Premium Essay

Eco 372 Week 4 Reflection

In: Business and Management

Submitted By dlemonier
Words 403
Pages 2
In week four, we discussed how deficits, surpluses, and debt in relation to the macroeconomic health of the United States.
A government deficit is when federal spending is greater that the tax revenue received for that year. Each year the deficit is added to the current debt, the Treasury must sell bonds to raise the money to cover deficit. At first, the deficit spending does boost economic growth. As we have read in the previous weeks, government spending does have a positive effect on the economy; it lowers interest rates, increasing the money supply available, and creates jobs, which lowers the unemployment rate. However, if the deficit is added to the national debt this is very damaging to the economy because the government can let the value of the U.S. dollar fall, this would make the debt repayment cheaper and less expensive. This will have a negative effect on foreign government and how investors view the strength of our Treasury bonds, and they will be reluctant to purchase Treasury bonds, this will cause an increase in the interest rates. When creditors become concerned about a country's ability to repay its debt, they demand a higher interest rate to provide a greater return on this higher risk investment. Treasury bills, notes and bonds are used to finance budget deficits, if foreign government and investors do not purchase them, the U.S. will have difficulty raising money to continue to finance the deficit
On the other hand, a budget surplus is the opposite of a budget deficit. A budget surplus occurs when government has an excess of revenue. When the government runs a budget surplus, the additional funds are spent to lower the national debt. The funds are also used to increase national savings, increase lending and decrease interest rates to improve investments. A budget surplus can also slow down the growth of the economy.
We also

Similar Documents

Premium Essay

Eco 372 Week 4 Team Reflection

...Learning Team Reflection: Supply Chain and Demand Definitions Supply Chain According to Investopedia the Supply Chain is defined as the network created amongst different companies producing, handling and/or distributing a specific product. Specifically, the supply chain encompasses the steps it takes to get a good or service from the supplier to the customer. Supply and Demand In classical economic theory, the relation between these two factors determines the price of a commodity. This relationship is thought to be the driving force in a free market. As demand for an item increases, prices rise. When manufacturers respond to the price increase by producing a larger supply of that item, this increases competition and drives the price down. Modern economic theory proposes that many other factors affect price, including government regulations, monopolies, and modern techniques of marketing and advertising (dictionary.reference.com). Relationship The supply chain and supply and demand model are very similar because they both work hand and hand to be successful. Both models can be used to project much needed information of what consumers purchase and the amount they will pay for it. This is very useful to the stakeholders, involved in this process. Essentially these models can predict the consumer’s wants and needs for products on the market and for researching future products. The customers wants is what drives the supply chain. In the demand model the customer is at...

Words: 350 - Pages: 2

Premium Essay

Week One

...------------------------------------------------- Course Syllabus Facilitator Name: Robert C. Paramo, MBA Course Name: Principles of Macroeconomics Course Number: ECO/372 Version 4 Group Number: SB12BSB02 Course Start Date: 01/24/2013 Course End Date: 02/21/2013 COURSE SCHEDULE: Workshop 1 – Jan. 24, 2013 Workshop 2 – Jan. 31, 2013 Workshop 3 – Feb. 07, 2013 Workshop 4 – Feb. 14, 2013 Workshop 5 – Feb. 21, 2013 COURSE LOCATION, DAY AND TIME: San Bernardino Learning Center, Thursdays, 6:00 p.m. to 10:00 p.m. REQUIRED READING:  Students are required to read all materials available at the Course Materials site for this course on https://ecampus.phoenix.edu/portal/portal/public/login.aspx Whenever there is a question about what assignments are due, please remember this syllabus is considered the ruling document. Copyright Copyright ©2009 by University of Phoenix. All rights reserved. University of Phoenix© is a registered trademark of Apollo Group, Inc. in the United States and/or other countries. Microsoft©, Windows©, and Windows NT© are registered trademarks of Microsoft Corporation in the United States and/or other countries. All other company and product names are trademarks or registered trademarks of their respective companies. Use of these marks is not intended to imply endorsement, sponsorship, or affiliation. Edited in accordance with University of Phoenix© editorial standards and practices. Policies Students/learners will...

Words: 1342 - Pages: 6

Premium Essay

Week 4 Team Reflection

...Week 4 Team Reflection Dana Sweet, Daniel Marquez, Diana Bak, Donna Eastwood, and Kimberly Dillman July 28, 2013 ECO/372 Kevin Mc Kinley Week 4 Team Reflection Already we are into week four of our class in macroeconomics. This week held some insights for us all. We learned about assets, deficits, surplus, and debts. We also learned about fiscal policy and the problems involved with it. We all enjoyed the discussion questions. Everyone had their own beliefs about the system and how to change the OPEC oligopoly. It was all very interesting. Kimberly states in week four the material covers deficits, surplus, debt, and assets. First the material defines deficits and surplus that was easy to comprehend and extremely enlightening. As a former college student majoring in business the terms should be comprehendible but was surprising to learn the true meaning of both deficits and surplus. Deficits and surplus are both dealing with money, first the chapter 17 defines deficits as a shortfall in revenues under payments, explaining that surplus was the opposite, and this was easily understood. After further detail about deficits and surplus the chapter later introduces the definition of debt and assets is common knowledge. The material goes on to explain the difference between individual and government debt. The material concludes the chapter by explaining the burden of the US government deficits or debt. Kimberly also believed that in chapter...

Words: 1191 - Pages: 5

Premium Essay

Paper

...ECO 372 Course Syllabus Course Description This course provides students with the basic theories, concepts, terminology, and uses of macroeconomics. Students learn practical applications for macroeconomics in their personal and professional lives through assimilation of fundamental concepts and analysis of actual economic events. Policies Faculty and students will be held responsible for understanding and adhering to all policies contained within the following two documents:          University policies: You must be logged into the student website to view this document.          Instructor policies: This document is posted in the Course Materials forum. University policies are subject to change. Be sure to read the policies at the beginning of each class. Policies may be slightly different depending on the modality in which you attend class. If you have recently changed modalities, read the policies governing your current class modality.   Course Materials Colander, D. C. (2010). Macroeconomics (8th ed.). Boston, MA: McGraw-Hill/Irwin. All electronic materials are available on the student website. Week One: Fundamentals of Macroeconomics |   | Details | Due | Points | Objectives | 1.1  Explain the economic interaction of resources among households, government, and business. 1.2  Describe gross domestic product, inflation rate, unemployment rate, and interest rate. 1.3  Identify sources of historical economic data and economic forecasts. |   |   | Reading...

Words: 1726 - Pages: 7

Premium Essay

Get Online Help with Ur Assignment Ashford a+Material

...http://homeworktimes.com/downloads/acc-202-complete-course-acc-202-entire-course/ http://homeworktimes.com/downloads/acc-206-entire-course-new/ http://homeworktimes.com/downloads/acc-206-new-week-1-assignment-chapter-one-problems/ http://homeworktimes.com/downloads/acc-206-new-week-2-assignment-chapter-two-three-problems/ http://homeworktimes.com/downloads/acc-206-new-week-2-journal-institute-management-accounting/ http://homeworktimes.com/downloads/acc-206-new-week-3-assignment-chapter-four-five-problems/ http://homeworktimes.com/downloads/acc-206-new-week-3-journal-hershey-company/ http://homeworktimes.com/downloads/acc-206-new-week-4-assignment-chapter-six-seven-problems/ http://homeworktimes.com/downloads/acc-206-new-week-5-assignment-chapter-eight-problems/ http://homeworktimes.com/downloads/acc-206-new-week-5-assignment-final-paper/ http://homeworktimes.com/downloads/acc-212-financial-accounting/ http://homeworktimes.com/downloads/acc-250-complete-course-acc-205-entire-course/ http://homeworktimes.com/downloads/acc-290-complete-course-acc-290-entire-course/ http://homeworktimes.com/downloads/acc-291-complete-course-acc-290-entire-course/ http://homeworktimes.com/downloads/acc-340-entire-course-acc-340-complete-course/ http://homeworktimes.com/downloads/acc-400-complete-course-acc-400-entire-course/ http://homeworktimes.com/downloads/acc-407-entire-course/ http://homeworktimes.com/downloads/acc-455-complete-course/ http://homeworktimes.com/downl...

Words: 3197 - Pages: 13

Premium Essay

Luxury Car Retailing and Trends

...Luxury Car Retailing & Trends Executive Summary A luxury car is indeed a status symbol that is a reflection of one’s personality and power in society. There is a steady increase in luxury car customers globally as there is a rise in income, wealth and urbanization. It is more of a dream come true of the rising middle class to purchase and own a luxury car. After the global financial crisis (Reyneke et al., 2012) hit the luxury auto market, it was interesting to find that the younger generation maintained their spending habits and joined the baby boomers who were already major consumers of luxury cars. However, the concept of cars being a boy toy has certainly evolved with the emergence of female consumers . These women are driven by their need to showcase their power and independence. The finest example are the Chinese and Middle Eastern women who have come out of their cocoons and protested against a male dominated culture and purchasing luxury cars were a part of that change. As the younger generation have become more environmentally conscious, luxury car retailers have adopted the ‘go green’ concept by bringing out diesel run and electric cars. Another trend that is picking up is the customization of cars. Luxury car retailers have chosen to customize their car for their customers providing them exclusivity and satisfaction as the customers get what they exactly want. The sales for luxury cars from 2012 to 2014 have been forecasted to increase steadily but there are...

Words: 6289 - Pages: 26

Premium Essay

Nest Learning Thermostat

...and program (Close-Up Media, 2011). Nest Laboratories, a company based in Palo Alto, California founded by Tony Faddell and Matt Rogers, with the backing of several investors such as, Generation Investment Management, Google Ventures, Intertrust, Kleiner Perkins Caufield & Byers, Lightspeed Venture Partners, and Shasta Ventures, set out to apply advancements in technology to reinvent the thermostat. The team at Nest addressed the programming problem through a combination of sensors, algorithms, machine learning, and cloud computing (Close-up Media, 2011). They came up with a thermostat capable of learning a household’s daily schedule, and personal heating and cooling preferences; naming it the Nest Learning Thermostat. After just one week of consistent use, the Nest Learning Thermostat “knows” when to save energy, and when the house is empty. The thermostat uses six sensors to detect when the family is home, and when the home should be heated or cooled (Close-up Media, 2011). This “high tech” gadget operates with the same interface as the original iPod,...

Words: 12686 - Pages: 51

Free Essay

Apple Valuation Case

...ANNUALREPORT2009 Dear Shareholders: In 2009, our comp sales declined by 6.6 percent, with total sales down 7.2 percent. Earnings per share from continuing operations were up 13.1 percent from last year, but on an adjusted basis declined 6.7 percent. At the end of 2008, the U.S. economy was in the most severe recession it has experienced since the great depression. We planned for this tough economic environment, and we executed well against our plan, exceeding the sales and earnings targets we set forth at the beginning of the year. We gained over 100 basis points of U.S. market share in 2009, a notable accomplishment on a base of fewer stores. We saw sequential improvement in our performance during the year and exited the year with a positive comp in the fourth quarter. We also saw signs of stabilization in some key macroeconomic indicators, such as Private Fixed Residential Investment as a percent of GDP. In Canada, the demand for home improvement products is showing improvement. And our Mexican team delivered positive comps for the year in a very tough economic environment. As we look to 2010, we believe we will see modest economic recovery in the markets we serve and expect our performance to continue to improve as the economy undergoes a steady, though slow, recovery. As a company, we made significant progress against our strategic imperatives in 2009. We enhanced customer service in our stores, introduced new and innovative products with compelling values...

Words: 32934 - Pages: 132

Premium Essay

Customer Relationship Management Through the Tesco Clubcard Loyalty Scheme

...Permanent link to this document: http://dx.doi.org/10.1108/09590550510588361 Downloaded on: 15 September 2014, At: 19:08 (PT) References: this document contains references to 37 other documents. To copy this document: permissions@emeraldinsight.com The fulltext of this document has been downloaded 17452 times since 2006* Downloaded by UNIVERSITI MALAYSIA SABAH At 19:08 15 September 2014 (PT) Users who downloaded this article also downloaded: Jason J. Turner, Karen Wilson, (2006),"Grocery loyalty: Tesco Clubcard and its impact on loyalty", British Food Journal, Vol. 108 Iss 11 pp. 958-964 Mark D. Uncles, Grahame R. Dowling, Kathy Hammond, (2003),"Customer loyalty and customer loyalty programs", Journal of Consumer Marketing, Vol. 20 Iss 4 pp. 294-316 Jennifer Rowley, (2007),"Reconceptualising the strategic role of loyalty schemes", Journal of Consumer Marketing, Vol. 24 Iss 6 pp. 366-374 Access to this document was granted through an Emerald subscription provided by 313615 [] For Authors If you would like to write for this, or any other Emerald publication, then please use our Emerald for Authors service information about how to choose which publication to write for and submission guidelines are available for all. Please visit www.emeraldinsight.com/authors for more information. About Emerald www.emeraldinsight.com Emerald is a global publisher linking research and practice to the benefit of society. The company manages a portfolio of more than 290 journals and over...

Words: 7563 - Pages: 31

Premium Essay

Strategic Marketing & Planning, 2009 Fiji Water

...Strategic Marketing & Planning, 2009 Fiji Water Executive Summary: There are multiple recent strategic issues that the bottled water company Fiji Water is facing. The economic recession has led to a change in consumer purchasing trends, and the bottled water category is not as stable financially as it used to be. Environmental issues, such as waste and pollution, are also affected Fiji Water and its competitors. Bottled Water companies are attempting to shift packaging and shipping to more ecologically friendly materials and modes, as consumers favor environmentally sustainable products. Additionally, as consumers focus on obtaining healthier lifestyles and diets, they have begun to question the safety and purity of the water that bottled water companies are producing. Fiji Water has been affected greatly by all of these issues, as well as negative press about the socio-economic conditions of their souring location, and in 2008 was forced to layoff 40% of their staffing resources. With limited resources, an action plan going forward must be cost efficient and extremely effective. By analyzing and critiquing four potential strategic options, a rational next step for Fiji Water can be discovered. By supporting this plan with marketing tactics and communication, it can attempt to stimulate growth for the company. Current Overview: History: Fiji Water is bottled water artesian water that was founded in 1993 in Colorado and first produced and sold to the world...

Words: 10365 - Pages: 42

Free Essay

Help

...The Home Depot 2008 Annual Report Dear Shareholders: In 2008, our retail sales declined by 7.8 percent, with comp sales down 8.7 percent. Our adjusted earnings per share from continuing operations declined 22 percent. In ordinary times, these would be very disappointing results. But 2008 was not an ordinary year. Despite the difficult economic environment, we continued to improve our retail business, through investing in our associates and our stores, rebuilding our supply chain and improving customer service. We also made several strategic decisions to optimize our capital allocation, concentrating our efforts on our core business. In the first quarter, we closed 15 underperforming stores and reduced our pipeline of new stores by 50. In the third quarter, we renegotiated our private label credit card agreement, capping our cost of private label credit. In the fourth quarter, we announced our decision to exit EXPO and related businesses. These actions will make the Company stronger. On the financial side, we ended the year with a solid operating profit and $41 billion in assets. We generated cash from the business of approximately $5.5 billion, which allowed us to invest in the business where necessary and reduce our debt obligations while maintaining a healthy dividend. On the operational side, we implemented an “Aprons on the Floor” initiative, which deployed over $200 million in annualized savings onto the floor of the stores for customer service...

Words: 30302 - Pages: 122

Premium Essay

Police

...BELHAVEN UNIVERSITY Jackson, Mississippi A CHRISTIAN UNIVERSITY OF LIBERAL ARTS AND SCIENCES FOUNDED IN 1883 CATALOGUE 2014-2015 EFFECTIVE JUNE 1, 2014 Directory of Communication Mailing Address: Belhaven University 1500 Peachtree St. Jackson, MS 39202 Belhaven University 535 Chestnut St. Suite 100 Chattanooga, TN 37402 Belhaven University 7111 South Crest Parkway Southaven, MS 38671 Belhaven University – LeFleur 4780 I-55 North Suite 125 Jackson, MS 39211 Belhaven University 15115 Park Row Suite 175 Houston, TX 77084 Belhaven University Online 1500 Peachtree St. Box 279 Jackson, MS 39202 Belhaven University 1790 Kirby Parkway Suite 100 Memphis, TN 38138 Belhaven University 4151 Ashford Dunwoody Rd. Suite 130 Atlanta, GA 30319 Belhaven University 5200 Vineland Rd. Suite 100 Orlando, FL 32811 Traditional Admission Adult and Graduate Studies Admission – Jackson Atlanta Chattanooga Desoto Houston Memphis Orlando Alumni Relations/Development Belhaven Fax Business Office Campus Operations Integrated Marketing Registrar Student Life Security Student Financial Planning Student Development Online Admission Online Student Services (601) 968-5940 or (800) 960-5940 (601) 968-5988 or Fax (601) 352-7640 (404) 425-5590 or Fax (404) 425-5869 (423) 265-7784 or Fax (423) 265-2703 (622) 469-5387 (281) 579-9977 or Fax (281) 579-0275 (901) 896-0184 or Fax (901) 888-0771 (407) 804-1424 or Fax (407) 367-3333 (601) 968-5980 (601) 968-9998 (601) 968-5901 (601) 968-5904 (601) 968-5930 (601) 968-5922...

Words: 151104 - Pages: 605

Premium Essay

Business

...kenyatta university Introduction to business and management Prof.Alex selel 2006 Undergraduate study in Economics, Management,Finance and the Social Sciences This is an extract from a subject guide for an undergraduate course offered as part of the kenyatta university International Programmes in Economics, Management, Finance and the Social Sciences. Materials for these programmes are developed by academics at the kenyatta university School of Economics and Political Science (LSE). ContentsIntroduction1Aims of the course2 Learning outcomes2 Reading and learning resources2 Online study resources6 Developing a glossary7 Hours of study and using this subject guide8 The structure of this course10 Examination advice.11 Section 1: The development of business and management13Chapter 1: Concepts, definitions and origins15Aims of the chapter15 Learning outcomes15 Essential reading15 Further reading16 Beginning your study16 The importance of key concepts16 A closer look at business and organisations17 A closer look at management19 The evolution of business and management studies21 Chapter review25 A reminder of your learning outcomes26 Sample examination questions26 Advice on answering a question26 Chapter 2: Understanding the business organisation – a multidisciplinary approach29Aims of the chapter29 Learning outcomes29 Essential reading29 Further reading30 Introduction30 A multidisciplinary view of business and management30 Sociological perspectives31...

Words: 28118 - Pages: 113

Free Essay

Spa & Wellness Industry

...permissions@elsevier.com. Alternatively you can submit your request online by visiting the Elsevier web site at http:/ /elsevier.com/locate/permissions, and selecting Obtaining permission to use Elsevier material Notice No responsibility is assumed by the publisher for any injury and/or damage to persons or property as a matter of products liability, negligence or otherwise, or from any use or operation of any methods, products, instructions or ideas contained in the material herein. British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging-in-Publication Data A catalog record for this book is available from the Library of Congress ISBN: 978-0-7506-8464-4 For information on all Butterworth-Heinemann...

Words: 153860 - Pages: 616

Premium Essay

Smrt Financial Anaysis

...Contents 02 08 10 12 16 20 24 30 54 02 10 Milestones Group Financial Highlights At a Glance Chairman’s Message Board of Directors Senior Management Organisational Structure Group Structure Corporate Information Corporate Directory Corporate Governance Key Dynamics & Risk Management Corporate Social Responsibility Highlights 25 1.0% Grassroots 26 27 30 47 54 64 0.3% Education 56.1% Corporate Giving in FY2012 86 76 Social Services Operating & Financial Review Fare Revenue ($m) 68 72 CEO's Message Company Overview & Background Group Performance Value Added & Economic Value Added Analysis SMRT and Our Shareholders SMRT Trains & SMRT Light Rail SMRT Buses SMRT Automotive Services SMRT Taxis SMRT Investments (Properties & Media) SMRT International & SMRT Engineering 749.6 9.4 213.1 800.5 10.1 76 220.4 82 84 527.1 569.9 86 92 96 FY2011 Train Bus FY2012 LRT 98 100 102 Financial Report 105 190 191 193 203 Financial Contents Group Properties & Interested Person Transactions Shareholding Statistics Notice of Annual General Meeting Proxy Form SMRT Corporation Ltd Annual Report 2012 1 Milestones 1987 Singapore’s first Mass Rapid Transit system (MRT) opens for service Train service from Yio Chu Kang to Toa Payoh commences Train service from Novena to Outram Park commences 1988 Train service from Tiong Bahru to Clementi commences Train service from Jurong East to Lakeside commences Train service from...

Words: 73022 - Pages: 293