Globalization and neoliberalism Essay Example | Topics and Well Written Essays - 250 words - 1

Globalization and neoliberalism - Essay Example With the Indian neighborhood, they showcase their Indian culture. In particular, the adolescent showcase their Indian American youth culture. Such culture is portrayed as melodic and move to the combination of American hip jump, techno, and reggae with Hindi film music and bhangra. Furthermore, the Indian American youth they utilize Indian style nose rings and bindis to finish their social trimmings. The American Indians Indian body workmanship to finish their Indian American depiction (Maira 33). John Clarke, Stuart Hall, and different scholars having a place with the Birmingham school underscored the American Indians make a novel culture by setting up social ceremonies which support their aggregate character and characterize them as gathering. The gathering embraces and adjusts material items and recognizes them in particular styles which express the collectivity exemplified in customs of relationship and event and development. This can be called custom. Custom is utilized in the feeling of social practice that makes a â€Å"agreement† between suffering social structures and the present circumstance. The Birmingham scholars characterized the second era Indian Americans as a subculture. The last obscured the connection between the social development of youth as a particular class and the formation of a high school showcase (Maira 34). The Birmingham scholars stressed the Indian youth culture depend on customs that oppose the qualities characteristic in the predominant culture or the general demeanor of social force in the public arena in general. The making of a subculture is to follow the individual, financial, and political emergency that American Indian youth are faced as they arrive at adulthood. David (Harvey 25) attests the Maira hypothesis of Neoliberalism. The American Indian youth must get by in the American Environment. To do as such, the American Indian must consent to neoliberalism ideas. Under the idea, the American Indian â€Å"blends† into the American financial condition all together

Essay Genre essays

Paper Genre papers A narrative by definition is as per the Academy Rule 12 of the standards for the Academy Award: a non-anecdotal film. Narratives are films made for the sole motivation behind influence, structured mainly to get the watcher to see the creators perspective or the perspective they are introducing. Narratives frequently have a storyteller who helps the story or is the main impetus for the entire film, however this isn't generally so. Narratives can possess at least one of four general classifications, these are, Journalistic which includes data and examination. Social Comment, narratives which uncover issues inside society. Instructive, which fret about diversion yet principle objective is to educate. Lastly Magazine which as indicated by Film Study Collection: Genres is an assortment of short narratives and newsreel articles remembered for a solitary program with a studio have. The two narratives being focused on in this exposition are both social remark. Bowling for Columbine is a quick paced, in your face narrative that utilizes quick and frequently faulty altering to give a visual barrage of pictures to express what is on its mind. Widely praised executive Michael Moore stuns the watcher into his perspective. He utilizes smaller than usual meetings with individuals related with the subject of firearm brutality, and acts of mass violence, to give the watcher a powerful taste of what Michael Moore is introducing. The narrative gives a virtual buffet of short news cuts, meetings, kid's shows, and mood melodies all described by Michael Moore. The film utilizes juxtaposition as is obvious in a scene where the watcher is stunned with scenes of savagery, demise and executing all set to the Louis Armstrong melody Its a Wonderful World. Michael Moore utilizes exaggeration, and difficult to follow ends to endeavor and uncover the numerous issues of the United States of America, a general public that the documen ... <!

20 Scientific Reasons to Start Meditating Today New Research Shows Meditation Boosts Your Health, Happiness, and Success!

20 Scientific Reasons to Start Meditating Today New Research Shows Meditation Boosts Your Health, Happiness, and Success! As we head on over to 2019, more and more people are opening up to the bountiful benefits that meditation provides them with.To put it simply, meditation is the process of training your mind to refocus your thoughts.With it, you can boost awareness of yourself and your surroundings. It can even aid you in alleviating stress and elevate your concentration.Meditation can also help people develop numerous other beneficial feelings and habits, such as a positive outlook and mood, healthy sleep patterns, higher productivity, self-discipline and a higher tolerance for pain.HERE ARE SOME OF THE BEST BENEFITS THAT COME WITH MEDITATION1.  Lowers Stress Levels The very idea if meditating is to remain calm and get rid of anything that causes immense stress. This is proven in a study involving 3500 adults.Both mental and physical stress lead to aggregated levels of the stress hormone cortisol.This brings out more harmful effects of stress including the release of cytokines, which are chemicals t hat promote inflammation.Such effects not only interfere with our sleep but also cause anxiety and depression, increase blood pressure and promote fatigue and cloudy thinking.An eight-week study, involving a meditation style known as “mindfulness meditation” was proven to reduce the inflammation response caused by stress.Another study involving over 1300 adults showcased how meditation can decrease stress. As seen from this study, the effect was much stronger in those with higher levels of stress.Various research has revealed that meditation may also improve symptoms of stress-induced conditions such as post-traumatic stress disorder, irritable bowel syndrome, and fibromyalgia.  (Sources: 1, 2, 3, 4, 5)2.  Reduces Depression A study that involved 400 students (13-20 years old) found that students who followed an in-class mindfulness program were reported to have reduced rates of anxiety, depression, and stress after six months.In addition, the students were less likely to develo p pronounced depression-like symptoms.Another study from the University of California, comprising of people with past depression discovered that mindfulness meditation lowers ruminative thinking and dysfunctional beliefs.Elsewhere, mindfulness meditation was proven to be effective in reducing depression to a similar degree as antidepressant drug therapy.3.  Keeps Anxiety Under Control Less stress equals less anxiety.An eight-week study demonstrated that participants who practiced mindfulness meditation had significantly reduced their levels of anxiety.Other than that, it also symptoms of anxiety disorder including social anxiety, phobias, obsessive-compulsive disorders, paranoid thoughts, and panic attacks.Another study caught up with 18 volunteers after three years since they completed their eight-week meditation program.Many of those volunteers were still practicing their regular meditation and had maintained lower levels of anxiety over the long-term.In an even larger study compr ising of 2,499 participants, it revealed that practicing a range of different meditation strategies may lower anxiety levels.For instance, yoga has been proven to help people reduce their anxiety, which is thanks to the benefits from both meditative practice and physical activity.Meditation has also proven to assist office workers from high-pressure work environments to manage their anxiety and stress.This claim is backed by a study in which anxiety in a group of nurses was reduced after following a meditation program.4.  Lowers Panic Disorder SymptomsA research that was published in the American Journal of Psychiatry involved 22 patients who were diagnosed with panic as well as anxiety disorder and were put to 3 months of meditation and relaxation training.In conclusion, 20 of those patients had experienced a substantial decline in the effects of panic and anxiety and the changes were still there at follow-up.5.  Improves Emotional HealthThere are some types of meditation that can lead to a more positive outlook on life and an improved self-image.In fact, a controlled study compared the electrical activities between the minds of those who practiced mindfulness meditation and those who didn’t.Those who meditated showed considerable changes in activity in areas related to optimism and positive thinking.6.  Boosts Self-Awareness Some methods of meditation can help you get a stronger or better understanding of yourself, which in turn can help you grow into the best self you can possibly imagine.Self-inquiry meditation, for instance, effectively helps you develop a better understanding of yourself and how you relate to others around you.Other types of meditation enable you to identify thoughts that may be harmful or self-defeating.In other words, you gain a better awareness of your thought habits so that you may direct them toward more constructive patterns.In a study of 21 women fighting breast cancer, it was found that after taking part in a tai chi program, t heir self-esteem improved more than the ones who got social support sessions.Another study saw 40 senior men and women who, after taking a mindfulness meditation program, had reduced feelings of loneliness when compared to a group that was placed on the wait list for the program.Also, those who practice meditation may develop more creative problem-solving skills.7.  May Lower Age-Related Memory Loss You can make your mind feel young when you make improvements in attention and clarity of thinking.One meditation method to use for this is Kirtan Kriya, which combines a chant or mantra with continuous motion of the fingers to focus thoughts.It improves a person’s ability to perform memory tasks in various stages of age-related memory loss.A review of 12 studies found that several meditation styles increase memory, attention and mental quickness in older volunteers.Besides fending off normal age-related memory loss, meditation has been known to at least partially improve memory in pati ents suffering from dementia.It can even enable us to control stress as well as improve coping in those who care for family members who have dementia.8.  Improves Rapid Memory RecallCatherine Kerr of the Martinos Center for Biomedical Imaging and the Osher Research Centre reports that mindfulness meditation can enhance numerous mental abilities, including rapid memory recall.9.  Stretches Attention SpanFocused-attention meditation is a good exercise for your attention span in that it strengthens the capability and endurance of your attention.An eight-week mindfulness meditation course, for example, concluded that participants that improved in their ability to reorient and maintain their attention.Another study demonstrated that human resource workers who practiced mindfulness meditation on a daily basis were able to stay focused on a task for much longer.Not only that, but the workers also remembered the details of their tasks much better than those who did not practice meditation.A lso, one review confirmed that meditation could help reverse brain patterns that lead to worrying, mind-wandering and poor attention.As a matter of fact, meditating even for a little while can benefit you. A study determined that four days of meditating could be enough to increase attention span.10.  Helps You Stay Focused in Spite of Distractions A study from Emory University, Atlanta showed that participants that had more experience in meditation displayed increased connectivity within the brain networks that are responsible for controlling attention.These are the kind of neural relationships that lead to the development of cognitive skills such as maintaining consistent attention and abstaining from distractions.What’s more is that these benefits were also observed in a regular state of consciousness during the day.This meditation practice that was examined was focused on breathing.11.  Can Produce Feelings of Kindness Some methods of meditation can bring out positive feelings and actions towards both yourself and others.Metta, also known as the loving-kindness meditation, starts with making kind thoughts and feelings toward yourself.With practice, people will be able to transfer feelings of kindness and forgiveness to others around them, first to their friends, then acquaintances and then finally, their own enemies.There are 22 studies of this type of meditation that have showcased its ability to enhance people’s compassion towards themselves and also on to others.Another study of 100 adults that were randomly assigned to a loving-kindness meditation program found that those benefits were dose-dependent.To be frank, the more effort people put into Metta meditation, the more positive feelings they experienced.A group of studies demonstrated that the positive feelings people generate when they practice Metta meditation reduces their marriage conflict, improves social anxiety and help them manage their anger.These benefits may also come around eventually to those who practice loving-kindness meditation.12.  Increase Grey Matter Concentration in the BrainAn experiment conducted by a group of Harvard neuroscientists where 16 participants were put into an eight-week mindfulness course, using guided meditations and an integration of mindfulness into everyday activities.At the end of the course, MRI scans showed that the grey matter concentration increased in areas of the brain that involved memory and learning, sense of self, regulating emotions, and having perspective.Other studies a larger frontal and hippocampal volumes of grey matter for those who have been a long-term meditation practice.13.  Could Help Prevent Addictions As you continue to meditate, you will develop a mental discipline that might help you break your dependencies toward addictive behaviors by increasing your self-control and awareness of triggers for such behaviors.Various research has shown that meditation might help people increase their willpower, redirect their attention, control their emotions and impulses as well as boost their understanding of the causes behind their addictive behaviors.A study in which 19 recovering alcoholics learned how to meditate found that they were able to control their cravings better as well as craving-related stress.Meditation can also help you manage food cravings.A review of 14 studies documented that mindfulness meditation helped people reduce binge and emotional eating.14.  Help You Control Pain Our understanding of pain is connected to our state of mind and it can go up in stressful situations.One study, in particular, used functional MRI techniques to monitor brain activity in participants who experienced a painful stimulus.Some of those participants had gone through four days of mindfulness meditations training and others did not.In the results, the meditating patients showed an increase in the activity of brain centers that are known to control pain. The patients also reported being less sensitive to pain.A larger study involving 3,500 patients concluded that meditation was associated with lesser complaints of intermittent or chronic pain.Another study that saw patients with terminal diseases had experienced that meditation could help reduce chronic pain at the end of life.In each one of those scenarios, both meditators and non-meditators had experienced the same causes of pain, but the former demonstrated a greater ability to cope with pain and had also experienced a lesser sensation of pain.15.  Improves Information-Processing and Decision-MakingEileen Luders, who is an assistant professor at the UCLA Laboratory of Neuro Imaging as well as her colleagues, found that long-term meditators accumulate larger quantities of gyrification (known as “folding” of the cortex, that enables the brain to process information faster) than those who do not  meditate.Scientists have deduced that gyrification is what helps the brain improve at processing information, form memories, make deci sions and improve attention.16.  Decrease Blood Pressure Meditation also benefits the human body physically by reducing heart strain.Usually, high blood pressure makes it harder for the heart to pump blood over time, which is what leads to a poor heart condition.If left untreated, high blood pressure can lead to atherosclerosis, otherwise known as narrowing of the arteries, which results in heart attacks or strokes.A study involving 996 volunteers showed that when they meditated by concentrating on a “silent mantra” which is a repeated, non-vocalized word decreased blood pressure by about five points, on average.This is more effective among older volunteers as well as those who had a higher blood pressure before the study.One review stated that several types of meditation led to similar improvements in blood pressure.Meditation, in part, also appears to control blood pressure by relaxing the nerve muscles that direct heart function, tension in blood vessels and also the “fig ht-or-flight” response that elevates alertness in stressful situations.17.  Fosters CreativityResearch from Leiden University (Netherlands) showed that practicing “open monitoring” meditation (which is monitoring the content of experience from moment-to-moment, non-reactively) has positive effects in divergent thinking and creativity.Those who practiced this method displayed a better performance in a task where they were told to come up with new ideas in a creative manner.18.  Reduces the Risk of Heart Disease and Stroke More people have been reported to die from heart diseases on earth than any other diseases. According to a study that was published in late 2012, a group of 200 high-risk individuals was asked to choose between a health education class that promoted better exercise and diet or take a class on Transcendental Meditation.Over the next five years, researchers who were accompanying the participants found a 48% reduction in the overall risk of heart attack, stroke, and death in those who took the meditation class.The researchers had noted that meditation significantly reduced risks for myocardial infarction, mortality, and stroke in coronary heart disease patients.These changes were linked with lower blood pressure and psychosocial stress factors.19.  Reduces Inflammatory DisordersIn a study that was conducted in Spain and France at the UW-Madison Waisman Center, it says that practicing mindfulness meditation results in a range of molecular and genetic effects on participants.The meditators also showed reduced levels of pro-inflammatory genes, which also correlated with faster physical recovery from a stressful situation.20.  Prevents Asthma, Rheumatoid Arthritis, and Inflammatory Bowel DiseaseA research conducted by neuroscientists of the University of Wisconsin-Madison consisted of two groups of people who were exposed to different methods of stress control.One of the groups received training in mindfulness meditation, while the other receiv ed nutritional, music therapy and exercise.In conclusion, it was revealed that mindfulness meditation techniques were more effective in relieving inflammatory symptoms than other methods that promoted well-being.21.  May Help Treat HIV Believe it or not, some meditation techniques can help prevent the development of HIV-AIDs.Lymphocytes, or the CD4 T cells in simpler terms, are what coordinate the activity of the immune system when our body comes under attack.These also happen to be the very cells that are attacked by the devastating HIV that causes AIDS and has affected over 40 million people from around the world.The virus is known for eating our CD4 T cells, which subsequently weakens our immune system.David Creswell, a research scientist at the Cousins Center for Psychoneuroimmunology at UCLA and his colleagues ran an eight-week mindfulness-based stress reduction (MBSR) meditation program and had compared it to a one-day MBSR control seminar, using an ethnically diverse and stre ssed sample of 48 HIV-positive adults in Los Angeles.Those who participated in this program showed no loss in CD4 T cells, concluding the fact that mindfulness meditation can prevent the weakening of our immune system and prevent the contraction of HIV.22.  It Can Help You Live LongerTelomeres are the cells that are responsible for a human being’s aging process.Even though research is not yet conclusive, there is some data that may suggest that some forms of medication have salutary effects on telomere length, which is done by reducing cognitive stress and stress arousal and increasing positive states of mind and hormonal factors that may promote telomere maintenance.

Should Parents Assume Equal Responsibility When Raising a...

For thousands of years until today, the best way to officially be the partner of someone is through marriage. People have practiced marriage for thousands of years. Many cultures see marriage as the best method to celebrate the love of a couple until death tears them apart. â€Å"Marriage establishes and maintains family, creates and sustains the ties of kinship, and is the basis of community† (Rowe 2). Marriage is a concept bigger than ones happiness and it is the basic for creating a peaceful home for the family. â€Å"This sense of home requires the dynamic participation of both women and men--the women to mother and the men to father--to fulfill the daily roles of teaching, nurturing and protecting children† (Rowe 2). Your parents’ have an†¦show more content†¦PAGE 2 When you are a child, you are weak and consequently you need both of your parents love and support. What happens if one parent does not put the same effort at raising a child? It is ver y possible for the child to lose the side, potentially leading to a family breakdown. It is very essential that both parents share their duties equally. In order for a child to be a psychologically balanced person it is essential to have a powerful relationship with his/her parents and be in a supportive environment. â€Å"Also, parents should have a good communication with their children and listen to them what they say† (Korkmaz 4). It is very important for the children to know that they are being respected, and their thoughts are taken into consideration.† The time children spend with parents is thought to be important for their cognitive and social-emotional development (Erkal, Copur, Dogan, Safak 2).† While, it is true that a mother should give a sense of nurturing to children when they deal with people, the father’s role is inevitable in building the child’s personality. If a child is nurtured only by one parent they may feel far away from th e other parent and may find other dangerous ways to make up for that loss. It is very important that parents have an equal hand in caring for their child. This wouldShow MoreRelatedShould parents assume equal responsibilities when raising a child?1330 Words   |  6 Pageschildren† ( 2). Parents have an obligation to take care for children, so that when they grow up they are able to become a person who is strong enough to support himself. But there are different opinions whether raising a child should be shared equally between parents. One group thinks that it is essential for a child to grow up with the love and care of both parents. Meanwhile, others believe that child raising should be shared in a way that suits the family. While single parents argue that evenRead MoreShould both Parents Take Equal Responsibility in Raising a Children728 Words   |  3 Pagescondition, and they have a lot of responsibilities against themselves and against people who leave around them. Aft er any couple married they start sharing every responsibility in their life and their life became as a farm: the father is farmer and the mother is a land and the children are the seeds and both parents should take care of these seed as they grow. In fact, there is argument in these important issue that is both parents should assume equal responsibility for raising children. However, some peopleRead MoreShared Parenting and Family Law1608 Words   |  6 PagesWhat is your topic? My Topic is Both parents should assume equal responsibility in raising a child. shared parenting is a controversial topic in family law. It generally refers to the presumption that children of divorced or separated parents should spend an equal (or almost equal) amount of time with each parent. The concept has largely been promoted by fathers organisations that contend that a childs life is enhanced if both parents continue to be significantly involved in the childs lifeRead MoreA Case for Shared Parenting1644 Words   |  7 Pagesï » ¿A Case for Shared Parenting As a child of divorced parents growing up the in the nineties in New York City, I was hardly a minority. Approximately half of all kids my age had divorced parents and it generally wasnt considered strange or a big deal. From this pool of divorced kids whose parents had divorced for a variety of reasons, there was one thing they all had in common, as far as I knew, the majority of custody had been granted to the mothers in nearly all of the situations. This has generallyRead MoreThe Expression And Parental Responsibility1443 Words   |  6 Pages The expression â€Å"Parental Responsibility† (PR) marks a revolution in the Children Act 1989, aspiring to alter the parent-child relationship from rights to duties and responsibilities. This terminology justified the House of Lords’ decision in Gillick v West Norfolk and Wisbech AHA where Lord Fraser commented: â€Å"[Parental rights†¦ do not exist for the benefit of the parent†¦ rather to enable the parent to perform his duties towards the child†¦] . In accordance, s3 Children Act 1989 (CA 1989) definedRead MoreFeminism Is A Very Loaded Word886 Words   |  4 Pagesdefinition for it. Generally, it is defined as equality between men and women. Women and men should have equality within the house and as mothers and fathers. Children rely much on mothers because of the reproductive labor that is traditionally done by them. As such, they need to be included in such a discussion. Within a household, women and men, mothers and fathers, have different roles and responsibilities, much of which are based on the person’s gender. Typically, women or mothers are â€Å"responsibleRead MoreThe Family Of A Family1373 Words   |  6 PagesA father and a mother provide an atmosphere in which to live, grow, and develop. The family culture is established by the parents and instilled in the children during their upbringing. A healthy family, is a family that follows a set of strong morals, stays loyal to one another, cooperates, and works together to avoid household differences. An environment where there is openness amongst family members is ideal because minds that are open are more liable to preventing any anger that their adolescentsRead MoreSusan Moller Okin s Justice, Gender And The Family1738 Words   |  7 Pagesongoing inequality between the sexes and suggest a different type of solution to Okin’s. Explain and critically evaluate their causal argum ents. Which side has the better causal arguments, Okin or Kay/Shipman? Based on the strength of the argument, should we try Okin’s solution to the problem of workplace inequality or take a different approach? Argue for your view on this issue. In this paper, I will demonstrate, with the use of examples, that the causal factors which keep women of our society fromRead MoreEssay on Private Schools Will Not Fix the American Education System1422 Words   |  6 Pagesthat all members of society should have equal access to education. Also crucial was the notion that a basic common education was essential for a true democracy. This revolutionary system is now in indisputable trouble. Many worry about America’s ability to compete with foreign countries while others address the growing dichotomy between the quality of education in different economic areas. Recent rural shootings have only exasperated the problem, and caused many parents to entirely abandon the publicRead MoreShould Abortion Be Legal?1052 Words   |  5 Pagessome people, it should be a fundamental right for women to control their own bodies. Abortions are one of the many things that everyone has an opinion on. It is one of the most controversial topics anyone will not agree upon. When abortion is discussed, people tend to assume one of two positions: â€Å"pro-life† or â€Å"pro-choice.† Pro-life is the view that the woman should not have the ability to terminate a human life. Pro-choice is the belief that the woman carrying an unborn baby should be given the right

Chapter 1 Apush Notes [Americas History] - 2669 Words

Chapter 1: The New Global World Intro Before the French Natchez people complained that French treated them like slaves Before 1490s Natchez only knew their people 1502: Nicolas de Ovando replaced Columbus as governor of Hispanola His fleet of ships carried Span adventurers/African slaves which created triracial societies 1949-- Columbus unleashed 200 troops w/ 20 on horseback to terrorize the natives b/c he was upset he couldnt govern Also released greyhounds to rip indians to pieces French killed hundreds of Natchez and sold survivors into slavery-- forced to work on sugar plantations The Native American Experience The First Americans 1st movement-- Migrants from Asia crossed 100 mile wide land bridge that connected†¦show more content†¦eritance developed among some eastern Indian peoples Men did not consider wives family No intimacy Religious rituals were centered on the agricultural cycle Tradition-Bound Europe European Peasant Society 1450- most people peasants Lived in small,compact agricultural villages surrounded by open fields Fields were divided inconveniently--cooperative farming Community chooses what crops will be grown Manorial lands Land in exchange for weekly work on a lord’s land--serfdom Used labor in exchange for rent/land Peasant output produced surpluses and created a local market economy The Peasantry Life according to season Agricultural year starts in March Spring: men shave wool--women spin it into yarn June: cut hay and store it for winter food for livestock Summer: easy going Winter: killed extra livestock and smoked/salted meat Cold months: Wove textiles Visited old friends Celebrated winter solstice/christmas More successful conceptions in early summer Rural people die: in January/February --viral disease August/September in epidemics of fly-borne dysentery The Peasants Fate Most peasant-- labor = survival Babies called greedy Girls were not fed as much as boys 1/2 of all peasant children were dead before 21 Malnourishment and disease Without many basic necessities of life the peasants turned to prayer Hierarchy and Authority Princes/Kings: Owned vast tracts of land Forced men into military Lived off of peasantry labor Local nobles:

Life circle theory of saving Free Essays

The life Circle Theory of Saving teaches about the modalities, guidelines, and strategies in which   families, governments, institutions should save, plan and manage their financial assets to span and cut across their entire life time. In the case of a family or household, it posits on how they should manage their financial assets in a transferable manner to cut across different times in their life circle, taking into cognizance the need to save and provide for retirements, as well as their children’s education, buy insurance, among other needs. According to  Ã‚   Zvi, B, Jonathan, T. We will write a custom essay sample on Life circle theory of saving or any similar topic only for you Order Now Wiillen P. (2004), this also relates to a companies assessment as to what to choose as the default asset allocation for a compulsory retirement saving plan. This theory poses various questions to people and deals with such fundamental issues as to how much of their earned income they should save for the future; how to invest what they save; the type of risk they must provide insurance,   incase of any eventuality; are they to buy a house or rent one; is it better to get a fix rate mortgage or bargain for an adjustable one. As Zvi B. (May 2007) observed, the theory not only concerns families, but government policy makers and firms that provide life circle serves, and even educator who help counsel   the public to make informed choices. LIFE CIRCLE THEORY AND AGGREGATE SAVING IN AN ECONOMY This concept of life circle theory is useful in understanding the aggregate saving in an economy. According to Hayashi, F. (2007), aggregate saving is calculated as average saving for all age brackets in the population of a particular nation. This is expected to be the same or equal to the aggregate savings in the national account. In practical terms, saving is the difference between disposable income and consumption. It therefore goes that if households are able to increase their aggregate savings they will be in a better position to save and plan well for their life circle. Floden, M. (Date not available) defines aggregate saving in a general equilibrium model in an economy, as a situation, â€Å"Where infinitely lived households face volatile income paths, holds a risk-free asset, and face a liquidity constraints†. In any economy, when individual income, or organizational income varies, or differs, then the aggregate equilibrium capital will be larger than when it is constant. He posits further that when income is stochastic, the equilibrium capital stock is always larger than when it is constant. National savings largely depends on the rate of growth and development of national income. However, the purpose of life circle theory is not to provide clear cut answers, instead it is to give a framework for individuals, policy makers and financial planners to provide solutions to the questions posed- as indicated above. The huge variation in household income and in the aggregate savings in the economy will determine how planners (as well as families) will fine tune their advise to suit whatever purpose they want to serve. DEFINITION OF INCOME. The Wikipedia gave various definitions of income, but basically, income, defined in general terms, is the money that is received as a result of normal business activities of an individual; or money received from employment by way of employment by way of salary, wages, tips, as well as profits, dividends from financial investments, as interests, capital gains, or other sources as in social security or premiums. Income also is the money received from labor, services rendered, sale of property or goods or from investment made. There are diverse elaborate definitions of income, but we shall make do with the above definition for the purpose of this paper. PERMANENT INCOME AND LIFE CIRCLE MODELS. In the view of Roberts, S. (date not available), this is a situation where people base their consumption on what they believe to be their regular income. So, they try to maintain a fairly constant and stable standard of living, even though their earnings may vary either on monthly or yearly basis. This happens in a way that their spending pattern are fairly constant irrespective of increases or decreases in their earned income. This hypothesis was developed by Milton   Friedman in 1957. If people perceive that a change in income is temporary, their spending may not change, but if they observe it is permanent, it may vary slightly on the average. DEMOCRAPHIC FUNDAMENTALS   AND FLOW OF SAVING The demographic fundamentals as it relates to flow of savings in life circle theory is based on the premise that young people borrow money, they middle aged class save their money, while the old people (elderly) run down or spend their savings.   Consequently, a nation with large population of middle age will have high savings, especially as people prepare to retire. Concerning the relationship between the demographic fundamentals and the bond marker, when the savings supply is high as a result of the high population of the middle age savings, the price of stocks and bonds falls. Also, when the supply is low, yield equally increases. INTEREST RATE EFFECT ON SAVING AND LIFE CIRCLE MODEL. Naturally, interest rate, which is the rate of the fee paid on borrowed asset, would always adjust to level up with investment and savings. Increase in interest rate affects how much income left for consumption. If the interest rate is increased it means less money for consumption and investment, whereas, it is increased there will be likelihood of slight increase or constant level of consumption and investment. It goes therefore to say that a rise in saving would bring about a fall in interest rate, thereby encouraging investment. Inn life circle theory, the lower the interest rate, the more likely consumption will increase, as well as investment. Both in individuals as well as institutions. According to an extensive review by Modigliani, FF Albert, A. (March 2005), in a world congress of the Economic Society in Barcelona in 1990. In trying to assert a comprehensive and standard evidence on saving and growth in a developing economy, he said that, â€Å"Both growth and demographic structures are powerful predictors of national saving, with little or no role for the level of national income†. WEALTH EFFECT ON LIFE CIRCLE MODEL The level of wealth in an economy bears a simple relation to the length of the retirement span, which is the middle age, the very class that saves money the most. It is also true to say that the consumption of a household is also dependent solely on the present value of their lifetime income. For example, if two investors separately have the same total wealth (monetary wealth) working life, and are equally expectant of some sources of income in their remaining working life, their consumption decisions will be similar or same, not minding their income profile. REEFERENCE 1. Albert, A. Modighiani, F, (March 2005). The Life Circle Hypothesis of Saving: Aggregate Implication and Tests. American Economic Review. 53 (1) 55-84. Angus Deaton. â€Å"Research Programme in Development Studies and Center for Health and Wellbeing. Princeton University. www.princeton.edu/ 2. Floden, M.www.ideas.repec.org/p/hhs/hastef/0591.html 3. Hayashi, F. (2007) Understanding Savings: Evidence from the United States and Japan. MA. MIT Press, 55 Haywad Press. Page 305. ISBN-10: 0-262-08255-1 4. Zvi, B. Jonathan T. Willen P. (2004). The Theory of Life- Circle Saving and Investment. Public Policy Discussion Paper. No. 07-3 5. Zvi B. (May 2007) 6. www.wikipedia.com 7.Robert S. Permanent-Income hypothesis,   published in www.wikipedia.org How to cite Life circle theory of saving, Essay examples

Life circle theory of saving Free Essays

The life Circle Theory of Saving teaches about the modalities, guidelines, and strategies in which   families, governments, institutions should save, plan and manage their financial assets to span and cut across their entire life time. In the case of a family or household, it posits on how they should manage their financial assets in a transferable manner to cut across different times in their life circle, taking into cognizance the need to save and provide for retirements, as well as their children’s education, buy insurance, among other needs. According to  Ã‚   Zvi, B, Jonathan, T. We will write a custom essay sample on Life circle theory of saving or any similar topic only for you Order Now Wiillen P. (2004), this also relates to a companies assessment as to what to choose as the default asset allocation for a compulsory retirement saving plan. This theory poses various questions to people and deals with such fundamental issues as to how much of their earned income they should save for the future; how to invest what they save; the type of risk they must provide insurance,   incase of any eventuality; are they to buy a house or rent one; is it better to get a fix rate mortgage or bargain for an adjustable one. As Zvi B. (May 2007) observed, the theory not only concerns families, but government policy makers and firms that provide life circle serves, and even educator who help counsel   the public to make informed choices. LIFE CIRCLE THEORY AND AGGREGATE SAVING IN AN ECONOMY This concept of life circle theory is useful in understanding the aggregate saving in an economy. According to Hayashi, F. (2007), aggregate saving is calculated as average saving for all age brackets in the population of a particular nation. This is expected to be the same or equal to the aggregate savings in the national account. In practical terms, saving is the difference between disposable income and consumption. It therefore goes that if households are able to increase their aggregate savings they will be in a better position to save and plan well for their life circle. Floden, M. (Date not available) defines aggregate saving in a general equilibrium model in an economy, as a situation, â€Å"Where infinitely lived households face volatile income paths, holds a risk-free asset, and face a liquidity constraints†. In any economy, when individual income, or organizational income varies, or differs, then the aggregate equilibrium capital will be larger than when it is constant. He posits further that when income is stochastic, the equilibrium capital stock is always larger than when it is constant. National savings largely depends on the rate of growth and development of national income. However, the purpose of life circle theory is not to provide clear cut answers, instead it is to give a framework for individuals, policy makers and financial planners to provide solutions to the questions posed- as indicated above. The huge variation in household income and in the aggregate savings in the economy will determine how planners (as well as families) will fine tune their advise to suit whatever purpose they want to serve. DEFINITION OF INCOME. The Wikipedia gave various definitions of income, but basically, income, defined in general terms, is the money that is received as a result of normal business activities of an individual; or money received from employment by way of employment by way of salary, wages, tips, as well as profits, dividends from financial investments, as interests, capital gains, or other sources as in social security or premiums. Income also is the money received from labor, services rendered, sale of property or goods or from investment made. There are diverse elaborate definitions of income, but we shall make do with the above definition for the purpose of this paper. PERMANENT INCOME AND LIFE CIRCLE MODELS. In the view of Roberts, S. (date not available), this is a situation where people base their consumption on what they believe to be their regular income. So, they try to maintain a fairly constant and stable standard of living, even though their earnings may vary either on monthly or yearly basis. This happens in a way that their spending pattern are fairly constant irrespective of increases or decreases in their earned income. This hypothesis was developed by Milton   Friedman in 1957. If people perceive that a change in income is temporary, their spending may not change, but if they observe it is permanent, it may vary slightly on the average. DEMOCRAPHIC FUNDAMENTALS   AND FLOW OF SAVING The demographic fundamentals as it relates to flow of savings in life circle theory is based on the premise that young people borrow money, they middle aged class save their money, while the old people (elderly) run down or spend their savings.   Consequently, a nation with large population of middle age will have high savings, especially as people prepare to retire. Concerning the relationship between the demographic fundamentals and the bond marker, when the savings supply is high as a result of the high population of the middle age savings, the price of stocks and bonds falls. Also, when the supply is low, yield equally increases. INTEREST RATE EFFECT ON SAVING AND LIFE CIRCLE MODEL. Naturally, interest rate, which is the rate of the fee paid on borrowed asset, would always adjust to level up with investment and savings. Increase in interest rate affects how much income left for consumption. If the interest rate is increased it means less money for consumption and investment, whereas, it is increased there will be likelihood of slight increase or constant level of consumption and investment. It goes therefore to say that a rise in saving would bring about a fall in interest rate, thereby encouraging investment. Inn life circle theory, the lower the interest rate, the more likely consumption will increase, as well as investment. Both in individuals as well as institutions. According to an extensive review by Modigliani, FF Albert, A. (March 2005), in a world congress of the Economic Society in Barcelona in 1990. In trying to assert a comprehensive and standard evidence on saving and growth in a developing economy, he said that, â€Å"Both growth and demographic structures are powerful predictors of national saving, with little or no role for the level of national income†. WEALTH EFFECT ON LIFE CIRCLE MODEL The level of wealth in an economy bears a simple relation to the length of the retirement span, which is the middle age, the very class that saves money the most. It is also true to say that the consumption of a household is also dependent solely on the present value of their lifetime income. For example, if two investors separately have the same total wealth (monetary wealth) working life, and are equally expectant of some sources of income in their remaining working life, their consumption decisions will be similar or same, not minding their income profile. REEFERENCE 1. Albert, A. Modighiani, F, (March 2005). The Life Circle Hypothesis of Saving: Aggregate Implication and Tests. American Economic Review. 53 (1) 55-84. Angus Deaton. â€Å"Research Programme in Development Studies and Center for Health and Wellbeing. Princeton University. www.princeton.edu/ 2. Floden, M.www.ideas.repec.org/p/hhs/hastef/0591.html 3. Hayashi, F. (2007) Understanding Savings: Evidence from the United States and Japan. MA. MIT Press, 55 Haywad Press. Page 305. ISBN-10: 0-262-08255-1 4. Zvi, B. Jonathan T. Willen P. (2004). The Theory of Life- Circle Saving and Investment. Public Policy Discussion Paper. No. 07-3 5. Zvi B. (May 2007) 6. www.wikipedia.com 7.Robert S. Permanent-Income hypothesis,   published in www.wikipedia.org How to cite Life circle theory of saving, Essay examples