...important role inthe growth process of an economy. Various FDI theories provide the motivations and determinants ofFDI. Economists broadly classified the FDI theories into macro-level and micro-level FDI theories. Themacro-level FDI theories give the macroeconomic factors that determine the FDI and micro-leveltheories discuss the motivation of FDI associated with the firm level. Besides these two categories,the development theories of FDI also discussed the motivation of FDI flows. JEL Classification : F21, F23. Key words: FDI theories, macro-level FDI theories, Micro-level FDI theories, DevelopmentFDI theories.The Foreign Direct Investment (FDI) theories can be classified broadly into twocategories. One is at the macro level and the other is at the micro level. Again at the macro-level, we have capital market theory, Dynamic macroeconomic theory, FDI theories based onexchange rates, FDI theories based on economic geography, gravity approach to FDI and FDItheories based on institutional analysis. At the micro-level, we have the theories likeExistence of firm specific advantages (Hymer), FDI and oligopolistic markets, Theory ofinternalization, and Electic FDI theory (John Dunning). Recently another type of FDIcategories discussed by the economists is the development theories which combine both themicro level and macro-level FDI theories. The development theories are Life cycle theory,Japanese FDI theories and five stage theories (John Dunning). What are the factors thatattract FDI...
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...Define Macroeconomics? Difference between Microeconomics And Macroeconomics. Macroeconomics is the part of economics concerned with large scale of general economic factors, such as interest rate & national productivity. Simply, macroeconomics is the study of behavior of the economy as a whole. Broadly, macroeconomics is the field of economy that studies the behavior of the aggregate economy. Macroeconomics is the branch of economics that studies the entire economy. O. M. Amos Macroeconomics, which is the study of broad aggregates such as total employment & national income. Henderson & Quanat Macroeconomics deals with large scal economic activities of environment. G. Akle Macroeconomics examines economy in wide phenomena such as changes in unemployment, national income, rate of growth, gross domestic product, inflation & price level. Finally, macroeconomics is the study of broad economic activities & trends, is possibly the largest subfield in economy which consider the performance of the economy as a whole. Microeconomics | Macroeconomics | Microeconomics is the study of the individuals economy of a person, a company or a country. | Macroeconomics is the study of the economy as a whole. | Microeconomics is also known as price theory. | Macroeconomics is also known as income theory. | All kinds of requirements of an individual or a company can be identified. | All...
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...individual or social nature. It includes making laws, breaking laws and attempts to break the laws. Criminology focuses on the social, cultural and individual causes of the illegal behavior. Criminology is directly related to sociology and psychology in all disciplines that deal with a group or individual behavior. However an act that is immoral or indecent can be criminal act unless it is not outlawed by the state. Criminology consists of our organized ways of thinking and talking about crime, criminals and crime control (Garland and Sparks, 2000, 192). Personal and neighborhood income are the strongest predictors of violent crime" (cited in "Wasting America's Future (Arloc Sherman, 1994, p88). Demonstrates that glaring social and economic inequalities in our society impose correspondingly high costs in the form of street crime. (John Hagan & Ruth D. Peterson, Crime and Inequality, 1995, Stanford U, p4) Causes of Crimes: Causes of crime may be environmental, hereditary or psychological. Environmental causes are ruled out as independent causes of crimes. But psychological conditions are said to be determinant of an individual’s reaction to persuasive environmental influence. Criminologist says that certain offenders are born to create crimes in the environment. Other cause may be the poverty. Due to low condition of their living, they are enforced to commit crimes. Discrimination against minorities may become the cause of crimes. Emotional disorders are also cause of crimes...
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...Opportunity Cost 1. What is the difference between microeconomics and macroeconomics? The key difference between micro-economics and macro-economics is that micro-economics is concerned with the individual, group or company level; whereas macro-economics is concerned with the study of economics on a national as well as holistic scale. Therefore micro-economics specifically focusses on issues that affect individuals and associated company/enterprise 2. What is the ceteris paribus assumption? Why is it used in economics? Ceteris paribus is It is often safe to assume that “Ceteris Paribus” concerns itself with the notion that all other variables, except those under immediate consideration are ‘held at a constant’ A Latin phrase meaning “all other things remaining constant” In economics, this phrase is used and referred because in the real world – it is difficult to isolate all the different variables that may influence or change the outcome of what one is researching and how an individual makes a decision as a result. In economics, this phrase is used to rule out the possibility of other factors changing, which may as a result have impact on the overall outcome of individuals 3. What is the difference between positive and normative statements in economics? Provide an example of each Positive Economics is based on “objectives” and “facts” whereas Normative Economics is “subjective” and “value” based. It is considered that Positive Economics does not necessarily have...
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...Marketing–What’s It All About If forced to define marketing, most people, including some business managers, say that marketing means “selling” or “advertising.” It’s true that these are parts of marketing. But marketing is much more than selling and advertising. How Marketing Relates to Production Production is a very important economic activity. Whether for lack of skill and resources or just lack of time, most people don’t make most of the products they use. Although production is a necessary economic activity, some people overrate itsimportance in relation to marketing. Their attitude is reflected in the old saying:“Make a better mousetrap and the world will beat a path to your door.” In otherwords, they think that if you just have a good product, your business will be a success. The point is that production and marketing are both important parts of a total business system aimed at providing consumers with need- satisfying goods and services. Together, production and marketing supply five kinds of economic utility—form, task, time, place, and possession utility that are needed to provide consumer satisfaction. Here, utility means the power to satisfy human needs. Form utility is provided when someone produces something tangible—for instance, a bicycle. Task utility is provided when someone performs a task for someone elsefor instance, a bicycle. The product must be something that consumers want or there is no need to be satisfied. Time utility means having the product...
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...BUS610-1005A-01 - Economics for the Global Manager 13 November 2010 Introduction In economics, there are many things which take places. They include performance, organization, activities and decision making. Economics, like many other subjects in life, can be studied at different levels. These things can be conducted at individual level, or at a common level. What we mean by individual level is they may be by individual company, firm or an entity business person. The way the different entities behave may differ due to their different demands and supply. What we mean by decision made at a common level is that it looks at the entire activities and behavior of the entire economy. This may be at national level, regional level or even global level. Difference between microeconomics and macroeconomics Economics is primarily split into two major sections, this are the macroeconomics and the microeconomics. The two are so much connected. Adjustment in one affects the other. Both of them work together in the world of economy. The macroeconomics can be considered to be the summation of microeconomics. However there exists a difference in the two. We shall be discussing on the distinction between the two in the subsequent few paragraphs. To begin with, the naming denotes that there is a difference between macro and microeconomics.’ macro’ stands for large in Greek, while 'micro’ stands for small in Greek. This is to explain that microeconomics covers the...
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...F.Y.B.A. Paper – I Economic Theory (Micro Economics-I) SECTION – I Module 1 : Introduction Meaning, nature, scope, significance and limitations of micro economics. Ceteris Paribus – use and significance. Concept and types of equilibrium : stable, unstable, static and dynamic equilibrium – partial equilibrium and general equilibrium, positive economics and normative economics, managerial economics. Basic concepts – wealth, welfare and scarcity. Basic tools of economics analysis (equations and functions, graphs and diagrams, slope and intercepts) Module 2 : Consumers Behaviour and Demand Marishallian Approach : Equi-marginal utility, Law of demand – Determinants of demand. Elasticity of demand and its measurement. Price – Income – Cross and Promotional elasticity of demand. Consumer’s Surplus. Hicksian Approach : Indifference curves – properties of Indifference Curve, Consumer’s Equilibrium, Price effect, Income effect and substitution effect – Derivation of demand from Price Consumption Curve (PCC) – Giffen’s paradox. Samuelson Approach : Revealed Preference Theory. Module 3 : Production and Cost Analysis Concept of production function : short run and long run – Cobb – Douglass production function. isoquants – iso-cost line – producer’s equilibrium. Law of variable proportion and Law of returns to scale – Economies of scale – Economies of scope. Concepts of costs : Money and real cost, Opportunity cost, Social cost, Private cost – Derivation of short run and long run cost curves–...
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...What are the differences between micro and macro estimating approaches? Under what conditions would you prefer one over the other? Macro estimates are typically top down, are usually used in the project conceptual phase, and depend on measures such as weight, square feet, ratios. Macro methods do not consider individual activity issues and problems. Macro estimates are good for rough estimates and can help select and prioritize projects. UNCERTAINTY Micro time and cost estimates are usually tied directly to the WBS and a work package. These estimates are made by people familiar with the task, which helps to gain buy-in on the validity of the estimate. Use of several people should improve the accuracy of the estimate. Micro estimates should be preferred if time to estimate is available, estimating cost is reasonable, and accuracy is important. Microeconomics is generally the study of individuals and business decisions, macroeconomics looks at higher up country and government decisions. Macroeconomics and microeconomics, and their wide array of underlying concepts, have been the subject of a great deal of writings. The field of study is vast; here is a brief summary of what each covers: Microeconomics is the study of decisions that people and businesses make regarding the allocation of resources and prices of goods and services. This means also taking into account taxes and regulations created by governments. Microeconomics focuses on supply and demand and other forces...
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...critical decision and needs to be made with considerable care and deliberation. Initial market entry decisions have typically focused on country evaluations based on macro-economic data. While appropriate in providing an initial screening of countries, other factors, notably contextual factors, can provide important insights in assessing international market opportunities. The purpose of this paper is to examine the impact of context at four distinct levels. Design/methodology/approach – The literature on the influence of context on consumption and purchase behavior is reviewed to provide a framework to understand contextual factors as a means to refine entry strategy and develop effective segmentation strategies. Findings – A wide range of contextual factors exert influence on consumption choices and contribute to within-country heterogeneity. These are typically examined at the macro-level, but also need to be examined at the meso-level, micro-level and situational level to fully assess market opportunities and establish viable market segments. Practical implications – Examination of contextual factors provides a richer and deeper understanding of which international markets to enter and which segments to target. Within-country cultural diversity, dramatic economic and regional disparities and marked differences in the infrastructure need to be assessed. In particular, examination of contextual factors helps to shed light on heterogeneity within countries not only in customer...
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...Gender and trade: A fresh look at the evidence Summary: The relationship between trade and gender has been hotly debated. Some say that globalization has excluded or impoverished women, causing disproportionate job losses due to the influx of foreign goods into domestic markets. Others argue that increased trade leads to greater gender equality by creating new jobs and economic growth.In fact, neither side in the debate is totally right, and a nuanced view is needed. Trade integration has translated into more jobs and stronger connections to markets for many women. Indeed, as shown by the World Bank's 2012 World Development Report (WDR 2012), increases in international trade have tended to increase women's employment, not a feature that typifies many development processes. And access to these jobs can empower women in important ways. Introduction: While it is difficult to establish a precise number, surveys estimate that women constitute a large share of informal cross-border trade in southern Africa. More than 70% of cross-border traders betweenMozambiqueandsouthAfricaarewomen. A recent survey in four key border crossings in the Great Lakes region between the Democratic Republic of Congo and Burundi, Rwanda and Uganda found that the majority of traders are young women and experienced traders. These traders face serious risks and losses with each border crossing, including threats and sexual harassment, bribes, fines, confiscation of goods, verbal abuse and...
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...chapter 1 Marketing’s Role in the Global Economy When You Finish This Chapter, You Should 1. Know what marketing is and why you should learn about it. 2. Understand the difference between micro-marketing and macro-marketing. 3. Know why and how macromarketing systems develop. 4. Understand why marketing is crucial to economic development and our global economy. 5. Know why marketing special— ists—including middlemen and — facilitators—develop. 6. Know the marketing functions and who performs them. 7. Understand the important new terms (shown in red). www.mhhe. When it’s time to roll out of bed in the morning, does your General Electric alarm wake you with a buzzer—or by playing your favorite radio station? Is the station playing rock, classical, or country music—or perhaps a Red Cross ad asking you to contribute blood? Will you slip into your Levi’s jeans, your shirt from L. L. Bean, and your Reeboks, or does the day call for your Brooks Brothers interviewing suit? Will breakfast be Lender’s Bagels with cream cheese or Kellogg’s Frosted Flakes—made with grain from America’s heartland—or some extra large eggs and Oscar Mayer bacon cooked in a Panasonic microwave oven imported from Japan? Will you drink decaffeinated Maxwell House coffee—grown in Colombia—or some Tang instant juice? Will you eat at home or is this a day to meet a friend at the Marriott-run cafeteria—where you’ll pay someone else to serve your breakfast? After breakfast, will you head off to school...
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...increasingly micro-oriented approach toward studying Sports. This article takes a critical look at the field of Sports Sociology. It is a very under researched and under developed subfield of sociology, but the authors of this article think that it has great potential. It assesses the sociology of sports. It also analyzes how organized sports intermingle with the organizational, political, and economic forces that are present in social inequality. It’s primarily a review of existing research based on previous articles and research. It refers to a lot of previous articles that lets you know it’s not new research. Many of us have only recently started referring to this research as “sports sociology” instead of as “economic sociology,” “political sociology,” “social movements,” “organizational sociology,” or “urban studies.” I’ve learned that sports have become an increasingly important social phenomenon that really lends itself to a sociological approach. Part of this allure is intellectual since both micro and macro approaches have been used in some really great ways to understand sports and how sports impact different issues. I find that Sociologists seem to be taking an increasingly micro-oriented approach toward studying sports. This trend is reflected across almost all substantive categories of inquiry. There seems to be something of a chicken-egg relationship going on, especially, with the simultaneous increase in research about gender and the overall increase in micro-oriented...
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...MACROECONOMICS & THE GLOBAL ECONOMY Instructor SATYENDRA TIMILSINA What is Macroeconomics? • It is that branch of economics, which deals economic affairs at large i.e. total or aggregates • Concerns itself with variables such as – – – – Aggregate output of the economy Extent to which its resources are used Size of National Income General Price Level Introduction • Managers have to deal with economic environment at two levels – micro level and macro level • Micro level includes market structure and the strength of competitors. Firm’s decision making is mostly influenced by the activities of its rival forms. The following are some factors that affect firms decision at micro level – Level of competition – Cost of production and – Product differentiation Introduction • Macro level includes the overall system. This is something that the firm assumes to the given. • Decision making of the firm is affected by the macroeconomic environment. • The following macroeconomic factors have a strong effect on firm’s decision making – Overall Demand – Price Level – Rate of interest – Tax policies and – Exchange Rates Introduction • It is important for managers to know the macroeconomics because an unprecedented change in any of these factors can upset the revenue and cost of the firm, affecting the profitability and returns. • The problem can be minimized or managed if managers know the working of an economy and thereby, judge the...
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...overgeneralisation and prevents a theory from becoming so abstract that it detaches itself and no longer defines the topic summarised under its umbrella. As a result the theory can become a source of guidance and a framework that clearly includes themes, whilst also representing a boundary that differentiates what lies within from the rest that remains outside its remit. With regard to criminology what lies within includes an agreed methodology to conduct research in order to analyse an observation. What is important is that a theory remains empirically testable and that the evidence gathered supports the theory itself. In addition to this criminology also focuses on the topic of crime and a range of human behaviours and relationships between various entities of society. What is considered to be an act of crime is normally defined by a person in power. Therefore the subject or object of investigation by the study of criminology includes the psychological assessment of a human being and the...
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...and practices of HRD. INTRODUCTION; People are the real assets of an organization. If treated well, they can take organizations to commanding heights. Two plus two could be four or even ten. Organisation are generally, driven by a set of predetermined goals. They employ physical, financial and human resources in order to achieve the goals. These goals have no meaning unless people understand the underlying philosophy, translate them into concrete action plans and pur ktheir heart while realizing the targets. Organisation, thus depend on people for their survival and growth. In a similar way, people need organization . The vast majority of people work to support themselves and their families. But people work for many reasons other than economic security. HRD; Human Resources Development (HRD) is a positive concept in human resource management. It is based on the belief that an investment in human beings is...
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