Macroeconomics Collapse of the United States Housing Market

Introduction Economic recession is a cycle in business in which there is relatively lower economic activities in the business market. Such was the experience that the economy of the United States faced in the year 2009 following the crisis that was realized in the housing market.Advertising We will write a custom essay sample on Macroeconomics: Collapse of the United States Housing Market specifically for you for only $16.05 $11/page Learn More Though a recovery has since been realized, macroeconomic factors have been players in the housing bubble and the realized recovery. This paper seeks to discuss the macroeconomics of the United State’s economy. The paper will look into circumstances that led to the collapse of the United States housing market, classifications of macroeconomic indicators and possible steps towards economic recovery of the United States. Factors that led to the Collapse of Housing Market The collapse of the housing market was considerably a culmination of factors that had accumulated in a system for a long period of time. One of the causes of the crisis was identified to be the policies that were over time adopted by the country’s policy makers. Government policies made over the last three decades in the mortgage sector had, for instance, been geared towards pushing financial institutions towards increasing the level of financing to the general public. These policies thus pushed the institutions to offering loans to individuals who even failed to meet required credit worthiness levels. Legislations such as the â€Å"community reinvestment act† of the year 1977, for example, called for financial institutions to make lending advances to the communities in which they operated. The consequence of the legislation was that if an individual applied for a loan then the institution could have no option but to comply with the application or risk being accused of violating the country’s constit ution.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More This move thus forced banks and other financial institutions to offer risky lending. The result was an increased borrowing that was invested in the housing sector. This eventually had a destabilizing effect on the market owing to the market forces of demand and supply (Gordon, 2008). The Federal Reserve was equally accused of fuelling the eventuality of the collapse in the market through steps towards destabilization of the housing market. Though the move might not have been direct or intentional, it played a role to the change in demand in the housing market. In a move that was viewed as a step towards stabilization of the economy, the public was to be empowered into investments through lowered rates. The reduced rates also contributed to people’s motivation into taking loans which were directed towards the housing market. This is particularly because the loans were made affordable to an increased majority that had previously feared the previously high rates (Murphy, 2008). The capitalistic system of the American economy is also a factor towards the crisis that was realized in the housing market. The fact that money value as well as the flow of capital is determined by the Federal Reserve rather that the market demand and supply for money also pushed the responsibility to the hands of the federal government and the Federal Reserve for the crash in the market. Since the Federal Reserve determines the flow of capital in the economy and even the money value, inaccurate decisions over these issues will bear consequences to the economy in terms of monetary value which translates to economic instability. The policies and legislations that led to increased lending were not out of credit worthiness considerations but due to pressure on the demand in the housing sector. Consequently there was inflation in the value of the houses.Advertising We will write a custom essay sample on Macroeconomics: Collapse of the United States Housing Market specifically for you for only $16.05 $11/page Learn More The price of the subprime loans that were pumped into the market also led to increased rates on repayments that put burden on individual investors. People could then not pay for the loans leading to repossessions and a final collapse in the real estate value and the ultimate collapse of the housing market. The collapse of the market was thus due to economic policies that destabilized the market forces in the sector leading to its fall (BBC, 2007). Macroeconomic indicators Macroeconomics deals with the totality of an economy in terms of its performance and even behavior and structures among other aspects. Macroeconomic indicators can be classified into three categories. The first classification is the leading macroeconomic indicators which are defined as preliminary variabl es that foresee an occurrence in an economy. They point out to an occurrence that is not yet realized but is imminent. They are identified as the â€Å"variables that predicts or lead to† (McEachem, 2005, p. 432) economic changes. Though the leading indicators are a hint of what could happen in the economy, they cannot offer exact illustration of what will occur but rather offer a probabilistic forecast that could at the same time be wrong. A reduced rate of turnover in an industry can, for example, be an indicator of initial stages of recession in an economy. A change into improvement in the rate and volume of sales would on the contrary indicate a turn into economic recovery (McEachem, 2005). Another class of indicators is the coincident macroeconomic indicators. Coincident indicators are those variables that identify the extremes of an economy. They identify the economy’s best and worst performance in terms of period and even properties.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Considerations of factors such a â€Å"total employment and personal income† (McEachem, 2005, p. 432) are examples of coincident indicators. Lagging indicators are on the other hand variables that show effects of economic changes and are identified after these changes have occurred. Such indicators include factors such as interest rates and considerations of unemployment in an economy in terms of time period (Elwell, 2011). Possible Steps towards Economic Recovery The economic recession as realized by the United States in the year 2007 to the year 2009 are significantly blamed on economic policies that drove the housing market to its inflation and subsequent collapse. Necessary counter measures to this inflation, which I would adopt if I were the president, are monetary together with fiscal policies. Monetary policies such as increasing the lending rates as well as restricting regulations on bank lending are some of the measures that I would enact to reduce the money flow int o the economy. Among the fiscal policies that I would adopt is the federal investment into the housing sector in order to save the American citizens from losing their houses to financial institutions in the form of repossessions. Conclusion The performance and state of economies are cyclic with recession and recovery sessions. Though it can at times be abrupt and inevitable, there exist indicators that can predict economic cycles. Necessary policies can also be adopted to prevent or control unfavorable economic periods. References BBC. (2007). The downturn in facts and figures. Retrieved from: http://news.bbc.co.uk/2/hi/business/7073131.stm Elwell, C. (2011). Economic Recovery: Sustaining U. S. Economic Growth in a Post-Crisis Economy. Darby, Pennsylvania: DIANE Publishing. Gordon, R. (2008). Did liberals cause the subprime crisis? Retrieved from: https://prospect.org/article/did-liberals-cause-sub-prime-crisis McEachem, W. (2005). Economics With Infotrac: A Contemporary Introductio n. New York, NY: Cengage Learning. Murphy, R. (2008). Did the Fed cause the housing bubble? Retrieved from: https://mises.org/library/did-fed-cause-housing-bubble This essay on Macroeconomics: Collapse of the United States Housing Market was written and submitted by user Ronan Ross to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

The Unification of Early China essays

The Unification of Early China essays The sheer size of China prevented its early unification, but beginning with the Shang dynasty, there was an organized political entity. It was the first main power to have a stable political and religious hierarchy. Although the state did not control much territory, its culture had far-reaching influence. The Shang dynasty showed advances in military technology, which coincided with advances in civilization. The kingship was based on religion and ritual. When the Zhou succeeded the Shang, the basis for enduring states was further established. Military prowess advanced greatly, as well as morally based civil arts, and the growth of loyalty to the empire. In Ebrey, there are three Zhou rulers established as contributing to the stability of the state during this time. King Wen is attributed with the formation of alliances to attack the Shang; His son King Wu built a new eastern capital and proceeded to build the army that defeated the Shang; Wu's successor regent extended and consolida ted the new territories to bring the entire Yellow River plain until control. These events mark the beginning of centralized Chinese bureaucracy. In this time the practice of sending out family members and trusted friends as provincial rulers began, to lessen the risk of rebellion in distant cities. It was also during this time that the territory was divided into states, each having its function. With the succession of the Qin dynasty, legalism was used to strengthen the power of the rulers, and as a result, the people were law-abiding, tax-paying and agriculturally productive citizens. In turn, this strengthened the empire. This dynasty boasts the unification of China by King Zheng, or "the First Emperor." He conquered not only the Qin state but all the other Chinese states of the Zhou as well. And where he conquered, he imposed uniformity on the people. Most of the old local culture was lost in his initial reforms of state and society, but the new ...

Work Life Balance Essay Example | Topics and Well Written Essays - 250 words

Work Life Balance - Essay Example As the discussion declares deciding and maintaining a specific balance by an individual between work and personal life is an individual responsibility and the employer cannot decide for the employer. However, workplace environment can affect the choices, this is due to whether the work has unpredictable demands and schedule that is rigid, in this case balances work and life can be complicated.This paper discusses that  the article on the work life balance in a business environment covers all the aspects that pertain to work balance in an organization. It even gives a step by step checklist for human resource managers to check so as to provide their employees with a humble time to balance work and life. The strategies given are simple and conclusive towards achieving work life balance. Apart fro m discussing on the strategies, the article also explains how both the individual employee and the organization   gain in terms of productivity if work life balance is a success as it will result in a stress free employee who will therefore perform the work more effectively. Work–family conflict research also have been used to investigate how people meet the expectations of multiple roles and how one should divide between the roles that one has in life. Failure to balance the different roles other than the paid work can also result in stressors in life; Banwell gives working solutions on how to balance the roles relating to work and family

Newtons Law of Motion Assignment Example | Topics and Well Written Essays - 1000 words

Newtons Law of Motion - Assignment Example Where the gram mass is taken to be 0.001kg. Generally, force is the agency to make a change. Mechanically, a force is anything that changes an object’s velocity. Force is characterized as a vector quantity this is because it has both direction and magnitude. An external force, on the other hand, is a force whose source is off the considered system. The Net External Force that acts on the object the acceleration of the object in the force’ direction. The acceleration is directly proportional to force and indirectly proportional to mass. The SI unit of force is Newton. One Newton is defined as the resultant force that gives a one-kilogram mass an acceleration equivalent to 1m/s^2. A pound is equivalent to 4.45N. Newton’s First Law states that â€Å"An object at rest will remain at rest; an object in motion will continue in motion with constant velocity, except insofar as it is acted upon by an external force† (Bradner & Susskind, 2006). Force is defined as the changer of motion. Meaning that there is a conventional tendency of an object to maintain its current position. All objects tend to resist changes in their current motion state. When the unbalanced force is absent, the object in a moving motion will maintain its motion state. Conversely, Newton’s Second Law was framed based on the momentum concept. Therefore, it is the net force F, that acts on the object with a mass m is zero, the object will accelerate in the force direction. The acceleration is proportional to force and indirectly proportional to object mass. With force in Newton’s, mass in kilograms, and acceleration in m/s^2, the relationship between the three variables is written as When the forces applied to an object are the elements of the external force that acts on the object. It is common knowledge that heavy objects need more force to move similar distance as the lighter objects.  

All characters in the novel Of Mice and Men are lonely Essay Example for Free

All characters in the novel Of Mice and Men are lonely Essay All characters in the novel Of Mice and Men are either lonely, bored or in need of escaping from the soulless existence of the itinerant labour. It is based on a society of men leading empty lives, trapped in a lonely life, consisting mainly of hard physical work. There was not enough happiness, love and affection in their lives. The novel is set in California, the Southern states of America, in the 1930s around the time of the Great Depression. The ranch is based in Soledad; which is the Spanish word for Loneliness. The bunkhouse that the men sleep and live in is a long and rectangular building. The walls are white washed and the floor unpainted. In three of the four walls are small, square windows. In the fourth one was a solid door with a wooden latch. There are eight bunks, all with a nailed apple box over them with the opening forward. This made two small shelves for the personal belongings of each ranch hand occupying the certain bunk. On these shelves were little articles, soap, razors, talcum powder, Western magazines, medicines, little vials, combs and a few neckties. There was also a black cast iron stove, and a big square table in the centre of the room, with scattered playing cards across it, and surrounding the table were boxes for the men to sit on. The bunkhouse also had lice and roaches in it! Carlson and the other ranch hands all dream of owning their own land and living and working from this, resulting in wealth and happiness. This was known as the American Dream, this is shown as an opportunity to all people no matter how rich or poor they are. There is a lot of government propaganda, informing people that if they work hard and push their ambitions to the limit, they can make this dream reality. However they all knew, no matter how hard they worked or how successful they were, it was very unlikely of this dream ever becoming reality. Their way of escaping this disappointment was to collect their fifty bucks at the end of the month and of a weekend spend all of it on women and alcohol, usually at the nearest cat-house. During the week they play cards games or horseshoes. Crooks is very lonely, this is due to the fact that he is coloured and everyone knows him as a nigger! He is treated completely differently to all the others, an outsider. He is also crippled, after a horse kicked him and severely damaged his back. In the 1930s it was very racist in America and the coloured people werent allowed to speak up or were too scared to defend themselves in fear of what the white people would do to them. This is the situation Crooks is in. However he is the only coloured person at the ranch, so he has to accept all racial comments on his own. He has his own separate room, which isnt even a room it is a shed that leans off the side of the barn wall. He is isolated from everyone else, therefore unable to socialise. On one occasion Lennie entered the barn to see his pup. He saw Crooks light shining and stood in the doorway of Crooks room. Crooks saw him and said sharply you got no right to come in my room. This heres my room. Nobody got any right in here, but me. He then followed with I aint wanted in the bunkhouse and you aint wanted in my room, they play cards in there, but I cant play because Im black. They say I stink. Well, I tell you all of you stink to me. Crooks reads to amuse himself when he has nothing better to do. This keeps his mind off of the atmosphere and situation he is surrounded by in his everyday life. Curleys wife is perhaps one of the loneliest characters, trapped in her strict and original womans/wifes role. Her daily routine only ever consists of her doing housework, such as cooking Curleys dinner, washing Curleys clothes, making Curleys bed, cleaning Curleys house, etc. If Curley catches her talking to the ranch hands he is always very annoyed by it, she is to stay in the house. She is known as Curleys wife, no one knows her name so they cannot call her by it. One time when she enters the bunkhouse and begins to talk to the ranch hands, Crooks suggests Maybe you better go along to your own house now. We dont want no trouble. It is this idea that she is trouble that makes Curleys wife so upset and angry. Well, I aint giving you no trouble. Think I dont like to talk to somebody ever once in a while? Think I like to stick in that house alla time? Having a husband even makes her loneliness worse, because Curley is so strict about whom she socialises with and what she does. She calls him sarcastically a Swell guy, who Spends all his time sayin what hes gonna do to guys he dont like, and he dont like nobody. Curleys wife tries to escape her loneliness and sadness by dreaming of being an actress or a model. She had been offered the chance before I tell you I could of went with shows An a guy tol me he could put me in pitchers. Curleys wife is also very good at flirting, this attracts male attention. Therefore just for a moment she is listened to and is the centre of attention, this moment matters so much to her because she is being paid attention to for once, that she makes a very bad habit of it. However the ranch hands have got used to her scheming ways and do not want to risk getting canned because of a tart. However Lennie and George are different to the other ranch hands, they may live a lonely existence, but they have each other. Other than the other ranch hands expressing their feelings about their hopes, dreams, lonely lives etc, George and Lennie are the only characters we really get to know. All other ranch hands havent got a family or anything to look forward to, but it is different with George and Lennie; they believe they have a future and as long as they have got each other, it doesnt matter whether they have a family or not. These men love each other. They talk to each other and know that the other cares for them, because George looks after Lennie, and Lennie looks after George. However, George has a much greater job in looking after Lennie, than Lennie has in looking after George. Lennie is a bit of a dunce and is always forgetting things, but George has the brains. They both are physically well built, but Lennie does not realise his own strength sometimes, he is dangerously strong. Lennie is the physical side of the pair, whereas George is the mental. The fact that they have each other gives them more of a chance of success, than the other ranch hands. Lennie loves George to tell him what; one-day things will be like. Their dream is to one day buy a little house, with a ten acres, a winmill, a kitchen, an orchard to grow cherries, apples, peaches, cots, nuts, and a few berries, a section on the land to grow alfalfa that Lennie will use to feed the rabbits with, hutches and pens full with pigs, chickens, cows, goats, cats, pigeons, a dog and rabbits that Lennie could pet, a smoke house so they could kill the pigs and then smoke it, for smoked ham and bacon etc, and for them to literally live off the fatta the lan'. They would only work six or seven hours a day. Lennie likes to pet, smooth, soft, furry things, as a kind of comfort. Other than for George and animals, love and affection are withheld, not only from Lennie, but also for all the ranch hands. This is why they have their own individual comfort or way of escaping from the repetitive daily routine and loneliness. Candy is a dissimilar character from the other ranch hands. He is very lonely and sad. He has no hand, but a very old dog that he cares for very much. This dog is similar to Candy. They are both very old and when Carlson shoots the dog, because it smells, has no teeth, he cannot eat, is stiff with rheumatism, is nearly blind and Carlson thinks it will be better to put the dog out of his ageing misery. Candy wants people to treat him once he is canned like this. This is because he wont have no place to go, an he cant get no more jobs. The other ranch hands say that he can replace the dog with one of Lulus pups, but of course that wouldnt be the same, never is anyone or anything the equivalent, everyone and everything is unique. Candy seems to think that when he is dead, people will say the same thing about him. When a new ranch hand comes and replaces him, hell be forgotten. For obvious reasons Candy is upset and hurt by this. It is as if the characteristics of his dog and the way the other men treat the dog, symbolises Candy. Candy wants to join George and Lennie in their dream. Candy has already got three hundred bucks and another fifty coming at the end of the month, when the men get paid. He explains that he aint much good, but I could cook, tend the chickens, and hoe the garden some. Then when George and Lennie get their fifty bucks each at the end of the month, they will have four hundred and fifty bucks, and although the woman wants six hundred bucks, George thinks she will accept their offer as a deposit and then George will get a job and start to collect the rest, while Candy and Lennie could work on the land as well as sell eggs etc, making more money. This is Candys route of escaping. Everything seems to be falling into place and their dream looks like it could become reality. This is everything a man wants and Candy is thrilled he is part of it. However much their dream looks real, it all ends when Curleys wife tries her old tricks with Lennie. Curleys wife enters the barn, as Lennie sits there mourning over his pup, he has just accidentally killed! George has already warned Lennie about Curleys wife, says she is trouble, so Lennie refuses to talk to her, George says I aint to have nothing to do with you- talk to you or nothing. Curleys wife says in a innocent voice, All the guys got a horse-shoe tenement goin on, so Why cant you talk to me? She eventually persuades Lennie that it is safe to talk to her. They talk for ages and Lennie tells her how he likes to pet nice things with my fingers, sof things. She tells Lennie to feel right here, on her hair. Lennie was enjoying stroking her hair until she warned him not to muss it up. She then got angry because Lennie wasnt listening to her. She went to pull away and Lennie clasped his fingers tightly in her hair and wouldnt let go. She began to shout, you let go. Lennie began to get scared because he thought George would hear and go mad. He covered her mouth and nose to prevent her screaming, and continued to beg her to be quiet. She continued to struggle and he shook her. Suddenly her body flopped like a fish. She was dead! Lennie ran to the brush that George had told him to hide in when they first arrived in Soledad if he ever got into trouble. When Candy found Curleys wife dead and told all the ranch hands, they all knew it was Lennie! Most of the men wanted to kill Lennie, but George got there first. George knew that Lennie would be scared if half a dozen men ran towards him shooting, but if George was to do it at the back of his head, just like Candys old dog it would be pain free. When George found him, Lennie asked for the story of their dream to be told to him and questioned George why he wasnt mad at him, but obviously if this was Georges last moments with Lennie he didnt want to be mad at him. As George told the story and paused every so often, Lennie would say go on or Gonna do it soon as if he knew what George was about to do and was encouraging George to get it over and done with. George finally shot Lennie. Lennie jarred forward and the settled peacefully as he lay on the sand. George just sat stiffly and silently n the bank, looking at his hand that had just pulled the trigger disgustedly. George knew it was for the best, where ever they were to go Lennies unrecognised strength would lead to trouble; it had already, both in Weed and Soledad. Lennie was trapped by his strength. Although, Lennie has now been released from pain by no longer being able to kill others and from not getting shot by half a dozen men cruelly, but peacefully by George. The upsetting thing is, that Lennie was so afraid of being alone and away from George, and now he was just that. It was all over!!! George is now free; he is no longer trapped by his want of freedom, of constantly looking after Lennie. I think the novel tries to give us the message that people try to lead their lives as successfully as possible, in order to result in the best possible outcome. However this is very hard to succeed. The ranch hands wanted the American Dream to become reality, but is very unlikely and as shown does not happen. The novel gave a very positive view of the American dream, but this is erroneous and does not come true. The chances of finding true, lasting friendship and happiness are also very unlikely as it is always spoilt by misfortune, arguments, inconveniences and sometimes death, as in this case.

Eating disorders Essay -- essays research papers

I choose to do these weeks health paper on eating disorders. I myself have dealt with an eating disorder and know the effects it can have on those you love and yourself both physically and mentally. Bulimia and Anorexia are serious, functional eating disorders. There are a lot of similarities between the two, but the few differences differentiate the two. Anorexia is an eating disorder in which a person has an intense fear of gaining weight or becoming obese. This person may eat little or nothing during the day, essentially starving themselves. This disease can cause a lot of damage to the body such as slowed heart rate, lowered body temperature and blood pressure, premature bone loss, loss of menstruation or irregular periods, change in body hair, grayish or yellowish skin and mood changes. According to several resources, approximately .5%-3.7% of females will suffer from Anorexia Nervosa in their lifetime. Bulimia is a person who binges and purges. The majority of bulimia nervosa patients are female. They will eat a large quantity of food in a short amount of time and then self-induce vomiting or will use laxatives or diuretics. They may also exercise compulsively. This person will can have damaged and discolored teeth, lung irritation, and muscle spasms, electrolyte imbalances that can lead to irregular heartbeats and heart failure and death. They may also have sores on the back of the hand that is for self induced vomiting. According to several resources, approximatel...

Wonder Woman

Wonder woman is one of the greatest superheroes of all time. She was conceived as a symbol of loving femininity that would dominate the male instincts towards war and destruction; she does this through empowerment. Wonder Woman acts as a very condensed version of Charles Moulton, the creator of Wonder Woman, theories on gender and the urges of men and woman. Although misrepresenting his own theory of the humanity for men and women, Wonder Woman is the perfect allegory to Moulton’s idea that men can only be forceful and aggressive, while women are capable of both force and love. Women represent love; men represent force. Man’s use of force without love brings evil and unhappiness. Wonder Woman proves that women are superior to men because they have love as an additional force† (Steinem 345). In the Wonder Woman comic book, as a reminder of what they were put through and why they were made, all Amazons must wear bracelets that resemble the shackles they were once th reatened with. Most young boys do not possess the empathy needed to put themself in the mind of an Amazon princess.For the ones who do, are often ridiculed for having an egalitarian worldview about men and women. â€Å"No wonder I was inspired and confused by the isolationism of Paradise Island: Did woman have to live separately in order to be happy and courageous? No wonder even boys who could accept equality might have felt less than good about themselves in some of these stories: Were there any men who could escape the cultural instruction to be violent? , Steinem stated showing her empathy for young boys. This just goes to show that no matter how against the grain one may be for their time, some parts of the culture, especially in regards to gender roles, gets drilled into your head. Ignoring all of the controversy on the situation, males should be able to form their own conclusions about equality in American society today without conviction and travesty from others.