bid to ease the rigid nature of the credit market in Nigeria, to also augment credit to the real sector and complement its 500 billion Naira Power/Manufacturing facility; the Management of the Central Bank of Nigeria (CBN) approved the establishment of a N200 billion Small and Medium Enterprises Credit Guarantee Scheme (SMECGS), to promoting access to credit to manufacturers and SMEs in Nigeria. It is funded one percent and managed by CBN. The aim ideas behind this scheme is to fast track the development of SMEs and the manufacturing sectors in Nigeria as a whole by providing guarantees, creating an atmosphere favourable for industrialization, increasing the accessibility of credit and generate employment. ( Soludo, 2006) 4.5.4.3 Microfinance Banks and Micro Credit Fund The Microfinance Policy Regulatory and Supervisory framework was a major policy initiative of the Bank in 2005 after consolidation of banks. Microfinance Banks and Micro Credit Fund was a replacement to community banks with a deadline to microfinance bank latest December 2007. The policy, among others, addresses the problem of lack of access to credit by entrepreneurs who do not have access to regular banks; strengthens the weak capacity of such entrepreneurs, and raises the capital base of microfinance institutions. The key elements of this framework was to set aside not less than one percent of the annual budget by state governments and local government for on lending through the microfinance banks, in addition to endorse and authorise the management of microfinance banks, establishment of the micro credit funds and introduce deposit insurance for micro finance banks to protect depositors funds. Problems associated with Credit availability for SMEs According to Cork and Nisxon, (2000) poor management and accounting practices have hampered the ability of smaller enterprises to raise finance. Owning to the nature of small business and the personal lifestyle of individual owners, goes a long way to affect operations and sustainability of the business. As a consequence of the ownership structure, some of these businesses are unstable and may not guarantee returns in the long run. However, there is reason to hope because according to Liedholm et al. (1994), a large number of small enterprises fail because of non-financial reasons. Remmers et al. (1974) reported the debt/total assets ratio to be independent of firm size while Peterson and Schulman (1987) reported that debt/total assets ratio to first rise and then fall with size of firm. Whatever sides you choose to take, the granting of loans to SMEs depends solely on the decision of the loan granting institution. And this choice is also depended on size of the balance sheet of the SMEs. The general problems associated with credit availability for SMEs everywhere is summarized below. Bad Credit History An adverse borrowing history of SMEs particularly if it is involving a sister organization will discourage the lender. The logical presumption is that if you do not have a good credit history then that is indicative of a personality pattern which means that in the future you will face the same problems as you are trying to clear you refinancing initiative. The bank is then well advised to stay away from you or at the very most offer you some very stringent terms for borrowing. Poor business plans Most SMEs applying for loans do not present convincing feasibility studies or attractive business plans. They are therefore regarded as high-risk ventures. Lack of Collateral Thirdly, even those SMEs with business plans not backed by adequate collateral. The lack of adequate collateral would be unacceptable risk for the lender. As banks cannot afford to take any chances of non-repayment of loans, they insist on these collateral requirements being met. In as much as they have nothing to fall back on should you default on your loan repayment obligations? Good financial management requires that they do not accept a refinancing initiative until they are sure that you are more than capable of covering the full loan if circumstances demand it. Collateral is the final reserve to meet this criteria and if it is missing, then the decision is likely to be negative. The impact of regulatory and monetary factors on bank loan The result is that monetary policy effects on bank lending depend on the capital adequacy of the banking sector; lending by banks with low capital has a delayed and then amplified reaction to interest rate shocks, relative to well-capitalized banks. Other implications are that bank capital affects lending even when the regulatory constraint is not momentarily binding, and that shocks to bank profits, such as loan defaults, can have a persistent impact on lending. Financial crisis Again bank financial distresses may also be an important determinant of credit availability during periods of credit crunch and accompanying financial crises. However, there are very few small firms that will satisfy the rigorous condition set by the traditional feasibility appraisal model, which is often designed for both small and big firms. While some aspects of the criteria of the feasibility model are met by some small firms, others are not met at all, therefore for banks to lend , they need to develop lending rules that accommodate the peculiar characteristics both for the SMEs and their owners. Other reasons In addition, many SMEs do not hold deposit accounts in the formal banking sector, which the banks require from loan applicants. Another reason SMEs were not given any concessions in terms of loan conditions was that in Nigeria no law exists to protect bankers against default. Yet another reason banks resist loans to SMEs is the unwillingness of owner/managers to acquire formal training. Such training is useful in providing added expertise and competence in a chosen field of business and in improving chances of obtaining loans.( Mambula, 2002) THE END .

Heart Of Darkness :: essays research papers fc

The Horror Heart of Darkness by Joseph Conrad is a novel where the main character Marlow is telling a story of a trip to the Congo. This novel is said to possibly be an autobiography of Conrad’s life at sea. This is said because Conrad was a seaman for a many years and went into Africa many times. The story is so powerful that even after 100 years, we still struggle with its meaning. This story has been retold by Francis Ford Coppola in the film Apocalypse Now. Chinua Achebe has recently explored Conrad’s ideas on imperialism. Achebe believed Conrad’s book presented a racist view of the people of Africa and Achebe in his own book, Things Fall Apart, presented imperialism through the eyes of the Africans. The story of Heart of Darkness is being told to four men on the deck of the Nellie. The story being told is about one of Marlow’s expeditions to the Congo in search of an Ivory hunter named Kurtz. When Marlow found Kurtz in the Congo, Kurtz had "gone native" Marlow found, "a head that seemed to sleep at the top of that pole," outside of Kurtz’s house and Kurtz had been hunting with tribes in the area (Conrad, 73). When Marlow arrived Kurtz, was ill and dying. Kurtz cried out the words "The horror! The horror!" right before he died (Conrad, 85). These words cried out by Kurtz as he died created the most important passages in Heart of Darkness. The way this one passage is interpreted determines how the book is interpreted. One interpretation is that the "horror" is death and Kurtz is realizing he is dying. Kurtz is horrified at the thought of dying and is crying out in pain of the realization. Kurtz may be afraid to die in the heart of darkness. Kurtz may be afraid to die knowing that he will never see his intended again and he may feel guilty for leaving his intended for his savage life. This interpretation shows a book about lost love and guilt for finding a new life. This interpretation is one of the less complex and uninteresting interpretations. Now here is a more interesting and complex interpretation. Some view Heart of Darkness as a racist book. This interpretation comes from the view that the "horror" Kurtz is identifying is his being brought "down" to the African ways. This interpretation sees the African ways as uncivilized and horrid to Kurtz when he realizes he was at their level.

Effect of Media on Eating Habits Essay

Currently this is a serious and growing concern for public health officials, registered dietitians, and families interested in living their day to day lives in a healthy manner. Youth are at the highest risk. According to the National Health Examination Survey, children ages 11-13 have highest rate of daily television viewing (Brown, 2008, p. 316). In a 2007 study, children were more likely to be overweight when they watched more television (Gable, Chang & Krull, 2007). Currently, the second leading cause of actual death according to the Center for Disease Control and Prevention is poor diet and physical inactivity (Schneider, 2006, p. 270). Trends that lead to poor diet and physical inactivity, eventually obesity in adults and children alike, stem from habits that form early on in childhood. This creates an endless cycle that perpetuates from generation to generation. Obesity is currently an issue that threatens the majority of Americans and its prevalence has increased substantially in the last three decades (Schneider, 2006, p. 72). It’s caused by a number of different factors including genetics, physical inactivity, and poor eating habits. Two of the three factors noted can be strongly associated with television media. A study conducted at the University of Minnesota in 2009 found an increased incidence of eating in front of the television was primarily due to advertising and reduced metabolic rate in adolescence (Barr-Anderson, Larson & Nelson, 2009). Reduced metabolic rate decreases one’s need for calories. Individuals of this demographic typically don’t take this fact into consideration and eat as much as before their exposure to television was such a significant part of their daily routine. This tendency leads to unwanted and unnecessary weight gain. Increased weight has shown to elevate the risk of cardiovascular disease, diabetes and most kinds of cancer not to mention obesity (Schneider, 2006, p. 270). A less commonly recognized phenomena related to this issue is that people don’t know what healthy choices are and in turn, they are more likely to fall victim to any temptations set before them. These enticements are provided most commonly by television media advertising directed at less educated, more easily influenced audiences. For example, inexpensive fast food that is a particularly popular type of advertising might seem like a logical source of food for some families that do not have access to, or know anything better. Environment There are many problems that make up this complex and layered situation. Many social, cultural and economic factors contribute to these dietary patterns and eating habits that develop over a lifetime (Schneider, 2006, p. 77). The amount of time children spend with different sources of media from: television, film, video games, and computer or online media is exceedingly taking up the greater part of their time. With the average five and a half hours children spend using media on a daily basis, the only thing they spend more time doing is sleeping (Henry J. Kaiser Family Foundation, 2004). From age two to twenty, only eighteen years, that adds up to over 29,900 hours spent with media and 1. 8 times more than the 16,000 hours spent in school grades k-12 (Grossberg, 2006, p. 93). That equals out to approximately 20 hours per week according to a study done in 2006 (Francis & Birch, 2006). Not only in the time spent exposed to media is a risk factor for children, but the way in which the media is consumed is also a major contributor to this situation. In the home, if there is a lack of parental control monitoring children’s media exposure, children are then at a higher risk of being influenced. Children heavily influenced by the media have the ability to manipulate how money is spent and savvy companies see them as the consumers to be targeted (Peregrin, 2001, p. 6). Children sometimes even spend their own money on the products they see repeatedly reinforced around them. Advertisers use this well known fact to target children because they know the powerful influence children can have on their parents purchasing decisions (Peregrin, 2001, p. 56). In an article written in 2001, Registered Dietitian, Adrienne Dorf expressed her opinion about educating child ren who are exposed to excessive media. She emphasized the need to explain the difference between television programs and commercials to children who may not be able to differentiate the two. Dorf urged parents to explain the idea of sales and the fact that the food advertised via commercials may not be the best for our bodies. Dietary habits form over a lifetime and are greatly influenced by the social environment and family setting as well as the media (Schneider, 2006, p. 277). From time to time parents struggle with taking their children into the supermarket for groceries just because they don’t want to fight about what the new craze is in sugary cereal or what unhealthy snack crackers are showing more commercials on television or the latest cartoon characters face on their box. It is a common to see a mother or father who gives in to please their child when he or she throws a tantrum in the middle of the aisle to get something they want. This repeated action can be a detrimental in the long run if it persists and continues. Impact Food industries have a goal to sell as much of their product to the public as possible. They will do anything they can to encourage American’s to eat and spend more money on any of their products. Most food advertised is high in fat, sugar, and salt leading to children in the grocery store begging their parents for candy and unhealthy snack foods (Borzekowski & Robinson, 2001). Foods advertised taste â€Å"good† resulting in advertisements publicizing foods with high amounts of sugar, fat, and salt towards younger generations. For example, fast foods and high sugar cereals are two of the most commonly publicized items during children’s programming. Studies have shown that children under the age of 6 years of age cannot distinguish between television programming as opposed to commercial advertising (Borzekowski & Robinson, 2001). The primary problem is that children who spend excessive amounts of time exposed to television media are more likely to be overweight. According to the National Longitudinal Survey of Labor Market Experience, Youth Cohort (NLSY) a strong dose-response relationship was found between television viewing and the prevalence of overweight (Brown, 2008, p. 316). Adolescents from 10 to 15 years old who reported watching more than 5 hours of television per day had greater odds of having a BMI in the 85th percentile (Brown, 2008, p. 316).

Wal-Mart Market Analysis

Wal-Mart Market Analysis Wal-Mart is the second largest company in the world. Its focus is on mass merchandising as opposed to specialty merchandising. The idea behind mass merchandising is to offer products and services in one convenient store to better manage a consumer’s time. An example of how Wal-Mart mass merchandisers is by offering a multitude of products and services within one convenient store. They sell sporting goods, electronics, housing needs, clothing, groceries, consumables, and toiletries all in one convenient location. Similar to a mall, Wal-Mart meets all of its customers’ needs in one location. This is a very valuable ability because it allows the customer to have more control over his or her time. (Research and Markets, 2010) The company operates under three main operation segments. Its most common segment will be its Wal-Mart. The second common segment found in the United States is Sam’s Club. Sam’s club is similar to Wal-Mart except that it is larger in size and puts more emphasis on wholesale retail. They are more popular with businesses and large families. The company’s last segment consists of International stores. Though Wal-Mart has few locations outside the United States its name is widely known. (Research and Markets, 2010) Within the United States, Wal-Mart has a variety of mass merchandising locations. Wal-Mart’s products and services within each location are based on demographics and surrounding stores. Superstores, discount stores, and neighborhood markets are the three types of stores Wal-Mart might open, given a certain demographic. If a community is large and consists of multiple school districts and many families, Wal-Mart will consider opening a Superstore or neighborhood market. Within a neighborhood market, Wal-Mart offers lower pricing to compete with higher priced stores such as Targets, Kohls, ShopRites, ACMEs, and Super fresh. Even shopping malls competing with Wal-Mart. Discount stores are located in smaller communities, mostly consisting of elderly individuals or small families. (Research and Markets, 2010) Wal-Mart’s is a very powerful company due to its low pricing and high volume. It drives mom and pop shops and local small retail stores out of business due to the inability to compete with such a large chain. Although this is disappointing, Wal-Mart is one of the largest employers, providing jobs for over a million employees. So it does its share to contribute to employment. (Market Research, 2010) Everyday Wal-Mart is increasing its market share. Years back Wal-Mart was just another retailer, but due to massive expansion and lower prices, Wal-Mart now competes in almost every type of retail business. Wal-Mart is now opening grocery stores, gas stations, and supercenters that sell everything imaginable in order to maximize its market share. Everyday Wal-Mart is devising new ideas to keep a huge control over the market share. Ideas of incorporating a grocery store within a clothing store were farfetched 10 years ago, but now it is typical to buy dairy products and sporting goods all in one store. Now farfetched and even crazier ideas such as selling used cars, financial services, and home improvement needs can be realized within Wal-Mart’s ability to expand its products and services. (Market Research, 2010) Wal-Mart has the ability to continue growing to higher and even deeper depths. The goal for Wal-Mart is to not let its goals of expanding interfere with its normal and everyday operations. Low prices and convenience are a must for Wal-Mart to continue operating. Today Wal-Mart is a common name in retail just as Ford is common to automobiles. ? References Market Research, Initials. (2010). The Age of wal-mart. Retrieved fromhttp://www. marketresearch. com/map/prod/805195. html Research and Markets, Initials. (2010). Analysis of wal-mart stores. Retrieved from http://www. researchandmarkets. com/reportinfo. asp? report_id=552122

John Paul Stevens essays

John Paul Stevens essays John Paul Stevens was born on April 10, 1920 in Chicago, Illinois to Ernest and Elizabeth Stevens. John, who is the youngest of three brothers, and his family lived across from the University of Chicago. There, John attended high school in the universitys laboratory school. He also attended his college years at the university. Stevens majored in english, edited the school news paper, and won the universitys highest honors for camps and scholarship activities and graduated in 1941 at the age of 21. In 1942, he married Elizabeth Sheeren. He has four children with her, one son and three daughters. Come 1979, Elizabeth and John got a divorce. The following yeah he married Maryan Simon. After being on a code-breaking team for World War II from 1942 to 1945, he studied law at Northwestern University. In 1947, John graduated first in his class with the highest grades in the law schools history. In 1951, he got his own law firm. Stevens was also an associate counsel of the House of Representatives and from 1953 to 1955, John was a member of the attorney generals committee. As a member, his duty was to investigate the conduct of state supreme court justices. John was then appointed to the Seventh Circuit City of Appeals in 1970 by President Richard Nixon. When a man by the name of William O. Douglas retired from the Supreme Court in 1975, attorney General Edward Levi nominated him for the position. President Ford wanted someone to be nominated who would help restore some confidence in the government since the Watergate Scandals occurred and the person for that job was Stevens. He was confirmed by the Senate December 17, 1975 and he took the oath of office two days later. Stevens was nor a liberal or a constructive judge, he was considered one of the least predictable member of the court. He has his own ways of judging. Fact-gathering is Stevens way of discovering how a ...

Catherine of Aragon - Early Life and First Marriage

Catherine of Aragon - Early Life and First Marriage Catherine of Aragon, whose parents united Castile and Aragon with their marriage, was promised in marriage to the son of Henry VII of England, in order to promote the alliance between the Spanish and English rulers. Dates: December 16, 1485 - January 7, 1536Also Known as: Katharine of Aragon, Catherine of Aragon, CatalinaSee: more Catherine of Aragon Facts Catherine of Aragon Biography Catherine of Aragons role in history was, first, as a marriage partner to strengthen the alliance of England and Spain (Castile and Aragon), and later, as the center of Henry VIIIs struggle for an annulment that would permit him to remarry and try for a male heir to the English throne for the Tudor dynasty. She was not simply a pawn in the latter, but her stubbornness in fighting for her marriage and her daughters right to inherit were key in how that struggle ended, with Henry VIII separating the Church of England from the Church of Romes authority. Catherine of Aragon Family Background Catherine of Aragon was the fifth child of Isabella I of Castile and Ferdinand of Aragon. She was born in Alcal de Henares. Catherine was likely named for her mothers grandmother, Katherine of Lancaster, the daughter of Constance of Castile who was second wife of John of Gaunt, himself son of Englands Edward III. Constance and Johns daughter, Catherine of Lancaster, married Henry III of Castile and was the mother of John II of Castile, Isabellas father. Constance of Castile was the daughter of Peter (Pedro) of Castile, known as Peter the Cruel, who was overthrown by his brother Henry (Enrique) II. John of Gaunt tried to claim the throne of Castile on the basis of his wife Constances descent from Peter. Catherines father Ferdinand was the great-grandson of Philippa of Lancaster, the daughter of John of Gaunt and his first wife, Blanche of Lancaster. Philippas brother was Henry IV of England. Thus, Catherine of Aragon had considerable English royal heritage herself. Her parents were also both part of the House of Trastmara, a dynasty that ruled kingdoms in the Iberian peninsula from 1369 to 1516, descended from King Henry (Enrique) II of Castile who overthrew his brother, Peter, in 1369, part of the War of the Spanish Succession the same Peter who was the father of Isabellas grandmother Constance of Castile, and the same Henry John of Gaunt tried to overthrow. Catherine of Aragon Childhood and Education: In her early years, Catherine traveled extensively within Spain with her parents as they fought their war to remove the Muslims from Granada. Because Isabella regretted the lack of her own educational preparation when she became a ruling queen, she educated her daughters well, preparing them for their likely roles as queens. So Catherine had an extensive education, with many European humanists as her teachers. Among the tutors who educated Isabella, and then her daughters, was Beatriz Galindo. Catherine spoke Spanish, Latin, French and English, and was well-read in philosophy and theology. Alliance with England Through Marriage Catherine was born in 1485, the same year Henry VII seized the crown of England as the first Tudor monarch. Arguably, Catherines own royal descent was more legitimate than Henrys, who was descended from their common ancestor John of Gaunt through the children of Katherine Swynford, his third wife, who were born before their marriage and later legitimized but declared ineligible for the throne. In 1486, Henrys first son, Arthur was born. Henry VII sought powerful connections for his children through marriage; so did Isabella and Ferdinand. Ferdinand and Isabella first sent diplomats to England to negotiate Catherines marriage to Arthur in 1487. The next year, Henry VII agreed to the marriage, and a formal agreement including dowry specifications was drwan up. Ferdinand and Isabella were to pay the dowry in two parts, one when Catherine arrived in England (traveling at her parents expense), and the other after the wedding ceremony. Even at this point, there were some differences between the two families over the terms of the contract, each wanting the other to pay more than that other family wanted to pay. Henrys early recognition of the unification of Castile and Aragon in the Treaty of Medina del Campo in 1489 was important to Isabella and Ferdinand; this treaty also aligned the Spanish with England rather than France. In this treaty, the marriage of Arthur and Catherine was further defined. Catherine and Arthur were far too young to actually marry at that time. Challenge to Tudor Legitimacy Between 1491 and 1499, Henry VII also had to contend with a challenge to his legitimacy when a man asserted himself to be Richard, duke of York, son of Edward IV (and brother of Henry VIIs wife Elizabeth of York). Richard and his older brother had been confined to the Tower of London when their uncle, Richard III, seized the crown from their father, Edward IV, and they were not seen again. Its generally agreed that either Richard III or Henry IV had them killed. If one had been alive, hed have a greater legitimate claim to the English throne than Henry VII did. Margaret of York (Margaret of Burgundy) another of the children of Edward IV had opposed Henry VII as a usurper, and she was drawn into supporting this man who claimed to be her nephew, Richard. Ferdinand and Isabella supported Henry VII and their future son-in-laws inheritance by helping to expose the pretenders Flemish origins. The pretender, whom the Tudor supporters called Perkin Warbeck, was finally seized and executed by Henry VII in 1499. More Treaties and Conflict Over the Marriage Ferdinand and Isabella began secretly exploring marrying Catherine to James IV of Scotland. In 1497, the marriage agreement between the Spanish and English was amended and treaties of marriage were signed in England. Catherine was to be sent to England only when Arthur turned fourteen. In 1499, the first proxy wedding of Arthur and Catherine was held in Worcestershire. The marriage required a papal dispensation because Arthur was younger than the age of consent. The next year, there was new conflict over the terms and especially over payment of the dowry and Catherines arrival date in England. It was in Henrys interest for her to arrive earlier rather than later, as payment of the first half of the dowry was contingent on her arrival. Another proxy wedding was held in 1500 in Ludlow, England. Catherine and Arthur Marry Finally, Catherine embarked for England, and arrived in Plymouth on October 5, 1501. Her arrival took the English by surprise, apparently, as Henrys steward did not receive Catherine until October 7. Catherine and her large accompanying party began their progress towards London. On November 4, Henry VII and Arthur met the Spanish entourage, Henry famously insisting on seeing his future daughter-in-law even if in her bed. Catherine and household arrived in London on November 12, and Arthur and Catherine were married at St. Pauls on November 14. A week of feasts and other celebrations followed. Catherine was given the titles of Princess of Wales, Duchess of Cornwall and Countess of Chester. As prince of Wales, Arthur was being sent to Ludlow with his own separate royal household. The Spanish advisors and diplomats argued whether Catherine should accompany him and whether she was old enough for marital relations yet; the ambassador wanted her to delay going to Ludlow, and her priest disagreed. Henry VIIs wish that she accompany Arthur prevailed, and they both left for Ludlow on December 21. There, they both became ill with the sweating sickness. Arthur died on April 2, 1502; Catherine recovered from her serious bout with the illness to find herself a widow. Next: Catherine of Aragon: Marriage to Henry VIII About Catherine of Aragon: Catherine of Aragon Facts | Early Life and First Marriage | Marriage to Henry VIII | The Kings Great Matter | Catherine of Aragon Books | Mary I | Anne Boleyn | Women in the Tudor Dynasty

How to Promote Student Growth

How to Promote Student Growth There is a growing need to measure students growth and success in the classroom, especially with all the talk in the media about teacher evaluations. Its standard to measure student growth at the beginning and the end of the school year with standardized testing. But, can these test scores give teachers and parents a good understanding of the students growth? What are some other ways educators can measure students learning throughout the year? Here we will examine a few ways that teachers can promote student understanding and performance. Ways to Promote Student Development According to Wong and Wong, there are some ways professional educators can promote student growth in their classroom: Set high expectations for student achievementMake sure that students perform at or above expectationsSolve problems so students will receive servicesUse up to date research and technologyPlan instructional strategiesApply higher-order learning skillsApply information-processing strategiesApply complex learning tasksUse cooperative learning in the classroomUse invitational learning in the classroomArticulate information clearlyApply classroom management These suggestions that the Wongs gave will indeed help students to achieve and demonstrate their abilities. Promoting this kind of learning can help students prepare for the standardized testing that measures their growth throughout the year. By using the suggestions from the Wongs, teachers will be preparing their students to be successful on these tests while promoting and developing important skills. A Variety of Ways to Measure Student Performance Measuring student growth solely on standardized tests have always been the easiest way for teachers to determine that the students are grasping the information taught. According to an article in the Washington Post, the problem with standardized tests is that they mainly focus on math and reading and do not take into account other subjects and skills students should be developing. These tests can be one part of measuring academic achievement, not the whole part. Students can be evaluated on multiple measures such as: Growth throughout several yearsPortfolio of students work in all subjectsExamsCritical thinking skillsProblem-solving skillsGroup ProjectsWritten and oral presentationsClass projects and experiments Including these measures along with standardized testing would not only encourage teachers to teach a wide range of subjects well but would also accomplish Presidents Obamas goal to make all children college ready. Even the poorest of students would have the opportunity to demonstrate these critical skills. Achieving Student Success To achieve students academic success, it is paramount that teachers and parents work together to help develop and build skills throughout the school year. A combination of motivation, organization, time management, and concentration will help students stay on track and be able to achieve successful test scores. Use the following tips to help students achieve success: Motivation To help motivate students to find out what they are passionate about and use their interests to connect with their school work. Organization For many students, something as simple as staying organized is the key to academic success. To help students stay organized, organize and label all materials and notebooks and keep a checklist of essential tasks. Time Management Learning to prioritize and manage time can be difficult for students. To help them manage their time keep track of assignments and tasks by creating a school calendar. Concentration Students get distracted very easily, to keep their minds on the task at hand enlist parents to designate a quiet zone for homework where there are NO interruptions. Sources: Wong K.H. Wong R.T (2004).How To Be An Effective Teacher The First Days Of School. Mountain View, CA: Harry K. Wong Publications, Inc. TheWashingtonpost.com

Market Equilibration Process Paper Research Example | Topics and Well Written Essays - 750 words

Market Equilibration Process - Research Paper Example On the hand, the suppliers take advantage of the situation and tend to increase the prices of the commodity but still produce less. When supply falls, the supply curve shifts to the left. At the initial equilibrium price P1, quantity supplied falls. This creates excess of demand over supply which causes the price to rise to a new equilibrium level P2 and also the quantity falls to a new equilibrium level Q2 It refers to the quantity of a commodity per unit time which consumers are willing and able to buy in the market at a given price other things held constant. The law of demand states that the lower the price of a commodity, the higher the quantity demanded by the customers and vice versa. As population increases, the population structure changes in a way that an increasing proportion of the population consists of the young people. This will lead to a relatively higher demand for those goods and services consumed mostly by the youth. It can be defined as the quantity of goods and services per unit of time which the suppliers are willing and able to produce to the market for sale at a given price other things held constant. The law of supply states that the higher the price off a commodity in the market, the more the supplies will produce and supply to the market but the lower the price, the lower the quantity produced and supplied. Surplus refers to a situation where the quantity produced and put by the suppliers in the market is more than the quantity required amount by the consumers. This is also referred to as excess supply and it pushes the prices down. Shortage or excess demand on the other hand refers to the state where the quantity of the commodity that is required by the consumers is in less than the amount that is supplied to the market by the producers. This pushes the prices above the equilibrium

UCLA Essay Example | Topics and Well Written Essays - 750 words

UCLA - Essay Example However, the magnitude of the compromised ethics on the situations differs from one segment to the other. Among the five segments the most ethically compromised situation is act two in which the two businesses talked about have a silent partner. One of the businesses, Chad’s business has Chad as a business partner. This results to unethical undertakings like placing his picture on the business and wearing t-shirts with his name and yet he is dead. The action sets superstition that causes it to be unethical thus influencing the running of the business. Unlike other situations where few individuals compromise ethics, in this segment all the individuals involved in the business compromise ethics. Everybody was wearing a shirt with Chad’s name; the activity of every person involved was shaped by Chad who died before the business started. This makes the segment ideal for explaining an ethically compromised situation. Family businesses are very different in characteristics when compared to other types of businesses. One of the characteristics that makes them unique is that they require succession after a certain period. The business is passed from an incumbent senior generation to a next generation of leadership or ownership (Ward 3). This provides a challenge and opportunities that are rare in other kinds of businesses. Another thing that makes family business rather unique is that unlike the public companies owned by investors who are the main shareholders, this business has an individual owner or a team of owners who are family members. According to Gersick (1), these owners play a very different role from that played by shareholders. They directly influence the running of the business and general performance of the employee of that business which is not the role of the shareholders in the public companies. Family ties prohibit a person from doing certain things to certain members of his family. Private enterprises

Germany's Political Situation Research Paper Example | Topics and Well Written Essays - 1000 words

Germany's Political Situation - Research Paper Example The state has high living standards, and an inclusive system of community security. The country is known worldwide for its cultural and political history (Hilmer, 2002, p. 5). Germany’s political influence is well documented both locally and international. The country influenced global politics that led to the two World Wars and locally through the Nazi regime. However, the country has grown politically, and it currently is a democratic hallmark for other countries. Germany has a federal, representative and parliamentary system of government. The political system functions under a structure laid out in the constitutional document of 1949. Amendments to the constitution require 66% majority votes from the chambers of parliament. The fundamental principles of the German constitution express human dignity, federal structures, and separation of power and rule of law as valid in perpetuity. The President heads the state, and the presidential institution has the representative power s and responsibilities. The President comes to power through a federal convention, which constitutes members of the Bundestag and state delegates. The President of the Bundestag has the second highest official powers after the president. This President, elected by the Bundestag, oversees the daily sessions of the German parliament. The Chancellor occupies the third highest office in Germany. The Chancellor heads the government and is appointed after elections by the Bundestag (Schmidt, 2005, p. 149). The Chancellor heads the government and has executive powers similar the Prime Minister in other democracies. The parliament has the federal legislative powers, and it consists of the Bundestag and the Bundesrat. The Bundestag undergoes direct elections through proportional representation. Members of the Bundesrat make the government of 16th federal state, and the state cabinet (Schmidt, 2005, p. 155). Since 1949, party system dominated German politics. The Christian Democratic Union an d the Social Democratic Party of Germany characterized German politics, with all German Chancellors having membership of the two parties. However, liberal parties such as the Alliance ‘90/The Greens and the Free Democratic Party also played crucial roles in German politics. The law system in Germany has its basis on the Roman law that is civil. Germany comprises 16 states, referred to as Lander. Each state has a constitution, and they are largely autonomous with regard to internal organization. Germany has states of varying sizes and populations. In 2009, the country was divided into 403 districts, with 102 urban districts and 301 rural districts (Wheeler-Bennet, 1965, p. 468). In the past, Germany was divided into kingdoms, which later united to form the German Empire. This empire had a ruler known as an Emperor or Kaiser. The Kaiser did not gain power through election, but rather through inheritance or nomination. Only men took part in the elections of the Reichstag, as wome n did not have voting powers. The Reichstag or Imperial Assembly was a weak body. This body could not formulate laws; it could only pass, reject or amend bills initiated by the Kaiser appointed chancellor. During the early days of the empire, the Reichstag functioned in agreement with the Kaiser; this means that the Kaiser controlled the body. However, with time, the body became less compliant with Kaiser’s wishes. Disagreement between Kaiser and the Reichstag led to

Adolescence and Adulthood Essay Example | Topics and Well Written Essays - 500 words

Adolescence and Adulthood - Essay Example This and several other changes like this were quite expected because these changes do appear in the onset of puberty in males. Though, one of the changes was quite displeasing and I wondered if it so happened with every male child my age. I began to grow my chest and the areola peaked up until they began to peep out through my T shirts. The condition was extremely embarrassing and it made me suffer a lot, particularly in the school when I used to be among my friends. They would point fingers at me and call me â€Å"fag†. They did not realize that I had not voluntarily grown my breast and that there was nothing I could do to make it look any better. In order to escape the embarrassment, I would put on three vests under my T shirt, so that the overall look would be quite flabby and the nipples would not be able to define themselves as a separate entity among other body features. In addition to that, I would try not to make too much public appearance. I stopped going out to the p layground in the breaks, and would spend the whole day sitting in my chair. I became very shy, nervous, and conscious about the way I looked. 2. What peer pressure did you face? Having acquired gynecomastia, I had to face a lot of peer pressure. They made fun of me. They used to point fingers at my chest and would often, squeeze my nipple while walking past me.

Mozart, Beethoven and Wagner Essay Example | Topics and Well Written Essays - 750 words

Mozart, Beethoven and Wagner - Essay Example Ludwig van Beethoven was also a masterly composer. His compositions are grouped according to numbers, and a significant composition by him is the by opus number. The numbers were assigned by publishers, which follow the order by which his famous compositions were published, and not what they meant. By this way, he created a second theme that sounds like an outgrowth or variation of the first theme. Though it is an inadequate statement it can actually be pinned down when some of their work is compared like; the opening movement of Beethoven’s Symphony 5. Mozart, on the other hand, was conservative and followed the rules. His music is in the confines of boundaries which he imposed on himself, yet they were still so marvelous, and he left us many incomparable masterpieces. Mozart was zealous in opera and stood unsurpassed and Wagner agreed that Mozart was a formidable competitor to him in the opera world. Mozart was also prominent in the world of composition for churches and his skills stand unsurpassed by Wagner and Beethoven. Beethoven, on the other hand, took a little touch of music from the two and them and infused his own unique personality into his music. Mozart composed less technical music it was precise and thematic and was designed to be played by any level while Beethoven and Wagner’s music was more aggressive. The two latter wrote their music with tension this does not come as a surprise since the Mozart played for royalties while Beethoven and Wagner played for the people.... Another renowned composer is Wilhelm Richard Wagner who was German by decent. One of his compositions was the Siegfried which is the 3rd that make up ‘Der Ring des Nibelung’. Siegfried is the third of Wagner’s operas, which he wrote, in 1851. Siegfried premiered as part of the complete ring cycle at Bayreuth on August 16, 1876 (Kivy, 2001). The three composers concentrated mostly on the classical style. It was the most popular style which both the three used alongside other styles like the romantic style. The use of sonata was the most defining characteristic of the style which was classical. Sonata was so pervasive at the time, that it invaded each and every genre of music eve church music as well as opera. The three composers above under discussion each created compositions that are a hybrid of other forms and the sonata form. An example is the fact that they used rondo form, variation form and blended it all with the sonata form. ‘Sonata form begins with simplicity and tonal stability, builds in tension towards a middle section, and reduces complexity and tension in the last section. The climax is always in the middle. That is where the most complex textures are usually found, as well as the most far-ranging key changes, and the most agitated rhythmic patterns’ (Wolff, 26). Beethoven liked to use a combination of Mozart’s use of multiple themes and Wagner’s monothematic technique. By this way, he created a second theme that sounds like an outgrowth or variation of the first theme. Though it is an inadequate statement it can actually be pinned down when some of their work are compared like; the opening movement of Beethoven’s symphony 5 (Wolff, 1990).

Computer Forensics report Essay Example | Topics and Well Written Essays - 4000 words

Computer Forensics report - Essay Example o safeguard any evidence in its original state while conducting a structured investigation by collecting, categorizing, and validating the digital data for the purpose of getting information regarding a particular past event. 1. Acquisition: This is the process where the information which is in the hard drive that is in the investigation is duplicated and the information is blocked or the writer is blocked so as to prevent the information that is on the hard drive to be altered or modified. 2. Analysis: At this stage, the information which was found in the hard drive is examined carefully. This stage involves scrutiny of the data by the experts in preparation to present evidence in the court of law. This evidence can be retrieved by using various techniques such as key word searches, whereby they will search for items such as the list of the names or account numbers and such like things. This report scrutinizes the involvement of Clyde Barrow in fraud. The investigation also covers the fact that if Clyde Barrow and Bonnie Parker had been communicating. In the investigation conducted it was established that Clyde Barrow was involved in the fraud, in addition it was established that the two suspects had been communicating with each other. Also we were able to establish that Clyde Barrow was involved in terrorism activities. The evidential facts are as follows: 1 Clyde Barrow was dealing in counterfeit money. This can be proven by the fact that there were images of the counterfeit money in his hard drive. The images upon investigation, were found to be illegal, i.e. they were not legal tender. 2 Clyde barrow and Bonnie Parker not only knew about each other, they had been communicating via e-mail. In our investigations, we were able to establish that the two had in fact had exchanged e-mails. For instance, we had found an e-mail from Bonnie Parker to Clyde Barrow, but then Clyde Barrow had not replied to it. Clyde Barrow could have stated that he did not know

Mozart, Beethoven and Wagner Essay Example | Topics and Well Written Essays - 750 words

Mozart, Beethoven and Wagner - Essay Example Ludwig van Beethoven was also a masterly composer. His compositions are grouped according to numbers, and a significant composition by him is the by opus number. The numbers were assigned by publishers, which follow the order by which his famous compositions were published, and not what they meant. By this way, he created a second theme that sounds like an outgrowth or variation of the first theme. Though it is an inadequate statement it can actually be pinned down when some of their work is compared like; the opening movement of Beethoven’s Symphony 5. Mozart, on the other hand, was conservative and followed the rules. His music is in the confines of boundaries which he imposed on himself, yet they were still so marvelous, and he left us many incomparable masterpieces. Mozart was zealous in opera and stood unsurpassed and Wagner agreed that Mozart was a formidable competitor to him in the opera world. Mozart was also prominent in the world of composition for churches and his skills stand unsurpassed by Wagner and Beethoven. Beethoven, on the other hand, took a little touch of music from the two and them and infused his own unique personality into his music. Mozart composed less technical music it was precise and thematic and was designed to be played by any level while Beethoven and Wagner’s music was more aggressive. The two latter wrote their music with tension this does not come as a surprise since the Mozart played for royalties while Beethoven and Wagner played for the people.... Another renowned composer is Wilhelm Richard Wagner who was German by decent. One of his compositions was the Siegfried which is the 3rd that make up ‘Der Ring des Nibelung’. Siegfried is the third of Wagner’s operas, which he wrote, in 1851. Siegfried premiered as part of the complete ring cycle at Bayreuth on August 16, 1876 (Kivy, 2001). The three composers concentrated mostly on the classical style. It was the most popular style which both the three used alongside other styles like the romantic style. The use of sonata was the most defining characteristic of the style which was classical. Sonata was so pervasive at the time, that it invaded each and every genre of music eve church music as well as opera. The three composers above under discussion each created compositions that are a hybrid of other forms and the sonata form. An example is the fact that they used rondo form, variation form and blended it all with the sonata form. ‘Sonata form begins with simplicity and tonal stability, builds in tension towards a middle section, and reduces complexity and tension in the last section. The climax is always in the middle. That is where the most complex textures are usually found, as well as the most far-ranging key changes, and the most agitated rhythmic patterns’ (Wolff, 26). Beethoven liked to use a combination of Mozart’s use of multiple themes and Wagner’s monothematic technique. By this way, he created a second theme that sounds like an outgrowth or variation of the first theme. Though it is an inadequate statement it can actually be pinned down when some of their work are compared like; the opening movement of Beethoven’s symphony 5 (Wolff, 1990).

Motivational Strategy and Action Plan Essay Example for Free

Motivational Strategy and Action Plan Essay Determine the motivational strategy or strategies that would likely be most appropriate for each of your three employees on basis of their individual characteristics. Indicate how you would leverage their employee evaluations to motivate each of the three employees. Describe one or more of the motivational theories and explain how the theories connect to each of your selected motivational strategies. Team Member Name Summary of Individual Characteristics Motivational Strategy and Action Plan Relevant Theory Tina Engaged Passionate Persistent Inspirational Leader Happy Emotional stable This employee would not really need much motivation, since already in engaged, passionate and is a leader at work. I would suggest that the employee uses an action plan to continue with positive attitude. Also since the employee has passed reviews, to advance in progress with promotions in the company. McClelland theory is relevant to this situation. It relates to this situation because for the most part the employee is happy at the job. Brittany Competitive Good communicator Influential Independent Emotional Quick thinker This employee shouldn’t much motivation since she is so competitive. However we could motivate her to be more engaged and happy at job since so emotional. An action plan for this strategy would be to assign her to do task she is interested and likes to do that are easy and take little thought since she is a quick thinker. This situation relates to the self-efficiency theory because employee is independent. She likes to do things on her own and feels she can. Denise Timid Considerate Neutral decision maker Eager Happy with job Encouraging This employee needs motivation in company involvement in communication since timid and shy. She can demonstrate these skills in an action plan by being more involved in conferences, presentations, and meetings. This situation could be also related to the McClelland theory because for the employee is happy with job, but there is room for opportunity.

Comparison of Capital Flows in Asia

Comparison of Capital Flows in Asia 1.1 Background of the Study Capital controls were widely used to prevent the free flow of funds between countries until the late 1970s. A cautious relaxation of such controls during the 1980s proved consistent with greater economic integration among advanced countries and strengthened the case for capital market opening more generally. By the early 1990s, capital controls appeared to be finished as a serious policy tool for relatively open economies. The conventional view about international financial integration is that it should enable capital to flow from high income countries, with relatively high capital labor ratios, to low income countries with lower capital labor ratios. If investment in poor countries is constrained by the low level of domestic saving, access to foreign capital should boost their growth and it would also allow residents of richer countries to get higher returns on their savings invested abroad. Openness to capital flows can expose a country’s financial sector to competition, spu r improvements in domestic corporate governance as foreign investors demand the same standards locally that they are used to at home, and impose discipline on macroeconomic policies and the government more generally. So, even if foreign capital is not needed for financing, financial openness, to both inflows and outflows, may create ‘collateral benefits’ such as domestic financial sector development which could enhance growth in total factor productivity[1]. Capital account liberalization in financially repressed economies often leads to a period of rapid capital inflows followed by financial crises with international financial integration and policy agenda for further liberalization of capital inflows. Concern has also been expressed as to whether the costs of increased vulnerability to financial fragility might not outweigh the gains from financial integration. But most of the countries continue to progress in dismantling capital controls to integrate their financial markets with the rest of the world. 1.2 Justification and Relevance of the Study Economic growth is thought to be a function of investment and other factors. The conventional belief is that foreign capital inflows bring new investible funds and foreign exchange with which the recipient country can achieve higher rates of investment and therefore growth. The role of foreign capital in economic growth is an issue that has provoked continuous debate. Foreign capital augments the total resource availability in a country, but its impact on investment and economic growth is controversial. If judiciously used, it could have favorable effects on economic growth through higher investment and other positive effects. But it is also possible that foreign capital investment might not yield any net benefit to the host country. Economic liberalization and globalization have resulted in rapid mobility of resources between nations as to reap the comparative advantage of the respective country. The 1990s saw a number of capital account crises in emerging market economies. The cris es, which were precipitated by a sudden reversal of capital inflows, occurred against the background of financial market deregulation, capital account liberalization, and financial sector opening. Deregulation and liberalization have undoubtedly brought about benefits in the form of greater financial resource mobilization for domestic investment and economic growth. At the same time, this has created new sources of vulnerabilities in the balance sheets of commercial banks, corporations, and the public sector. For Countries that are still in the process of opening the capital account, how best and how fast to proceed remains an unresolved issue. There is no presumption that the resource requirements of implementing a quick transition are either smaller or larger than those of managing a long transition process or administering capital controls. Developing effective regulatory framework takes time, but a lengthy process may create wrong incentives and distortions. A big-bang approach may be appropriate if a prolonged transition is likely to create resistance from vested interests or if different elements of the existing system are so dependent upon each other that a piecemeal reform is not possible without creating significant distortions. International capital movements can support long-term growth but are not without short-term risks. The long term benefits arise from an efficient allocation of saving and investment between surplus and deficit countries. However, large capital inflows may challenge the absorptive capacity of host countries in the short run by making them vulnerable to external shocks, heightening the risks of economic overheating and abrupt reversals in capital inflows, and facilitating the emergence of credit and asset price boom-and-bust cycles. The inflows expanded the available resources for funding productive investments and privatization, and for raising export capacity and helped finance current account deficits. They contributed to the development of domestic financial markets and the efficiency of banking systems. Foreign participation in domestic government securities markets contributed to liquidity of secondary markets and greater sophistication of financial services such as in Hungary an d Poland. FDI helps in transferring the managerial and technological skills, and strengthen domestic institutions. For the European Union accession countries, capital inflows are a mutually reinforcing factor in the process of integration into the European Union[2]. The long term capital flows, particularly of direct investment have been an important factor in the capital account surplus, and the trend of higher long term inflows has intended to be sustained. A major reason for this has been the success of adjustment programes adopted in Indonesia, Malaysia and Thailand in the mid 1980, after a period of instability. In these three countries, an overvalued currency was depreciated, large fiscal deficits pattern was repeated in the Philippines in the early 1990s. In all four countries, macroeconomic stabilization was accompanied by policies to open the economy to foreign trade and reform the financial sector[3]. As a consequence of the foreign capital surge experienced by a number of developing countries, since the early 1990s international economists and policy makers have been debating about whether foreign capital flows should be the object of specific policy. The debate crystallized around two opposite stances. On the one hand, there were those who claimed that capital flows were largely exogenous to the recipient countries and, in addition, very destabilizing. The implication of this view was that the economic authorities should design and implement policies to dampen the impact of capital flows on domestic macroeconomic variables. The opposite position departed from the assumption that capital flows largely respond to domestic variables, be they long-term i.e., those affecting the country’s risk premium, or related to short-term demand management. In either case, there is no need to worry explicitly about capital flows. Policy makers concentrate exclusively on improving domestic policies. An early, and influential, analysis of the capital surge to developing countries ascribes it mostly to the effect of falling international interest rates[4]. There were other factors as well, most of them exogenous to emerging economies. In particular, the recession in developed countries reduced rates of return on capital and made investors look for higher returns elsewhere. Likewise, since the Asian financial crisis, foreign capital has retreated from most emerging economies, regardless of the quality of domestic policies. In some cases, the sudden stop[5] has been particularly traumatic e.g., in case of Argentina and Chile. In Argentina, the sudden stop in capital flows created the fiscal and financial problems. In Chile, it has had less disastrous, although still quite unfavorable, effects. But in all cases, the reversal of the 1990s inflows has been dramatic, and it has been accompanied by a sharp deterioration in growth performance. Building upon Ricardo, the welfar e gains from the international partition of labor are widely acknowledged. The economic policy implication has been to remove exchange rate volatility to foster trade and growth. The impact of exchange rate volatility on trade among two or a group of countries has both a micro and macroeconomic dimension. From a microeconomic perspective exchange rate volatility, for instance measured as day to day or week to week exchange rate fluctuations is associated with higher transactions costs because uncertainty is high and hedging foreign exchange risk is costly. Indirectly, fixed exchange rates enhance international price transparency as consumers can compare prices in different countries more easily. If exchange rate volatility is eliminated, international arbitrage enhances efficiency, productivity and welfare. These microeconomic benefits of exchange rate stabilization have been a detrimental motivation of the European monetary integration process. Low transaction costs play an importa nt role for international and intra-regional trade and capital flows. 1.3 Research Questions We have discussed above about the need of international financial integration, liberalization of capital accounts and potential benefits of capital flows. Many countries in the world opened their capital account to reap the benefits of international capital flows for their economic development and growth. A number of studies have been done so far for the study of capital flows on different issues. Some studies are related with benefits and liberalization of capital account which are: does capital account liberalization lead to growth? by Quinn and Toyoda in 2008; why capital account convertibility in India is premature? by Williamson; financial liberalization and the new dynamics of growth in India by Chandrasekhar in 2008; analysis of the capital account in India’s balance of payments by Ranjan et al in 2004; capital account liberalization and economic performance: survey and synthesis by Edison et al. Some are about the capital flows and economic growth such as; FDI and econ omic growth relationship: an empirical study on Malaysia by Mun in 2008; and what makes international capital flows promote economic growth? an international cross-country analysis by Shen et al, in 2010. While others focused on the impact of capital flows on different macroeconomic variable which are; capital flows and their macroeconomic effects in India by Kohli in 2001; differential macroeconomic effects of portfolio and foreign direct investment by Gunther et al in 1996; effects upon monetary conditions, saving and the domestic financial sector by Henry and Tesar in 1999 and many others. An empirical study of the impact of capital inflows upon output growth has been done by Gruben and McLeod in 1996. The studies mentioned above give an idea about the capital flows and their relation with many economic indicators. These topics of capital flows give us keen interest to explore more and study extensively what could be the possible relation and effects with other variables. Capital inflow to Asian countries brought substantial benefit to them. These flows permitted higher levels of investment, facilitated the transfer of technology, enhanced management skills, and enlarged market access. The Asian countries adopted their policies to translate capital flows into capital formation and related imports, and thereby mitigated pressures on exchange rates. By successfully managing foreign capital flows, the East Asian countries could achieve high growth rates. Moreover, capital inflows which were a blessing to the East Asian economies in their development process, created problems in the nineties due to mismanagement. Countries with sound macroeconomic policies and well functioning institut ions are in the best position to reap the benefits of capital flows and minimize the risks. Some countries are gaining from the capital inflows while some others are having negative impact of this on their economies. India and China are the two emerging economic giants of the developing world. Both the economies have immense natural resources, skilled and unskilled, cheap but quality labor force, huge domestic market and above all the relatively stable political environment. Both the economies hence have vast potential to attract Foreign Direct Investment (FDI) to serve the local market and to become a more important part of the global integration. After China’s entry into World Trade Organization (WTO) China has emerged into the most attractive FDI destination in the developing world. India’s FDI is far below than that of China. Hence, to know more about capital flows in China and India, we have selected these countries for the study of their capital flows and managem ent. Apart from China we have selected Malaysia for the study. Foreign direct investment has been an important source of economic growth for Malaysia, bringing in capital investment, technology and management knowledge needed for economic growth. The most important benefit for a developing country like Malaysia is that FDI could create more employment. In addition, technology transfer is another benefit for the host countries. These three Asian counties attracted capital flows to reap the benefits of financial integration. Capital flows affect a wide range of economic variables such as; exchange rates, interest rates, foreign exchange reserves, domestic monetary condition and the financial system. The developments, which have been done in many Asian countries, have stimulated a keen interest to understand what have been the nature, trend, pattern and economic effects of capital inflows as well as the appropriate policy responses comparatively in the selected Asian Countries. Therefore, here, we are interested to know what have been the surges of capital flows in Asian countries. What caused a need of financial sector reforms in India? How and why liberalization was done and what are the recent trends and composition of capital flows in India? What has been the pattern of capital flows in selected Asian countries? And, further what is the relation of capital flows with exchange rate in selected Asian countries? What could be the policies to manage the flow of capital? To get the answer of the questions mentioned above, some objectives have been set to study and discuss in an appropriate manner. The objectives of the present study have been given below. 1.4 Objectives The broad objective of the present study is to analyze the capital flows comparatively in selected Asian countries. To fulfill the broad objective, there are some small objectives such as: To study the surges of capital flows in Asia; To study the financial sector restructuring, liberalization and capital flows in India; To analyze the trend and pattern of capital flows in India, China and Malaysia comparatively; To analyze the impact of net capital flows on real effective exchange rate and management of capital flows comparatively in selected countries; and To give policy implications. 1.5 Research Design and Methodology The present study is designed to have eight chapters including Introduction and Conclusion. The first chapter is an introductory chapter where the background and justification of capital flows has been given. This chapter gives us a glimpse of the whole study design including the methodology. Liberalization led to greater capital mobility to all the Asian countries and so we are interested to explore more about capital flows. Some objectives are set based on the research questions. To fulfill the objectives, chapter outline has been made. In the second chapter, theoretical perspective of capital flows has been given on various issues related to capital flows. In this chapter a literature survey of existing studies on capital flows has been done and explored what has been the nature, causes and outcomes of capital flows and what kind of financial system and policies are the best suitable to reap the benefits of capital flows. Then, in the third chapter, analysis of surges of capital f lows into Asia has been given. Causes of Asian crisis, consequences, restructuring and improvement of the financial system under various programemes has been given. Average annual growth rate of FDI flows in Asia had been calculated and analyzed to know the surges of capital flows in different regions of Asia. In the fourth chapter, financial sector restructuring in India under various schemes has been given. With the report of Narsimham Committee in 1991, various reforms have been done in money market and capital market. The details of these reforms, different policies improvement in financial sector and their impact on different market indicators has been discussed in this chapter. A discussion of liberalization of the market for international trade and capital mobility in India has been elaborated in the fifth chapter. In this chapter, the trend, pattern and composition of capital flows in India has been analyzed. Percentage of source-wise and industry-wise capital flows in India has also been calculated and analyzed in this chapter. In the sixth chapter, background of capital flows in India, China and Malaysia has been given. Origin and starting of capital mobilization and changing trend of different capital flows in these countries have been analyzed in this chapter. A comparative analysis of trend and pattern of capital flows in India, China and Malaysia has been done in this chapter. A comparative analysis of the relationship between exchange rate and capital flows in India China and Malaysia has been done in chapter 7. For the purpose of empirical analysis to see the impact of net capital flows on real effective exchange rate with some other explanatory variables, OLS method of multivariate linear regression model has been used. Unit root test to fulfill the stationary condition of time series has been done based on three methods; one is ADF test, second is Phillip-Perron test and third is KPSS. A comparative analysis of capital flows and the behavior of real effective exchange rate have been done and then the management of capital in these three countries has been discussed. Conclusion and Policy Implications is the eighth chapter which includes the crux of the present study followed by Bibliography and Appendix. 1.5.1 Countries for the Study The countries for the study of capital flows are chosen from Asia. Selected countries are: 1. India 2. China 3. Malaysia 1.5.2 Data Sources The data for the present study has been taken from various secondary sources. The data sources which have been used in the present study are given below: 1. World Development Indicators (The World Bank). 2. International Debt Statistics (The World Bank). 3. International Financial Statistics (IMF). 4. World Economic Outlook (IMF). 5. Publications of Reserve Bank of India like: i. Report on Currency and Finance. ii. Handbook of Statistics on Indian Economy. 6. UNCTAD database. 1 [1] Eswar S. Prasad and Raghuram G. Rajan, â€Å"A Pragmatic Approach to Capital Account Liberalization†, Journal of Economic Perspectives, Volume 22, Number 3, Summer, 2008, pp. 150-153. [2] See Inci Otker Robe, Zbigniew Polanski, Bany Topf and David Vavra, â€Å"Coping with Capital Inflows: Experience of Selected European Countries†, IMF Working Paper, WP/07/190, 2007, pp. 7. [3] Linda M Koenig, â€Å"Capital Inflows and Policy Responses in the Asian Region†, IMF Working Paper, WP/96/25, 1996, p. 6. [4] Also see Calvo, Leiderman, and Reinhart, 1993. [5] Calvo, Izquierdo, and Talvi, have felicitously labeled this term, 2002, pp. 3-4