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Economics Paper: Public spending and public choice

As far as public spending is concerned, it is expenditure incurred by the public sector in the course of its activities. There are many ways to measure public spending, in which total managed expenditure, departmental expenditure limits and annual managed expenditures are at the top. Governments have obligation to spend on its people as it collects tax money from them. For instance, government always invests in local infrastructure for certain improvements. It is beauty of democratic solutions that it makes government responsible to take better care of its people.

It is the theory of modern economic tools to study problems and traditional chaos prevailing in regional settings. Public choice enables political forces and economical forces to healthy interact with each other. It calculates the importance of political forces for economic development. Globalization has failed all outdated practices, which were just about the development of unanimous economic activity. Today, countries have to develop significant political relationships to foster economic activity. Eventually, public choice is highly interlinked with political trends setting.

The macroeconomic unemployment
Macroeconomic unemployment is the result of ineffective macroeconomic forces, which causes unemployment rate higher day by day. Unemployment rate is badly increasing all over the world. Companies haven’t been in condition to support large workforce. However, many of them have started practicing cost cut strategy; employee retrenchment is the easiest and simplest way to reduce cost. If unemployment rate is 1% then equation would be as below.
% change in real GDP = 3% – 2 x (change in unemployment rate)

Inflation and deflation
When large amount of money is chasing for a few products then it would called inflation. People often lose their financial capability to bear their expenditure during inflation trends. Money value depreciates during inflationary trend, and product prices used to hike up during these trends.

When few amount of money is chasing for many products it would be called deflationary trends. It is reversely proportional to inflationary trends. People can purchase all desired products within limited budgets. Money value often increases during such trends.

Measuring economy
Economic measurement is to be done by the help of gross domestic production. It indicates the money value of all domestically produced products. On other hand, gross national production is another valuable tool to measure the health of economy.

GNP= FCE + GCF+ (X − M)

Global economic growth and development
Global economic growth and economic development have been increased by increase in export units, if some country domestically consumes all produced resources then it would not be in position to develop sound international relationships today.

Real GDP and the price level in long run
Real GDP is physical calculation of gross domestic production, when economists don’t make nominal GDP as base point to compare GDP growth. As far as price level is concerned, price phenomena have direct linkage with demand supply mechanism. Here is a example for understanding.

Year CPI Nominal Interest Rate Inflation Rate Real Interest Rate
1 100 – – –
2 110 15% 10% 5%
3 120 13% 9.10% 3.90%
4 115 8% -4.20% 12.20%

Fiscal policy
Government spending policies that sways over macroeconomic conditions. However, these police impacts on government spending, tax rates and interest rates in order to control the economic forces.

Politics website (2012) ‘Public spending’ available at 23/02/2012 form
William F. Shughart (2006) ‘Public Choice’ journal; 2, ISSN: 0048-5829, ed.1, and pp.12-78.

Economics Paper Writing Sample

Economics topic choices: The Nature of Economics, Scarcity and the World of Trade-Offs, Demand and Supply, Public Spending and Public Choice, The Macro economy Unemployment, Inflations and Deflation, Measuring the Economy~~s Performance, Global Economic Growth and Development, Real GDP and the Price Level in the Long Run, Classical and Keynesian Macro Analyses, Fiscal Policy

The nature of economics
The nature of economics discusses the distinction between macroeconomics and microeconomics. It also discusses the elements of an economic theory and model. Economics has ultimate relationship with consumer behavior; it works parallel to consumer choices as if they start demanding any commodities then its prices would hike up. It is economics, which highlights the importance of mass production conception, selective production, and market based production concepts.

Scarcity and world trade off
Scarcity is inability to generate satisfaction as of poor availability of resources. It is common thinking among economists that everything is getting scarce day by day. Individuals haven’t been changing their preferences and selection criteria. Price increase of product is one good example of scarcity as one product get scarce then its price is to be hiked up to manage the demand mechanism.
Trade off is a situation that involves losing one quality or aspect of something in return for gaining another. People don’t embrace new features if old ones have been satisfying their needs in better way. This welcomes to scarcity conception. Such consumer behavior always causes price increase in commodities. Eventually, consumers have to pay little more to fulfill such needs.

Demand and supply
Demand has reverse relationship with supply, if demand increases then supply will be in less amount. Similarly, less supply of products become the reason of the increase in demand. Eventually, increase in demand causes prices to be hiked. Customers have to pay off a bit more to satisfy same needs, which used to be satisfied by paying less in older days. For instance, petroleum prices have been continuously increasing up as of fewer supplies of petroleum products. International petrol markets have been deliberately using this fundamental concept.

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Movie Analysis Paper Writing Help

The movie which has been selected for this assignment is Wall-Street in which the event of margin call has been discussed. Charlie Sheen and Michael Douglas star in Wall Street, director Oliver Stone’s depiction of the greed and excess that dominated American business and finance during the 1980s. Douglas received Best Actor accolades from the Academy Awards, Golden Globe Awards and the National Board of Review for his role as an unscrupulous Wall Street trader.

In the movie, a character is Ma Yun who was the leader of the traders, let’s see what leadership style he used in the movie to motivate their employees.

There are a number of leadership styles are present but the style adopted by MA YUN is peacock leadership style which often called Charismatic leadership style. The word Charismatic has been derived from Charisma which is a basic instinct or nature of a person. Charisma is in the personality of a person which attracts the followers. There is a positive effect of the charismatic personality of a leader on his follower. A Charismatic personality of a leader effectively influences on the employee’s performance and also helps the employees in directing their performance without any undue influence. Charismatic leadership also called transformational leadership style. So, we will use these both of these terms interchangeably.

The leadership style adopted by MA YUN is transformational and in the mean time theory X style as well. Theory X style is a style in which the manager thinks that employees love their work and can not be forced to accomplish the task (Lussier & Christopher, 2009). By reading the movie, it can be said with authenticity that MA YUN supports his employees. MA YUN believes on the Maslow theory to meet the basic needs of his employees. He never does undue influence on his employees regarding the work done and for any other thing. The biggest positive node for the employees is that the boss trust them and according to the employees of MA YUN, “This person is very confident and trustworthy with a kind heart” and never laid down his any employee. Peacock leadership style adopted by MA JAU consists of a number of personality traits includes individual charm, unusual cohesion, ability to enhance interpersonal relationship and self confidence.

All of these things have been found in the personality of MA YUN. The best thing found in this person is Self Confidence and his ability to enhance long term interpersonal relationship with his employees and colleagues. According to his employees confidence is in the eyes of this person which makes his personality really charismatic and the charisma is enough for the employees to direct their performance. Due to the nature of MA JAU as a theory X manager, his employees are self motivated and confident and have full confidence on his leader. MA JAU always cares for his employee that is why he always uses effective methods of incentives for the employees.

By reading all these discussions do not assume that MA JAU is a soft person who can compromise because MA JAU never compromise on the work and target achievement. He will be very kind and gentle with you if you really want to work with heart or if not then he probably does not needs you.


Dereli, M (2010), Different Leadership Styles, John Wiley & Sons Professional Publications

Hellriegel, D & Slocum, J (2007), Organizational Behavior, London, Oxford University Publications

Kippenberger, T (2002), Leadership Styles, New York, McGraw Hill

Lussier, R & Christopher, A (2009), Leadership: Theory & Applications, Pearson Group Publications

Lawrence, J & Gitman. N (2008), The Futures of Business: The Essentials, Prentice Hall Publications

Mehrota, A (2008), Leadership Styles of Principals, Prentice Hall Publications

Paper On Leadership Potential

Leadership is one of the most important things in the literature of management (John & Robert, 2009). According to the organizational officials, management is basically a synergy of 4 things which particularly are planning, leading, organizing and controlling. From the organizational perspective, the brainchild which accumulates and binds each of this concept in a single one is called leadership potential. According to me, if a leader has potential than there is nothing which can stop him from ad hoc growth and prosperity. According to the self insight leadership template, my quantitative result is 3 which means that the leadership style I wish to adopt will come under the ambit of above the benchmark and it’s mean that I have the potential to lead a team in a well professional and ethical manner. This particular interpretation also apprise the reader that how much important is the essence of potential in a leader.

Transformational Leadership Style

Transformational leadership style is a style adopted by the leaders to take out as many work as they can from their employees without any coercive and harsh behavior (John & Robert, 2009). Transformational leadership is basically a style of leadership which shows that the employees are eager towards their work and will give their hundred percent performances without any influence. Due to its effectiveness, I have given full marks (4) in the insight template which shows that the result is above the benchmark.

Charisma in the personality

Charisma is the factor of personality trait which means that the leader has a charismatic and attractive personality (John & Robert, 2009). In the leadership assessment template, I have given 4 marks against this particular question which means that the charismatic personality has a large proportion in the overall leadership assessment.

Communication Apprehension

Due to the communication apprehension, the level of interaction among the leaders and employees will enhance (Armstrong & Baken, 2007). I have given “4” again for this particular element in the template which shows that how important communication is for a leader from the long run perspective of an organization.


It is a common saying that a fool can not be a leader or manger. Management and leadership is the game of mind (Armstrong & Baken, 2008). By considering the same, I have given 3 marks to this particular element which shows that the result is above the benchmark level of 2.

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