Discussion Board

All Posts (1168)

The Deterioration of Global Trade

Global trade is on a decline for several reasons, a few of which stand out. Global trade is expected to reach a record low growth since 2009 by the end of 2019. The World Trade Organization estimates that world trade in merchandise will expand by only 1.2 percent in 2019. That being the weakest since 2009 when it decreased by nearly 13 percent as a result of the 2008 economic crisis. This slowdown in just one part of the global trade shows trends towards further…

Read more…

Modeling the impact of AI on the world economy

Artificial Intelligence can contribute tremendously to global economy activity. A study by Mckinsey Global Institute has shown that AI has a potential to deliver additional economic activity of around $13 trillion by 2030, or about 16% higher cumulative GDP compared with today, which is 1.2% additional GDP growth per year.

To show the impact of AI on the world economy Mckinsey has done a simulation that examined seven…

Read more…

On October 7, 2019 the US signed two limited trade deals with Japan which slashed tariffs on American agricultural exports worth $7.2 billion. They did not however, address President Trump’s threatened auto tariffs. The two deals scrap Japanese tariffs on certain agricultural products amounting to $4.3 billion and meat products worth $2.9 billion while tariffs would remain on the other roughly $1.7 billion of agricultural products. As part of this deal, digital…

Read more…

Things are not looking very positive for the Global economy. Some officials are saying that the signs of a possible meltdown are being ignored and the potential impacts will be harsh, others are pushing for quick fixer uppers rather than thinking long term and a little bit of global economic chaos seems to be occurring. After the recession in 2008, banks had their regulations tightened in order not to repeat the same mistake.…

Read more…

 

The US went into debt since 1934, till 2019 the number of debt already reach 22000 billion dollars.

 

The international monetary fund predicts the debt of America will reach 1.6 times than GDP. If we only focus on data, which looks like no one will buy the treasury from the US. But actually the US treasury is the world recognized AAA grade investment products.

 

The United States is the poorest country in the world(High Debt). It is also the wealthiest country…

Read more…

“The federal reserve should get our interest rates down to zero or less” trump tweeted. Federal bank has cut interest rates for third time in a row now. But still president Trump insists Fed to go zero or negative interest rates. He mentioned in his tweed that we should pay less interest than our others.

With negative interest rates, people should pay interest to keep their savings safely in banks. It was introduced by Danish bank followed by eurozone, Switzerland, Japan and Sweden to…

Read more…

Should we Forgive U.S. Student Loan Debt?

 

As both the 2020 presidential election inches closer and the U.S. national student loan debt grows by the day, the conversation around forgiving or not forgiving the $1.6 trillion racked up by Americans across is becoming more intense and much more urgent. Many presidential candidates have suggested plans for eliminating or helping with student loan debt, but will it work? What impacts would forgiving or not forgiving this large debt have?

One presidential candidate, Elizabeth…

Read more…

Beijing played a pivotal role in reviving global growth after recession in 2001 and 2008 . 

The recession indicators of the US  are growing strongly and that is a matter of concern . Economists are starting to wonder if the US has approached the stall speed, the slowest pace of growth without careening into a recession . 

China drove the global economic recovery after 2001 and 2007 downdraft in America . This time China is not going to rescue . After 2001 and 2007 , Beijing…

Read more…

IS INDIA READY FOR RCEP?

IS INDIA READY FOR RCEP?

RCEP is a free trade agreement between ASEAN and six of FTA’s partners.  The RCEP trade members include about 3.4 million people with a total GDP of about 49.5 trillion which is bout 39% of world GDP. With combined GDP of India and China which is almost half of it.

Indian officials are narrowing the gap between, putting in an inadequate protection for import cheap Chinese products which is feared to flood Indian markets. The farmers and…

Read more…

The Federal Reserve and Interest Rate Cuts

The Federal Reserve of the US (also known as the Fed and the Central Bank), has the following responsibilities; to conduct the nation's monetary policy, to supervise and regulate banks and other important financial institutions, to maintain the stability of the financial system and to provide certain financial services to the U.S. government, U.S. financial institutions, and foreign official institutions. Recently the Fed has been cutting interest rates. Interest rates play a huge part in…

Read more…
U.S. retail deals succumbed to the first run through in quite a while in September, proposing that assembling drove shortcoming could be spreading to the more extensive economy, keeping the entryway open for the Federal Reserve to cut loan fees again in the not so distant future.
 
The downbeat report from the Commerce Department on Wednesday went ahead the impact points of…
Read more…

Strong Dollar, Weak Dollar: The Dollar and the U.S. Economy 

A strong dollar can be good, sometimes it can do more harm than good. A strong dollar shows that the currency is trading rapidly at a high level. A dollar with a strong currency compared to a weak dollar, for the U.S. indicates that consumers will be paying less in imports, and foreign consumers will pay more for exports. A strong dollar also…

Read more…

The New York Times released an article on how leading companies in the tech industry are banding together to aid the government in solving the California housing affordability issue.

This past Tuesday on 10/22, Facebook pledged $1 billion towards building an estimated 20,000 housing units for the working class (middle and lower-incoming households) throughout the next decade. Through grants, loans, and land they plan to alleviate CA's housing affordability issue which naturally, they…

Read more…

 

Turkey joined NATO in 1952 and generally have been an upstanding member of the organization. However last summer, Turkey purchased a Russian designed weapon system which according to NATO can gather sensitive information on the F-35. The US determined that Turkey could not purchase this system while being involved in the manufacture of the F-35 fighter jet and suspended the arrangement.  Turkey is also fighting against Syrian Kurds which became US allies during the war on terror.…

Read more…

Protesters flood the streets of Lebanon

Lebanon has been facing political, economic, and social instability for years and the citizens of Lebanon have had enough. Citizens are currently flooding the streets of Lebanon protesting against the incompetent political government who have dragged Lebanon’s economy and standards of living near turmoil. The most recent political uprising was the 2018 political election which resulted in a 9 month government stalemate. During this time period, Lebanon’s economy and citizens were neglected,…

Read more…

India in Recession?

Recently published Multiple datasets shows that Indian economy is facing a multiple year slowdown. since 2009, Indian global economy exposure has increased significantly, industry and technology have a bigger bite in Indian marketplace. But the slow down in the business could upset the Indian economy leading to increase in unemployment rate and in fact the unemployment in India has marked high which paints a daunting picture of the economy.

It is said that India may enter Quasi-…

Read more…

Minimum Wageand its Increase Would help People?

 

The Minimum  wage permitted by law is a basic work standard intended to guarantee a reasonable pay for this current nation's most minimal paid laborers. EPI researches have inspected how the Minimum wage permitted by law influences laborers and the economy, who advantages from the minimum pay permitted by law, and how the declining estimation of the…

Read more…

THE 5G ECONOMY

Businesses around the globe will leverage 5G technologies to grow sales through increased efficiency, engage existing and new customers, and launch new business models.

Deployment of the 5G technology will virtually have a positive impact on every industry sector. Different industries have their own economic and regulatory structures that will affect the timing and adoption of the new business models that 5G will enable."5G could enable…

Read more…