An analyst for the Bank of England and you have been asked to analyse Essay

An analyst for the Bank of England and you have been asked to analyse and critically evaluate the causes and consequences of the - Essay Example It is apparent that events in the previous years such as the dotcom crash, bankruptcies and frauds of large firms such as Enron and the sub prime crisis all lead to successive weakening of the financial markets. The money and capital markets showed extreme distress selling and in the crash, assets were depreciated to the extent of 300 trillion USD. Money supply and demand underwent some dynamic changes with banks reluctant to release funds to borrowers for fear of that the loans would not repaid. The UK government attempted to correct the problems by bring in a number of measures and methods. These included macroeconomic instruments and quantitative easing that was used for the first time in UK financial history. The market reacted in a diffident manner to these economic policies and some slight recovery is apparent in the GDP, inflation and other indicators. Table of Contents An analyst for the Bank of England and you have been asked to analyse and critically evaluate the causes and consequences of the world financial crisis of 2007/2008 in the UK 1 January 19, 2013 1 1. Introduction 5 2. Causes and consequences of the financial crisis 6 3. Response of capital and money markets 11 4. Response and effectiveness of the macroeconomic policies 16 5. Conclusions 26 References 28 List of Figures Figure 2.1. LIBOR-OIS Spreads (Kacperczyk and Schnabl, 2012) 7 Figure 2.2. Rise in risk premium (McKibbin and Stoeckel, 2009) 8 Figure 2.3. Euro Area Government Bond Rate (Kacperczyk and Schnabl, 2012) 10 Figure 2.4. The US housing bubble and crash (McKibbin and Stoeckel, 2009) 10 Figure 3.1. UK market index FTSE100 (Stockcube 2012) 11 Figure 3.2. Global financial assets value reduction (McKinsey, 2009) 12 Figure 3.3. Dispersion in Money Market Funds (Kacperczyk and Schnabl, 2012) 13 Figure 3.4. Asset holding and their spread (Kacperczyk and Schnabl, 2012) 14 Figure 3.5. M2 Multiplier and the ratio of M2 to reserves (Hodson and Mabbett, 2009) 16 Figure 4.1. GBP response to p olicies (Benford, et al, 2010) 17 Figure 4.2. UK Percent Change in GDP (Benford, et al 2010) 18 Figure 4.3. Central Banks Asset Holdings (Benford, et al 2010) 19 Figure 4.4. Transmission mechanism for purchase of assets (Benford, et al 2010) 20 Figure 4.5. Desired movement of the LM curve (Thomas, 2010) 21 Figure 4.6. Actual movement of the LM curve (Benford, et al 2010) 22 Figure 4.7. New equilibrium point in the IS-LM model (Athey, 2009) 23 Figure 4.8. Impact of QE on the economy (Joyce, et al, 2011) 24 Figure 4.9. UK Money Multiplier (Bank of England, 2010) 25 Figure 4.10. UK GDP growth (ONS, 2012) 25 Figure 4.11. UK CPI Inflation rate (Benford, et al, 2011) 26 1. Introduction The previous decade saw one of the worst and most widespread financial crisis in modern history when global financial markets crashed from 2007-2008. The financial loss across the world measured in terms of devaluation of assets, insolvencies of banks and asset depreciation is estimated at 290 trillion Doll ars (Barrel, 2011). According to a report by Rose and Spiegel (2009), the recession was fallout of the sub prime crisis that originated in 2005 and the market crash occurred in 2007. Mishkin (2008) is of the opinion that the years before 2007 that saw the dotcom boom and bust, the peak in crude oil prices and the high value of the stock market were signs that a crash was coming. Nothing was done to prevent the market

Research Assignment Essay Example | Topics and Well Written Essays - 500 words - 1

Research Assignment - Essay Example Tell customers: If you want a V-8 rumble, you’ve gotta buy a V-8 that costs more, gets worse gas mileage and hurts the Earth†¦You’re fabricating the car’s sexiness. You’re fabricating performance elements of the car that don’t actually exist. That just feels deceptive to me† (Brauer cited in Harwell). (Migliore) predicts that V6 engines will be more popular compared to the V8 engines for the 2015 Ford F – 150. The article sums up the benefits provided by V6 engines over V8 engines to back up the prediction; â€Å"In the truck business, its historically been about the most horsepower, the most towing power and the most torque† (Scott cited in Migliore). The main difference between V6 and V8 engine is the number of cylinders. V6 has six cylinders whereas V8 has eight cylinders. The number of cylinders in an engine usually affects the engine’s total displacement volume. Smaller engines they are more cost effective. Since they have less cc, they require less gas to run. However, certain comforts are also offered by bigger engines e.g. more power and better performance, but they require more fuel in order to run the car. Generally, V6 engine provides more economical benefit whereas V8 engine provides more power benefits. Which engine comforts the customers more de pends upon the preferences of the customers. If they are looking for saving, they should go for V6 engines. If they are looking for power and performance, then V8 engines is the choice for them. (Att Training Ltd. and Denton) have introduced a blended learning approach to the engineering of cars in their book. Their book covers all technological and theoretical sections needed by students. Together with ATT online resources, this book offers a comprehensive package comprising video footage, activities, and assessment. They say that the comfort of customers is also determined by their need. If they need larger vehicles, V8 engine would provide them with more comfort whereas if they are looking

SPIRITUAL NEEDS ASSESSMENT Essay Example | Topics and Well Written Essays - 500 words

SPIRITUAL NEEDS ASSESSMENT - Essay Example In the future, I would focus more on spirituality to make my approach universal rather than being specific because not all people welcome religion. The tool however helped for the interviewee to open up that sometimes he has a need for someone bigger than him when he feels lonely. The tool is non-judgmental and compassionate in approach and this helped me get through the defenses of the interviewee. The spiritual experience I had with my interviewee was fulfilling. At first he was resistant and does not want to admit that he too, just like all of us, needs some divine guidance. Eventually however, he softened and he in fact calls out for God during his moments of despair. The non-judgmental approach of the tool help him opened up which he used to find very difficult for fear of reprisal. On my end, the tool helped me connect and get through the seemingly tough exterior of the interviewee. It also helped me understand that the stress and negative experiences that the interviewee undergone made him hard and defensive. For example, when I asked about his down moments, the interviewee initially played tough that he can handle anything. The tool help me get through him and address his spiritual need. The experience affirmed by belief that all of us need â€Å"Somebody† bigger than us especially during our tough times. As the saying goes, â€Å"there is no atheist in a foxhole† because human strength will always fail us. We could appear tough just like my friend but it is really just a defense mechanism to make him look strong with his peers. Deep inside however, he also have spiritual needs which when explored, is actually bigger than most of us because it has long been repressed due to his negative experiences and fear that society may judge him as weak. When I made him open up, it was like a floodgate of pent up emotions and suppressed pains that has long been buried beneath him. I promised that whatever he tells

Reflection Essay Example | Topics and Well Written Essays - 250 words - 57

Reflection - Essay Example The use of both direct and Berilz serves to justify learning exercises. Change is an interesting field and a relevant field of transformations in different community dimensions. The family institution is an exemplary dimension where implementation changes demands both parental involvement and children corporations. The school system is another sector where change defines the existing program and individual influence. Institution based change demands effective structures and policies with absolute authority. Several factors affect change in a school setting among the student population. Many students fear failure, while the educators lack cooperation and evaluative skills. The classroom setting is an ideal platform to evaluate the complex dimension of change. Teacher experience challenges on a routine basis while imparting knowledge. As such, change requires extra devotion and practical applications for solid foundations. A transformative structure requires progressive theories, use of current dimensions and practical circumstances. Teachers use first ac count instances to communicate to the student populations in any given setting. Change directly affects opinion and attitude in any given

Nursing sociology_Analysis and critical evaluation of primary health Essay

Nursing sociology_Analysis and critical evaluation of primary health and community care services from perspective of health professionals about aged care - Essay Example Home and Community Care (HACC) is a cost-sharing program between the Commonwealth and State/Territory governments to enable the aged individuals to remain in their own homes by financially supporting the old individuals’ primary carer. (Department of Health, 2008) As part of strengthening the goals of HACC program, members of HACC Program can receive financial support up to $12,000 each year whereas HACC carers can also receive $12,000 each year for their service (Aged Care Policy Directorate, 2006). Aside from HACC, Community Aged Care Packages (CACP) also Extended Aged Care at Home (EACH) also strengthens support for aged population within their own home. CACP provides the aged people with support service which focuses on the complex caring needs of aged individuals whereas EACH aims to delivery health care services at home (Australian Government, 2008). Australia has inadequate number of registered nurses (Kearney & Thomas, 2008, p. 5) Because of the limited government funding, as much as 2.6 million people in Australia receive healthcare services from informal carers instead of receiving care from primary carers (Austin et al., 2005; Gilmore, 2004) as compared to the actual health care demands of the aged population. Allen Consulting Group (2007) reported that there are only 57 primary carers that handle the health care needs of 100 aged individuals today. Since informal carers do not have sufficient knowledge on ways to protect themselves from strains, this group of people are more prone to suffer from physical injury. To increase the number of primary nurses and protect their health and well-being from excessive workload, the Australian government provides educational financial assistance ($9,316) to nursing students (Kearney & Thomas, 2008: p. 5). Aged Care Policy Directorate. (2006, April). Retrieved September 25, 2008, from Guidelines for Service Provision Levels in the Home

Please read the cases and answer the questions by using the relevant Essay - 2

Please read the cases and answer the questions by using the relevant legal basis - Essay Example Further Article 4 prohibits any agreement between undertakings that will prevent, disrupt or restrict competition directly or indirectly in a given area of commodities. Reduction of prices will likely to make Ilovemoneyalot control the market and interfere with small shareholders in the market. Under Article 5 (b, c) allows Ilovemoneyalot to take such decisions provided they will not eliminate competition and that they are to benefit consumers of those products (Turkish Competition Authority 1). I would advise Arthur under the intellectual and Artist Works Law No.5846 of December 5, 1951 that protects the rights of the original author (Turkish Competition Authority 1). Selling Arthur’s song to the public is a violation of Art. 13. That protects the economic and moral interests of authors in their intellectual and artistic works. The court has mandated to determine the real author of music under clause (Addition: 7.6.1995 - 4110/6).Maria Wannebesinger has no right to alter the original work of Arthur without his consent. Arthur should sue Maria to demand compensation for exposing his work to the public behind his

Jamaican Music Industry Essay Example | Topics and Well Written Essays - 2000 words

Jamaican Music Industry - Essay Example Several researches were done on the Jamaican music industry between 2001 and 2002 and according to them Jamaican music industry is indeed significant to the national’s economy as it accounts for at least 12 percent of the total gross domestic product. The most amazing thing is the amount of the music export, which usually surpasses the local proceedings realized from the sale of music within Jamaica. In 2002, exported music amounted to 100 million dollars (McChesney, 2009, pp. 195). However, the current state of the Jamaican music industry is unable to sustain the artists due to inadequacy of professional and experienced producers, as well as unappealing distribution sector. The music quality fails to live up to the standards and piracy has risen to the extent that it has become a threat to the industry as it eats away the advantageous end of the industry. Moreover, the royalties from oversees music societies remain uncollected; there is lack of adequate knowledge when it come s to foreign markets and, thus, the amount of uncollected royalties from abroad is hard to define (McChesney, 2009, pp. 200). The purpose of this paper is to provide the information concerning the development of the Jamaican music industry and to access the main features within the industry. In addition to this, the paper will also bring forth the potential consequences with regard to the cultural industries within Jamaica. The main challenges on the way to achieving this aim are inability to get the full disclosure of the potential consequences in the area of cultural industries due to the diversified cultures entailed in Jamaica (Dorfma and Mattelart, 2005, pp. 43). Jamaican Music Development Jamaican Music industry has quite old and rich history but it became successful only in the early 1970s. This success is largely attributed to the late Bob Marley. As such, he has been acknowledged for transforming the reggae genre into an internationally known and accepted phenomenon. During this newly established wave of success, many new artists came up from Jamaica; the industry began its journey with regard to growth and development all over the world. Jamaican music can be said to have sprung from Jazz music, which was a stronghold of the U.S. Since Jamaica is a former U.S. colony, Jazz music was brought into Jamaica in 1949s and at that time Jazz was the only genre (Rutten, 2001, p. 302). This dominated the music industry until the late 1960s when another genre sprung from Jazz that was called race music but later renamed as Rhythm and Blues. Due to the emergence of this genre, jazz music slowly started its journey to oblivion in Jamaica. Indeed, Rhythm and Blues began transforming the music industry in Jamaica. Kingston began holding dances where strong sound systems would be installed and as such, music would dominate the air (Dorfma and Mattelart, 2005, pp. 47). Everybody, from young to old could be seen dancing to the tune of Rhythm and Blues. People would tr avel all the way to the U.S to obtain the new records and this became the trend. During dance sessions, a popular track would be played for up to twenty minutes in raw. The first sound systems to surface were Duke Reid and Clement Dodd. The competition between them became fierce as each wanted to outdo the other. This was ideal as it catalyzed the growth of the music industry in Jamaica. These systems exclusively played records from the U.S as at this time