Economics

The current global economic recession has severely impacted negatively on third world countries. The effect is driving many countries to employ stringent measure that are purposely designed to protect various industries whose survival relies on governmental loans and grants. Likewise, small and medium investors have also been severely affected. Lack of prior planning, poor organizational structures and lack of a clear cut vision, too has played a significant role to destabilize the financial base of these institutions. On a political approach, most governments due to the effects of global credit crunch, weak economies and unstable foreign markets, have resulted to market protectionism. According to Faye (2009) claim that, Financial crisis being the major issue that is being addressed across the world today have steered many institutions to a tight and unpredictable situation.
Hence, various measures are being explored in order to establish the objectives, goals and initiatives that would help in implementing organizational strategies by governments and individual institutions. This process is being designed to define how policy makers in various arms of both civil and private sector ought to handle finances as the global recession continues to fuel poverty in several countries. Thus, global recession being an issue that have grappled the entire globe, politicians, trade partners and policy makers more than ever before are routing all industrial players to identify key strategic objectives that will assist in setting and formulating definite directions, such as streamlining financial and human resources in order to ensure quantifiable and measurable objectives that would help in stabilizing the already weak economy.
More so, to avoid financial pitfalls, evaluation of management processes, has been brought to focus; likewise internal assessment is another vital strategy that is being explored in order to back roll the economy on track. Thus, organizational accountability, resources management, and comprehensive financial and management are core areas that are being regarded as sure channels of boosting investment as well as broaden external and internal trade relationship among different players. Considering that economic issues are those which are in line with production, distribution as well as the use wealth and income, this coupled with political issues defines the reasons why economic reformers think there is a variance sandwiched between our desire for financial increase and our need for monetary parity.
Analytically, economic, political and social issues have acquired a significant role in that, even the Verifiability, objectivity, lack of bias, impartiality, and precision all have acquired distinct connection. And reliability has become the ultimate goal of the policy makers. All in all, politically, adequate funds are being pumped into comprehensive utilization, targeting broad financial investments. This is said will allow flexible financial planning without causing any social or environmental interference.
Additionally, unemployment, too, has become a global issue that is affecting a significant percentage of the global population. Being a factor that is influencing the economic growth, various institutions are adequately funding key initiatives in an attempt to address this issue positively. As an economic issue, it has been noted that most governments and private investors are employing well defined organizational and management processes, this is being contributed to the fact that, there are no new markets and the cost of production is rising rapidly, meaning more people are losing jobs and companies are closing. To balance the equation of unemployment and sustain sound financial base, it has been established that integrating various financial factors in relation to small and medium investors, the unemployment crisis can b e stopped on its track.
However, inflation is also playing a crucial in creating unemployment; nevertheless, most countries are attempting to create conducive investment climate that is more attractive and friendly to local and foreign investors in order to create more jobs. This is being enacted through withdrawing bureaucracy and stamping out endemic graft in public services. According to recent opinion research poll released by a leading media house in USA, a significant number of the respondents indicated that unemployment is the most central economic issue that is plaguing the country.
Likewise, compared to other mega economies like Japan, Britain and china, unemployment ratio is rapidly gaining momentum. For instance, the US government is said to have launched a fiscal economic stimulus package, which is designed to reverse the economic slump including creating new jobs while protecting tax liabilities for low revenue earners, including microfinance's and credit schemes for petite investors. Hence, focus on global promotion of such areas as agriculture, forestry and fisheries has been hailed in some countries as a positive step towards creating strong economic base which will resultants effects is calculated in terms of employment globally (Robert, 2000).
Therefore, policies adapted to boost effective demand have been indicated to play an important rule in streamlining the various elements that propel global economy. This policies are being taunted as the best measures o reduce the rate of unemployment, minimize inflation rate across the globe. It is clear of any outline of a reservation that changes in the mechanism of valuable demand manipulate the way the unemployment rate fluctuates in existing economies around the world. However, over the previous decades, a number of hypothetical models emerged, every one claiming to have stroked upon an explanation to the widespread problem of unemployment. In inspection of these developments, the accessible connection between effective demand and unemployment seemed to have been vanishing into forgetfulness (Mutura, 2004).

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