In light of ensuing protests in , attention has been turned to the potential effects the crisis will play on the already stunted global economy. President Morsi of Egypt announced that his decisions would not be subject to judicial oversight until a new constitution has been enacted. This seemingly dictatorial declaration is what sparked the unrest that has already greatly affected the national economy. The protests are continuing, as seen on Due to the continuation of this crisis, the global economy might soon experience some dangerous effects that the is already facing.
globalEDGE Blog - Page 207
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As a current college student, I always find myself interested in the huge investment that many students are making in college. This is especially more interesting to me as many nations are experiencing and many college students are returning home to live with mom and dad according to a . Further, the Federal Reserve of the United States just released new on the debt levels that college students and graduates have accumulated. While this is a problem that is mostly unique to the United States, the European Union and many Asian countries currently subsidize higher education. Therefore all countries should pay attention to this as the subsidies may run out in the near future.
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Lately, has been under a lot of international fire because of its nuclear program and its questionable intent. Iran claims that the goal of its nuclear program is to generate an alternative energy source, but American and European officials believe that Iran has plans to build nuclear weapons. As a result, the and Europe have put sanctions on Iran’s oil and natural gas exports because they believe that this large source of revenue could be financing Iran’s nuclear program. Sanctions, however, have not been applied to program, which happens to be the largest in the Middle East. Iran is developing renewable energy sources to lessen its dependence on fossil fuels and in part to escape the sanctions that have been placed on its oil and natural gas industries.
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Doing business in India can be difficult for the new executive sent on assignment to India. As the world’s second largest country based on population, India is expected to become one of the projected by PriceWaterhouseCoopers. What is strange is that India does not have a truly national language, unlike the other large economies such as and the United States.
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A major trend in international education is the increase in students studying abroad and enrolling in universities outside of their home countries. Each year billions of dollars are invested in educating bright minds and building relationships by sending students abroad for a well-rounded educational experience. Not only does this movement have profound impact on the future landscape of education, but the exchange of students is giving host countries an economic boost. A recent report by the National Association of Foreign Student Advisors found that international students contributed nearly $22 billion to the in the school year 2011-2012.
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Just about two weeks ago it was reported that Hewlett-Packard had to write down somewhere in the neighborhood of $8.8 billion, stemming from an acquisition of a based software company, Autonomy. Accounting improprieties within the acquired company seem to be at the heart of the issue and HP claims the fraudulent numbers account for over 5 billion of the write down. Two of the “Big Four” accounting firms were brought in to perform due diligence for the deal but the inconsistencies still managed to slip through. This is an extremely public example that calls into question the different accounting standards practiced in different countries and how those should be reconciled.
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The European Union is the implementation of the global banking reforms, which were supposed to take place on January 1st. It has been delayed at least six months, with talks that it may get pushed back even further. is the name of the reform plan, and it is a global response to the financial crisis from 2007-2009. Basel III is a critical step to protect large institutions against future financial shocks. Until the can agree on the plan, the delay holds a risk of throwing off the recovery process. However, if the regulations in Basel III are too harsh, it could risk cutting economic growth and an increase in unemployment.
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In today’s interconnected and world, receiving investments from abroad is a major factor contributing to economic growth for countries all across the world. has recognized the importance of international business and foreign investment by implementing strategies to change the flow of investment. In the late 1990s, many Spanish companies began investing in Latin America and also started a vast amount of business operations there. Now, Spain is looking for investments to flow in the complete opposite direction.
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The economy is known globally for many things: , , and . But maybe transport manufacturing should be added to the list. The ; According to a report by Markit Economics and HSBC Bank, the purchasing managers’ index (PMI) for Indonesia's manufacturing sector increased from 50.5 in September to 51.9 in October. Any reading above 50 on a PMI indicates expansion, which can be attributed to a multitude of variables. However, the prime conclusion has been that the increase in PMI is a direct reflection of higher order intakes. This is most apparent in Indonesia's auto industry.
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The customer is always right. This golden rule of business even resonates with giant corporations—the consumers are the main priority, because without their support, revenue will stop pouring in. For example, if the consumer wants businesses closer to home, that’s what they’re going to get. The distance problem has initiated a recent trend in outsourcing that can be seen in countries all over the world, most recently and the .