Tuesday, February 18, 2020

Expected US GDP Growth Rate Going Forward Research Paper

Expected US GDP Growth Rate Going Forward - Research Paper Example The recession is officially said to have ended by the third quarter of 2009. However, household incomes kept falling for the two year period after September 2009 (Pear, 2012). The key measures of macroeconomic indicators for a product market and labor market include Gross Domestic product (GDP) which measures the real changes in growth and levels of real output and changes in average consumer prices. Changes in the labor market are measured or indicated by the rate of unemployment, total employment and total unemployment (Vroman & Brusentsev, 2005). Other indicators include the base interest rate which is determined based on inflation and inflation levels. These also in turn affect the consumer purchasing power and the level of economic activity in an economy. The United States is a free capitalistic economy where the forces of demand and supply and free enterprise dictate economic development. This paper evaluates the trends, performance and forecasts for the US economy by looking a t key economic indicators and concludes at the end of the paper. Literature review The US economy is the largest in the world and its performance affects not only the USA, but also other countries which are trading partners and usually affects the whole world too. The last two years, from 2010, have seen an increase in overall GDP growth although the rate of GDP growth fell from the third quarter of 2010 (Isidore, 2011). In the first quarter of 2010 GDP grew by 3.9 percent and 3.8 percent in the second quarter. The rate fell to 2.5 percent GDP growth in the third quarter and falling further to 2.3 percent in the fourth quarter. In 2011 the GDP grew by just 0.4 percent and improved in the second quarter by growing 1.3 percent in the second quarter. The third quarter of 2011 saw the GDP grow by 2.5 percent showing a steady improvement in GDP growth in 2011, after adjustment for inflation (Isidore, 2011). The observed growth rate especially in the third quarter though good is still con sidered weak as a growth rate of at least 3 percent to be considered as real growth. The economy is expected to just grow by 2.2 percent in the fourth quarter of 2011 and achieve a 2.3 percent growth rate throughout 2012, though economists predict a robust 3 percent growth in the fourth quarter (Isidore, 2011). The revised upward trend for fourth quarter GDP growth is due to contributions from computer sales adding 0.12 percent. Real personal consumption rose by 2.1 percent in the fourth quarter, which is higher than the 1.7 percent experienced in the third quarter of 2011. Real exports of commodities grew by 4.3 percent in the fourth quarter; all contributing to the expected GDP growth of 3 percent in 2011/2012 (â€Å"US GDP Growth rate† 2012). The US is expected to achieve a GDP growth of 2.1 percent in 2012 while 2013 will see a GDP growth of 2.2 percent (â€Å"The economist online†, 2012). While the US GDP is expected to grow, the growth is still minute compared to what a good GDP growth should be (3 percent). The trend and forecasts are summarized in the table below; 2009 2010 2011 2012 2013 -0.48 3.13 1.63 2.10 2.20 Source: Trading economics GDP which stands for Gross Domestic Product refers to the total value of all services and goods produced within an economy (or country) in a given year. It is a measure of how much income is generated from production activities within the country’s economy. The GDP incorporates only the finished commodities (goods and services) produced within the economy but does not incorporate capital goods or raw materials used to produce another

Monday, February 3, 2020

Divorce in the UAE has increased during the last 2 decades Essay

Divorce in the UAE has increased during the last 2 decades - Essay Example Why divorce in the UAE has increased during the last 2 decades Introduction Divorce is regarded as one of the serious social problems in any given society. According to government statistics, United Arab Emirates (UAE) experienced a divorce rate of 24 percent in the year 2003 (Sherif 2). There are numerous psychological and economic factors that have led to high divorce rates in UAE. Lack of communication in marriage, early marriages, changing marriage expectations, addiction, child-bearing issues, and financial issues, cultural background of the spouses, the differential in education levels, infidelity and arranged marriages are some of the causes of high divorce rates in UAE (Sherif 8). Divorce leads to severe negative consequences to children and involved parents. Some of the negative impacts of divorce include delinquent behaviour of the parents, psychological trauma, aggression, and nightmares (Hasso, 2011). Thesis statement: poor communication in marriages is the leading cause of the high divorce rates in United Arab Emirates. Causes of high divorce rates in UAE Communication problems in marriages are the leading cause of divorce. ... Marital financial issues such as disagreements on the best investment opportunities and sexual incompatibility also contribute towards dissatisfaction with the marriage thus forcing the partners to divorce (Hasso, 2011). According to a research study done by Marriage Fund in collaboration with University of Sharjah in 2011, absence of communication within the marriage and lack of proper relations were the leading causes of divorce (Sherif 3). Differences in an opinion between the partners often resulted in constant bickering thus hindering love within the marriage. Accordingly, Islamic traditional marriage practices such as arranged marriages made women discover certain personality traits of their husbands later after marriage thus leading to intolerance and ultimately divorce (Sherif 5). The same study indicated that polygamy, physical abuse of wives, inadequate financial support and unshared responsibilities were secondary causes of divorce in UAE (Sherif 7). According to education ists and family affairs experts, the annual rates of divorce were estimated at 30 percent compared with a rate of 21 percent in Dubai in 2011 (Al Sadafy 3). Statistics fro the Dubai courts pointed out that one divorce occurred for every four marriage court cases with more than Dh 800 million being paid annually as divorce settlements. Accordingly, the Advisor for family affairs noted that 90 percent of the instances of divorce were occasioned by trial reasons with lack of communication among the partners being the leading cause of divorce (Al Sadafy 5). How divorce affects children, parents and society Divorce is associated with negative social and physical effects on children, parents and the society (Hasso, 2011). Divorce denies the children the opportunity