To manage produce (sellers), consumption (buyers) is economy & Market is foundation of economy
Nearly 60-70% of world population employed in rural agriculture
click to enlarge
fruit market in Paris
Perfect Management will promote rural economy(finding more resources of employment)
CLICK to view enlarged picture(FRENCH petrol pump)
Self service petrol pump is a way to murder employment
Disastrous management & unsuccessful
Underdeveloped countries following
mainly the modern western economy that only helps limited population: Many economic policies are too complicated does not
relate with the major population.
Inadequate planning: For rural and
urban sources and employment generation. Major rural population is not suited to modern industries that way income generation
Population growth exceeds over the
availability of resources to create scarcity.
No fullest utilization of natural
resources. Lack of research and development in agricultural and forest sectors. Major
population live in rural areas. Modern industries are too modern requires less and les human labour. It is acceptable
that not to depend on agricultural economy alone rather realization to be that for what reason and for whom technology being
imported? Have people been trained or is mere waste or for only urban educated class? Internet facility in a village without
computer is wastage.
Heavy imports for saving borders
and other necessities than the exports causing heavy trade deficits.
Blame a new educational system that
enabled the emergence of new educated class useful for administration and managerial tasks.
Unplanned Higher expenditure by
Governments than revenue and indebtness results high taxes leaves no surplus in the hands of public discourages to reinvest
and finds ways to abstain from correct taxes.
High corruption/ red tape-ism are
hurdle for right process to carry on.
Unstable political set up only makes
Economic and financial crisis:-
Final decision of moving economy is by the final customers who already have lost
to high living cost. Improving citizens buying power would yield the result.
Many factors are involved for the present banking and industrial crisis among
them major reason is defaulting final customer. Click above link to read more....
Food price rises and Crisis!!!!:-
Food is the first priority for each consumer,
expensive food would prune consumption of other product’s and services.
Food and water has to cheapest of all commodities in order to promote materialistic world order.
Urban related economic growth thrusts agricultural
land conversion to cities and to accommodate urban population and industries.
Over 20% of farm lands of developing countries have been converted to cities and buildings
for the past decades and Over 50% of farmlands of villages (close to cities) got merged with
cities so can accommodate growing urban population. Click above link to read more...
Economics is management of produce and consumption/ earning and spending. Market is the foundation that
decides how supply and demand of produce is? What to sell/buy? How to sell/buy? When to sell/buy? Why to sell/buy? Buy/sell
or not, play role to shape micro economics. When this is used in broad level such as national income, total saving, investment,
consumption expenditure, export/import and balance of payment, employment status, and money supply is macro economics. So Individual behavior towards their economical practice is individual (Micro) economy and
national behavior is national economy (Macro).
Basics for economics
Needs: We differentiate
in two categories
1.Essential needs: of human are food, electricity, shelter, clothes, water but modern
time has enhanced needs to more commodities like communication facility, other electronic items and transportation, services
to promote products etc;. 2.Comfort and luxury needs: all items to live in comfort, when people have extra money to
uplift the standard of living.
Management of Economy by individuals is
based on what they earn and how they spend. There is difference in consumer behavior by standard: Poor, Middle income group,
Rich. Management of each category is different. Similarly, we see different behaviors of population of developing and developed
countries. In developing countries poverty is because of lack of resources but in developing countries people have high cost
of living to maintain the standard, such as insurances from life to car, taxes from income to expenditure, house hold electric
goods to textiles. The management is how to squeeze or live with what is earned, so the balance of payment and receipt
are equal. Management fails when the expenditure inflates and liabilities rise. Many are poor because the cost of living is
very high and most of them are unavoidable expenses, on the other hand nearly 60% of the world lives in poverty as they
have less or no resources of earnings that affects the buying power, individual and national economy relates to each other.
Similar situation is with the industries when costs of living of individuals are imposed on employers for minimum wage standard results extra
cost of production passed to consumers that blows up inflation. But in competitive world passing cost is not possible so they
go for measures to survive by managing to cut cost in other areas or wind up. Better the management to cut cost higher the
chances of survival and withstanding competition. So to know what is required and what is the right place, time to sell products,
how to cut cost to be competitive is management of economy for industries. Total earning power, spending power, savings
power, employment level and etc; of population is national economy.
First way to understand national economy, is to know about the population:
Percentage gender vice population of the country: Total population and ratio of women and men. Man buys a house and women house holds so both are equal contributors
to the economy. In most countries women take care of houses without any remuneration
and men keep command of finance as they r paid for their labour. Role of gender is important factor to analyze and arrange
the economy.Women rights is most neglected so they are dependant and beg or
cry for their need and living.
Percentage rural and urban and employment age group in population: Most neglected area in many countries planning for development. Most developments and planning are
associated with urban development. Whereas major population lives in rural villages who still starves with economic crisis.
Education level of population: Is education standard is as per the needs of rural
development or is it merely for an administrative and managerial?
Employment level of population: : What percentage of employed/ partly employed, directly/ indirectly, organized/ unorganized
sectors. Better the employment the higher the economic growth.
of population: Health of population is real indicator
of health of economy. Countries which have better economy has good health of population.
Income level of population:
Income level determines the buying and saving power of individuals which ultimately
consolidates the economic status of the country.
Natural and man made resources:Countries natural resources if are rich country
has to rich but things are opposite to what explanation by economist are!!!Man
made (finished or luxury products) resources have overtaken them by flooding of modern luxury or other finished products.
Natural sources are imported at very cheap prices and against export of finished goods. Thus most countries with natural resources
always stay behind with trade deficit.Both resources in one country are very
Culture and religion: Culturally
and religiously rich countries are economically strong because these two factors contribute to uplift education and standard
of population. Western culture and Christianity is first to be appreciated for this. They opened schools, hospitals, community
awareness etc; Population with culturally and religiously fanatically weak is the set back to development
How to manage and live with available resources and promote standard of population is management of national
economy. Management is to cope up with scarcity and best utilization of available resources.
Nearly 60-70% of world populations live in rural area so major economic activity is agriculture and related. Only 3% of about 3, 00,000 plants species available to agriculture are used today, even if 25% of plant species are explored national economy would grow like anything. This neglected
area need to have better management by research and development.
International Economy: Emergence of dependence has linked countries together.
What one country has no sourcing is supplied by others, this togetherness and
international dependence has given birth to International economy. In other words international economy is international trade
and agreements.When there is trade activity there is agreement and dispute also.
WTO is place where all the governments gather to negotiate the issues. Basic objective of WTO is settlement of trade disputes
and become helping hand to least developed countries of export import promotion. In most cases developing countries loose
stand in debates and negotiations. World economy is under control of a few developed countries their management is so strong
that they have retained all in their grip and what they want, when they want and how they want is done automatically as they
have strong materialistic approach. Their strength is so great that even International bodies are unable to move wings without
the signal. They together have monopoly power over other countries. Most countries are indebtness due to monopoly approach
they are liable to export cutting own necessities of food grains (as have no other resources) or tons of raw materials against
one war tank that too conditions applied. Survival of many developed countries is with sale of war heads so they are love
when developing countries have neighbor boarder clash. Since the constitution
of WTO many developing countries have gone poorer and poorer and overburdened by indebtness and inflationary economy. Advanced
products from Auto machines of developed world have almost invaded all developing countries resulted closures of small unorganized
sectors heavily that only grew poverty level and unemployment rate.
should not only be a table for debate, should also analyze the situations and process to be adopted so that developing world
gets relief from unmanageable debts. If International community really wants least developed or developing countries to come
Patent regime by a few multinational companies of developed countries
need to be restricted. So the monopoly is in controlled form.
Control over price fixation by multinationals so on necessities imports
developing world are not burdened.
Encourage labour oriented produces by provision of incentives to importers.
And certain disadvantages to fully auto products that can be produce semi auto or human.Will ultimately help generating world employment. Free trade will become only partial and most least and developing
will not be able to reap much against cheaper auto machine products and better know how.
Communication and other necessary advanced products for help of country’s
economic growth should have the right to obtain technical advice and right of production of spare parts by self.
Subsidized technical help to least developed and developing countries
so that they have fullest use recourses to export at least in semi or finished (instead of raw material) against heavy imports.
Protectionism method by developed countries to their small scale industries
and agricultures to be discouraged.
Human sources (services) to other countries should also come under trade
free or minimum restricted. This is flourishing segment that is property of developing
WTO should be more transparent machinery
than the present position. Most issues brought favours
the developed countries, the WTO system would become even more imbalanced and inequitable.
Survival of WTO is possible only when developing countries feel they
get justice for trade practices/ disputes and agreements. Free or liberal market can alone not help developing countries we
must also see how they can be in more advantageous. Quota abolition is waste until there is demand for their products of least
developed and developing countries.
Stock market:A measuring tape of national economy is a market where shares are bought and
sold. first introduced during Greek civilization as investment of gamble on explorers; after reaching gave
share of profit to investors but lost when explorers did not come back from sea, then was evolved by Romans as investment
on constructions. Became pure gamble in United States before world war many lost and many gained. Mainly brokers were at large to gain between the deals
for their gain by manipulating the situation to their favor, bear isan investor who acts on the belief that a security
or the market is falling or is expected to fall. Bulls are optimistic mass investors and generally act on behalf of large
industries and financial institutions when they come to action the market moves forward. But overvaluation by them sometimes
can lead to dangerous situation. After many ups and downs US Government introduced legislation to regularize the stock market.
Now all companies have to furnish their performance report that facilitated small investors as choice and security of their
is an institution raises capital for companies for expansion through brokers who fixes the value on demand and supply of shares.
In accordance with company’s performance/ reliability and return more and more people invest that shows companies are
doing good and people income is rising that allows them to invest. Apart from as market place it is indicator of the economic
growth. But one point I wish to explain where major percentage of population lives in rural villages and unable to invest
as they can not afford we can not say stock market is real measuring tape of economic growth. It is tragedy that investments
are not made on rural agricultural research/ development and exploration of forest values and its uses. This area really needs
an investment to upgrade standard of living of rural population.This happens
in some countries the stock market moving in height but poverty is still intact, this happens when a limited population is
rich and become richer due to vast variation of income and resources distribution. However, healthy functions of stock market
are good sign as more and more money is raised to invest further in productive areas but should not be artificial growth.
Best education is to gain positive knowledge to survive and perform. When in the
education, seeking highest marks becomes priority the objective is only how to get best percentage by hook or crook. Is this
not the guidelines for children to become selfish!!!!!!!!!!!!!