Economic recession has some impact on the drop in sales. With less disposable money, the consumers not only tend to spend less money in purchasing goods, but also become more economical in using cleaning products, replenishing those products at a slower rate than they did before the recession. Besides the economic downturn, the competitive environment provides another impact on the sales. Since more and more private-label products are penetrating the cleaning market with a lower price, the branded products are losing their market share. What’s more, even among the branded products, CleanSpitze has a relatively high price, which makes situation worse.
The total assets of Coke have risen over the years but the percent of current assets has reduced. The reduction in productive assets is a positive indication that fewer assets are required to generate increased revenues. The assets that have increased are related to other long term assets. These long term assets are possibly from acquisitions for intangible assets. There is a noticeable reduction in the receivables line and increase in cash.
Individuals are losing jobs and the government have to spend more money of benefits. They collected back less from taxes and VAT. Businesses are cutting back on productions but for some customers is good if they have money because the prices are falling as well as inflation. At the boom stage the GDP (Gross Domestic Product) are the values of
Chapter 39: The Stalemated Seventies A. Describe the economic situation going into the 1970s- The baby boom generation would be making less money than their parents but as the economic growth crested, the American spirit gave an unaccustomed sense of limits. I. Sources of Stagnation A. List a few reasons economists speculate could be the cause of the slump in productivity increasing presence in the work force of women and teens (had lower skills, less likely to take full time jobs),declining investment in new machinery, general shift of American economy from manufacturing to services B.
In the U.S. Bureau of Labor Statistics, from February 2008 to November 2009 the unemployment rate went from a low 4.9% to a high 9.9%. As of November 2012, the unemployment rate went down to 7.7%, which are about 12.2 million individuals. The unemployment rate is still high compared to previous years even with the 2.2% decrease in unemployment. Many Americans have become unemployed during the past few years. When people are unemployed it means that they have less money which in returns means that there is a less of a demand in the economy.
I calculated an “inventory turnover ratio” which measures the number of times a company sells its inventory during a year. A high rate of turnover indicates easiness in selling inventory; a low rate indicates difficulty. In 2011, the inventory turnover was 6.1. By 2012 the ratio decreased to 5.2. The decrease may be due to a slow ability to turn around merchandise in sales and potentially due to paying a higher cost for goods.
Economist Simon Kuznets argued that levels of economic inequality are in large part the result of stages ofdevelopment. According to Kuznets, countries with low levels of development have relatively equal distributions of wealth. As a country develops, it acquires more capital, which leads to the owners of this capital having more wealth and income and introducing inequality. Eventually, through various possible redistribution mechanisms such as social welfare programs, more developed countries move back to lower levels of
Productivity, as measured by the output per hour by the business sector, grew at a lower rate during the Reagan years than the 7 years prior. The growth rate of 1.3% during Reagan’s tenure was .2% higher than the 6 years afterwards, but .3% lower than the years preceding (Niskanen & Moore 1996). Inflation is an increase in the average price level and is not a positive occurrence. When Reagan took office, the REAGAN-SIDE ECONOMICS consumer price index (CPI) was at a high 13.5%, by the end of his terms, the CPI had been decreased to 4.1% (Niskanen & Moore 1996). Those who are critical of Reagan’s policy speak of the explosion of the United States’ budget deficit during the 1980s.
Income inequality Income inequality is the extent to which income is distributed unevenly in a group of people. Income Income is not just the money received through pay, but all the money received from employment (wages, salaries, bonuses etc. ), investments, such as interest on saving s accounts and dividends from shares of stock, savings, state benefits, pensions (state, personal, company) and rent. Measurement of income can be on an individual or household basis – the incomes of all the people sharing a particular household. Household income before tax that includes money received from the social security system is known as gross income.
An educated workforce attracts employers and foreign investment. Socially, a more educated population should have more choices regarding nutrition, jobs and lifestyle. An additional point is that college fees only contribute a small proportion of the college budget. However, I am opposed to free education. First, through their taxes, poor families subsidize rich students who can easily afford to pay fees.