Nobody downloaded yet

Political Economy (Canada and the Global Political Economy) - Essay Example

Comments (0) Cite this document
Summary
Immediately after the Second World war, there was need for a new world order ;and the famous Bretton Woods institutions played big role in ensuring a stable financial environment despite the war that had ravaged countries and depleted resources. IMF and World Bank, which were…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER97.5% of users find it useful
Political Economy (Canada and the Global Political Economy)
Read TextPreview

Extract of sample "Political Economy (Canada and the Global Political Economy)"

Download file to see previous pages evident that, had those lessons been adopted most of the negative effects of the Global financial crisis of 2007 and 2008 would have been avoided (Norton, 2010).
The Bretton woods system set out in the 1940s was synonymous with fixed exchange rates. As time passed and growth was evident in many parts of the world, the system changed with market forces. The Bretton woods system encouraged growth in many countries of the world which and that encouraged expansions. On the same note, apart from Japan all other industrialized countries had a managed inflation rate, lower interest rates and improved per capita income, few years after setting up of the Bretton institutions (Norton, 2010).
While addressing whether lesson learnt from Bretton Woods systems would have worked for the global crisis, it is important to note that crises are usually worsened by “contagion effect”. The down fall of the Lehman Brothers had a spiral effect. The most significant pointer to the collapse of the world economy during the global crisis of 2007/2008 was lapse in regulation. Most central banks were blamed for inapt leadership by failure to regulate despite the imminent economic imbalance. For example, the regulators failed in their role by allowing Lehman Brothers to go bankrupt. Due to that bankruptcy, many other lending institutions panicked and refused to lend and that encouraged contagion that helped to spread the crisis further (Chornyy, 2011).
Like the 2007/2008 global crisis, the Bretton woods system had challenges but the difference is evident in the manner in which the challenges were handled. For example, the Bretton woods system faced liquidity problems since the dollar was the fulcrum of the entire system and the USA which was biggest player in that regard had challenges. The Bretton system also faced a problem of adjustment. This was because most of the member countries took a considerable length of time to pay their debts. The most significant contributor to the ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Political Economy (Canada and the Global Political Economy) Essay - 4”, n.d.)
Political Economy (Canada and the Global Political Economy) Essay - 4. Retrieved from https://studentshare.org/social-science/1686380-political-economy-canada-and-the-global-political-economy
(Political Economy (Canada and the Global Political Economy) Essay - 4)
Political Economy (Canada and the Global Political Economy) Essay - 4. https://studentshare.org/social-science/1686380-political-economy-canada-and-the-global-political-economy.
“Political Economy (Canada and the Global Political Economy) Essay - 4”, n.d. https://studentshare.org/social-science/1686380-political-economy-canada-and-the-global-political-economy.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Political Economy (Canada and the Global Political Economy)

Global, political economy

...diplomacy and economic dynamism of countries catapult a certain degree of prosperity that is felt worldwide. Scope of Globalisation The phenomenon of globalisation affects society's economics and politics. Its primary processes include the forces that govern improvements in technology, advancements in transportation services, increased employment and income opportunities, and cohesive intercontinental economic cooperation (Jaffe, 2006). Most countries in the world witnessed rapid developments in the area of business in the past few decades. A global village has been created to formally launch an avenue where countries can enter economic agreements. Globalisation has been said to be at the forefront of...
7 Pages(1750 words)Essay

GLOBAL POLITICAL ECONOMY

...of 1981-1982. Through the decades, the effects of U.S. financial and monetary policies on the country’s economy have been differentiated, in accordance with the local political and social conditions but also with the economic environment in the global market. In any case, the stabilization of inflation at low levels, a key target of the monetary policy makers of 1979 has been achieved. However, periodically, the use of the above policy, i.e. targeting on low inflation, has been proved to be a rather inappropriate practice in order to face the market pressures, a fact which has been highlighted in the literature. In order to understand the effects of the US financial and monetary policies...
8 Pages(2000 words)Essay

Global political economy

...increased integration that can be seen within the Northern and Southern hemispheres of the Western world (Bhagwati 22). As the United States Canada and Mexico realized that the power of the European Union was going to possibly eclipse their own, the need to engage with a greater level of free trade within their own geographic region became an issue of primary and fundamental importance. By nations being involed in the trade agreements, this makes the world to marred by discriminatory trade. Bhagwati further notes that the pandemic nature of free trade agreements are reflected by the fact of overall integration that the globalized economy is currently exhibiting. Whereas trade forms the...
8 Pages(2000 words)Essay

Global political economy

...and policies were accountable for the deaths of tens of millions of innocent Chinese and caused severe damage to the culture, society, economy, and foreign relations of China. The army led by Mao, entitled Revolutionary Army of Workers and Peasants, was defeated and scattered after some fierce battles. Afterwards the exhausted troops were forced to leave Hunan for Sanwan, Jiangxi, where Mao re-organized the scattered soldiers, rearranging them from a military division into a smaller regiment. And Mao ordered that each company must have a party branch office with a commissar as its leader who would give political instructions based upon superior mandates. This military rearrangement in Sanwan, Jiangxi...
10 Pages(2500 words)Essay

Political Economy

...in the production systems. In addition, since the government is well equipped to increase aggregate demand, especially at the macro level then the government through increased spending will indirectly increase the demand for industrial goods within the economy. Freebairn also borrows a leaf from neoclassical economics, since he does concede to the fact that the car manufacturing industry will definitely have to be influenced by the global forces of demand and supply. On top of this Freebairn also observes that the industry's output as well as the distribution of income not only within the industry but also within the entire economy will have to be influenced by the forces of demand and...
2 Pages(500 words)Essay

My Study in Global Political Economy

...outstanding students; this is a testament to my excellent academic abilities and positive attitude. Additionally, my experiences relating to study, research and internship in various countries like UK, Canada, Japan, Singapore, etc. have undoubtedly helped me develop an open, competent and culturally-sensitive attitude suitable for global studies; I can adapt quickly and efficiently to changing environments, cultures and challenges. My dynamic experience can effectively match the unique international feature of the MGPE programme. I look forward to being granted the opportunity to learn more about the interaction between global economy and politics...
2 Pages(500 words)Essay

Global Political Economy

...). Here in GTA, the data from Market Shares indicates their exemplary performance. The pros of shares include, they have a higher growth rate, there is high privacy in shares, and there are bonuses. The only con in this choice is the high risk of liquidation. Rational analysis directs my choice. The good trends in the share markets are the guiding principles of my preference. Financial markets are irrational. Many times financial markets have adapted to respond to external forces in the market. They devise new methods to deal with short term interferences. This may not be in the long term plans of the financial markets. For instance, there may be price fixing of the shares. There are differences on whatever an investor gets in the bank...
2 Pages(500 words)Essay

Political Economy

...and at the same time influencing an increased focused on Environmental pollution. The increase in recession and population growth has had a trickledown effect and things have been getting worse as time has gone by. The primary focus of this thesis will be the effects recession and population growth have on triggering income inequality as well as environmental pollution. Financially, the last decade or so has been a debacle for most countries around the world. The term recession has posed as a pest for most economies and has derailed the massive progress the world was making. Money was being flown out of the economic system that was being injected into it. Supplies were not meeting demands and inflation reached its...
6 Pages(1500 words)Essay

Political Economy

...Political Economy Nash equilibrium In the first game, player s best response is in UL where he gets 3 pay offs. This is his best response since3>2. At the same instance, player B has his best response of 4 payoffs (4>3 and 3>2). In the second game. At the same point (UL), both players have their best responses. For player 1, 3 payoffs (3>2) while for player 2, 4 payoffs (4>0). Nash equilibrium exists when player 1’s best response is the same as that of player 2. At (UL), both players have their best responses. 2. Condorcet winner and loser Following these election results, candidate A is the Condorcet winner. This is because in the two instances that A is the preferred candidate (ABC and ACB), the...
2 Pages(500 words)Assignment

Political Economy (Canada and the Global Political Economy)

...Canada and the Global Political Economy Affiliation Canada and the Global Political Economy Over the years, the objective to attain globalization and free trade across the globe has sensitized. Developed and developing countries have realized the benefits of globalization and free trade. However, numerous arguments have been presented against the impact of globalization and free trade. Specifically, how the negative effects of globalization and free trade have affected developing countries. Lynch (2010) asserts developed countries benefit more from free trade and globalization than developing countries. This is based on that developing nations lack the mechanism required to retain the benefits of free trade and globalization... . The increase...
4 Pages(1000 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Political Economy (Canada and the Global Political Economy) for FREE!

Contact Us