1. From your understanding of the Sarbanes-Oxley Act, explain how you feel it may negatively affect America’s stock exchanges. The higher than expected costs for many public companies caused some companies to abandon their public status. The costs of SOX compliance negatively affect companies, markets, investors, and economic growth. Fewer companies are willing to enter the market because of the SOX requirements that make going public too costly.
Political and Economic Environment * What type of risks do foreign firms face in trying to conduct business in this type of environment? Lack of transparency, corporate governance, Poor regulatory environment, Widespread corruption, Organized crime, money laundering, counterfeiting, trafficking (humans, drugs, arms), Conflicts of interest, Fraud, Theft of proprietary information, Industrial disputes. b. Why is corruption so prevalent in Indonesia? P.65 Because political and economic factor listed above; In addition, government bureaucrats salaries are very low, inevitably demand bribes from any company that cross their path meaning a long line of officials might require bribes.
Usually, the election represents the competition between two major parties – the Democratic and Republican. However, there exist many third parties that constantly fail during the elections. One of the major differences between Democratic and Republican Parties concerns taxes and the economy. Democrats promote fair trade, balancing budgets, and believe in necessity to pay down national debt through enhanced taxes on higher income Americans (Parla). The Democratic Party states that the government has the possibility to create economic opportunities, help those people who suffer from current real estate crisis and prevent it in future.
One of the insurance that is required by law is Workers’ Compensation which is an insurance policy covering work-related injury and illness. Not a part of payroll or employment taxation, but required to be purchased by employers. There is high percentage of employer committing some kind of worker compensation insurance fraud. Insurance fraud is defined as an act that is committed to fraudulently receive payment from an insurer or deliberately lie to save money. A large number of insurance claims each year can be accredited to fraudulent claims, which cost insurers and other parties billions of dollars.
401(K) has become ineffective because of the corruption of big business, the misunderstanding of and as a result a mishandling of the 401(K) accounts, and its correlating dependency on the market’s success. Making profit is important to people. Most of all, improving the bottom line is the primary objective for major companies. “For Robert Shively, learned that his employer, Occidental Petroleum Corporation, or also-known-as Oxy Pete,” wanted to forgo the guaranteed-employer pension plans for the less demanding 401(K) system where it is based on contributions from employee’s pay rather than from the employer’s profit. This forces the employee to save without any effort but, due to this, workers began to neglect the social security and entirely dropped the use of the original pension plan.
| 7 | State one argument made by the author. | Rich patients in need of organs take advantage of the worlds poor. Promises of cash rewards for donation are sometimes not kept and when they are kept they can be for less than agreed upon. Given these disparities, legal organ trade will always lead to the exploitation of impoverished donors. A better solution to the global shortage of organs can be used unless the decreased had requested otherwise.
The reason for why governments in developing countries sometimes are unable or unwilling to implement polices that create favorable conditions for economic growth boils down to two main reasons: social issues and political issues. Political issues are just as multifaceted as the social issues. Due to corrupt governments and regimes the lawlessness spreads throughout the developing nation like wildfire. Political issues revolve around the basic needs of a nation such as simple, yet, necessary infrastructure of schools, hospitals, septic tanks, etc. The necessity of public goods is vital for a developing country to survive, maintain, and become what we consider today, a developed country.
This is harmful for our economy. Our economy is based on competition. Any monopoly is not good. Their low prices affect neighboring stores that cannot maintain the “Wal-Mart” prices. This is also an example of how Wal-Mart is getting rid of jobs.
employers’ reasoning for hiring illegal immigrants is wrong and unjust, as supported by the theories of Immanuel Kant and John Rawls. Looking past the immediate injustice of the issue, we can see that this hiring is wrong because it has a negative impact on America in many aspects. United States employers paying under-market wages and benefits to undocumented workers depresses wages for all American workers, and thus these greedy companies make huge profits at the expense of these illegals and the working citizens in the United States. Also, a report of the Treasury Inspector General for Tax Administration in 2011 showed that illegal immigrants received $7.3 billion more from 2005 to 2010 from the IRS than they paid in federal income taxes (Schulkin 1). Our country is currently experiencing a massive debt, and I do not think it is appropriate solely looking at the issue in a factual manner that we allow illegal immigrants into our society or work place.
They argue that illegal aliens are criminals and social and economic burdens to law-abiding Americans. But for the most part those American citizens would never work or be satisfied with the dirty downgraded jobs those illegal immigrants come to happily take. “If illegal immigration came to a standstill, it would disrupt the economy,” said Mark Zandi, chief economist at Moody’s Economy.com. “It would lead to higher prices for many goods and services, and some things literally would not get done. It would be a major adjustment for our economy, for