Keynesian Theory On Demand Pull And Cost Push Inflation

According to Keynesian, inflation can be caused by increase in demand and/or increase in cost.

Demand-pull inflation is a situation where aggregate demand persistently exceeds aggregate supply when the economy is near or at full employment. Aggregate demand could rise because of several reasons. A cut in personal income tax would increase disposable income and contribute to a rise in consumer expenditure. A reduction in the interest rate might encourage an increase in investment as well as lead to greater consumer spending on consumer durables. A rise in foreigners’ income may lead to an increase in exports of a country. An expansion of government spending financed by borrowing from the banking system under conditions of full employment is another cause of inflation.

An increase in demand can be met initially by utilising unemployed resources if these are available. Supply rises and the increase in demand will have little or no effect on the general price level at this point. If the total demand for goods and services continue to escalate, a full employment situation will eventually be reached and no further increases in output are possible. This leads to inflationary pressures in the economy.

Demand-pull inflation is caused by excess demand, which can originate from high exports, strong investment, rise in money supply or government financing its spending by borrowing. If firms are doing well, theey will increase their demand for factors of production. If the factor market is already facing full employment, input prices will rise. Firms may have to bid up wages to tempt workers away from their existing jobs.

It is most likely that during full employment conditions, the rise in wages will exceed any increase in productivity leading to higher costs. Firms will pass the higher costs to consumers in the form of higher prices. Workers will demand for higher wages and this will add fuel to aggregate demand, which increases once again. The process continues as prices in the product market and factor market are being pulled upwards.

Keynesian theory of cost-push inflation attributes the basic cause of inflation to supply side factors. This means that according to Keynesian, rising production costs will lead to inflation.

Cost-push inflation is usually regarded as being primarily a wage inflation process because wages usually constitute the greaer part of total costs. Powerful and militant trade unions who negotiate wage increases in excess of productivity are more likey to succeed in their wage claims the closer the economy is to full employment and the greater the problem of skill shortages.

An increase in the price of coal, oil and many other basic inputs or even semi-manufactured goods used as component parts in the production process will manifest itself as higher consumer prices. The oil crisis in 1973-1974 and 1970-80 resulted in many countries experiencing severe cost-push inflation.

Inflation may occur when there is a depreciation of the home currency. A depreciation of a country’s currency results in increases in the price of imported foodstuff, raw materials and capital equiment …

The Real Purpose of Government Grants

We all know that government grants are a way for the citizens of a country to get free money from the tax payers, but the question is what's the whole point of doing that? Many people work very hard and do great things with their intelligence and business acumen, but get no help from the government at all. Why provide government grants to some people and not others if we all pay our fair share of taxes? The real purpose of government grants is so that the government can make a political decision of where to invest its money for the greater good of the country. It's their decision making that helps excel certain programs that can compete against foreign countries. It's intent is to continue to be a super power by putting money where it is needed.

For instance, one way government grants are offered through small businesses. In the economic downturn, President Barack Obama needed to do something to help stimulate the economy again. People were losing their jobs and everyone was saving their money causing business to go down. The issuing of grants helped small businesses get back on their feet. These businesses now had the opportunity to hire more workers which provided more jobs to everyone. Money was being spent because people were getting their jobs back. The use of these grants can do great things if pointed in the right direction.

Many grants are also offered to help research facilities and technology developers to get their ideas rolling. The use of this money can help pay for a lot of expensive equipment that can expedite these companies' course of plan. If the United States is the first to discover something new, the government grants have done its job. It could not hurt to attempt to apply for these grants. Being honest and convincing can help you beat out your competition. If you are truly good at what you do and know your ideas can be put to good work, you should definitely apply for government grants to help make your dreams a reality. …

The Advantages and Disadvantages of Seized Car Auctions

Nowadays, if somebody drives a posh car, it doesn’t necessarily mean that the person is rich – the luxury vehicle might have been bought at one of the numerous seized car auctions held regularly.

As the name suggests, seized car auctions offer vehicles that were seized by the government or the police due to some illegal activity. Apart from criminals, automobiles at repossessed vehicle auctions come from people failed to pay the mortgage, defaulted on tax payments, etc. The goal of the government is not to cash on these vehicles, but rather get rid of them quickly and avoid storage and maintenance expenses.

Seized car auctions as well as other types of similar auctions have their own advantages and disadvantages. Being aware of them will help you decide whether or not this is the way you want to purchase your vehicle.

Advantages of Seized Car Auctions

1. Unbelievably low starting bid. You can expect 80 and even 90{512b763ef340c1c7e529c41476c7e03bc66d8daea696e1162822661d30dde056} discount – a great bargain if you compare it with the retailer price.

2. Good condition. Most vehicles sold have been in use not more than 5 years. Quite often, there are cars in a “close to new” condition.

3. History reports available. Ideally, every such auto auction will provide free Car Fax VIN reports. Additionally, you can use an Auto Check Vehicle History to make sure that the car was not damaged in an accident.

4. Possibility to find a rare model. If you are on a lookout for a particular model, especially rare or imported one, chances are you will find it at such an auction. Check online seized car auctions as well – they have an impressive number of listings, so it is really not so hard to find what you want.

Disadvantages of Seized Car Auctions

1. Sold “as is”. After acquiring a vehicle, it is impossible to exchange or return it for a refund. Therefore, take time to assess the vehicle’s condition and check its history.

2. Hard for beginners. If you are a first-timer, a repossessed vehicle auction may seem to be a tough place to you. Needless to say, it is difficult to keep up with experienced car dealers. A friend who is not new to seized car auctions would be of great help. Or, turn to online auto auctions – they are easier to control the bidding process.

3. Time consuming. Searching for the seized car auctions in your area, registration, preliminary checking, attending one (especially if it is quite far from your place), and getting all the necessary paperwork done later may take up to a few weeks. Again, participation in an online auction is easier, though involves more risks and concerns.

With these knowledge in hand, you are in a better position to buy a vehicle that is auctioned. For more details on where and how to pick up your dream car from seized car auctions, read up my blog.…

New Zealand – Common WEALTH or Common STEALTH?

To many people, New Zealand is one of the most sought-after countries for many English folk to move to, either to emigrate, or retire.

Why? Because we think that the whole country and its massive natural resources belong to us. But why should we think that? What about the people that lived peacefully there since the beginning of the first century – the Maori peoples from Polynesia?

Too many times, we seem to think that this whole area of the Pacific was populated by tribes of fierce savages, who knew nothing of the ‘civilized’ world, and allegedly had no idea of commerce or interaction with other nations. For many such peoples, they became ‘fair game’ to the more ‘advanced’ civilizations of the west, such as Britain, France and Spain, who would go to any lengths to secure new additions to their overseas empires.

Even if there was a lack of commercial awareness in these conquered States, what gave anybody the right to take over and attempt to destroy, the local religions, belief, and traditions of these indigenous peoples? After all, if Britain had lost the Second World War, we would probably now all be using German as our first language, and there would have been no religious freedom of expression allowed. Would that have made us a better country? I doubt it. There would have been much dissent and undertones of revolt, and a feeling that we were robbed of our heritage.

The facts are that at the turn of the 19th Century, the Maori people had established a Bank (Te Whare Awaroa Mauri Trust Bank) and a newspaper (The Native Courier) in 1808. Hardly the activities to be expected from so-called ‘ignorant savages’.

In 1816 Te Wakaminenga O Nga Hapu formed a Maori Court with laws based on Tikanga Maori (in response to the lawless and unruly behaviour of visiting whalers, sealers and other foreigners) and enforced the laws accordingly. They further planned to unite the tribes operating on two levels by uniting the Ariki blood lines, and forming an army in a common defence policy against to ever-increasing immigration issues.

In the same year the authority of Maori Sovereignty was recognised and registered in the House of Westminster, England, as well as recognised by other nations such as America, France, Japan and Te Moananui A Kiwa. (United Pacific Nations)

The growth of settlers and whalers into New Zealand in the first quarter of the 19th Century had a devastating effect on the Maori people. Not only were they becoming outnumbered, but disease introduced from the settlers was causing massive numbers deaths from illnesses that in the Western world were just mild complaints.

A lot of settlers were carrying out illegal purchase of land in this time period, and introducing new types of crops, and new ways of fishing (especially whaling), and this activity caused a lot of friction between many of the Maori iwi (Tribes), leading to a whole series of brutal inter-tribal wars. To try and redress …

Sexuality in Politics

The glass ceiling against the rise of women into positions of power have seen many great brains kept back from excelling to their full extent. In recent times women, like Helen Clark, the ex-Prime Minister of New Zealand, have put themselves forward for the role of United Nations Secretary General. There has never been a woman in this position and it is not surprising that they were defeated.

Men have such prejudicial views against women and the number of them who select the successful candidate for this position must play a role in who they elect. The Security Council recommends a candidate as worthy to the General Assembly who then vote on it.

The first is made up of primarily the five victors of WWII, they being Russia, Germany, France, England, and the USA who are the permanent members. Ten non-permanent members are then appointed to serve 2 year terms. This gives an overall number of 15 members.

In 2016-2017 the latter comprised delegates from the following nations: Bolivia; Egypt; Ethiopia; Italy; Japan; Kazakhstan; Senegal; Sweden; Ukraine; and Uruguay. One must question the prejudice of many of these nations against women in leadership roles. The predominantly Muslim and Catholic countries would have to be counted as among them.

In local politics the problem remains just as potent an issue. In Australia the recent Labour government tried to lift the glass ceiling by issuing quotas to ensure that some 50{512b763ef340c1c7e529c41476c7e03bc66d8daea696e1162822661d30dde056} of its members are women. That, however, is not the same in the Liberal Party where the Prime Minister has only 3 female members in his cabinet.

The sexuality in politics is another example of how religion rules the world, as the majority of Liberal members are advocates of either Catholicism or the prejudice of their upbringing. As part of my research the role of religion was a strong focus as it all started from Babylon, the home of Islam.

How this has played out in the Word Order and the maintaining of the Establishment is part of the role of the one dubbed 666. He was Islamic and of the Amor, the people who built Roma (reverse Amor). He laid out the rules for the economy, the law, and rights of inheritance. He also formed the Catholic Church in 325 AD and put up the image of Jesus Christ (Revelation 13:12-18).

His impact has survived because of the religions that are protected by the laws he laid down. Governments will continue to be ruled by them as long as they survive. That means no one will or can break the glass ceiling against women while sexuality play a part in refusing them high office.…

What Is the Tennessee Plan for Medicare Supplemental Policies?

When you retire, you are faced with some important personal decisions. That is why the State of Tennessee and POMCO are working together to make one of those decisions (Medicare supplemental healthcare) easier for you. As a retiree, you may be eligible for The Tennessee Plan. This Plan is designed specifically for retired state employees, teachers and local government employees and their eligible spouses and dependents. The Tennessee Plan Can Help Fill the Medicare Coverage Gap If you have Medicare coverage, you likely need The Tennessee Plan to help cover some of the expenses that Medicare does not. The Tennessee Plan helps fill most of the coverage gaps that Medicare creates.

If you are eligible, you can enroll in The Tennessee Plan coverage, commonly known as Medigap Coverage. The Tennessee Plan is a standard Medicare supplemental policy designed to fill in the coverage gaps in your Medicare Part A & B coverage.

What Kind of Gaps Do  Medicare Parts A & B Have?

In 2010, some of the charges Medicare requires you to pay include the following:

•  A $1,100 deductible out of your own pocket each time you are hospitalized.

•  Then $275 a day for the 61st to the 90th day in the hospital and $550 a day thereafter up to a 60 day lifetime reserve maximum.   Plus a $155 deductible for approved doctors’ bills and outpatient expenses and then you must pay an additional 20{512b763ef340c1c7e529c41476c7e03bc66d8daea696e1162822661d30dde056} of the Medicare approved charges after that.

You may be responsible for any amount over the Medicare approved charges from providers who do not accept Medicare assignment. Even with Medicare coverage, your out- of-pocket expenses can add up fast and cause financial difficulty. Coverage under The Tennessee Plan can help fill some of these gaps. There are 10 standard approved (by federal law) Medicare supplemental policies that can be offered. The Tennessee Plan offers benefits comparable to the Medicare Supplemental Standard Plan D.

Who is Eligible to Enroll?

Any retired State of Tennessee employee or Local Education certified teaching staff receiving a monthly retirement allowance from the Tennessee Consoli- dated Retirement System (TCRS), or higher education optional retirement plan who is eligible for Medicare Part A may apply for coverage under this Plan. Retired Local Education support staff and Local Government participants eligible for Medicare Part A who receive a monthly retirement allowance from the TCRS are also eligible to apply for coverage. Your legal married spouse and eligible dependents may also apply. If you qualify and enroll for coverage within 60 days of your initial eligibility, you cannot be denied coverage because of your age or health.

Who Administers  The Tennessee Plan?

The Tennessee Plan features Medicare supplemental coverage sponsored by the State of Tennessee with claims administered by POMCO. The Plan offers you quality coverage at lower group premium rates. Since the monthly premiums are not based on age, they will not increase just because you get older. Premium rates may increase due to increasing costs, which would happen …

World Disable Day

The world is moving towards progress in every walk of life. But when we look towards societies, it feels as if some thing is still missing. Money, power, lust, etc., is the wish of every human being to attain. But we can not deny this fact that we all are bounded with loads of social problems, which are hard nuts to crack. The key element of success and self-satisfaction is missing in most of the societies. Social issues are matters which directly or indirectly affect many or all members of a society and are considered to be problems, controversies related to moral values, or both. Social issues include poverty, violence, pollution, injustice, illiteracy, corruption, bribery, suppression of human rights, discrimination, and crime, child abuse, rape, dowry system, abortion, sex, etc.

Out of many social problems, I feel that the rights of Exceptional people are always being neglected by every one. No one wants to hear them. No body wants to give them proper love and care. They are being rejected from most of the societies. Due to the ill- behavior of the people, they are facing lots of trouble to explore their talents and creativity. Now, the time has arrived, when we need to re-think about our attitudes towards them. Tall talks from the government officials that special needs people will be given opportunities were held back by the previous government and still they are wiping for their rights to be given.

I did my research for 7 years at Aga Khan Social Welfare Board for Exceptional People Committee. I joined this institute and came to know about their feelings and emotions. I later studied many books and met many children of "Borderline Category" of different schools in Karachi. The revealing truth was bitter. I realized that they were totally deprived from our society and were considered as an insane, which is not true.

I guess, no one has right to define any human in their own perception, until and without, he / she knows himself / herself deeply and perfectly. But it is a matter of despairty in Pakistan, that Exceptional Children are considered as a different being. People are trying to give their own definitions about them without knowing the proper definition of human. Human are acting like an animal and showing lack of concern towards them.

Let us try to understand, who exceptional people are?

Those persons who have IQ score which differs from the mean by two or more standard deviations are called Exceptional persons. Mentally retarded are declared as those persons who have scores two or more standard deviations below the mean. While the persons having score two or more standard deviations above the mean are called gifted persons.

Categories in respect of IQ are as follows:

O 70 above Border Line (trained and understandable)
O 70-50 Mild (educable)
O 50-35 Moderate (trainable)
O 35-20 Severe (miniman skills)
O 20-0 Profound (custodial care)

So we can say that,

"Exceptional children are those, who lacks either …

Agricultural Adjustment Act

The Agricultural Adjustment Act is a U.S. federal act that placed restrictions in farming by giving planters subsidies for them not to farm some portions of their lands. The subsidies were also given for them to get rid of any excesses in livestock being bred. The goal was actually to bring down surplus of produce or livestock in order to increase the value of these livestock and crops. In order to raise money for such subsidies, the government imposed a tax on farm produce processing firms. The law also paved the way for the establishment of the Agricultural Adjustment Administration which would take charge of subsidy allotment. The Agricultural Adjustment Act was actually considered a pioneering farm law in the United States.

To put the law into perspective on why this law came into being, the government wanted to do something to uplift the difficult condition of the farmers especially during the early 1930s. In order to increase the prices of their crops and thus their earnings, the Act helped to eliminate excess supply. Tenant farmers thus were contracted not to plant cotton for instance in the whole area they tilled but only on a portion of the lot. The farmers got subsidies by restricting their production. There were however disadvantages to this Act. It benefitted more the big time food processors and farmers but strongly put the small tenant farmers to a disadvantage as land owners just sought wage labourers instead of full-time farmers.

There was also an Amendment to the Agricultural Adjustment Act known as the Thomas Amendment since it was initiated by Sen. Elmer Thomas. This amendment combined new economics views with that of populist views. Through the Thomas Amendment, the president would be compelled to give powers to the Federal Reserve for the buyout of federal obligations worth US$4 billion every time a currency expansion is desired. If there is a disparity for free market operations, the head of state could also opt to allow the United States treasury to produce up to US$4 billion while reducing the gold component of the dollar by up to fifty percent. The treasury could also accept US$100 million worth of silver priced at least fifty cents/ once as payments for the borrowing of some European countries from the first World War. The Agricultural Adjustment Act Amendment or the Thomas Amendment was however seldom used so that the treasury also seldom got payments from such borrowings.

The Thomas Amendment also became the basis of Pres. Roosevelt’s ratification of the Pittmann London Silver Amendment which gave marching orders to the U.S. mints to purchase the whole bulk of silver produced for 64.5 cents. Another striking application of the Amendment happened in 1934 as the president pushed to decrease the gold component of a dollar to just 40.94{512b763ef340c1c7e529c41476c7e03bc66d8daea696e1162822661d30dde056}. Despite this policy, bulk prices continued to rise.

Perhaps, the greatest impact that the Amendment brought was the rise in government control when it comes to monetary policies. The Thomas Amendment actually aimed to …

Factors Affecting Migration and Solutions to Rural-Urban Migration, Especially to Developing Nations

Migration is the movement of people from one geographical area to another, involving permanent or temporary residence or settlement. There must be a reason or reasons of migration-either something is chasing the individuals away from their present location or there is an attraction to where they are going to. What are these influencing factors?

1. Natural disasters: The occurrence of Natural disasters like floods, famines, drought, earthquakes etc, could make people to migrate out of place to another.

2. Physical conditions: The physical conditions of a place such as climate, soils, relief may also be responsible for the migration of people, especially when such conditions are unfavorable.

3. Insecurity: Fear of insecurity arising from war, political instability etc, could make people migrate.

4. Differences in economic opportunities: As a result of these, people tend to migrate to where there are more economic opportunities like jobs and business transactions.

5. Change in status: Changes in status, eg, high level of education and wealth, could make people to migrate, eg, from rural to urban centers.

6. Differences in social amenities: Owing to difference in the availability of water, roads, electricity etc. people tend to move to where these amenities are present.

Migration has great advantages as it reduces population pressure on agricultural land at the source region; reduces population pressure on social amenities at the source region; supplies migrant labor at the receiving region; ensures the flow of capital to the receiving region; leads to the development of social amenities at the receiving region; boosts markets at the receiving region and promotes cultural integration eg, inter-marriage at the receiving region. On the other hand, it could be disadvantageous as it breeds social vices like crime and drug dealing in the receiving region; increases high cost of living at the receiving region; leads to pressure on social amenities at the receiving region; leads to the loss of able-bodied men and youth at the source region; leads to congestion in housing and transportation at the receiving region; leads to decline in production at the source region and it leads to cultural disintegration at the destination region.

Solutions to rural-Urban migrations

One of the major forms of migration that tends to create problems in all developing countries is that of rural-Urban migration. Since we recognize that this form of migration is a major problem, solutions have to be provided in order to prevent the occurrence of over population at the receiving regions. The solutions to the problems of rural-Urban migration include:

1. Provision of social amenities: The provision of social amenities such as water, electricity, cinemas, roads and telephones in rural areas will go a long way in reducing the rate at which youth move to Urban areas.

2. Transportation of traditional agriculture to modern agriculture: This will enable the youth to engage in agriculture as the system will make farming interesting.

3. Establishment of Industries: The establishment of industries, projects and businesses that will absorb the rural working population and reverse labor movement will …

A Thought While Translating a Korean Basic Certificate

I understand if you haven’t heard of ‘Basic Certificate.’ I was, too, totally unaware of its existence for the first thirty plus years of my life. Only after I was assigned to translate the document did I have to look up what it was and found out. This article will give a brief explanation of the document and a small lesson I learned from translating it.

It is a legal document issued by the government of Korea since 2008. The name of the document is self-explanatory. It displays the most basic information about the applicant, and, of course, certifies that he or she is a Korean citizen. It starts with the name of the applicant followed by the date of birth, ID number to which every Korean is assigned at birth, and sex. A bit more detail is listed below, such as the place of birth (often the name of the hospital), the date of registration, the person applying for registration, and a state government who accepted the registration. Up to this point it might sound very much like a birth certificate but it isn’t. Korea has its own form for birth certificate. It is what follows after the information mentioned above that separates itself from others. Depending on the purpose of the document, it can contain extra information such as change of name, change of nationality or else. It is not a complex form and is often done in a single sheet. The document replaces and improves another form of document which has been very familiar to Koreans for decades. Legality and complexity behind the reason as to why the country had to make such a big step on getting rid of the previous form which Koreans have been too accustomed to might be beyond the scope of this article. Instead, I would like to finish by sharing what I realized while translating this document.

Being Korean myself, I was reminded while doing a research on this basic certificate that I know very little about legal system of my own country. Quite frankly, why this document had to replace the old one was beyond my ken, and it is why I could not further elaborate above. Of course, as a translator I am not obligated to know the whole story. I just have to translate the words to appropriate English ones and I’m justified. It was, however, an opportunity for me to think about something: when it comes to something legal, how much is done in my life with full trust without having a slightest clue. It is quite a flimsy life.…