To employers raise in minimum wage saves them a lot on recruiting employees and invest money on their training. Existing workers will be more experienced to increase the efficiency of the business than the new workers. As a result, customers will be more relax about the service. Whereas, to the country the tax will be increased by large amount of money which can help to give free of cost services to workers such as free education, free electricity, free medical, which will again motivate the worker to work hard. The most important thing the GDP of the country will increase and will help the government a lot to pay of the loans as soon as possible before more interest to be
Many experts and economists argue whether immigrants bring more benefits or disadvantages for the economy of the country they’re immigrating to. However, even though there are indeed some disadvantages, the benefits of immigration to the economy are more than enough to make up for the costs. Immigrants benefit the economy of the country they’re immigrating to in terms of increasing the gross domestic product, tax revenues, and contribution to innovation. Immigrants are affecting the economic growth in the United States of America. Immigrants come from many different places and as it causes cultural diversity,
The introduction was an effort to lift the country out of the deep recession of that time, commonly known as 'The Great Depression'. The enforcement of a minimum wage encouraged workers, gave them a better sense of security and spurred consumer spending. The economy saw an instant boost and started to feel the benefits of a standard living wage. The country, financially, went from strength to strength. With each leap, the minimum wage was subsequently increased to reflect the inflation of that time.
(Nebojša Zakić, 2008) Product innovation may increase companies ' knowledge inventory while its contribution to company outcome which can be determined by sales and profits, new products/ services and also by changes in market share. Besides that, product innovation contributes in reducing production costs and time of production process and that leads to an increase in investment returns and production efficiency. It contributes also in improving products quality and makes products more competitive in home and external
As the rapid growth rate of economic environment in current world market, economic globalization is affecting emerging countries economic development by increasing oversea business activities such as FDI, export-import, also the culture communication between different countries are interacting and influencing each other during diplomatic business activities. The globalization also simulates innovation and creativity in the emerging countries; it encourages the spirits of entrepreneurship and drives the emergence of innovative business models. China as one of the fastest growing countries in efficiency-driven economy system, where economic growths are based upon manufacturing in domestic markets, outsourcing, and exporting products to foreign
IPO underpricing: Determinants of first-day IPO returns for Emerging growth firms in US Introduction It has been widely recognized that the presence of emerging growth firms is crucial to an economy. These firms not only kindle competition, innovation and knowledge spillover in the economy but also create jobs and are more likely to offer better salary and benefits. They also tend to generate more value and profits but are less prone to failure compared with small businesses. In addition, they are more likely to export products and services while producing higher productivity due to investment in research and development. (Coopers and Lybrand, 1988) In the case of the United States, the rise of these companies claimed America’s economic
In Pakistan, researchers found out there has been a direct linear relationship between the money earnt and education levels of a person. It has been found out that for every extra year of schooling given, the earnings of a person increased by 7.2%. The salary of a person would be increased by 37% in Pakistan, compared between 10 years of schooling and no schooling. Thus, this illustrates how education can increase the earning potential of the poor which in turn will help them out of poverty. The educational attainment level of the household head can help affect households’ poverty in Pakistan.
Investing in education increases human capital per worker. • It is about enhancing the degree to which schooling facilitates the acquisition of professional skills and fosters cognitive skills that foster development. • It is about increasing the innovative capacity of the economy – knowledge of new technologies, products, and processes that promotes
Even the international companies bring considerable economy growth to developing countries such as technology transfer and job opportunity. Nevertheless, the multinational corporations also bring problems to developing country like harm human right. However, it is believed that multinational companies bring advantages morn than disadvantages. The developing country should increase the economy in the short term because competed economy can enhance competitive strength in the world and ameliorate the life of developing country people such as using additional finance develops capital
Pakistan is facing many challenges from the lack of access to basic health care services, to poverty, illiteracy, women’s low status, unhygienic water supplies and sanitation and the most important problem Pakistan is facing is unemployment. Pakistan has one of the highest unemployment rate in the world. According to UN Pakistan has approximately 5.8% unemployment rate. The unemployment rate in Pakistan is increasing and due to increasing amount of unemployment many crime takes place, Pakistan has a lot of natural resources but due to poor governance we can’t use them with full potential. You can find many educated people for example doctors, engineers and graduates roaming around for job in Pakistan but couldn’t find a job worth their education.