Critical Analysis Essay about economic issue Example | Topics and Well Written Essays - 750 words - 2

Critical Analysis about economic issue - Essay Example Although the time is still unclear, if current impressive growths of the Chinese Economy continue for the unforeseeable future, there is no doubt that the Chinese economy will be the largest in the World (Finn, 43). The World Bank statistics compared the economies of the US and China in 2012 using nominal GDP figures. In 2012, the World Bank valued the US economy at $16 trillion. On the other hand, it estimated the Chinese economy at $8 trillion, half the size of the US economy (Finn, 43). Some economists used these statistics to conclude that the China will not be in a position to overtake the US as the largest economy in the world. However, these estimates may be misleading, as they do not take into account the fluctuations of the exchange rates. To compare these two economies by nominal GDP size, analysts must convert the size of the Chinese economy from Yuan to dollars using the market exchange rates. As a result, this method ignores the fluctuation of the Yuan to the US dollars. In addition, the US treasury and some economists believe that China undervalues its currency to improve its competitive advantage in international trade. Currency devaluation makes a country’s exports cheaper, while imports become expensive. This encourages exports while discouraging imports therefore, creating a positive balance of trade. If indeed the China undervalues its currency, it follows that estimating its size using the US dollars will considerably understate the size of its economy. As a result, the Chinese economy may be larger than nominal GDP figures estimate. Besides devaluing a currency by, for instance 10%, does not portend a decline in the economy by 10%. National Intelligence Council (16) states that a better way to compare the size of the Chinese and US economies is by the use of Purchasing Power Parity (PPP). PPP rates consider the different costs of goods in various countries.

Management of Decision Making Essay Example | Topics and Well Written Essays - 3500 words

Management of Decision Making - Essay Example SSM being a user centered design approach concentrates mainly on the people involved with the problem and focus on the specific problems secondarily. It also aims at analyzing the problem from different perspectives. SSM provides an effective and efficient way to carry out an analysis of the processes in which technological processes and human activities are interdependent. This paper envisages making a case study of the problems faced by stake holders and various other entities dealing with a particular branch of a Local bank and how SSM approach provides a solution to the problem identified: SSM involves various key stages in its implementation like, identifying and defining the problem situation and expressing them in the context of relevance to human factors involved, creating relevant root definitions and thereby evolving conceptual models measuring performance. Such models created would then be compared with the real world to assess the requirement of any desirable or necessary changes and finally recommending the corrective action to be taken. To understand and deal with the structured problem one should have answers to such questions as who are the key players, what their perception of the situation is, what processes are going on now and what the organized structures are: In our example the basic details about the organization Bank Muscat must be studied to apply SSM. Bank Muscat is the largest Bank in Oman with a strong presence in consumer banking, corporate banking, Investment Banking, Asset Management, private banking and project finance. The bank has a network of over 90 branches in Oman and a representative office in Dubai. Bank Muscat has interests in India and Bahrain. The Brach is headed by an efficient manager of the Bank Mr.Salim Ali Al Busaidi and assisted by Assistant Manager Nawal Salman Al Rawabi with additional staff to