Dow Jones industrial average went below 10,000. This decline happened at a time when there was some kind of feeling that perhaps the worst of economic recession is finally over. There has been some kind of improvement in the job sector as claims for unemployment benefits decreased.
The good news in the job sector could not create enough confidence among the investors and as a result the index of Dow Jones suffered a blow. In a country like USA, the stock exchange index matters a lot and generally reflects the overall condition of the economy.
Some experts are talking about Double-Dip Recession and if it really comes then it cannot be a good news for anyone. No news is good news when it comes to Europe. Only German economy seems to be doing some better but any negative condition for the US economy may take the German economy back to the pavilion again.
Coming back to the US stock exchange, it seems that President Obama will have to spend his another 2 years and 3 months fighting for the economy. There are Midterm elections around the corner and it is tough for him to take any drastic measures right now.
It seems that double-dip recession may be coming very soon as the jobs are not coming back.
Posted in News | Tagged Dow Jones |
The recession is over in USA but the jobs have come back. If we look at the jobless rate in USA the it is sure that the recession is not over. Yes, the big companies are back on the right track but still, many people are unemployed. So, it seems that free market economy and capitalism is not helping that much.
Well, there can be two sides of the argument. First of all, when recession comes then governments are forced to act with retrain and the market is somewhat controlled.
On the other hand, in this age of globalization, US workers cannot compete with workers of other countries in terms of money. China has taken a lot of manufacturing jobs and India has taken a lot of service oriented jobs. The irony is that it is the US companies who have sent these jobs to India and China. Thus, they are becoming bigger and richer but not the US workers.
Still, it is not as simple as I am saying. US companies have to send these jobs or else they will not be able to cut their cost.
It seems to me that capitalism and free market economy is in some kind of real trouble. It is perhaps time that scholars do some research about finding a better way or at least find a way to modify capitalism.
It has been few weeks that I wrote anything in this blog. In fact, it is nearly 2 and half months that I updated the blog last. It has been a very tough one year for me. In fact, the last two years were very tough indeed. In the middle of 2008, I started to get an idea of economic recession as my revenue from blogging started to suffer significantly. Then from the middle of 2009, I became sick.
The recession did not make me sick but the pressure, fear and worry took my mental strength to a great extent. I can assure you that it is not enjoyable at all. So, my health is back and I am going to be back to blogging from today hopefully.
The recession is almost gone but things don’t look rosy in some European countries. Hopefully, the global economy will bounce back again and we will see a new beginning for the global economy. We live in a world in which the fortunes of all countries are somehow linked together. If there is decrease in demand in USA then for whom China or India will produce goods and services?
Posted in Economic Recession | Tagged Blog |
Nick Robinson is a highly respected expert on British politics. I just finished reading his blog entry: ‘There is an alternative’ and I have read many of the comments put by the visitors. I felt that the comments were even more important than the entry itself. The comments show how divided the British people are right now. The Labour supporters want to hang on to power. The Tori supporters want to go power. The Lib Dem supporters feel that it is their time to be the king maker. The Scottish and Welsh nationalists want to keep the Tories out of power.
In this election, The Conservatives won almost all of seats in England and they have hardly any presence in Scotland now. Their condition in Wales does not look so bright either. On the other hand, they have become very strong in England. Thus, the Conservatives are perhaps emerging as the English Nationalists.
So, what appears now is that there is now a sharp division among voters in England with the voters of the rest of the UK. This is not a good thing for the future of Britain as a country. I think that this problem should be solved first and no matter who comes to power, they should take the initiative for closer relationship among the people of England, Scotland, Wales and Northern Ireland. There is no alternative to that.
It is the time of Mother’s Day 2010 and the country is the motherland.
Posted in News | Tagged England Election |
Things look very bleak for the current British Prime Minister Gordon Brown. Most people in England are not happy with him and his Labour Party. Today, former Prime Minister Tony Blair has come in support but Tony Blair himself is an unpopular figure in British politics now. The support from Blair however would perhaps to keep the Labour Party united. Gordon Brown himself does not look confident at all and his infamous encounter with Gillian Duffy shows his frustration.
Last night, there was the third and final debate. Clearly, he did not score any good point in the debate hosted by BBC. The three candidates talked about the economy and the recession.
I think that time is indeed running out for Mr. Brown and his party unless a miracle happens. Of course, things cannot be taken for granted by the Conservatives because there is every indication that this time, UK might have a hung parliament and coalition government may be the only outcome of the UK Election 2010.
The Economist is perhaps the best weekly magazine on international affairs. I am a great fan of the magazine and when there was no Internet, it was a great source of information for me. I used to read it every week and it helped me remain updated about all the parts of the world. I know that it is an influential magazine in UK. In the upcoming election, The Economist is going to support the Conservative Party and David Cameron.
It writes:
Since then, like the other parties, the Tories have gone quiet on the question of cuts. But, more than their rivals, they are intent on redesigning the state. They would reform the NHS by bringing in more outside providers; their plans to give parents and teachers the right to set up schools are the most radical idea in this election. Centralisers under Margaret Thatcher, they now want to devolve power to locally elected officials, including mayors and police chiefs. Some of this is clouded in waffle about a Big Society. Other bits do not go far enough: it is foolish to rule out letting for-profit companies run schools and wrong to exempt the NHS from cuts. But Mr Cameron is much closer to answering the main question facing Britain than either of his rivals is. In this complicated, perhaps inevitably imperfect election, he would get our vote.
So, it seems that David Cameron will feel happy with this endorsement but I don’t think that he will become the next Prime Minister of England.
Posted in News | Tagged England Election |
I did not use the word ‘study’ in my title because ‘study’ means more careful and intense reading of anything. Instead, I am implying here casual reading of Economics because I think that most people would run away if they have to study it. Instead, they should have some knowledge of it because in our life we need some skills.
Many people now invest a lot of money in the share market and a good number of people among them do not have any idea at all about the stock exchange. They get unhappy when they suffer loss but they do not want to know about the basics of this market so that they could invest more carefully and wisely.
The same can be said about Forex market. Many people literally gamble in this market too. Some reading about Forex would help many people not to lose so much money and fall victims to the scams.
Now, British Prime Minister Gordon Brown is under immense pressure from his labor party as in the opinion polls, consistently Labour is trailing the Conservative Party. These days labor is in the third position and they are also trailing the democrats. I really have to say that I feel some sympathy for Gordon Brown. He as a chancellor, his record was praiseworthy but when he became prime minister then British economy fall into serious crisis. I don’t think that there is anything to do with Gordon Brown with the bad condition of British economy.
What happened was that it was time of economic recession and you have to give some credit to Gordon Brown for steering the country during the time of great recession.
Now, although things have brightened up a bit some bit more in the US economy, British economy is still suffering. So, many people are perhaps unhappy with Gordon Brown’s performance as prime minister and there is a lot of doubt whether he will be the next prime minister of England or not. If there is a coalition government with the Liberal Democrats then Gordon Brown must hope from now that labor get some more than liberal democrats. Only then the Liberal Democrats will perhaps agree that Gordon Brown again becomes the prime minister.
Posted in News | Tagged England Election |
The second debate for UK General Election 2010 took place earlier today. This debate was centered on foreign policy but the media people perhaps tried to figure out who performed the best. It seems that the current Prime Minister Gordon Brown and his Labor Party are now in very big problem and there is a fear that they may have the worst result among the 3 major parties. The Conservatives are expected to do well but most probably they will fall well short of getting the number of seats that would be needed to form a government.
Nick Clegg is the surprise package in this election campaign. He is the leader of the Liberal Democrats. He has been very impressive in the campaign. In fact, there is a small possibility that his party may get the largest number of votes this time.
If the opinion polls predictions are correct then there is a strong possibility that a hung parliament will be the outcome of this election. In that case, Labor Party and the Liberal Democrats will be most likely to form a coalition government.
Posted in News | Tagged Election 2010 |
Volcano eruption in Iceland is causing some major damage to the Airline industry all over Europe. Many flights have been cancelled and airlines companies in Germany and England are suffering from this problem. Today, I was seeing a newspaper headline that one million people in Great Britain had been affected from this problem.
This is totally a man made disaster and the airline companies are helpless about it. I do not know much about insurance industry in this regard. Most probably the airline companies will get some compensation from the insurance companies because it is some kind of disaster.
I feel sympathetic for the passengers because many passengers are now worried. Some of them were supposed to join to their jobs and this tragedy has kept them stranded in different air ports across Europe. I really wish that the companies try to have some sympathetic attitude towards workers who would not be able to return their work in time because of this natural disaster.
Posted in News | Tagged Iceland |
