Sunday, October 13, 2019
Privacy vs. Security Essay -- USA Terrorism Iraq Bush Patriot Act Essa
Privacy vs. Security Introduction Pictures seen in homes across America and throughout the world of American symbols in flames and crashing a quarter mile to the ground changed the world forever. The world's last and only superpower had been attacked in a way only conceivable in a Hollywood script. However, the physical destruction that resulted was not necessarily the biggest loss that the United States faced. The emotional destruction of Americans could be considered much greater and can be captured in one word: "fear." Because of this fear, most Americans were more willing to sacrifice many of the freedoms that make this country great in exchange for added security. United States citizens were much more concerned about their security than their freedoms. As the President declared war against terrorism, an implicit war was declared against some of our freedoms. In particular, most Americans were more willing to let the government into their lives and forfeit some privacy in the name of increased security. The events of September 11, 2001 affected not only the United States, but the entire world as well. After the fall of the Soviet Union, the world was left with one remaining superpower. The United States proved in Afghanistan and Iraq that it has the power to defeat an entire country in a minimal amount of time and without losing many of the lives of its own soldiers. However, is it legal to do these acts? Is it the right thing to do? Not only is the United States government interfering with the freedoms of its own citizens, but it is also imposing its own standards and freedoms on people around the globe. Though the United States has shown that it has the power to do so, is the security of the American people para... ...chive.aclu.org/issues/privacy/hmprivacy.html> 3 "Privacy and Human Rights: An International Survey of Privacy Laws and Practice", Global Internet Liberty Campaign, 21 Jan. 2004 <http://www.gilc.org/privacy/survey/intro.html> 4 "Surveillance Under the "USA/Patriot" Act", American Civil Liberties Union, 2002, 22 Jan 2004 <http://archive.aclu.org/issues/privacy/USAPA_surveillance.html> 5 Timothy Lynch, "More Surveillance Equals Less Liberty: Patriot Act reduces privacy, undercuts judicial review", 2003, 20 Jan. 2004 <http://www.cato.org/research/articles/lynch-030910.html> 6 "United States of America", Global Internet Liberty Campaign, 21 Jan. 2004 <http://www.gilc.org/privacy/survey/surveylz.html#USA> 7 "USA Patriot Act" United States Senate, 2001, 20 Jan. 2004 <http://www.epic.org/privacy/terrorism/hr3162.html> Privacy vs. Security Essay -- USA Terrorism Iraq Bush Patriot Act Essa Privacy vs. Security Introduction Pictures seen in homes across America and throughout the world of American symbols in flames and crashing a quarter mile to the ground changed the world forever. The world's last and only superpower had been attacked in a way only conceivable in a Hollywood script. However, the physical destruction that resulted was not necessarily the biggest loss that the United States faced. The emotional destruction of Americans could be considered much greater and can be captured in one word: "fear." Because of this fear, most Americans were more willing to sacrifice many of the freedoms that make this country great in exchange for added security. United States citizens were much more concerned about their security than their freedoms. As the President declared war against terrorism, an implicit war was declared against some of our freedoms. In particular, most Americans were more willing to let the government into their lives and forfeit some privacy in the name of increased security. The events of September 11, 2001 affected not only the United States, but the entire world as well. After the fall of the Soviet Union, the world was left with one remaining superpower. The United States proved in Afghanistan and Iraq that it has the power to defeat an entire country in a minimal amount of time and without losing many of the lives of its own soldiers. However, is it legal to do these acts? Is it the right thing to do? Not only is the United States government interfering with the freedoms of its own citizens, but it is also imposing its own standards and freedoms on people around the globe. Though the United States has shown that it has the power to do so, is the security of the American people para... ...chive.aclu.org/issues/privacy/hmprivacy.html> 3 "Privacy and Human Rights: An International Survey of Privacy Laws and Practice", Global Internet Liberty Campaign, 21 Jan. 2004 <http://www.gilc.org/privacy/survey/intro.html> 4 "Surveillance Under the "USA/Patriot" Act", American Civil Liberties Union, 2002, 22 Jan 2004 <http://archive.aclu.org/issues/privacy/USAPA_surveillance.html> 5 Timothy Lynch, "More Surveillance Equals Less Liberty: Patriot Act reduces privacy, undercuts judicial review", 2003, 20 Jan. 2004 <http://www.cato.org/research/articles/lynch-030910.html> 6 "United States of America", Global Internet Liberty Campaign, 21 Jan. 2004 <http://www.gilc.org/privacy/survey/surveylz.html#USA> 7 "USA Patriot Act" United States Senate, 2001, 20 Jan. 2004 <http://www.epic.org/privacy/terrorism/hr3162.html>
Saturday, October 12, 2019
Causes of the American Revolution :: Essays on American Revolution
During the late seventeen hundreds, many tumultuous events resulted in Colonial opposition to Great Britain. The conditions of rights of the colonists will slowly be changed as the constriction of the parliament becomes more and more intolerable. During the Seven Years' War England was not only alarmed by the colonists' insistence on trading with the enemy, but also with Boston merchants hiring James Otis in order to protest the legality of the writs of assistance (general search warrants) used to hunt out smuggled goods. "let the parliament lay what burthens they please on us, we must, it is our duty to submit and patiently bear them, till they will be pleased to relieve us....". This is a very strong dictum, that in 1764, the colonists were of a submissive nature, and were weakly pleading for self-autonomy. This small fire of anger will become a huge conflagration as the rights are slowly rescinded. On October 19, 1765 the Stamp Act Congress and Parliamentary Taxation committee's passed some laws that attempted to strengthen the grip of the English crown. "I.That his Majesty's subjects in these colonies, owe the same allegiance to the Crown of Great Britain that is owing from his subjects born within the realm, and all due subordination to that august body, the Parliament of Great Britain." This statement can be used as a summation of the entire document that the Stamp Act Congress had initiated. The statement depicts the colonists has having to be submissive and servile in the view of Great Britain, this policy angered the colonists very much, and was another component of the transition of the colonists' rights and liberties. When the Declatory Act was passed in March of 1766, many colonies were attempting to claim that they were "seceding" from England. "Whereas several of the houses of representatives in his Majesty's colonies and plantations in America, have of late, against law, or to the general assemblies of the same, the sole and exclusive right of imposing duties and taxes upon his Majesty's subjects in the said colonies....be it declared ...., that the said colonies and plantations in America, have been, are, and of right ought to be, subordinate unto, and dependent upon the imperial Crown and Parliament of Great Britain;". The Parliament of course denounced the attempt at independance and still dogmatilcally passed the following law to show that the colonists were still british subjects. Again, the colonists were infuriated and later will resist the british imperialism on the colonies. "All before, are calculated to regulate trade, and preserve prpromote a mutually beneficial intercourse between the several constituent parts of the
Friday, October 11, 2019
Lenovoââ¬â¢s Five Industry Forces Essay
In recent years, competition in the IT market economy has turned fierce. To survive competition, all organizations need to be fully aware of the prevailing business environment and industrial forces to ensure that their products conform to the customerââ¬â¢s expectations as the taste and choice of the customer changes rapidly over time. Lenovo has utilized unique competitive marketing strategy over the years to achieve rapidly increasing share of the market. Its products are reliable, durable and of high quality, but there is always a great deal of threat from leading competitors in the market. Recent weakening of the US economy, falling dollar value and fierce competition among rivals are some of the irritants to Lenovoââ¬â¢s growth. As a global leader in the PC market, Lenovoââ¬â¢s success rests on its ability to deliver consumer centric innovations in products that deliver a blend of mobility, performance and price. Analysis of marketing research data so collected indicate that all organizations need to be in touch with their business market environment and feel the pulse and ever changing expectations of customers. Lenovo is a business that is built on product innovation, a highly efficient global supply chain and strong strategic execution. Its products range from exceptionally engineered laptops, ultrabooks, tablets, desktops and servers. According to research, for businesses to understand adequately the nature of the competition and the industry forces that they face, they must define their market accurately by recognizing a broad base of its competitors. Major dominating competitors of Lenovoââ¬â¢s personal computers division are Apple Inc., Hewlett-Packard and Dell. Lenovoââ¬â¢s strategy is to develop latest PCââ¬â¢s that are efficient, light in weight with latest features and of course with low competing price as there is cut throat competition in the market. With innovativeness, entrepreneurial spirit and teamwork across various cultures, Lenovo has captured the global market and positioned itself within a short life span as a next generation global company of PCââ¬â¢s. The general state of national as well as international economies effect profoundly the performance and prosperity of a company as economies are rarely stable and ï ¬âuctuate quite often. Poor economic conditions make the environment more complex and managersââ¬â¢ jobs more difficult and demanding. The global recession that occurred in 2009 and the fall in global demand and the slow down in economic growth translated into a substantial reduction in global trade. As we already know, it affected the cross-border trade of virtually all countries and economic sectors and some industries are still battling with high inflation. Research shows that while Lenovoââ¬â¢s rivals are outsourcing, its in-house production has helped Lenovo stay upbeat with the competition by lowering their prices which is a key advantage to grow economically. Technology development impacts substantially on peopleââ¬â¢s lives and companiesââ¬â¢ fortunes. In a highly competitive global marketplace all organizations need to be fully aware of the prevailing business environment and at the same time ensure that their products are upcoming conforming to the customerââ¬â¢s expectations that change rapidly over time. Lenovo has utilized unique competitive marketing strategy over the years to achieve rapidly increasing share of the IT market by introducing new and innovative products to its consumers including the state of the art portable lightweight notebooks, tablets and thinkpads. Customer behavior is influenced by sociocultural background such as use of language, use of colors, presentation styles and acceptance and trust inspired by the presented product. In addition, the earning capacity of the target customer group also determines their buying behavior. Lenovo have a strong foundation in place having established their products available worldwide exclusively for customers from different sociocultural and income level backgrounds Taking a cue from the demographic segmentation, manufacturers can design products that are relevant to a majority of the target market. The changing lifestyle trends require innovating or transforming the existing product to keep up with their needs. Changes in populations in terms of their size and characteristics are thus very important to managers as it helps to predict the size and growth rates of markets, and the need for specific products. Lenovo originated in China and has expanded its operations worldwide by focusing on the demographics of different countries by targeting younger generation for their latest X1 Carbon which is their latest light design ThinkPad. Lenovoââ¬â¢s growth also comes from small towns, not just big cities Political and legal environment inï ¬âuences the marketing decisions since business functions as per the set rules by the concerned government (s). China may be the second largest trading partner of the U.S., but the road to this increasingly close relationship has not been an easy one. Despite the differences in political systems in the two countries: centralized political system in China and a federalist political system in US, business interactions between the Lenovo and it US partners as well as customers has grown overtime. Lenovo has utilized this to its advantage to stay competitive in the IT market by utilizing cheap labor and other operational costs from China and relying on advanced technological from its US partners. Thereby, Lenovo is able to supply superior quality laptops, tablets to its customerââ¬â¢s world-wide a relatively lower price. Lenovo is one of the fastest growing PC companies today and it is an excellent choice of industry to enter in. According to research, as per its sale records in the market, it is considered the worldââ¬â¢s second-largest PC vendor serving customers in more than 160 countries. Lenovo has built its business on product innovation, efficient global supply chain and strong strategic execution. Even in tough and highly competitive environment, the company is thriving well reaffirming that the company is executing its plans well and it continues to deliver excellent industrial growth. Lenovo excelled in their business since in the last year as they earned $8 billion in revenue and $141 million as net profit. This year company is progressing aggressively as Lenovoââ¬â¢s first quarter recorded highest market share of 15 percent and profits up by 30 percent. They are taking appropriate risks by introducing new products to the target market and it looks like they have adopted the business concept very well. Given Lenovoââ¬â¢s continued growth over the past several years, I do believe that it is a good industry to enter. In order to make right business decisions, Lenovo seems to have carried out extensive research and analysis on demographic segmentation in identifying the target population for it various products across the globe. As such Lenovo has in its cabinet a product matching with varied tastes, preferences, beliefs, temperaments, price etc. of different population groups. Depending upon the population strata targeted it has devised specific marketing strategies. References Fletcher, Owen. (October 13, 2011). Lenovo passes Dell to become worldââ¬â¢s No 2 PC maker. MarketWatch, The Wall Street Journal. Retrieved on November 10, 2012, from http://www.marketwatch.com/story/lenovo-passes-dell-to-become-worlds-no-2-pc-maker-2011-10-13 Loretta Chao. (July 9, 2012). As Rivals Outsource, Lenovo Keeps Production In-House. The Wall Street Journal. Retrieved on November 10, 2012, from http://www.ecommercejobs.com/2012/07/lenovo.pdf Ling, Zhijun (2005). The Lenovo affair: the growth of Chinaââ¬â¢s computer giant and its takeover of IBM-PC. Retrieved on November 10, 2012, from http://books.google.com/books?id=Mg7TdU9E3d0C&printsec=frontcover&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false Wang, et.al. The Strategic Marketing Management Analysis of Lenovo Group. The Journal of Global Business Management. Retrieved on November 10, 2012, from http://www.jgbm.org/page/19%20Wang%20Wen%20Cheng%20.pdf Jones, Gareth R. and George, Jennifer M. (2013). Essential of Contemporary Management. Pg 126-129. Lenovo. Retrieved on November 10, 2012, from http://www.lenovo.com The future is here ââ¬â Lenovo. (July 1, 2010) Retrieved on November 10 2012, from http://www.lenovo.com/ww/lenovo/pdf/report/E_099220100628a.pdf
Thursday, October 10, 2019
Tapsihan
KAHITSAN (Sizzling Tapsihan) By: Camille Hazel Diaz To: Ms. Girlie L. Fernandez A thesis submitted in Partial Fulfillment of the requirements for the bachelor of Science in Business Administration Major in Marketing Management ABE International Business College-Fairview March 20, 2013 INTRODUCTION Tapsilogâ⬠is an original dish of the Filipinos which became a favorite since it was first created. ââ¬Å"Tapâ⬠means tapa, ââ¬Å"Siâ⬠means sinangag or fried rice and ââ¬Å"Logâ⬠for itlog or egg. This kind of food is popular for Filipinos due to its tenderness and tastiness with the combination of fried rice and egg.Kahitsan is small eatery concept offering high quality yet affordable traditional Filipino food. It was originated from the word ââ¬Å"Kahit Saanâ⬠, the word we used to hear every time we ask someone where they want to eat. This concept was build to let the people know that Kahit Saan also exist as a small eatery providing wide varieties of filipin o dishes. Kahitsan is located at the eastern end of Claro M. Recto Avenue due to high density of colleges and universities found in the area.It serves a variety of mouth-watering Sizzling Silog Meals such as TapSiLog, ToSiLog, CornSiLog, SigSiLog, PorkSiLog, BurgerSiLog, HotSiLog, ChixSiLog, and LongSiLog with a combination of Bulalo Soup. The gravy made it even more delicious and serves it on a sizzling plate. We offered a delicious and affordable price that gives a satisfaction to our customer that they surely get what they paid off. THESIS STATEMENT Nowadays, people tend to eat outside due to busy days. Some students were not able to bring their own ââ¬Å"baonâ⬠especially colleges. KahitSan provides services to valuable customers.Our main target market are students and other professionals who work near into our location. Kahitsan maintains product consistency to provide the customers the same high quality they received every time they go to our place. Our strategy is to bu ild more customers in order to increase revenue. Unlike other small eatery, kahitsan have separate take-out counter for those customers who prefer to eat at different place, this will also be an advantage because kahitsan will be able to receive additional income even the place were full of customers. We also provide loyalty cards for an effective way of increasing sales from a specific customer.This card will be showed when they order to us. Effectiveness of this card is due to the provided sense of and it additional value to customers gives the feeling of value. SALES TECHNIQUES Kahitsanââ¬â¢s strategy is based on delivering a strong customer value proposition in a niche market. Our location is full of colleges and professionals that do not have endless opportunities for dining out. Our competitive edge is to be the first eatery ââ¬Å"tapsiloganâ⬠along Claro M. Recto Avenue, in a friendly, non-smoking, customer-oriented dine in experience and first to have its separate t akeout counter.To drive customers to Kahitsan, we will employ several techniques outlined below. * Coupon ââ¬â coupon will be given to people who passed by our store to inform them about our menus. * Flyers will be used for the advertisements which bring in customers. * (Word of Mouth) Encourage customers to become regular customers, and to tell all their friends and acquaintances about the great experiences and time that they shared to us. * Facebook Fan Page is an essential tool to promote my business. * Barkada Meals good for 3 to 5 persons. SALES OPERATION/SERVICESKahitsan will be operating for 14 hours from 7am in the morning up to 9pm in the evening. Weââ¬â¢ll be planning to open our store ahead from our competitors so early risers will tend to eat breakfast in our place. Our products will be served fast and ready to consume and will be an alternative to the usual fast-food options available in today's market. Kahitsan will not operate its business on Sundays to give ou r employees a rest. Checking of inventories on Sundays will be an advantage so we will know the food supplies we need to replenish for the whole 6 days operation. Take-out counter ââ¬â Kahitsan will be providing a separate takeout counter for those customer who wants to buy our products and serves as ââ¬Å" pasalubongâ⬠for their families, friends and colleague * 15 tables (good for 4 persons) ââ¬â Kahitsan will be having 15 tables with a minimum of 4 chairs each table to suits those customers who came with their friends. It is better to provide a large no. of tables instead of a few which pushed the others to find another place instead of waiting others to finish eating. POS (Point of sale) system ââ¬â All sales data will be logged on our POS system so we can track our sales automatically instead of just writing it on a paper. * Loyalty cards: After 10 meals purchased, the 11th will be less 50% discount. * Bulletin Kahitsan ââ¬â kahitsan will be announcing som e promos to be posted in our bulletin. MENU: Tapsilog P40. 00 Chicksilog P45. 00 Hotsilog P40. 00 Sigsilog P45. 00 Barkada Meal P95 Silog MealsPriceDrinksPrice TosilogP40. 00 Coke 8ozP12. 00 Cornisilog P40. 00Coke 1L P30. 00 LongsilogP40. 00Mountain Dew P20. 00 Burgersilog P45. 0Mineral Water P12. 00 Porksilog P45. 00Water P0. 00 PROFIT SALES: per dayper month Tapsilog P40 x 30 = P1200 P32400 Longsilog P40 x 8 =P320 P8640 Hotsilog P40 x 7 =P280 P7560 Cornsilog P40 x 5 =P200 P5400 Tosilog P40 x 5 =P200 P5400 Chicksilog P45 x 20 =P900 P24300 Sigsilog P45 x 25 =P1125 P30275 Porksilog P45 x 10 =P450 P12150 Burgersilog P45 x 10 =P450 P12150 Barkada Meal P95 x 5 =P475 P12825 Extra Rice P8 x 80 =P640 P17280 Coke 8oz P12 x 10 =P120 P3240 Coke/Sprite 1L P30 x 5 =P150 P4050 Mountain Dew P20 x 3 =P60 P1620Mineral Water P12 X10 =P120 P3240 TOTAL GROSS SALES:P6690 P180630 EXPENSES: EquipmentsP25000 Rent ExpenseP12000 Salary ExpenseP25000 Food Supplies ExpenseP55000 Utilities ExpenseP4000 Miscell aneous ExpenseP10000 TOTAL:P121000 SALESP180630 Less:EXPENSESP121000 NET PROFIT:P59630 (monthly) CONCLUSION: KahitSan is strategically located at Claro M. Recto Avenue serving not only large no. of students but professionals as well. KahitSan will be providing a hassle free service to all our valued customer especially for those who finds place to eat and just relax for a little time.Our main goal is to gain more customers and retain those that patronize our service by giving them an excellent customer service. Responsible profit will fairly compensate and reward employees for their hard work, loyalty and commitment. Kahitsan will find different ways that will make our customers satisfied with our service. The market will definitely respond and grow quickly on the next 3 years and establish 2 store locations in different place. BIBLIOGRAPHY http://www. bplans. com/healthy_restaurant_business_plan http://www. entrepreneur. com. ph/board/index. php? action=search2 http://en. wikipedia . org/wiki/University_Belt
Wednesday, October 9, 2019
B.F. Skinners theory of punishment Essay
When you think of punishment and reward you think of a reaction; but man has come up with theories of why we do the things that we can do. Conditioning and learning is defined as change in behavior, which is resulted by different types of practices and experiences. In this report the main topics will be classical conditioning, operant conditioning, cognitive-social learning, and neuroscience and evolution. Every time we do something good or bad the outcome determines our reactions in future situations. This learning process that is associated between environment stimuli and behavioral responses. Breaking down the rewards system you come along reinforces and reinforcement. Both are good ways to get a conditioned response. First we primary rein forcers, this increases the chance because it satisfies a need for sex, food, and water. Secondary rein forcers increase the probability of a reaction because of value, money, and possessions through learning. Positive reinforcement is a reward that adds stimulus to increase chances of responses. Positive reinforcement would be a paycheck for a job well done. Negative reinforcement is the exact opposite removing or taking away stimulus of the action not occurring again. The two types of conditioning we are covering is classical and operant. Conditioning is learning through repetition of exercises of rewards or punishment to get a response. The pioneer scientist in classical conditioning is Ivan Pavlov. Classical conditioning is also known as a Respondent or Pavlovian conditioning. Classical is also involuntary which is one of the major differences from operant conditioning. Classical conditioning happens when an unrelated response through association with a stimulus that already makes a similar or related response. An example of classical conditioning is for some people when you hear the sound of running water you need to use the bathroom. The other types of conditioning are Operant, also called Instrumental and Skinnerian conditioning. In operant conditioning the punishment, reward, or in other words outcome is important. That adds to the probability that the act will be repeated or not. Operant conditioning is where consequences of aà particular behavior are described on the repetition of that same behavior. B.F. Skinnerââ¬â¢s experiment of operant conditioning was a cat in a puzzle box. The only way the cat could get out was to pull on a rope; at first the cat did it by mistake. As the experiment went on the catââ¬â¢s behavior became more and more purposeful. Soon the cat learned that the door opened immediately for his food. Skinnerââ¬â¢s theory of reward was called positive reinforcement, and his theory of punishment was known as negative reinforcement. Reinforcement always increases the strength of the preceding behavior. Skinner was credited with the law of affect meaning an action will be repeated if it is rewarded. Another type of operant conditioning is called, Extinction. Extinction is a particular behavior that is weakened by the consequence of not experiencing a positive condition or stopping a negative condition. So far this report has broken down stimulus and observable reward and punishment behavior. Overall, some scientists believe the behavior cannot be explained by these theories alone. So next we come to cognitive social theory. Unlike Skinnerââ¬â¢s black box theory, German psychologist Wolfgang Kohler wanted to look deeper inside the box. Kohler believed that solving a complex problem was responding to the stimuli in a trial and error statement. One of his experiments was with using a chimpanzee to try and find his way out of a cage and luring to reach a banana from the ceiling by using itââ¬â¢s insight to grasp the banana. Kohler tried the experiment again with another chimp placing him in the cage with two sticks this time and placing the banana farther then itââ¬â¢s grasp. The chimp lost interest in the banana when it was farther but then realized he could use the two sticks to extend his reach, allowing it (the chimp) to obtain the banana. Kohler called this a, learning insight. To wrap up this report we learned that the different types of conditioning are based on reward and punishment and they all have their own different theories and they are still being tested and experimented today.
Tuesday, October 8, 2019
Payroll System and Internal Control Essay Example | Topics and Well Written Essays - 2000 words
Payroll System and Internal Control - Essay Example aintain a list of the names, addresses and necessary information among others especially of the employees working within the organisation (Lambert, 2005). The importance of maintaining a payroll system lies in keeping a track upon certain specific data especially of the employeesââ¬â¢ which include their salary and incentive structure, pension plans, union membership status and taxes along with the method of calculation regarding the pays of the employees by taking into consideration the available employee data. Payroll systems are mainly implemented by using different software in order to calculate the employeesââ¬â¢ net pay from various deductions according to the norms and policies of a particular organisation (Mohammed & et. al., 2007) In relation to payroll system, payroll records are usually used or implemented in order to keep a proper record regarding the hours worked by the employees in an organisation on a monthly basis. Apart from the payroll records, a payroll ledger is also used in relation to payroll system. A payroll ledger is a kind of a table that shows the calculated pays of the employees along with the month in which they earned the pay (Mohammed & et. al., 2007) In relation to payroll system, an internal control can be regarded as ââ¬Å"a procedure of control and checking various levels of management in terms of financial and non-financial actions or operations of a particular business within an organisation in order to make sure that the business actions or operations are conducted successfullyâ⬠(Trenerry, 1999). The internal control of a business within an organisation also focuses towards the procedure of management decision making along with meeting all appropriate legal procedures that eventually leads towards the improvement of any business organisations (Hightower, 2008). The importance of internal control within an organisation lies in a few of the factors that include attaining successful business operations, controlling the business
Monday, October 7, 2019
Fiscal policy and the US economy Essay Example | Topics and Well Written Essays - 1250 words
Fiscal policy and the US economy - Essay Example 'Auerbach and Feenberg (2000) have estimated that automatic tax stabilizers offset about 8% of the impact of an economic shock to GDP.'(Economic Research and Data. The Role of Fiscal Policy. 2002) Mere anticipation of projected fiscal action can have an impact on the U.S. economy. Households and business enterprises will operate their individual spending habits based on both present economics as well as future economics. For instance, a tax cut will leave households will more disposable income, however, if the tax cut is looked upon as a temporary measure it will not contribute to increased consumer expenditure. Similarly, investment tax credits which will only lower the cost of investment ventures on a temporary basis will likely encourage investors to time their spending so as to capitalize on the tax credit initiatives. It is therefore imperative that fiscal policy be considered and conducted in such a manner as to take into consideration the likely impact of both the current and future implications. 'When expectations of future fiscal policy are important, "expansionary" fiscal policy-an increase in government spending, for example-may actually be contractionary'. (Economic Research and Data. The Role of Fiscal Policy. ... It can also influence financial markets to anticipate future tax hikes. The implications are detrimental to the general economy. As a result, long-term interest rates will go up, investors will hold back somewhat on investments thereby circumventing the government's intended expansionary effects of its spending. During the country's recession of the 1990-1991 fiscal year the President Bill Clinton's Council of Economic Advisers (CEA) made a similar observation: 'an attempted stimulus that abandoned, or was perceived to abandon, serious discipline on the growth of future spending or on the reduction in the multiyear structural deficit probably would produce a substantial rise in interest rates. That would offset a large portion of the direct stimulus in the short run and would leave the economy thereafter with a higher cost of capital, which would be detrimental to investment necessary for long-run growth.'(US President. 1992. p.25) According to Alesina, Perotti and Tavares a reduction in deficits are more likely to be expansionary when they entail government spending cuts and government salaries as well as transfers. These cuts have the effect of indicating decreases in government spending activity on a permanent basis and as a result there is a general public perception that taxes will be decreased in the future. On the other hand, decreases in the deficit which are accomplished via tax increases appear to be 'contractionary'.(Alesina. 1998. pp-197-248. The US government's role in the nation's economy cannot be accomplished by merely regulating its fiscal spending and management. The government can only achieve the best results possible for the good of the US
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