Essay on Analysing the Recent Economic Recession and Its...

The business cycle is the short-run alternation between economic downturns and economic upturns (Investopedia n.d.). A recession is an economic downturn and happens in every country and some recessions are worse than others and the output of GDP and employment are falling farther and faster. The great depression lasted from 1929-1933 and was a deep prolonged downturn in the business cycle before a recovery/expansion of the business cycle occurred and GDP and employment started to rise (Krugman Wells. 2012). The next recession lasted from 1981-1982 and was comparatively smaller than the first (Krugman Wells. 2012). More recently in 2001 a slump in the economy was noted and was followed by the great rescission of 2007-2009 (Krugman †¦show more content†¦An examples of the circular cash flow model is demonstrated in figure 21-6. â€Å"Firms produce output and then pay income to households and households then use this income to buy goods expenditure† (Pettinger. n.d.). Unemployment Rate Labor Force Participation Rate Labor force is the amount of people who are employed and currently have a job and the people who are unemployed and currently do not have a job (Krugman Wells. 2012). The labor force participation rate is calculated with people sixteen years of age and older that are employed, while the unemployment rate is measured by the percent of the total number of people sixteen years of age and older who do not have a job (Krugman Wells. 2012). The United States assigns the Bureau of Labor Statistics (BLS) with the task of tracking the employment and unemployment rate of the labor force in the United States (BOOK). The BLS breaks down the unemployment and labor rate much farther than just how many are working and not working and breaks the cart down to race, age, gender, and level of schooling from no high school diploma to bachelors degree and higher for the year along with many other statistics and ways to track the populations work force (U.S. Bureau of Labor Statistics. n.d.). The BLS breaks down the labor force also by including discouraged workers, who are people that are not working but could work and have givenShow MoreRelatedThe Recent Performance Of The Uk Economy, Post Recession, And Inflation1806 Words   |  8 Pagescycle, such as recession and inflation. To do this, economists employ economic indicators. These indicators are trends, which are based upon statistics collected regularly on different aspects of the economy, for example, employment, income, and prices. In this report, I will aim to critically evaluate the recent performance of the UK economy, post-recession, and how this has affected employment and productivity. I will be paying close attention to the main economic indicators and analysing these in termsRead MoreEssay On The Corporate Tax1432 Words   |  6 PagesCut Necessary? The recent passage of tax reform by the US Senate raises the spectre of the statutory corporate tax rate falling to 20% from 35%. Republicans justify the measure by claiming that the statutory rate is too high and, furthermore, they assert that lowering its level will induce US corporations to feel less inclined to use overseas tax shelters. The reality is, however, that corporations seldom pay the statutory rate. Since the beginning of the post-Great Recession recovery, the effectiveRead MoreThe Effects Of Oil Prices On Economic Activity1525 Words   |  7 PagesRecent decline in oil prices has generated a wave of public controversy about the possible consequences for oil exporters. This paper will examine the relationship between oil price dynamics and macroeconomic indicators in oil exporting countries such as Canada, Russia, Norway, Mexico and UK. The hypothesis of oil price effects will be tested by adopting the Vector Autoregression (VAR) framework, which has been widely used to examine the effects of changes in oil price on economic activity in otherRead MoreLadbrokes Business Model1607 Words   |  7 Pagescancelled fixtures is cited as the largest detrimental externality on Ladbrokes earnings (EGR Magazine, 2007) and recent in-house restructuring has led to certain posts being re-evaluated, such as that of CEO Chris Bell in January 2010 (The Telegraph, 2010). But as a PLC, Ladbrokes also has the same regulated financial job structure as other publically traded companies, and I will be analysing some of these roles today. The global economy could also be a detrimental factor, which could result to LadbrokesRead MoreKarl Marx And The Marxist Theory Of Political Economy1100 Words   |  5 PagesEconomics often detaches from analysing people and the social relationships between them to instead focus on mathematical modelling. In the contemporary world, economists failed to predict numerous crises, the most recent being the Global Financial Crisis of 200 6. Such failures coincide with the deteriorating belief in governments, leading to the rebirth of the use of Marxist thinking. â€Å"Sales of Das Kapital, Marx s masterpiece of political economy, have soared ever since 2008, as have those of TheRead MoreA Brief Note On The Uk Supermarket Industry1575 Words   |  7 PagesThis report will be conducted as follow, first a brief introduction of the analysed industry; the UK supermarket industry with a concise facts about the size of this industry in the UK, then analysing the macro environment of the UK supermarket industry by using the PEST framework that analyses the Political, Economical, Social and Technological factors, which has a direct impact on the UK supermarket industry. After that the micro environment of the UK supermarket industry will be analysed in depthRead MoreOrganizational Structure, Culture And Other Business Practices1288 Words   |  6 Pages When analysing corporate social responsibility (CSR) it’s a concepts of business practice which involving initiatives that benefits society that business operating in. In terms of business practices in the financial industry CSR contributes to sustainable development by delivering economic, social and environment benefits for all stakeholders within the company. CSR is a very broad concept where it address many topic such as economic development, human rights and environmental effects. With currentRead MoreTesco s An Online Retailing Service1630 Words   |  7 PagesTesco Mobile and blinkbox video on demand service. However with the recent years there has been talks about Tesco and their financial profits falling down by 92% (Ruddick, 2014). So the main focus of the report will be that I will analyse the strength, weaknesses, threats and opportunities of Tesco and come up with a recommendation at the end for Tesco to improve. Additionally I will be analysing about Tesco Polit ical, Economic, Social, Technological, Environmental and Legal factors. The end of theRead MoreIncrease in the Unemployment Rates in the U.K.2322 Words   |  10 Pagesï » ¿The UK’s unemployment rate reached its highest peak in 2011 at just under 2.7 million during the recent recession which economists are calling the Great Recession (BBC News, 2014). Since, however the fall in the rate of unemployment has not been as sharp as many predicted, concerns have been raised over whether unemployment levels in this single period may have a long lasting effect. The issue of hysteresis within the UK and the persistence of unemployment is what this paper will focus on, as wellRead MoreStrategic Management : Global Coffee Chain Starbucks1506 Words   |  7 Pagesindustry. (Market Line, 2014) It has not always been plain sailing for Starbucks however with the astronomical effects of the economic crisis during 2007-08 leading on to areas of serious concern throughout the company, the r esult of which led on to drastic measures being taken both strategically and operationally. (Lee, 2008) In light of the organisational concerns throughout the company in recent years, what does the future hold for Starbucks and what are the organisations strengths and weaknesses strategically