Notes, summaries, assignments, exams, and problems for Economy

Government Economic Policies

1) Economic growth: the government will always want the economy to grow. They can encourage growth through helping private business to grow, through low business taxes or through government involvement in growth sectors such as new high tech industries.

2) Prices: the government will want to make sure that the general level of prices in the economy is effectively managed. Prices need to rise in a relatively slow and predictable way so that future contracts can be made where both sides know the value of what they pay or receive. Government policies to control inflation might include reducing spending or raising taxes when prices start to rise.

3) Income distribution: all economies are characterized by inequalities in... Continue reading "Government Economic Policies and Financial Instruments" »

... Continue reading "Non-Profit Accounting and Auditing Overview" »

China's Carbon Footprint: Challenges and Progress

Every nation faces unique challenges and opportunities in mitigating its emissions. China, as the world's largest emitter of carbon dioxide and a significant player in the global economy, serves as a compelling example.

Understanding China's Carbon Footprint

China's rapid economic growth and industrialization have led to a substantial carbon footprint. The country's high energy demands, primarily met by fossil fuels, have resulted in significant emissions. Additionally, with its vast population, the demand for consumer goods continues to rise, further contributing to its environmental impact.

China's Commitment to Renewable Energy

Despite these challenges, China has made considerable efforts to address... Continue reading "China's Carbon Footprint: Challenges and Renewable Energy Progress" »

1. Introduction: The European Union

Important dates: 7 enlargements:
- UK, Ireland, Denmark (1973)
- Greece (1981)
- Portugal and Spain (1986)
- Finland, Sweden, Austria (1995)
- 10 countries (2004)
- Bulgaria and Romania (2007)
- Croatia (2013)

7 treaties:
1. Treaty of Paris (1950): European Coal and Steel Community
2. Treaty of Rome (1957): EURATOM, EEC, ECSC.
3. Treaty of the European Single Act (1986): the Single Market.
4. Treaty of Maastricht (1991): the Treaty of the EU.
5. Treaty of Amsterdam (1996)
6. Treaty of Nice (2001)
7. Treaty of Lisbon (2009)

1 downsizing: Brexit (2019-?)

Aspects of the European Integration Model - Mechanisms:
- Single market.
- Customs Union.
- Single currency.
- European institutions.
- Interterritorial cohesion policies.
- Common... Continue reading "Understanding the European Union and Its Monetary Union" »

Dimensions of Information Systems

Describe the organizational, management, and technology dimensions of information systems.

• Organization: Such as the organization’s hierarchy, functional specialties, business processes, culture, and political interest groups.
• Management: Involves setting organizational strategies, allocating human and financial resources, creating new products and services, and re-creating the organization if necessary.
• Technology: Involves computer hardware, software, data management technology, and telecommunications technology.

Impact of Information Systems on Business

Describe how information systems have changed the way businesses operate and their products and services.

Wireless communications, including computers and mobiles,... Continue reading "Dimensions of Information Systems and Business Operations" »

Key Concepts in International Trade and Globalization

Foundations of Trade

Humans began trading due to a lack of self-sufficiency.

The Spread of Commodities: Sugarcane Example

Inhabitants of New Guinea discovered that sugarcane is sweet and easily cultivated. Due to the increased human appetite for sweets, sugarcane spread geographically:

1. From New Guinea to Southeast Asia.
2. To India.
3. From India, traders took it to China and what is now Iran, and so on.

Trade Agreements and Barriers

GATT (General Agreement on Tariffs and Trade)

An agreement designed to reduce tariffs and other barriers to international trade.

Tariffs

Taxes placed on certain imports or exports, which typically stifle trade.

Quotas

Restrictions on the amount of imports a country may receive.... Continue reading "Essential Concepts of Global Trade and Economic Terminology" »

Financial Soundness

Financial soundness is not at a satisfactory level. It is riskier compared to the previous year. The short-term debt, reflected in the debt-to-equity ratio, is higher than the previous year. For sound financial health, these ratios should have decreased.

Ability to Pay

The company's ability to manage short-term debts and immediate payments is weak. While the cash ratio and average collection days have slightly improved, indicating a favorable cash cycle, the overall ability to pay remains mediocre. The company demonstrates good punctuality but needs to improve its guarantees to enhance its ability to pay.

Profitability

The company's profitability has declined. Both Global ROA and ROE are worse than the previous year, indicating... Continue reading "Financial Health Analysis of a Company: A Comprehensive Review" »

Productivity

Productivity is the measure of output relative to the inputs used to create it.

Productivity Formulas

General Productivity: Quantity of Output / Quantity of Input

Labour Productivity: Output over a Given Period / Number of Employees

Production Methods

Lean Production

Lean production encompasses techniques used to minimize waste and maximize efficiency. This can involve reducing product development time and accelerating time to market.

Kaizen

Kaizen, a Japanese term meaning "continuous improvement", emphasizes eliminating waste to enhance efficiency.

Just-In-Time (JIT)

Just-In-Time (JIT) is a production method that aims to minimize or eliminate the need for finished goods inventory. Supplies arrive precisely when needed for production.

Production

... Continue reading "Production, Costs, and Quality Management" »

What is Logistics?

Is generally the detailed organization and implementation of a complex operation. In a general business sense, logistics is the management of the flow of things between the point of origin and the point of consumption in order to meet requirements of customers or corporations.

Benefits of Supply Chains

When a business has an effective supply chain management, it has a CA in its industry that allows you to decrease the inherent risks when you are buying raw materials and selling products or services. The most important supply chain benefits are a higher efficiency rate, a decrease cost effects, increases output, increases your business profit level, boost cooperation lvl, no delays in processes and an enhanced supply chain network.... Continue reading "Logistics: Supply Chain Management and International Transport" »

Elasticity

Elastic demand: A high responsiveness of quantity demanded or supplied to changes in price.

Elasticity: An economics concept that measures the responsiveness of one variable to changes in another variable.

Inelastic demand: A low responsiveness by consumers to price changes.

Necessities vs. Luxuries

Necessities tend to have inelastic demands, whereas luxuries have elastic demands.

Short Run Versus Long Run

Price elasticity of demand is usually lower in the short run, before consumers have much time to react, than in the long run, when they have a greater opportunity to find substitute goods. Thus, demand is more price elastic in the long run than in the short run.

Competitive Dynamics

Goods that can only be produced by one supplier generally... Continue reading "Price Elasticity of Demand and Supply: Formulas and Examples" »