Relationship Between Unemployment And Inflation - 1947 Words

The main aim of this chapter is to examine the relationship between two economic fundamentals inflation and unemployment using ordinary least square technique. The model regress the inflation rate against unemployment rate, and money supply over the period 1991-2014. Model specification Model specification The study will use the time series data. This study investigates the relationship between unemployment and inflation in Namibia depending on the formulation provided by Blanchard (2005). The Phillips curve can be expressed in the following format: ï  °_t-Ï€_t^e=ÃŽ ²_1 (U_t-U_(NR ) )+ e_t (6) Whereï  °_t: The actual inflation rate at time t. Ï€_t^e: The expected inflation rate at time t. U_t: The actual unemployment rate prevailing at time t. U_(NR ): The natural rate of unemployment at time t. e_t: The stochastic error term. Since Ï€_t^e is not directly observable, a simplifying assumption that ï  °_t=Ï€_(t-1)^e is applied, which means that the inflation rate expected that year is the inflation rate that prevailed in the previous year. The Phillips relationship given in equation (6) is known as the modified Phillips curve or the expectation-augmented Phillips curve. From equation 6 I obtained the linear equation 7, model to be used in the study. ï  °_t-Ï€_t^e=ÃŽ ²_1 (U_t-U_(NR ) )+ e_t ï  °_t =ÃŽ ²_(0 )+ÃŽ ²_1 U_t + e_t (7) Whereï  °_t: is the inflation rate is at a time of t, U_t: is the unemployment rate in country at time t. ÃŽ ²_(0 )and ÃŽ ²_1 are the unknown parameter that showsShow MoreRelatedThe Relationship Between Inflation And Unemployment1662 Words   |  7 PagesThe relationship between inflation and unemployment is a topic, which has been debated by economists for decades. It is this debate that has made the opinions about it evolve. In this essay, the controversial topic will be discussed by viewing different economists’ opinions on that according to time sequencing. Inflation is an increase in price levels within an economy. Basically it means that you will have to pay more for the same goods. Unemployment is even more straightforward. It means thatRead MoreRelationship Between Unemployment And Inflation2301 Words   |  10 PagesThe relationship between unemployment and inflation has been the subject of heated debate, stimulate academic divide between macroeconomics because the relationship is difficult to explain. Rational expectations have been proposed by the new classical school of thought, there is not even a short-term trade-off between inflation and unemployment expected. Only a compromise when inflation is unanticipated. We think there is a compromise between the two, even in the short term, regardless of the factRead MoreRelationship Between Unemployment And Inflation3391 Words   |  14 Pages[TYPE THE COMPANY NAME] Economics Assignment [Type the document subtitle] 1/18/2015 â€Æ' Table of Contents: Table of Contents: 2 Section 1: Relationship between Unemployment and Inflation 3 Unemployment: 3 Inflation: 3 Phillips curve: 4 SRPC- Short Run Phillips curve: 4 Real Life example of Unemployment in Australia 5 Section 2: Simple model of AD and AS 6 Aggregate demand and Aggregate supply: 6 What is AD or aggregate demand? 6 Consumption Expenditure: 6 Investment Demand: 7 Government Expenditure:Read MoreThe Relationship Between Inflation And Unemployment On Growth1553 Words   |  7 Pages The relationship between inflation and unemployment on growth remains a controversial one in both theory and empirical findings. Originating from the Latin American context in the 1950s, the issue has generated an enduring debate between structuralists and monetarists. The structuralists believe that inflation is essential for economic growth, whereas the monetarists see inflation as detrimental to economic progress. There are two aspects to this debate: (a) The nature of the relationship if oneRead MoreRelationship between Inflation Rate and Unemployment in Malaysia1110 Words   |  4 Pageschapters, the study was discussed about the relationship between two economic variables which comprise of inflation rate and unemployment rate in Malaysia. Conclusion and discussion on the study, policy implication, limitation of the study and suggestion for future will be discussed in this chapter generally. 5.1 Conclusion This chapter is the conclusion and recommendation about the whole research regarding relationship between inflation and unemployment rate. It also concludes the whole result ofRead MoreThe Relationship between Unemployment and Inflation: Implications for Theory and Policy1279 Words   |  5 PagesThe (Possible) Relationship Between Unemployment and Inflation: Implications for Theory and Policy Introduction As with any scientific or empirical body of knowledge, the theories and facts of economics are undergoing constant testing and reevaluation, at times including major shifts in theory that reject old models and develop new understandings of economic interactions. It is arguably the case that in economics and the other human sciences such as sociology and political science that suchRead MorePhillips Curve : A Relationship Between The Inflation Rate And The Unemployment Rate Essay3200 Words   |  13 Pageshistory and overview The Phillips curve represents a relationship between the inflation rate and the unemployment rate. The Phillips curve is named after its first exponent A.H.W. Phillips who was a classical economist who first came up with this relationship. He posited that the lower the employment rate firms are forced to source for funds so as to increase wages and be able to attract labour. This in turns leads to a rise in money wage inflation. The first challenge to this theory was by MiltonRead MoreThe Existence Of Trade Off Relationship Between Inflation Rate And Unemployment1839 Words   |  8 Pagesinvestigate the existence of trade-off relationship between inflation rate and unemployment rate in Namibian economy between 1991 and 2014 the perspective of Phillips curve by using the Ordinal Least Square (OLS) method. The results of Augmented Dickey-Fuller test shows that all variables are stationary at level and the integration test shows that they integrated at level I(0). The analysis result shows the negative relationship between inflation rate and unemployment rate in short-run as it was expectedRead MorePhillips Curve Methodology Is Used On An Information Set Of 35 Years Essay1623 Words   |  7 Pageshelps in analyzing the relationship in the middle of inflation and unemployment. There is a non-relative negative relationship in the middle of inflation and unemployment (if unemployment is decreased than there is a rising value level in the economy). There is a long-run and easygoing relationship in the middle of inflation and unemployment over the above-mentioned period in Pakistan. There is a momentary relationship (stuns) in the short-run, while there is a lasting relationship (stuns) over the longRead MorePhillips Curve Essay1198 Words   |  5 PagesEconomics: The Phillips curve shows the relationship between unemployment and inflation in an economy. Unemployment involves people who are registered as able, available and willing to work at the going wage rate but who cannot find work despite actively searching for work. Unemployment can be counted by using the claimant count which includes all those who are unemployed and actually claiming benefit in the form of Jobseekers Allowance. Inflation is a sustained increase in general price level

Agriculture to economic Free Essays

Agriculture is central to economic growth and development in Pakistan. Being the dominant sector it contributes 21. 4 percent to GDP, employs 45 percent of the country’s labour force and contributes in the growth of other sectors of the economy. We will write a custom essay sample on Agriculture to economic or any similar topic only for you Order Now During 2012-13, agriculture sector exhibited a growth of 3. 3 percent on the back of positive growth in agriculture related sub sectors, Crops grew at 3. 2 percent, Livestock 3. 7 percent, Forestry 0. 1 percent and Fishing 0. 7 percent. The agriculture subsector component which includes important crops other percent respectively. As the performance of agriculture sector dependent upon weather condition, timely availability of input (water). During 2012-13 weather condition and water situation has an impact on these Kharif crops that paved the way for decrease in output of rice and cotton crops. Agriculture growth percentages (Base=2005-06): Other crops that contributed 12. 3 percent value addition in agriculture witnessed a positive growth of 6. 7 percent in 2012-13 against negative growth of 7. 7 percent during the same period last year. The cotton ginning under new base 2005-06 has been included in agriculture value addition showed a negative growth of 2. 9 percent in 2012-13 against the positive growth of 13. 8 percent during the same period last year. The Livestock sector which has a 55. 4 percent share in the agriculture grew by 3. 7 percent in 2012-13. The Fishing sector grew by 0. 7 percent as against last year’s positive growth of 3. 8 percent. Forestry sector posted a nominal growth of 0. 1 percent this year as compared to positive growth of 1. 7 percent last year. Pakistan has two crop seasons, â€Å"Kharif† being the first sowing season starting from April-June and harvested during October December. Rice, sugarcane, cotton, maize, moong, mash, bajra and jowar are â€Å"Kharif† crops. â€Å"Rabi†, the second sowing season, begins as on October-December and is harvested in April-May. Wheat, gram, lentil (masoor), tobacco, rapeseed, barley and mustard are â€Å"Rabi† crops. The crops performance is dependent upon timely availability of irrigation water. During 2012-13, the availability of water as an essential input for Kharif 2012 was 14 percent less than the normal supplies but to compare with Kharif 2011, it was 4. 4 percent less. The water availability during Rabi season 2012-13 was estimated 31. 9 MAF, which was 12. 4 percent less than the normal availability, but 8. 5 percent higher than last year’s Rabi crop Crop situation: Important croops, such as wheat, rice, maize, cotton and sugarcane account for 25. 2 percent of the value added in overall agriculture and 5. 4 percent to GDP. The other crops account for the 12. 3 percent of the value added in overall agriculture. Live stock contributes 55. 4% to agriculture value added much more then the combine contribution of important and other crops. ( 37. 6%). The production performance of important crops is given in table. a. Important crops: i) Cotton: Pakistan economy depends heavily on cotton crop significantly contribute by providing raw material to the textile industry, such as cotton lint as an export item. It account for 7. 0% of value added in agriculture and 1. 5% of GDP. During 2012-13 the crops was on area of 2879 thousand heacters, 1. 6% more then last year(2835 thousand heacters). The production of 13. 0 million bales during the period2012-13 against the target of 14. 5 million bales resulted in decline of 13. 0% against the target and decrease of 4. 2 percent over the preceding year production which was 13. 6 million bales. Mild attack of Thrips, white fly and cotton leaf curl virus (CLCV) adversely effected the production of cotton boll which effected the production and yield per heacter as compare to last year. ii)Sugarcane: Sugarcane crops occupies an important position in national economy in order to drive the large sugar industry. It also provide the material to clipboard, paper and ethanol. It share in value added in agriculture and GDP is 3. 2 and 0. 7% respectively. Sugarcane crops was cultivated on an area of 1124 thousand hecters,6. 2% more then last year’s area of area of 1058 thousand hecters. The main factor contributed to higher production where more area brought under cultivation due to economic return received by the grower, good management of crops and application of balance doze of inputs. iii)Rice: Rice is an important cash crop of coutry. Rice production comprises 40 percent of Basmati (Fine) type and 60% of coarse types. Rice ranks as second amongst the staple food grain crop in Pakistan and it has been a major source of foreign exchange earnings in recent years. Pakistan grows a high quality of rice to fulfil the domestic demand and also for exports. Rice accounts 2. 7 percent of the value added in agriculture and 0. 6 percent of GDP. iv) Wheat: Wheat is an essential diet of population and occupies a central position in agriculture polices of the government. The government announced wheat support price of R. s 1200 which created interest on the part of farming community. Wheat contributes 10. 1% to the value added in agriculture and 2. 2% to GDP. Area under wheat increased to 8693 thousand hecter in 2012-13 from 8650 thousand hecters showing an increase of 0. 5% over lats year’s area. \ Other crops: During 2012-2013,the production of Gram, the largest Rabi pulses crop in Pakistan, stood at 673 thousand tones, against 284 thousand tones of last year, showing an increase of about 137. 0 percent due to increase in area and favorable weather condition, while production of bajra increased 2. 0 percent. This is in contrast to other crops like jawar, Rapeseed Mustard, Barley and tobacco showed an decline in production of 10. 9 percent, 6. 7 percent, 6. 0 percent and 1. 0 percent, respectively, in 2012-13 as compared to the corresponding period last year. Oilseed: The major oilseed crops include cottonseed, sunflower, canola and rapeseed / mustard. Although the cotton crop is grown for its lint, cottonseed contributes 50 to 60 percent to local edible oil production. During the year 2011-12, the total availability of edible oil was 2. 748 million tonnes. Local production of edible oil is remained 0. 636 million tonnes while imports were 2. 148 million tonnes. The import bill during 2011-12 stood at Rs. 216. 4 billion (US$ 2. 426 billion). During the year 2012-13 (July-March), 1. 738 million tonnes of edible oil valued at Rs. 153. 3 billion (US$ 1. 595 billion) has been imported. The local production during 2012-13 (July-March) was 0. 612 million tonnes. Total availability of edible oil from all sources is provisionally estimated at 2. 35 million tonnes during 2012-13 (July-March). II. Farm Inputs: i) Fertilizer: Fertilizer is the most important and expensive input. Contribution of balanced fertilization towards increased yield is from 30 to 50 percent in different crop production regions of the country. One kg of fertilizer nutrient produces about 8 kg of cereals (wheat, maize and rice), 2. 5 kg of cotton and 114 kg of stripped sugarcane. Almost hundred percent soils in Pakistan are deficient in nitrogen, 80 to 90 percent are deficient in phosphorus and 30 percent in potassium. Wide spread deficiency of micronutrients are also appearing in different areas. Soil fertility is continuously depleting due to mining of essential plant nutrients from the soils under intensive cultivation. ii) Improved seed: Quality seed plays a pivotal role in boosting agricultural production both in market oriented and subsistence farming system. Seed has the unique position among various agricultural inputs because the effectiveness of all other inputs mainly depends on the potential of the seeds. Seed is a high technology product and is an innovation most readily adapted. Improving access to good quality of seed is a critical requirement for sustainable agricultural growth and food security. Effective use of improved/certified seed can result in higher agricultural production and increases the net income which has a positive impact on rural development. Hence, availability of quality seed of improved varieties is essential to achieve the production targets. iii) Mechanization: Mechanization of agriculture plays an important role in increasing agricultural production. Mechanization of agriculture is crucial to achieve self sufficiency and surpluses through increasing productivity and reducing pre and post harvest losses. The government is making all efforts to modernize its agriculture and its allied fields more efficiently and productively. The use of efficient and quality farm machinery and equipment play an important role in the sowing and harvesting of agriculture crops. During July-March 2012-13 a total number of 36121 tractors were produced in the country, showing an increase of 34. 6 percent as compared to 26840tractors produced during the same period last year. iv) Irrigation: Water is an important input to achieve the agriculture growth and is considered to be the lifeline of agriculture activities. Pakistan has a good irrigation canal network but temperatures and rainfalls during sowing and harvesting season has its own unique importance. III. Livestock and Poultry: a) Livestock: The livestock sector occupies a unique position in the National Agenda of economic development . The sector provides net source of foreign earnings. Historically livestock has been dominated by small holders to meet their needs of milk, food security and cash income on daily basis. Moreover, livestock is considered a source of employment generation at rural level, helping to reduce income variability. It is central to the livelihood of the rural poor in the country and can play an important role in poverty alleviation and keep in uplifting the socio-economic condition of our rural masses. b) Poultry: Poultry sector is one of the most organized and vibrant segments of the agriculture industry of Pakistan. This sector generates employment (direct/indirect) and income for about 1. 5 million people. Its contribution in agriculture is 5. 76 percent, livestock 10. 4 percent and in GDP at constant cost factor 1. 2 percent. Poultry meat contributes 26. 8 percent of the total meat production in the country. Poultry sector has shown a robust growth @ 7-8 percent annually which reflects its inherent potential. The poultry value added at constant cost factor has increased from Rs. 113465 million (2011-12) to Rs. 121726 million (2012-13) showing an increase of 7. 3 percent as compared to previous year. Fisheries: Fishery plays an important role in Pakistan’s economy and is considered to be a source of livelihood for the coastal inhabitants. A part from marine fisheries, inland fisheries (based in rivers, lakes, ponds, dams etc. ) is also very important activity throughout the country. Fisheries share in the GDP although very little but it adds substantially to the national income through export earnings. During (July-March), 2012-13 a total of 103,822 m. tonnes of fish and fishery products were exported earning US $ 232. 4 million against a total of 90,087 m. tonnes of fish and fishery products were exported earning US $ 222. 6 million corresponding period last year showing an increase of 15. 3 percent and 4. 4 percent respectively. Future Plans: Consequent upon 18th Constitutional Amendment, the animal health and production subject have been future policy priorities therefore revolve around the following strategies. Encouraging Public Private Partnership led development with government providing enabling environment. National economic growth. Encouraging livestock sector role and using as tool for poverty alleviation food security. Enhance foreign exchange earnings through exports of livestock products with focus on halal food market. future policy priorities therefore revolve around the following strategies. Encouraging Public Private Partnership led development with government providing enabling environment. National economic growth. Encouraging livestock sector role and using as tool for poverty alleviation food security. Enhance foreign exchange earnings through exports of livestock products with focus on halal food market. How to cite Agriculture to economic, Papers

Reflective Report Accounting and Finance Jobs with Example

Question: Descirbe about the Reflective Report on Learning and Readiness of Working in Professional Accounting and Finance Jobs? Answer: Introduction As rightly put forward by Zikmund (2010), a reflective journal provides a comprehensive understanding of the entire learning session carried out during a particular semester and gives improved information about the progression made in the overall course of the study. An insightful summary gives a precise view of the subject matters covered in the entire learning module, purview of the course along with the various evaluation and assessment procedure adopted to assess the assignments of the course, testing process used in various courses as a measurement procedure for the accountability. In addition to this, the current reflective summary also elucidates the impact of the internship undertaken as a part of the practical learning experience of the course. Identification of the learning cycle with reference to the relevant learning logs and academic literature The learning modules provide the knowledge base for understanding the debit, credit items and the journal entries in the financial accounts of enterprises (Schmidlin, 2014). The proficiency involved in the assessment of the financial declarations will thereby help me to develop the capability to understand the financial implications of the function of the business (Follett, 2012). Consequently, the theoretical concepts of the modules can be applied practically on job. The professional learning delivered a detailed impression of the working out procedures involved in the learning modules of accountancy. In addition to this, the detailed overview of the various techniques of accounting helped me to monitor the financial performance of the organization. Comprehensive understanding of the module and the thorough assessment procedure helped me to attain extensive knowledge in accounting processes that can in turn help me to acquire a job as accounting processor initially. As rightly indicated by Benninga (2012), various practical learning experiences can be integrated with the theoretical concepts as well as notions grasped during the learning session. In the assessment section of the course, assessment tests contained quantitative questions based on the enumeration of diverse accounts under the learning module of general accounting that can assist the student to compute different accounts in the financial declarations, prepare and present corporate budget, statements of cash flows, accounts receivables and payables (Easton, 2013). In general, understanding about the salvage value, economic life of the resources, and computation of depreciation were learnt from various learning modules. Successful understanding of the theoretical concepts as well as computational procedures of the general accounting concepts can help in building a career as an accountant. In addition to this, the learning modules on accountancy also highlighted the methods of computation of tax that can consequently help individuals understand various activities in the department of administration of tax in organizations. As rightly suggested by Berry (2011), the treasury department in organizations work in collaboration with investment bankers assist companies in raising capital by selling shares. The learning modules in accountancy helped me in acquiring detailed understanding of bonds, notions of expansion through merger and acquisition. The theoretical concepts of accountancy and finance thereafter help in getting a job in the treasury department of the organizations as finance and accounts professional. The learning modules of accountancy also facilitated in gaining a comprehensive understanding of quantitative or computational aspects of the cash management. This helped me to develop knowledge of handling the cash in an organization by appropriately managing the cash used for operational purposes as well as allocation of the excess portion of cash for the apt investment options. The learning module also imbibed the knowledge of maintaining the cashbook required for monitoring the operations in c ash carried out in organizations. In addition to this, the finance and accounts modules helped me to acquire business as well as financial proficiency that are required to work in enterprises and gain access and opportunities of working as a intern in top- notch enterprises and later on command superior positions as a senior accountant. The knowledge outcomes of the module helped me to gain a position in the accounts section of a company. I started to work as an intern in the accounts processing section upon successful completion of the module. In that company, my job role was to administer and manage the accounts payable as well as receivables initially. However, my supervisor was much amazed that I was familiar with the different subjects as well as concepts of accounts payable as well as receivables and all other components and significant entries in the financial statements. However, once I also failed to balance the financial assets and the liabilities in the books of accounts and I was striving to get it right. After several attempts, I failed to execute the job correctly. Thereafter, my supervisor intervened looked into the matter. My supervisor who happens to be a senior accountant pointed out the journal that I passed wrongly and indicated it as the reason behind the imbalance. The practical learning experi ence on job that pointed out that I needed to improve my knowledge in that section. Conclusion During my tenure as an intern in the work place, I got familiar with the practical relevance of the diverse concepts of the accountancy as well as finance about which I acquired a detailed academic knowledge beforehand from the classes. For that reason, it is evident that the incorporation of the practical as well as professional learning experiences with the course is similar to integrating the learning outcomes from school with the working place. Nevertheless, not everything went fine during the course as the issue of grasping all the notions of finance within the stipulated academic period proved difficult. However, the weekly projects based on different case studies facilitated in understanding vital concepts of accounting from a professional point of view. For that reason, elongation of the period of academic course could have facilitated in getting a good hold of the notions. References Benninga, S. (2012). Financial modeling. Berry, L. (2011). Financial accounting demystified. New York, NY: McGraw-Hill. Easton, P. (2013). Financial statement analysis valuation. [Chicago, IL]: Cambridge Business Publishers. Follett, R. (2012). How to keep score in business. Upper Saddle River, N.J.: FT Press. Schmidlin, N. (2014). Art of company valuation and financial statement analysis. Chichester, West Sussex: Wiley. Zikmund, W. (2010).Business research methods. Mason, OH: South-Western Cengage Learning.