An example of this is the changing to legislation of intellectual property rights, altered the accessibility of medicines to the developing nations which were previously restricted, and lacking proper accessibility to treatment. The acronym TRIPS plays a vital role in understanding the success of this concept, it stands for World Trade Organisation’s Trade Related Aspects of Intellectual Property Rights. Administered by the World Trade Organsiation, it makes sure that a nation reflects the intellectual property rights within their domestic laws. Before TRIPS was enforced, most developed nations enforced intellectual property rights, yet many developing nations did not. Whilst this meant that that medicine prices were lower, for blah
Some of the things that he set out to do from the beginning of his term turned out to be a success but some of them were also failures. Some successes of Ronald Reagan’s presidency include his objective to restore the U.S armed forces. Reagan had great success in his foreign and defense policies. He was also able to put an end to inflation with supply-side economics. And he was able to lower income taxes for all, especially for those in the higher bracket.
The main change faced by researchers is the relatively few studies conducted on capital structure determinants in the GCC. Another is that countries in the GCC operate in a tax free environment. This eliminates the tax free advantage in determining capital structure as pointed out in the trade off theory (Hait, 2012). Apart from the tax free environment, firms operate in an environment that makes them unique from other emerging markets. For example, capital markets are less developed than other emerging markets (Bley and Chen, 2006).
Even if the outcome of the Round was a clear one, it would be very hard to identify its effects on 'developing countries' in general terms. The general outcome could be described as favourable to the sum of the developing world, with only TRIPs and the restrictions on future sovereignty of trade policy posing negative effects. But the advantages seem to be clearly for the most advanced of the developing countries, which already have developed basic services to offer and greater possibilities of attracting potential foreign investments. The new regime in services and anti-dumping would, however, offer gains to the least developed countries in the long-run, as long as they become more efficient in exporting the former or become more vulnerable to the
This would be the case of very low inequality countries, which are traditionally the more developed and rich countries. As concerns the poor countries, which normally have very high initial unequal levels of income, and increase of average incomes will only explain a little percent of 0.6 in terms of poverty reduction. The conclusion is therefore that reduction of poverty levels can only be effective if national average income levels increase on the basis of having an initial level of inequality that is somewhat low. High inequality countries will have less poverty effective policies as their policies apparently do not target to reduce inequality in the first
In many cases, whether protectionism or free trading has long been a question for the economy. Clearly, there can't be a correct answer applicable to all different situations. Further, the difference in growth an economic development between different states call for adoption of innovative ideas based on economic performance rather than the trending international policies and campaign for the adoption of free-market policies. As a result, protectionist fits well in a conservative environment in a move to establish economic stability, minimize the number of external factors affecting the local businesses, and limit competition exposed to infant industries. Protectionist economies enjoy improved chances of employment as there is a reduced transfer of labor out or into the country.
Another action should be taken is that they should change acquisitions structure since companies they acquired are also asset sensitive so it makes sense to even stop acquisitions to prevent being asset sensitive. Basically, fixed- rate assets should be used instead of swaps to eliminate asset sensivity. To gain trust of market, Banc One Corporation should educate its analyts and investors about usage of swaps so that perception to riskiness of swaps could be changed in a good way as well as more disclosure is needed for this. Indeed, usage of swaps basically has many advantages. Since, swaps durations are shorter than many fixed- rated investments, usage of swaps improves liquidty of firms meaning campanies would raise cash easily when they need it using swaps because of the short- term structure of them.
Even income inequality brings benefits to the economy but the negative effect of income inequality in much more compare to its benefit. As an example, income inequality will bring negative effect like discourages the investment and hence affect to the GDP of a country. As higher income inequality, the lower the GDP. Income inequality might cause
Pratten: he identified the suboptimal scale establishment accounts for 47.9% of total industry shipments in UK. Stiglitz and Weiss: stated that unlike other markets, the market for credit is exceptional i.e., the price of good, the interest rates are not necessarily same for entire market. Brown, Hamilton and Medoff: found positive relationship between employee compensation and firm size. It means lower levels of compensation for employees in small business.
Globalization allows countries in the world are free in trading without any barriers about tax, not only that the cost of domestic and imported goods are not too many differences cause major competition about commodity (The Impact, n.d.). That force developing nations have to make their product quality better, improve design of goods and reduce production cost. The next point is the pressure on the natural environment. Promoting the exploitation of natural resources in developing world depletes resources. The world is facing the fear of running out of natural resources like oil, natural gas, petroleum and coal because of overexploitation to meet the development needs (SÀIGÒN, 2010).
The rules to globalization only benefit few countries rather than many. Secondly, change the amount of losers in globalization process. For example the income in the U.S increased 11% between 1999 and 2004, but the middle class purchase ability decreased 3%. Another way to reform globalization is for the government not demoralize other values for materialistic values. For example many corporations contribute to materialism by their worldwide advertising and also the crooked high profits to the social cost and