Economic Trend in Countries Like Ireland, Malaysia, - Essay Example

The Economic Trends in Malaysia and Ireland Introduction Macroeconomic stability stems from the budget surplus and fiscal discipline (Chee, 1987: pp. 452). The Irish economy on the other hand, is among the wealthiest nations in Europe. This is because of the vast agricultural products that form a huge percentage of her exports. Its economy though small in nature is very open, thus exposing it to huge profits. The true opposite of this has a drastic effect on its performance. This kind of scenario is very evident in countries like Malaysia and Ireland, which are experiencing fiscal deficits.

As per the Malaysian Institute of Economic Research, such corrective measures have led to an increase in most of the consumer product prices, thus raising the cost of living. Such a situation is giving inflation an upper hand, especially with issues revolving around the cost-push and demand-pull factors being on the rise. Economic trends in MalaysiaIn a report made by the Department of Statistics of Malaysia, there was a noticed expansion in the nation’s Gross Domestic Product (GDP) in the 2013 fourth quarter.

There is a sense of growth in Malaysia because it is demonstrating to be an economic pace-setter in the Asian region. The table below shows the GDP growth rate of Malaysia since 2010, expressed as a percentage. From the table, it is very clear that the last quarter in the year 2013 recorded an improvement of 2.4% from the previous quarter that was at 1.9%. However, TradingEconomics.com records that the total growth rate in 2013 fell to 5.6 from 6.4 in 2012.MALAYSIA GDP RATE IN GROWTH(Percentage change)Economic trends in IrelandThere is a clear indicator that Ireland’s GDP recorded a 2.

4 percent in the fourth quarter of 2013, which is due to the massive imports and a reduction in the general consumer expenditure. This is in relation to IAB Treasury Economic Research as shown in the chart below. IRELAND GDP GROWTH RATE(Percentage change)The Economic and Social Research Institute confirms that there are many investment opportunities in Ireland. This is because there are positive trend in the machinery and equipment purchases. The statistical calculations indicate that the trend has grown by a margin of 11 percent.

In addition, there is a huge growth base in the construction industry, which indicates good improvement.Regarding Ireland’s expenditure, there is a massive growth in imports (stlouisfed.org). Statistically, there is a 1.0% improvement in government spending as compared to the 2013 third quarter, which was at 4.9%. The imports show a slight improvement that is 0.8% as compared to the previous quarter, which was at 0.5%. Ireland’s expenditure had 9.8 percent in the total exports because of a high level of imports, while capital investment realized a 3.

3 percent increase (IBEC.ie).According to the information sourced during the third quarter of 2013, Ireland’s production field was led by the huge manufacturing events, which recorded a 3.6%. Close to it, construction added a 3.1% with mining closing at 2.5% (Navya Kumar, 2013). However, the agricultural sector experienced a slow growth of 1.1%, which was at 5.7% in the 2013 third quarter. Ireland’s industries in the last quarter of 2013 fell by a 4.5 percent margin.ConclusionAlready as explained by the Malaysian Institute of Economic Outlook, the Malaysian government has come up with a framework that will control the overall annual budgets and other expenditures.

However, there is a need for the government to observe the pace at which the long-term economic programmes are undergoing transformation. This is because, through establishing stability, the country can be in a position to handle the changes in the economic setting and the growing levels of uncertainty. With this, there will be pro-action in its monetary policies with an aim to venture into the future to lay a good foundation that can counter inflation and control the rate volatility. There is much significance in the Irish economy growth.

Even with a drop in the GDP, the country’s GNP has shown a positive trend (EconomyWatch.com). With this, there are many expectations with the GDP forecast being 3 percent and the monetary value growing by approximately 5 percent.Work citedChee Peng Lim. Changes in the Malaysian Economy and Trade Trends and Prospects. The National Bureau of Economic Research. Ed. Colin, I., B. & William, H., B. 435-466. Chicago: University of Chicago Press. 1987.Economy Watch. Ireland Economy. http://www.economywatch.

com/world_economy/ireland. (Accessed 26 2014)Federal Reserve Bank of St. Louis. International Economic Trends. http://research.stlouisfed.org/publications/aiet/malaysia.pdf. (Accessed March 25 2014).IAB Treasury Economic Research. Irish Economy Watch. http://www.aibeconomicresearch.com/PDFS/Irish%20Economy%20Watch%20- %20March%202014.pdf. (Accessed March 26 2014).IBEC. Ibec Quarterly Economic Outlook: Here Comes the Growth. http://www.ibec.ie/IBEC/Publications.nsf/vPages/Economic_Outlook~economic- outlook december-2013-20-12- 2013/$File/Economic+Outlook+December+2013.pdf. (Accessed 26 2014).

Malaysian Institute of Economic Outlook. Malaysian Economic Outlook. http://www.mier.org.my/outlook/. (Accessed March 25 2014).Navya Kumar. “Malaysia: Clouds on the Horizon,” Asia Pacific Economic Outlook. (November 2013). http://dupress.com/articles/asia-pacific-economic-outlook-november-2013- malaysia/. (Accessed on March 25, 2014).The Economic and Social Research Institute. Irish Economy. http://www.esri.ie/irish_economy/. (Accessed March 26 2014).Trading Economics. Ireland GDP Growth Rate.

http://www.tradingeconomics.com/ireland/gdp- growth. (Accessed March 26 2014).Trading Economics. Malaysia GDP Growth Rate. http://www.tradingeconomics.com/malaysia/gdp-growth. (Accessed March 25 2014)