Econ case study Essay

1) Why is economics central to an understanding of the problems of development? It is because that the development of a country depends on economic factors. Economics helps you to interpret how a country is developing, economic policies of a country that determine whether or not it develops and how fast it develops if it performs. In addition, economics helps you to understand how wealth and finance are distributed, and the causes and effects of borrowing and lending. Problems of development are like not having enough money, economics teaches us about problems in development and so we can better interpret these problems primarily by looking at the economic components that define the troubles. Furthermore, economics is a social science and is concerned with people and economic development problems also stemming from people so these fields are related and understanding the one helps you better understand the other because you can build up a bigger picture. 5) Why is an understanding of development crucial to policy formulation in developing nations? Do you think it is possible for a nation to agree on a rough definition of development and orient its strategies accordingly? It is important because, like I answered on question number one, development of a country rely on the economic policies of a country which decide the country is developing or not, and how fast it develops. Depends on what policy formulation the country select, it may result different ending. In my opinion, currently nations cannot agree on a rough definition of development because most of them have different approaches, measurements and standards. However, I believe in the future there might be a working definition that the nations can agree on and orient its strategies. Like the textbook  mentions there are three basic components that help understand the meaning of development which are sustenance, self-esteem and freedom. 6. Why is a strictly economic definition of development inadequate? What do you understand economic development to mean? Can you give hypothetical or real examples of situations in which a country may be developing economically but still be underdeveloped? The Strictly economic definition of development was inadequate due to not taking into account the factors other the financial or economical. I considered that economic development meant financial growth or the increment in yield of goods. An example of a country that is developed economically, but still underdeveloped would have to be India, which I selected for the group presentations, because it is producing a lot of goods and services, but many of its citizens are living in poverty and there’s still a high inequality between genders. 7. How does the concept of â€Å"capabilities to function† help us gain insight into development goals and achievements? Is money enough? Why or why not? The capacities to function help us clear insight into development goals and achievements by letting us determine how much freedom of choice a person experiences in their country which makes it a full measurement of growth. Money is not enough to gain insight of development goals and achievements because money does not help people from living long, and it does not guarantee people’s happiness. 8. What forces may be at work in giving the Millennium Development Goals such a high profile in international economic relations? In my opinion, money forces work in giving the Millennium Development Goals. If a country get high incentive of money, they can borrow money easier than the other country who does not perform well on money. 2. Brazil has special interest because its growth performance from the 1960s  through the 1980s was the best in Latin America, with at least some parallels with East Asian policy and performance (Todaro & Smith, P.28). Moreover, other indicators of development in Brazil lagged, eventually undermining growth prospects. After the civil war and gaining benefits from the other Central American countries, it seems that Brazil should have been in a much better position to fight extreme poverty trap and social equity. Rather, it has continued to insure an extremely high percentage of its population in extreme poverty in an upper middle income country, and remains one the countries with the highest degrees of inequality in the world. 3. Chapter 2 1) According to the textbook, the problems that most developing countries have in common are poverty, high levels of unemployment and underemployment, low levels of agricultural productivity and sizable imbalances between urban and rural levels of living and economic opportunities (Todaro & Smith, P. 92). The most significant problem is serious poverty because every person should at least have the most basic needs such as home, basic clothes and food. 2) According to the textbook, low levels of living is the amount of money on average a person makes in a country. (Todaro & Smith, P. 29). In my opinion, low levels of living can exist simultaneously with high levels of per capita income because there might be a few that are earning a lot with the majority of the population earning less. For instance, on 1980’s Portsmouth, Ohio and Brazil, which is an upper medium income country with nice levels of per capita with a bulk of its citizens living in poverty. 4) In my opinion, among health, labor productivity, and income levels, there are huge, and strong relationship because I think labor productivity decides the income levels, and it also affects people’s health. For instant, people can observe that people’s health is low when labor productivity is low and it comes with low productivity the income levels are lower than the normal  countries. 5) â€Å"Dominance, dependence, and vulnerability† in their relations with rich nations is that many developing countries do not have any means of their own that they come to depend on the rich nations handouts and pretty much become vulnerable and dominated. In other words, rich nations can kind of force the developing countries to do what they want, and make them poor if they refuse. For example, rich countries are forcing or suggesting Iran and North Korea to give up nuclear weapons by interrupting their economy. Moreover, a developing country is so poor that it cannot invest and that is where the rich countries come and provide financial aid to make that poor nation depend on rich countries. 6) Developed countries produce large quantities of goods, services, and in general do a lot of manufacturing. Countries such as these use science to improve technology and generally have good health care and education for their people. Compared to developed nations, developing countries practice subsistence agriculture and often suffer a miserable income, clothing, and housing. Only few people in developing countries receive proper health care or education. In addition, and life expectancy is relatively short. Most developing countries also lack the resources needed for economic growth. Also, developing countries’ primary sector of economic is the major contributor to the GDP of the country. Low GDP per capita is there. Usually exports agricultural goods or natural resources and imports value added goods from developed countries. 7) The composition of the Index reflects dissatisfaction with income as a measure of well-being: income is not the only argument in a person’s utility function. The Human Development Index is an attempt to develop a better measure of well-being. If I design the new HDI, I want to set up the standard of get information from people. Quality and trustworthiness of those data is disputable, especially when we get the information from UN non-democratic members. It is because I think it might much better if we have a standard method to get adequate data which shows their own interest for strengthening their credibility and legitimacy. 12) According to Jan Kees van Donge, he states that in Southeast Asia, the transition to sustained growth has consistently been associated with policies aimed at macroeconomic stabilization; improving life in the rural sector, increasing agricultural productivity, and ensuring an ample supply of food. In contrast, sub-Saharan Africa initiatives in these directions have in some instances been present, but the concurrent pursuit of all three policy objectives has not. Other factors that appear to be of somewhat lesser importance, but that nevertheless deserve further study are: industrialization on the basis of foreign direct investment; systems of politics and governance; and cultural patterns as manifest in policy choices. (â€Å"Tracking Development in Southeast Asia and Sub-Saharan Africa: the primacy of policy†, par.3) 13) According to the textbook, colonial legacy is described as the colonies and institutions that were created and controlled by European and other foreign powers. These colonies and institutions that were created in the developing countries had a negative effect on the development of those countries that still continues today (Todaro & Smith, P. 69). The advantage of colonial legacy is that arrangement might be exists. A disadvantage would be that in many cases, these countries or institutions will not rich by its own country’s ability. 14) According to the textbook, five characteristics of the developing world are physical and human resource endowments, per capita incomes, climate, population, and historical role of migration. It says that developed countries are more natural resources when the country started to grow were as most developing countries usually did not have a lot of natural resources (Todaro & Smith, p.71). Per capita incomes are a lot higher in developing nations than in growing nations. The growth rates of populations in developing rural areas are usually higher compared to that of a developed nation. 15) The differences between the traditional HDI compare to NHDI, HDI uses arithmetic mean. In contrast, NHDI uses geometric mean. HDI uses GDP and the  NHDI replaces that with GNI. Traditional HDI added the three components and divided by three. However, NHDI takes the cube root of the product of the three component indexes. In my opinion, NHDI is better than HDI because it gives us a realistic average and the traditional HDI gives us an arithmetic average which is not realistic. 4. a. R1=-21%, R2=42%, R3=59%, R4=9, R5=0.87% = 14.42% b. R1=-40%, R2=56%, R3=-90%, R4=0 =-44.69% c. R1=-20%, R2=78.12%, R3=91.34% =39.7% 5. Chapter 3 (page 136-137): Questions for Discussion 1-6 1) The structural change model of Chenery focus on structural changes in the stages of the process of economic change, industrial and institutional structures of emerging economies. Chenery research conducted on the transformation of production structure shows that the increased role of the industrial sector in the economy in line with the increase in income per capita is happening in a country closely linked with the accumulation of capital and improving human resources (human capital). The neo-Marxist is an indirect outgrowth of Marxist thinking. The main idea is that a disproportionate relationship between the central state which consists of the developed and the periphery is composed of the developing world. The false-paradigm model is the model that advice or suggestions may mean well but often do not have enough information about the country to be assisted, especially developing countries. For the developing nations, I think the  best explanation is related to the situation in most developing countries is the neocolonial dependence model (neo-Marxist). This model explains that economic development on developing countries depend on developed countries, especially in direct investment in the mining sector and import of goods produced. 2) Dual societies means that rich nations and poor nations at world level are exist; and a few rich complemented with a majority of poor people in the developing countries. Thus, dualism is a concept which represents the existence. I think it does not portray the development picture in developing country because it seems like a concept that divide the world into only two part. Development or developing countries. 3)  According to the text book, it says that different sets of conditions, of which some are â€Å"superior† and others â€Å"inferior,† can coexist in a given space (Todaro & Smith, p.125). Also, the interrelations between the superior and inferior elements are such that the existence of the superior elements does little or nothing to pull up the inferior element, let alone â€Å"trickle down† to it. These are reason why it is a valid conceptualization. 4)  According to text book, neoclassical economic theories designed to accelerate the growth of GDP as the principal index of development (Todaro & Smith, p.125). it is valid policy because it is all connected to the False-Paradigm Model and a policy of autarky. 5) I do not think that there is a single unified theory that explain the one country. Including the economic theory, a situation should be explained by the several theories arising from various branches. Also, we can observe that there are many factors which are put into the section of output or input. 6) Even though the free-market theory and the dependence theory indicates the opposite meaning of explaining the market, in my opinion, neoclassical, free-market theory is not necessarily incompatible with dependence theory. In case of the rich countries or the country, which is developed country yet it was developing countries at past, both free-market and dependence theory is needed to explain their economic status. 6. Chapter 4 (page 195-196): Questions for Discussion 1-10 1) Actions can be taken by one agent reinforces incentives for others to take similar actions. With Multiple Equilibria graph, there are pressure which hit equilibrium point. Also, one equilibrium to other points there are demand shock, supply shock and government interruption which indicates the metaphor of economic problems. For example, on our daily life basis we can observe the invisible hand in the market which means that government makes decision for economy and affect our life. 2) According to the PowerPoint, indivisibilities in amounts of investment imply a region of increasing returns to scale, as in the fixed costs of the big push model. Once again, increasing returns plays a key role in generating multiple equilibria. This is related to how the investment works with big push model. In case of O-ring model, investment is one of the outpour sector which effects the formula. It was hard to find the limitation in o ring model, but I would like to say and would like to ask why q is only between zero and one. It can be the limitation points of O-ring model? 3) I do not think that developing countries can escape all of the traps described in this chapter. Especially developing countries cannot escape from the poverty trap because poverty fuels move the poverty. It is happening in underdevelopment countries. Therefore, if a country is in poverty trap and try to escape, they should have positive information externality from development countries. In case of development countries, it is still hard to escape the poverty trap but it is movable than the developing countries. 4) High levels of inequality lead to lower rates of growth and development because it makes rich countries more rich and poor countries poorer. If there is a high level of inequality on growth and development rate, it supports the poverty trap, which is the most difficult thing to get out of the trap, to develop. 5) In case of central planned market, such as public ownership of resource and governing board that makes decision for economy. If government interrupt the free market and give pressure to equilibrium point, it makes new prices from government. Also, it leads to a lack of private investment. Finally, the market might have a failure results. 6) In my opinion, low level of trust of people outside one’s extended family is related to information externality. It always better to accept positive information. Also, it is connected with the Haussmann-Rodrick-Velasco Growth Diagnostic Decision Tree theory. In case of low levels of private investment and entrepreneurship, it may causes low return to economic activity and high cost of finances which cause low social returns and market failure. 7) O-ring production function is complementarity between workers’ skills. Therefore, we can find O-ring production on our daily life where the place indeed high technology or the worker’s skills. For example, if the producer of IPhone 6 has more significant skills, the price may different. 8) I think the two approaches cannot be used together to inform each other. If I assume that logically cohesive model with strong assumptions is the big push model, the other theories, such as O-ring model can supports the limit of the big push. However, in my opinion, the two approaches cannot be used together to inform the same situation at the same time. Because there might be some overlap sections and limitations between two theories. 9) As a reader of chapter 4, The Big Push model described in this chapter is useful in shedding additional light on the nature of problems considered. It shows market failures lead to a need for public policy intervention. Moreover, it is more efficient for economy because it assumes that perfect  competition with traditional firms operating, limit pricing, monopolist with a modern firm operating. If there is an intertemporal, urbanization, infrastructure and training effects, a big push may necessary. 10) According to my research, Egyptian reforms launched in 2004 appear to have focused well on the most critical constraints-reducing red tape and tax rates, and improving access to foreign exchange-thereby getting a strong growth response out of a limited set of reforms. However, inefficient bureaucracy remains an important obstacle to higher growth and reforms in this area should continue to have high payoffs. Ongoing reforms are also addressing constraints that are likely to become binding soon (or have become so already), such as inefficient financial intermediation and high public debt. Improvements in education may rapidly become a critical factor for sustaining higher growth ( Enders, Klaus-Stefan, sec.1).

Addressing Challenges of Groups and Teams Essay

The use of teams in the workplace is continuing to grow because teams work more efficiently and are effective (Robbins & Judge, 2011). However with teams challenges and benefits present with group and team communication, collaboration, and conflict can arise. The Enron Corporation failed to have an effective plan to promote communication, collaboration, and address conflict. The following will review a plan that outlines the benefits and challenges of groups and team through the promotion of communication, collaboration, and address conflict. Creating an Effective Team  Three elements of an effective team are categorized as contextual, composition, and process (Robbins & Judge, 2011). The effectiveness of the team is dependent on the three elements collectively working together to form the team effectiveness. Contextual Factors The contextual factors determine the success of the team. The factors considered contextual are adequate resources, leadership and structure, climate of trust, and performance evaluation and reward system (Robbins & Judge, 2011). The adequate resources for a team begin with proper training about team development and how to work within a team. The team is supported by the organization and has the proper assistance to complete the tasks. The training plan for Enron begins with support from the organization. The team is supported by the executive leadership throughout the corporation. The failure of Enron resulted from the lack of executive leadership to support the ethical business practices within the organization. Therefore, an effective training plan with the support of the executive leadership is the key to success of ethical business practices throughout the organization. Leadership within a team is the key to the success of the team. See more:  Manifest Destiny essay Enron Corporation executive leadership failed to act as a leader and set the organizational objective for conducting business. The leader within the team helps the team define the shared objectives, member skills, and role clarity for the team members (Yukl, 2010). The leader of the team helps to establish the climate of trust among the members of the team. The climate of trust was not established throughout the Enron Corporation because the executive leadership knowingly engaged in accounting fraud and formation of illegal partnerships. The training plan allows each aspect of the contextual element to support the training plan for ethics throughout the organization. Composition Factors The composition factors of the effective team are composed of the abilities of the team members, personality of the members, and allocation of members. The team members have different skills and abilities identified and properly used to allow the member the reach the fullest potential as a member of the team. Identifying skills and abilities allows the proper allocation of roles (Robbins & Judge, 2011). Personality of members may have an effect on the team ability to complete tasks. Members of the team must be aware of their own personality to begin understanding how personality of others offers contributions to the team. Measuring emotional intelligence can help with self-reflection. â€Å"Emotional intelligence reflects the ability to read and understand others in social contexts, to detect nuances of emotional reactions, and to utilize such knowledge to influence others through emotional regulation and control† (Prati, Douglas, Ferris, Ammeter, & Buckley, 2003, p. 21). Therefore, leaders with high emotional intelligence assures self-reflection and reflection of others to determine the most appropriate way to interact with others. Team Processes The final element of effective teams is team processes. The team processes define the purpose and plan of the team. The processes set the goal for the team. Team efficacy occurs with continued success of the team. Team processes also provide plans for handling conflict as it occurs within the team. Applying the Training Program for Enron Enron’s collapse resulted from unethical business practices. The executive leadership within the corporation participated in the accounting fraud and hiding financial losses of the corporation. Enron’s code of ethics for the company should have served as a guide for employees ethically to conduct business practices. However, a waiver is included in the code of ethics that allowed the organization to engage in activities seen as a conflict of interest at the discretion of the chief executive officer (Elson & Gyves, 2003). The executive leadership failed to implement organizational behavior to instill ethical business practices throughout the company (Robbins & Judge, 2011). The initial step to applying the training plan is communication. Communication among the members of a team and a corporation serve as the first step toward success. Communication among the members of the team can occur through electronic mail, memos, and face-to-face meetings (Robbins & Judge, 2011). The leader of the team is responsible for communication between the team and the executive leadership. Communication serves to engage members of the organization, implement change, and establish a checks and balances systems. The Enron Corporation failed to communicate effectively throughout the organization. This lack of communication gave opportunity for the executive leadership to conduct unethical business practices. Collaboration among the members of an organization and team build the cohesiveness of the team and stimulate creativity to solve problems. Using collaboration to build the cohesion of the team keeps each team committed to the goals and mission of the organization. Collaboration will also help to maintain ethical business practices by assuring members of the organization responsible for the accounting and business practices are using checks and balances to report information accurately. Conflict is expected to arise in team and group work. Therefore, the leader must be dedicated to addressing conflict and guiding the team through the conflict. Failure to address conflict can lead to failure of the team (Robbins & Judge, 2011). The leader of the team will use the conflict process to work through conflict. The training plan for Enron that included managing conflict can help to address unethical business practices prior to occurrence. Through the use of internal and external audits deficiencies and conflicts can be identified and addressed before unethical business practices are implemented. Conclusion Communication, collaboration, and conflict management are keys to the success of teams and businesses. Enron failed to communicate, collaborate, and management conflict leading to the failure of a corporation. Enron allowed executive leaders to stifle communication, collaboration, and conflict management to hide fraudulent accounting practices. The implementation of a training plan supportive of communication, collaboration, and conflict management may have identified and addressed issues leading to the success rather than the failure of Enron Corporation.

The Future of Beverage Industry Dissertation Example | Topics and Well Written Essays - 9750 words

The Future of Beverage Industry - Dissertation Example While the beverage industry is evolving at a rapid pace, it is putting pressure on the traditional soft drink companies that are losing their market share to drinks such as sports drinks and juices. As consumers are getting awareness regarding the health implications of soft drinks, they are quickly adopting safer alternatives. Certain schools have banned the selling of carbonated drinks in their premises due to health risks and the increased hyperactivity in the children. This has impacted the sales of carbonated drinks considerably since teenagers are the biggest market for carbonated drinks. These drinks are been replaced by fruit juices, bottled water and other healthy drinks. This quick replacement to other drinks also suggests that the beverage industry has become very saturated as all kinds of drinks are being introduced by the competitors and consumers can quickly change from one to the other. Thus, a time has come where the need of the soft drink company is to evolve itself. For the purpose of this research, Coca-Cola Company has been selected since it is a market leader but is still facing issues with respect to the changing consumer preferences. 1.2 Significance of the Study This Study would aim to analyze the beverage industry and its implication on soft drink companies. The beverage industry provides great potential for the business man of today even while it is putting pressure on the traditional soft drink companies. This study would serve as a guide for beverage industry to improve upon their operations to better cope up with the changing scenario. 1.3. Objectives of the Study Can soft drink companies hope to survive by just tapping the soft drink consumers in this age of market saturation and changing consumer needs? 1.4. Research objectives 1. What changes have been seen

Case study Essay Example | Topics and Well Written Essays - 1250 words - 4

Case study - Essay Example Because of higher demands, price quotation would also not be a problem for the company because it can be assured that consumers will be ready to pay. This way, the company will not be forced in making price quotations that affects its expenditure and ratio balance (Blunt, Jones, & Richards, 2003). What is more, the market segment to be used for this proposal would ensure that there will be less expenditure on shared cost such as transportation. This way, the company will be looking at a revenue ratio that far outweighs its expenditure, making it easier to realize profits. Even though the risks identified with this proposal are realistic, it is hoped that there will be equally effective risk mitigation and contingency procedures that will be used to meet such risks as political inconsistency, which may bring about new financial policies that may be unfavourable for the company. 2.0 Risk Log for Recommended Proposal Risk Category Risk Name Risk Number Probability (1 – 3) Impact (1 – 3) Risk Score Mitigation Contingency Action by Action when National Uncertainty in success rate due to Scottish referendum 1.1 2 2 4 Look for new markets outside of Scotland Start a new market right away Eddy Ware Now National Political change that affects existing economic policies 1.2 1 3 3 Engage in pre-referendum economic policies that hedge the company against any possible economic shocks Hedge from a new capital market Elaine Morgan Now Local people Scottish locals accepting foreign brand 2.1 1 2 2 Introducing the product to a more foreign oriented market Find substitute products to introduce to the market Eddy Ware Now Currency Exchange risk emanating from possible change of currency 3.1 1 2 2 Currency market hedging that puts the company ahead of any possible currency shocks in about one year after new currency introduction Buy hedged currency product Elaine Morgan Upon announcement of new currency Raw material downturn in this year’s yield of organic suga r crop 4.1 2 2 4 The use of alternative and backup suppliers Stock company inventory now Paul Hollywood Now 3.0 Stakeholder Analysis 3.1 Identifying key stakeholders and their interest The implementation of the proposal to expand cake and biscuit production needs the input, consent, power, support and approval of several people, who together come to form a stakeholder base for the proposal. In line with the conditions needed to kick start the proposal and also to control the risk, the following people are identified within the organization as stakeholders. Gordon Blanc: As the CEO and head chef of MOP Restaurant, he is included as a stakeholder who would have authorizing powers to give approvals to the starting, continuation and stoppage of various tasks within the proposal. Particularly with areas that have to do with the MOP restaurant, it is expected that Gordon Blanc will make extra roles such as quality control roles for the manufacturing of cakes and biscuits for the restauran t. Martin Inch: He is also needed for his capacity as the CEO to give authorities on the start, continuation and conclusion of projects. It is expected that the project manager would make direct reports to him about the progress, successes and challenges within the project as he is the eventual overseers of

Staying on Course to Your Success Essay Example | Topics and Well Written Essays - 750 words

Staying on Course to Your Success - Essay Example As an adopter of ‘on course’ principles, I wish to elaborate the ‘on course’ elements and how they can be incorporated to bring positive results, and thus, success in daily activities and thoughts. For success in one’s education, he or she must be willing to perform the creation role, as opposed to the victimization role. What does this mean? Being a creator implies that one acknowledges and takes responsibility for their course of actions or thoughts. In other words, a person adopts self-responsibility as aforementioned. As an elaboration, ‘on course’s’ self responsibility as an element requires one to perceive the primary causes of their experiences and outcomes as self. This, as opposed to seeing oneself as a victim, helps in guiding the person to focus on ways of changing their course of actions to make their situations better than they currently are. Contrary to victims, creators (the self-responsible ones) do not blame extern al factors like luck, fate, or other powerful individuals as the cause of their predicaments. Applied in education, creators are able to own their dissatisfying academic results, with an optimism of revising more and discussing with their classmates in an attempt to improve their grades. Such students also identify where they could have gone wrong previously to warrant such wanting results, maybe they missed classes, or failed to consult their instructors. The outcome of such self-analysis and meditation results in creators outlining their success activities. Victims, on the other hand, will fault family problems, errors in marking and ex cetera for their diminished performances. It is ones mandate to choose whether they prefer being a creator to being a victim. My advice for those who aspire to be successful is to opt for creator roles. Many successful stories have been linked to positive self-image. This implies that for one to succeed, they must believe in themselves and posses h igh levels of self-esteem. How can this lead to a success story? Positive self-image implies that one perceive themselves worthy as individuals. This has a great impact on their attitude towards life and its challenges thus they are capable of transforming negative situations into positive ones. Often, self-esteem and mastery of self-management go hand in hand. As such, individuals with high self-esteem also know how to plan for their activities geared towards achievement of their dreams and goals. In contrast, people with low self-esteem do not consider themselves worthy individuals; instead, they doubt their personal worth as well as their competence. Such people will always doubt their ability to make their outcomes and experiences desirable, and appear frustrated and depressed. In addition, those with low self-esteem show tendencies of failing to plan effectively for their actions. Consider the cliche that ‘no man is an island’ However outdated it seems, this phrase holds true if success is to be achieved. One must develop interdependence in order to achieve their goals. This is helpful because through sharing, one learns new things, as well as teaches others what they know. As such, interdependence brings mutual benefits that are crucial in the steps towards success. In addition, forming supportive relationships brings with it the satisfaction of helping others with one‘s knowledge. That in itself helps in enhancing self-esteem, in that one will view him or herself capable of creating a positive impact in life.

Local Area Networking systems Essay Example | Topics and Well Written Essays - 500 words

Local Area Networking systems - Essay Example Stair & Reynolds suggest that usually, LAN is wired into office buildings, factories, school buildings etc and are built around personal computers (PC). When a PC is connected to a LAN, a network interface card (NIC) is required which is placed in a computer's expansion slot to allow it to communicate with the network. A wire or connector from the network is then plugged directly into NIC. (Stair & Reynolds, 2001, p. 138) In order to install and configure a LAN setup in a school, first of all the topology should have to be selected. Out of the three topologies, i.e. ring, bus and star, star topology is the most feasible one, as due to the failure of a computer or a segment of wire or a node, the other network nodes would not be affected at all. For star topology the basic hardware required for connectivity are as follows: For a smaller LAN with a maximum of 10 computers Hub works fine but for a larger LAN a switch gives better efficiency compared to a hub. The reason is that the hub broadcast the data packet to every node, hence all other nodes except the destination node thereby ignoring the broadcasted data packet where as the switch store the MAC addresses of each node and would send the data packet only to the destination node. Further more in a larger LAN setup, if the distance between two switches or between switch and a terminal (computer) is more than 100 meters than we have to use a repea

Who Is Responsible for Current Financial Crisis Essay

Who Is Responsible for Current Financial Crisis - Essay Example Many theories have been discussed concerning the causes of this financial crisis, moreover, why its impact has been so large for it to affect negatively people from diverse backgrounds. Although many of these theories sound logical, none of them even attempts to capture the real reasons why this crisis happened. In this matter, it is our opinion that this financial crisis has come about due to weak policies from the government as well as the greed of corporations in their bid to make more money. In this paper, we set out to prove our stand by discussing in detail the governmental and corporate causes of the crisis. Government policies on handling financial institutions had a direct hand in the financial crisis happening. This is mainly because the government failed to regulate adequately the activities of banks and instead gave them a free hand in conducting their activities, even though these activities proved to be harmful to the economy. Furthermore, during the Bush administration , there was a strong bid by Republicans in Congress to force banks to lower their lending rates so that most people could have their own homes by taking more affordable mortgages (Holtzman 95). This had a direct hand in triggering the current crisis because many of these people ended up not being able to pay their mortgages and this led to a lack of liquidity, which created a panic. Enterprises such as Freddie Mac, which are government-sponsored, were encouraged to buy securities, which were backed by mortgages, and some of these happened to be very risky ventures (Wallison). The government also helped to trigger the financial crisis when it misinterpreted the looming crisis as one, which was concerned with liquidity. To solve this problem, it responded by giving out a lot of money to people so that they could have more money to spend and in the process make the economy start to move again. However, things did not happen as predicted and instead, many people who got the money chose to save it instead of spending it. This government solution now became a problem because nothing happened as it had been expected to work. The financial crisis was something that could have been avoided and its occurrence was caused on a large part by the corporate greed, which aimed at gaining more profits through the taking of risks, which were dangerous (Chan). The ineptitude of the regulators of the financial sector to stop these tendencies by banks to take risks further made the situation worse and this almost led to a near collapse of the financial system. Those who were supposed to regulate the financial institutions lacked the morality to oversee and take action against those institutions that they were supposed to be in charge of supervising. These regulators, as well as the politicians who were allied to them, chose to ignore the regulations and instead let the financial institutions do whatever they wanted to do (Sanchez 521). Those who headed the very large financial ins titutions practiced things that were illegal in their line of work and all this brought about the financial crisis because their attempts to make profits illegally came to fall apart.