Economic Growth Of The Economy - 1506 Words

Economic growth rate can be measured as an increase in the capacity of an economy to produce goods and services, compared from one period of time to another (Investopedia). Ylan Mui and Nelson Schwartz offer information on what is stagnating our nation’s economic growth. Many have been looking at the economic growth of the third quarter very disheartened. U.S. economic growth during the third quarter expanded at a 1.5% rate, which is considerably lower than the last quarter. There are many reason that the economy is experiencing this lackluster growth, and there are several terms necessary for understanding economic growth as it relates to the article. They will be introduced as we dissect the information presented. Inflation can be†¦show more content†¦Personal consumption makes up a large part of our country’s gross domestic product (GDP). In fact, consumption by U.S. citizens, on things such as insurance and healthcare, have grown more than twice the pace of growth in other parts of the economy. This a large contribution to our national GDP. Scott Clemons, a chief investment strategist commented saying â€Å"[†¦] the persistent strength of personal consumption bodes well for a continued modest expansion in the U.S. economy† (Schwartz). Even still, many manufacturers and businesses are being forced to cut production because they anticipate this lack of growth will continue into the next year. A part of the economic slowdown is contributed by the slow inventory accumulation of businesses. Many businesses have opted to let the goods that they have in inventory slowly diminish, rather than make new additions. This is unlike the strategies they used at the beginning of 2015 when there was more economic certainty. However, now that businesses are cutting production, they have increased their business investment. We see trends in business investment in equipment and intellectual property (Schwartz). Companies have opted for the ‘law of diminishing marginal return’, which states that savings and investment in capital is a source of labor productivity, it will not be sustained without technological advances and increased human capital (Bade, Parkin). Many businesses are hoping that these investments now will lead

Effects of Illegal Logging free essay sample

As we know human need air to live without air we can not breathe, so it is important for us to keep our forests. environmental problems arise as a result of human activity itself, utilization of natural resources that exceed the threshold carrying capacity of land and without regard to the aspects of sustainability will be bad for the environment. Based on the data that I quoted from the internet, Indonesia has a total forest area of about 126. 8 Million Hectares From Sabang to marauke, and 26. 8 million hectares is expected to accommodate the lives of all Indonesian citizens, amounting to 46 million people. llegal Logging according to Law No. 41/1999 on Forestry was a violation of law committed by any person or group of persons or legal entities in the field of forestry and trade of forest products; cut or collect wood forest products (HHK) of forest land without permission, receiving or buy HHK allegedly illegally collected, as well as transport or have HHK without a Certificate of Legal Forest Products (SKSHH). We will write a custom essay sample on Effects of Illegal Logging or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The causes of illegal logging is illegal for both timber and land conversion to other uses, such as plantations, agriculture and settlement. Over time population increases day by day more and more rapidly, causing the pressure of needing a place to live, the trees be felled to clear land for residential or agricultural. Other factors are the factors of poverty and employment factors. Generally this happens to the people who live near or in the woods.Amid the difficulty of competition in the world of work and will crush the economy, society would not want to work as loggers and from this community can sustain its life. This is sometimes exploited by financiers like-financiers to exploit the forest without a permit from the authorities. In fact, when seen this wage is nothing compared to the consequences will be felt later. Rapid technological developments so that peoples ability to exploit the illegal logging of forests, especially for the more easy to do. With the evelopment of technology to cut down trees that did not take long, because the increasingly sophisticated tools. Wood is still the regional income. Commercial production includes the production of timber and processed products, the production of oil and other plantations later. On one hand people need woods for varietry of needs, for tradisional people, wood used as materials building, and fuel for cooking. On the other hand, people seeking profit by doing illegal logging, the example like they sell the wood for personal benefits or they make a factory on the open areas.The first effect of illegal logging can disturbance or damage to the ecosystems that cause the components that make up the ecosystem, which is species diversity of plants and animals to be disturbed. The second effect of illegal logging is a flood. The trees are cut down to the numbers is increasingly less able to cause the forest no longer absorb the rainwater that falls in large quantities, so that water can not seep into the soil so that it can cause flooding, as happened recently in Wasior flood disaster, Papua, which killed nearly 110 people.And the other e ffect is decreasing the number of backup sources of ground water or spring water in forest area. This resulted difficulties to get clean water and lack of water for irrigation. The conclusion is we can used natural resources such as wood as long as we can preserve it, because natural resources are a gift from God, and we must keep the resource so that can be used in a long term.