Macro--economic Essay Example | Topics and Well Written Essays - 1500 words

Macro--economic - Essay Example Conclusion VII. References. What is wrong with America’s labor market? I. Introduction This excerpt is from The Economist magazine. It considers the fall in the American economy with specific concern to the labor market. The Issue in concern discusses the reason behind the fall in labor market, whether the problem lies at the demand side or the supply side along with pros and cons for active job policy. Part (a) – Article Summary The article talks about persistent unemployment rate in America’s market. The models and theories used in this article are: 1. Different types of Unemployment 2. Economics factors of production 3. Economic Growth Model 4. Demand and Supply Theories 5. Keynes Theory of Income and Employment 6. Modern Macroeconomists view 7. Okun’s Law II. Why is the labor market weak? America has faced recession at June 2009 (NBER, 2009). After the recession in recovery USA has seen 2.8% annualized growth, this was of course real low therefore it c annot have assured a significant change in unemployment rate thereafter. This is slightly in accordance with the Okun’s Law, which says, â€Å"that for every 1% rise in the unemployment percentage there is approximate 2% fall in the potential Gross Domestic Product.† Though the exact accuracy of the law is yet under disputation, however it stills empirically recognizes the relationship between unemployment and country’s production. With only 2.8% real growth in the current recovery session, it is not at all surprising that job growth has been an issue. The resultant unemployment is due to cyclical variation therefore we could term it as cyclical unemployment - unemployment caused by business cycle recession. The current slight decrease in jobless rate of 0.1% is misleading; the growth rate could not be measure inconsiderate to other negative factors (the discouraged workers drop out). There are around 46% of jobless workers preferring to remain unemployed. This is because of the inability to find the works that satisfy their needs. The weakness in the production cycle has to be mostly blame but there are signs of an emerging disease in American called structural unemployment. Structural unemployment results from persistent mismatch between the features and skills of workers and the job demands or requirement. It last longer periods compared to the frictional unemployment, as worker would require time to learn new skills. The youth unemployment (frictional unemployment) is worse factor of the America’s weak labor market. America has a lesser fraction of prime age men in workplaces and in the labor force than any other in the G7 economy. Some 25% of men 25-54 years old with no college certifications, 35% of high school dropouts and approximately 70% of black high school dropouts are not working (Economist 2011 under Jobs for the future). In addition, this frictional unemployment arises from process of matching workers with job. Fricti onal unemployment might be good as the workers take time matching the job they are wishing to do. However, if the unemployment period is long then it is not beneficial for the economy, as short-term unemployment becomes long term. This is almost what is happening in

Business Research Methods Essay Example | Topics and Well Written Essays - 2250 words

Business Research Methods - Essay Example The results obtained showed that both held very different views. One of the limitations of the study was poor response from the General Managers in the hotels. More research on the views of general managers should be conducted. The main of the industry and educators is to tackle and minimize the gap between managers and students. Introduction Among the fastest growing New Zealand industries is the hospitality industry. Between 2008 and 2015, the ministry of tourism expects the number of visitors to increase by 18.6% in spite of the general drop in the economy of the whole world. This in turn will lead to increased expenditure in the tourist sector that is expected to rise by 4% within the same period. In 2008, the total expenditure $14 billion, is expected to increase up to $18 billion by 2015. Based on the above data, the New Zealand tourist industry is doing well. More qualified and knowledgeable hospitality employees are needed to serve the large numbers of visitors in the country (Brien 2004, p. 10). O’Mahony and Sillitoe (2001, p. 264) argues that the hospitality industry does not put much emphasis on the qualifications in the sector when recruiting new employees. The industry values experienced employees who lack educational qualifications than educated people who have degrees in the industry. Graduates are disadvantaged when it comes to job competition with experienced people. James and Holden (2000, p. 265), assert that the hospitality industry is against the general expectation that pursuing a degree in a specific field is an added advantage to graduates because it is easy for them to secure themselves good places. Employing people based on qualification is a disadvantage to graduates most of who lack experience (Li & Leung 2001, p.190). Research Question When recruiting employees, the industry should not base on an individual's qualifications because this alone may not offer good results. Other factors like job experience, gender and age also affect career prospects. The aim of this paper is to determine how degrees affect the ability of graduates to secure good positions in employment that can earn them good salaries as well as the qualities that hospitality employees should have. Data collected from students and hotel managers on issues related advantages of degrees is used to analyze and evaluate the value of management degree in hospitality. Auckland University of Technology (AUT) students’ holding a degree in the Bachelor of International Hospitality Management and managers from six different hotels in New Zealand were used to carry out the study. Literature Review The author of this article reviewed a good number of resources to get information related to the topic. Brien (2004, p. 15) and Harkison (2004a, p. 22), argue that graduates expectation of getting to senior management positions immediately after graduating is not met. Students expect to replace hotel managers who are usually at their thirties and fortes and therefore abou t to retire. New Zealand’s hospitality industry is mainly composed of young people such that those who go on after the age of twenty are likely to attain higher positions than their young counterparts are. In the study conducted in Auckland, out of five hundred and thirty four employees, most of the managers were between the ages of 30 and 39 whereas supervisors and staff aged between 20 and 24. Most of the seniors were above the age of 25 years with an experience of more than five years and had educational qualification (Poulston 2006, p.25). Studies conducted to determine the qualifications that a manager should have vary greatly. People have