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Essays on Economics

The Great Depression
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... it is important to know the theories of John Maynard Keynes. Keynes is known as the "father of modern economics" because he was the first to accurately describe some of the causes and cures for recessions and depressions. In a normal economy, Keynes said, there is a circular flow of money. My spending becomes part of your earnings, and your spending becomes part of my earnings. For various reasons, however, this circular flow can falter. People start hoarding money when times become tough; but times become tougher when everyone starts hoarding money. This breakdown results in a recession. To get the circular flow of money started again, Keynes suggested that ...



Warner-Lambert
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... increased 22.3% during the period of July 1997 to July 1997. During January 1997-1998 the overall prescription drugs index rose 3%, the rest of the increase was attributed to a drastic rise in psychotherapeutics. This drastic increase also effected the aggregate PPI by 0.3%. Introduction: Warner-Lambertís principal line of operation is pharmaceutical preparations. The firm is considered to be a key player in the Ethical Pharmaceutical industry. Pharmaceutical preparations, comprises of firms that manufacture, devise and process medicinal component into finished pharmaceuticals for human or veterinary use. Pharmaceutical preparations comprise ethical brand nam ...



The Modified Market Economy
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... concentrated on the wealthy people. The basic reason for the modified market economy is that the free market does not produce an efficient allocation of resources, and that the free market does not distribute output in a socially desirable way. For example in a modified market, the government regulate the flow a income a bit so that not only the rich make money. In a market economy the rich get richer and the poor get poorer as there is no regulation in terms of income distribution. The intervention by the government, in forms such as social security nets, which is present in a modified market, makes society more evenly spread rather than everyone being one of ...



Cola Wars
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... wars. The domestic cola war between Coca-Cola and Pepsi is still raging. However, the two soft-drink giants also recognize that opportunities for growth in many of the mature markets have slowed. Both Coca- Cola, which sold 10 billion cases of soft-drinks in 1992, and Pepsi now find themselves asking, "Where will sales of the next 10 billion cases come from?" The answer lies in the developing world, where income levels and appetites for Western products are at an all time high. Often, the company that gets into a foreign market first usually dominates that country's market. Coke patriarch Robert Woodruff realized this 50 years ago and unleashed a brilliant pl ...



Scarcity In The Canadian Economy
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... growing. Some derive from basic needs. Others arise because of influences like advertising. These wants, however they may be engendered, cannot all be satisfied because there are not enough resources to produce the desired number of goods and services. Since they cannot all be satisfied, choices will have to be made about what will be produced, how to produce and who gets what. In order to focus on these basic problems, and possible solutions, we have to derive an economic system. In Canada most decision are made in the market . Consumers by their dollar votes decide what goods and services will be produced. Businesses, responding to the profits to be made from pr ...



Efficient Market Theory: A Contradiction Of Terms
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... Market Theory: A Contradiction of Terms Efficient Market Theory (EMT) is based on the premise that, given the efficiency of information technology and market dynamics, the value of the normal investment stock at any given time accurately reflects the real value of that stock. The price for a stock reflects its actual underlying value, financial managers cannot time stock and bond sales to take advantage of "insider" information, sales of stocks and bonds will not depress prices, and companies cannot "cook the books" to artificially manipulate stock and bond prices. However, information technology and market dynamics are based upon the workings of ...



Eliminating The Capital Gains Tax
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... incentives to invest. Eliminating the capital gains tax will spark entrepreneurship and new investments in the economy, which in turn will elevate economic growth and increase the number of jobs. In order to stimulate economic growth in the United States, taxes on capital gains should be eliminated. Members of Congress once considered a reduction in the capital gains tax rate from 28% to 19.8%. Combined with indexation, which is , reducing the capital gains tax by any amount would be a vital pro-growth step taken by Congress. However, given the fickle and high risk nature of investments and entrepreneurships, and the importance of maintaining a competitive ec ...



Deficit Spending
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... and the economy which was much larger than the amounted debt would quickly absorb it. The last time the budget ran a surplus was in 1969 during Nixon's presidency. Budget deficits have grown larger and more frequent in the last half-century. In the 1980s they soared to record levels. The Government cut income tax rates, greatly increased defense spending, and didn't cut domestic spending enough to make up the difference. Also, the deep recession of the early 1980s reduced revenues, raising the deficit and forcing the Government to spend much more on paying interest for the national debt at a time when interest rates were high. As a result, the national debt ...



Fishing
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... sardines, menhaden, and mackerel. Demersal species - fish that live in the near-bottom layers of the ocean, this includes cod, sole, halibut, haddock, hake, and flounder. Large catches are also made of a group of fish classed commercially as SHELLFISH - shrimp, lobster, scallops, oysters, clams, crabs, mussels, and squid. WHALING was once a major part of the fishing industry. Overfishing has endangered many whale numbers, however, and the field has lessened in importance. Almost all large pelagic and demersal fish catches are made over or near the continental shelf, the underwater plateau around the continents and large islands. In these waters temperature ...



Gannett Company History
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... of some associates purchased another newspaper. That paper was called the Star. Owning these two paper he combined them and created the Star- Gazette. By doing this Gannett eliminated his competition. Gannett acquired many of the newspaper in New York. His strategy was to purse the profitable advertising and expandable circulationís. His newspapers were usually the only ones published in the city, that made it affordable and profitable to run(Encyclopidia Britinica). In 1912 Gannett purchased the Ithaca Journal, this was a big foot in the door for Gannett he was now in the division of upper New York. This was also the first paper that Gannett worked f ...




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