Capitalism, Game Theory, and Economic Trends
Capitalism
ADAM->Capitalism is an economic and social system that appeared at the beginning of the 19th century. The ancient middle class used to live in fear and in a constant state of survival; and only the upper class could afford the best things. Nowadays, due to capitalism, life has changed for people from the middle class. They are able to buy things that the ancient upper class used to enjoy, but with the difference that the new middle class works to afford those things. Capitalism is based
Personnel Management: Remuneration, Development, and Finance
Personnel Management
Maintenance Personnel
This relates to activities that benefit the worker. Key items to consider are:
Remuneration
Remuneration is compensation or reward for effort, composed of material and moral elements. Material elements include basic salary, overtime, bonuses, and holiday bonuses. Moral elements include psychological incentives (medals and congratulations) or rank (title, private office).
Industrial Security
The aim is to ensure that risks to workers’ health and lives are minimized.
Read MoreUnderstanding Economics: Core Principles
Microeconomics and Macroeconomics
Microeconomics is the study of how individual households and firms make decisions and how they interact with one another in markets.
Macroeconomics is the study of the economy as a whole. Its goal is to explain the economic changes that affect many households, firms, and markets at once.
Transactions and Spending
- Every transaction has a buyer and a seller.
- Every dollar of spending by some buyer is a dollar of income for some seller.
Gross Domestic Product (GDP)
GDP is
Read MoreOvercoming Development Barriers: Capital, Population, and Institutions
Barriers to Economic Development
Lack of Capital
The availability of factors of production (capital and labor) limits potential economic growth. A country can grow quantitatively by incorporating additional units of production. However, for it to be considered economic development (qualitative), productivity must increase. This is a consequence of rising efficiency in the use of available resources, allowing workers’ incomes and spending power to increase.
The increase in Total Factor Productivity
Read MoreUnderstanding Stock Face Value, Capital Increases, and Bonds
Face value of a stock: The value that appears in the account. This value is set at the time of the stock’s issuance. It’s calculated by dividing the total share capital by the number of shares issued when the company was created.
Capital Increases
To increase share capital, a company issues new shares. These new shares are first offered to current shareholders; this is known as pre-emptive rights. If shareholders don’t exercise this right, the shares can be acquired by others.
If the starting price
Read MoreSecond Republic Spain: Social, Economic Policies & 1930s Depression
Social and Economic Reforms in the Second Republic
The Second Republic sparked conflict between opposing ideologies. It raised expectations for farmers and industrial workers, aiming to improve their living standards.
Economic Policy: Advocates for the gold standard persisted, overvaluing the peseta and hindering imports and exports.
Innovative measures led to increased business costs.
- Budget Deficit: The deficit was addressed with public debt but did not reach critical levels, as investors withdrew