In today’s globalised era, immigration has become a mode of travelling to enjoy faraway places in cheap rates. Due to cheap rates of flights and the search of higher living standard has encouraged people to immigrate. Immigration is a one way flow of people to move in another country. Immigration is a term where people immigrate to another country in the belief of getting outstanding facilities, higher education and for the betterment of their own. Poverty among undeveloped nations has constraint people to immigrate and find new shelter for family to live on.
That being the case, immigrants are influencing the economy of their host country. There are many benefits of immigration for the economy, among them are increasing the economic growth of the country they’re immigrating to in terms of increase in GDP, increasing the country’s income by paying taxes, and their contribution to innovating technologies that can benefit their host country’s economy. In the end, immigrants play a crucial part in the economic well-being of the United States of America. Additionally, if many immigrants are given legal status or citizenship, there will be even more advantages that can be
The rich may choose to spend,give away, invest or save their money. Basically, the rich contributes the larger portion of resources to investment activities and technological improvements which lead to economic growth(Andriuskevicius, Ciegis&Dilius, 2017). The high-income households use their accumulate savings to actively take part in investment activities such as investment in capital stock and private equity. These investment activities increase the business growth and thus require more labor input and effort to produce higher gross domestic product (GDP). Indirectly, the rich also provides additional job opportunities for the middle and low-income households.
But, these effects seem to be relatively minor and and owe their initial affects to the transition period. In the longer term, the environment regulation effects tend to be less than in the short term. It is suggested that pro-active government policies can help minimize the transition impact of environmental laws on competitiveness, such as labor markets policies. These small effects seem more often to occur within states where relocation barriers are low, than across borders. Globally, the estimated effects of environmental regulations on trade and investment location so far are not a factor in comparison to other considerations, like market conditions and the level of local skilled workforce.
The study shows that aid has positive effects on growth in the good policy environment, while it does not work in a distorted environment. Good policy environments, according to Burnside and Dollar, are those that are open to trade, have low inflation rates, good share of the budget surplus in relation to GDP (lower budget deficit) and balanced government consumption in GDP. They further argue that there appears to be no systematic impact from aid on policy. For example, in Ghana, good policies were rewarded, while in the case of Zambia, aid increased between 1970 and 1993, while policies deteriorated throughout the period. Burnside and Dollar thus found that aid significantly increased growth in good policy environments as measured by a composite measure of macroeconomic
Domestic macroeconomic stability, financial stability are required in order to strengthen the confidence of main stakeholders, by improving the national labour market, the absorption rate for E.U funds shall increase, technological innovation, fiscal consolidation, payment discipline. These strategies are the foundation of a governmental programme to attract foreign investors, increases profitability and GDP as
Consequently, higher population growth enables local government to experience rising tax base and could aim to attract newcomers by levying low taxes through cost savings programs. This promotes the greater ability of the local government to initiate, adopt, and implement the desired new programs. Urbanization, community wealth and population growth individually as well as collectively, influence organizational innovation positively. Organizational characteristics of adoption involve two critical success factors for product innovation.
This would mean transforming from their present position where they simply operate in the money market into a deeper involvement in the country’s overall financial infrastructure. The discount houses would be transformed into an unquestionable pathway through which monetary policy actions can be carried out and also contribute to the overall growth of the financial sector. The viability of discount houses on the long run would depend on their capability to obtain plausible money market based products that would exceed what banks can provide. This kind of venture would be profitable with the involvement of treasury securities-based products and the liquidity profile of discount houses. Having High Net worth Individuals (HNI’s) and corporate organizations invest in treasury securities backed instruments could dictate impending survival of discount houses.
Financial literacy has received increased attention since the global financial crisis and the literature confirms that it is correlated with personal financial management . In parallel, financial education programs have grown in popularity and an increasing number of countries are developing national financial education strategies and making more investments in related programs. Literature has recently emphasized the association between financial literacy or numerical and mathematical ability, on the one hand, and risk diversification, retirement savings, investment portfolios on the other. Traditional economic theory posits that forward-looking individuals maximize expected lifetime utility using economic information to accumulate and then
This paper will thus focus on the importance of insurance and the insurance companies. And how they have not only fostered the economy’s development, but has also accelerated its growth. Insurance is a risk transfer mechanism, where the burdens of an individual
After a few years, President Reagan’s economic plan started to work, and America entered “one of the longest periods of sustained economic growth since World War II” (America History). Under the Reagan Administration; those that benefited the most were often the upper class citizens; specifically, due to the tax exemptions. The more money a person made, the less taxes were imposed in order to promote saving and investment. Unfortunately, the middle working class was often burdened with the residual tax deficit; forcing working class to work more hours to make more money (American History). Some critics would even say that although Reagan’s policies were designed to reduce unemployment and poverty level; they made very little effort in regards to either one.
My intention is not ridicule the U.S. government for its lack of effort; after all it is doing better than the average country. My concern is that many countries see the U.S. as their economic model. Therefore, the U.S. government cannot continue to neglect income inequality. If the U.S. is able to pass policies that seeks to improve the living condition of its low-income citizens, maybe then it can be considered the gold
(Card and Kreuger 1995, p. 593) This finding shows that the minimum wages fail to reduce poverty because many poor Americans do not work. Also, this increase would not be well targeted at low income households, and would only influence negligible effects on the income inequality. All these evidence suggest that the minimum wage increases do not reduce