Global Monetary Crisis

Many of the world’s countries are still struggling to emerge out of the recent 2008 global financial crisis. This crisis seeped into every economy because of the interconnectivity that arises out of globalization. The global financial crisis was close to an economic catastrophe because it not only affected the banks but also other parts of the economy such as employment. Even though the financial crisis had its peak in 2008, economists estimate the crisis to have begun in 2002 .( Beams, Nick)

The beginning of the financial crisis is considerably attributable to the happenings in the banking sector of the USA.  This occurred in five stages. Stage one of the global financial crisis might have commenced in the January of 2007 when banking institutions testified to an acute surge in losses, which were attributable to mortgage defaults. In October 2007, house prices rapidly fell thereby creating massive losses in countries such as the UK .This made major banks, which were trapped in real estate-related risks, to start leveraging at critical levels. In the stage 2, which commenced on the January of 2008, the global banking credit enlarged by over 175 points.( 2008, September). This factor led to the complete closure of the asset securitirization markets.

In 2008, the US financial regulators stepped in to rescue Bear Sterns from collapsing. This was due to funding difficulties that sprang from the destroyed global debt markets. At this time, the crisis had spread through thee entire capital market leading to the US government bailout of major financial institutions.

 Financial players packaged the usually secure mortgages with risky mortgages, as bundles for sale to banks and corporate investors. In the packages, the real risks were concealed thereby creating an illusion of value. This element grew as the lending criterion loosened to accommodate more risky packages in a period of between five to six years. In close relation to this concept, there was the widespread trade of mortgages across the world, among individuals who would have never afforded repayments. As individuals defaulted on mortgages, property prices fell as more borrowers realized their real financial situations. Many individuals blamed the governments for not regulating the financial markets effectively, as it would have led to credible verification of the value of mortgages.

The housing bubble thrived on low interest rates and considerable wealth that arose from increased consumers’ savings. In the end, the required compensation of mortgages outweighed the consumers’ income. As consumers defaulted on their payments, household wealth reduced thereby cutting back on consumer expenditure. This is a signal of low demand that contributed to low economic growth. This relates to the banking institutions, which also faced a low demand of loans and other financial products.

As companies cut back on their investments and became bankrupt, it raised the rate of unemployment. This is because these companies had to lay off workers they could not sustain through their limited and uncertain revenues.

The possible solution towards this crisis concerns restoring confidence in the financial sector. Restoration of confidence is an intense process that governments carry out to prop up the banking sector. To begin with, the concerned parties should recapitalize the financial intermediaries. This occurs through either merger and acquisition plans or direct capital injections. Moreover, governments’ global coordination programs help towards censuring cross- border contagion. By restoring the confidence, the financial institutions will make efforts to stabilize their short-term lending.

In addition, the central banks need to effect low interest rates. This is a policy of stimulating investment since loans become cheaper. In turn, it also eliminates multiplier defaulting by borrowers. As investment increases, it helps towards economic growth that spurs demand for products in the economy. The administrative procedures suffocate banks from making independent decisions. These procedures entail aspects such as floor caps, ceiling and reserve requirement ratio. Short-term fiscal stimulus entails tax holidays and direct funding to SME’s that improves employment. This strategy, however, should face limitations as deregulation also contributed to the financial crisis. The governments should enhance their regulations for proper verification of financial assets.

Quantitative easing is government monetary policy infrequently used to boost the money supply by buying government securities or other securities from the market. it increases the money supply by flooding financial institutions with capital, in an effort to increased lending and liquidity.( free encyclopedia)

Economic policies should be cautious in introducing expenditure options that spur debt levels. In the short term, however, governments may face the compulsion of spurring investments through direct funding. This suggests that responsible financial authorities should implement regulations that govern financial markets’ operations in terms of lending and borrowing.

Works Cited

Crotty, James. Structural causes of the global financial crisis: a critical assessment of the ‘new financial architecture’. Cambridge Journal of Economics 33 (2009): 563–580. Web. September 8th, 2013.

2008, September. "Financial crisis of 2007–08 - Wikipedia, the free encyclopedia." Wikipedia, the free encyclopedia. N.p., n.d. Web. 15 May 2013. <http://en.wikipedia.org/wiki

Canstar research. Global financial crisis; what caused it and how the world responded. November 23, 2012. Web. May 13, 2013.

Beams, Nick. "Global Financial Crisis: Tensions at G-20, IMF Meetings. No Economic Recovery in Sight | Global Research." Global Research. N.p., n.d. Web. 15 May 2013. <http://www.globalresearch.ca/global-financial-crisis-tensions-at-g-20-imf-neetings-no-economic-recovery-in-sight/5332437>.

"Global financial crisis."Khaleej Times - Dubai News, UAE News, Gulf, News, Latest news, Abu Dhabi News, Arab news, Sharjah News, Gulf News, Dubai Business News, UAE Business News, Dubai Sports, Live Dubai Weather, Jobs in Dubai, UAE Classifieds, Gold Rates, Forex, Oman News, Qatar News, Bahrain News, World Muslim Prayer Timings, Dubai Labour News . N.p., n.d. Web. 15 May 2013. <http://www.khaleejtimes.com/kt-letter-display.asp?xfile=/data/letters/2013/Apri

Hooper, Vince. Could the Global Bond Market cause another Global Financial Crisis in 2013? January 5, 2013. Web. May 13, 2013.

The Eiffel Tower

The Eiffel Tower

The Eiffel tower is an iron tower located in Paris Champ de Mars. It is named after the engineer Gustave Eiffel, whose company designed and built the tower. It was built between 1887 and 1889; it took 2 years and 2 months. The tower opened on 6 May 1889. It has become a global and cultural symbol of France and one of the most recognizable structures of the world; it’s the most visited paid attraction in the world with 7.1 million visitors in 2011. The tower was built for the World Exhibition, held in celebration of the French Revolution to mark the 100-year anniversary of the Revolution. The tower stands 320 meters tall, about the same height as an 81 storey building. The estimated cost was six and half million francs. No more than three hundred workers were employed on site, and because of the safety precautions, only one man died during the construction period. The tower had a permit for 20 years; the city had planned to tear it down but as the tower proved valuable for communication purposes it was allowed to remain after the expiry of the permit. And till the moment it still exists.

The massive structure was designed and built by the same individual, French engineer Gustave Eiffel. It is no wonder the colossal structure was named after him. Of Course, he did not single-handedly build the whole Eiffel tower; his construction company was responsible for that. The Eiffel Tower is the most celebrated work of Gustave Eiffel; however, he worked on some other constructions. In 1887, Eiffel was contracted to design and construct the Panama Canal. His design, like the Eiffel Tower, was grandiose and rather costly. There was a scandal in the same project that damaged his reputation significantly. He was accused of misappropriation of funds, and this brought on his eventual retirement from the construction company and from the construction business. Eiffel took an interest in aerodynamics, and it is in this field that he devoted his efforts and energy for the better part of his remaining life.

The Eiffel Tower was constructed to celebrate the centenary of the French Revolution, and its main purpose was to serve as the doorway to the World’s Fair in 1889. The structure was built entirely out of wrought iron as opposed to the popular steel. Eiffel decided to use this material because he had a lot of experience with iron, and it was considerably cheaper than steel. Iron is also extremely durable. This was not to taken kindly by the people of Paris because iron was considered as a low quality material. The Eiffel Tower used up over 7,000 metric tons of iron in its construction. The labor used in the construction was provided by the CBU students. The locals also contributed significantly to the construction.

Iron it is not able to withstand the huge amounts of stress that the Eiffel Tower would demand. This posed the first challenge of the construction of the Eiffel Tower. To overcome this challenge, Eiffel designed the structure of the Eiffel Tower to comprise of a huge amount of cross bars. Cross bars increase the amount of tensile strength that a given structure can withstand. The use of the cross bars not only increased the tensile strength, but also added to the aesthetic value of the Eiffel Tower.

The second challenge of the Eiffel Tower is corrosion. Iron is highly susceptible to corrosion, and it was, therefore, a risky move to use iron as the main material. To overcome this, the designers used a special coating that would prevent corrosion. This coat is applied once every seven years. However, painting the structure would interfere with the beauty of the design. Therefore, a darker shade of the paint was applied to the bottom of the structure, whereas a lighter shade was applied at the top.

Reference.

"Eiffel Tower - Wikipedia, the free encyclopedia."Wikipedia, the free encyclopedia. N.p., 16 Apr. 2013. Web. 16 Apr. 2013. <http://en.wikipedia.org/wik

"Eiffel Tower, Paris." A View On Cities. N.p., n.d. Web. 16 Apr. 2013. <http://www.aviewoncities.com/paris/eiffeltower.htm>.

Bottom of Form"Eiffel Tower — History.com Articles, Video, Pictures and Facts." History.com — History Made Every Day — American & World History. N.p., n.d. Web. 16 Apr. 2013. <http://www.history.com/topics/eiffel-tower>.

"The Story Behind the Eiffel Tower |." Vacation Packages to London, Paris, Rome, Florence, Venice and more. N.p., n.d. Web. 21 Apr. 2013. <http://www.go-today.com/blog/history-traditions/the-story-behind-the-eiffel-tower/>.

"Eiffel tower history."Corrosion science and engineering information hub. N.p., n.d. Web. 21 Apr. 2013. <http://www.corrosion-doctors.org/Landmarks/eiffel-history.htm>.

Glass, Jeremy. "The Eiffel Tower in History: Opens March 31, 1889." The Peppercat: Not All Culture Is Pop - The Peppercat. N.p., n.d. Web. 28 Apr. 2013. <http://www.thepeppercat.com/eiffel-tower-in-history/>.

"Eiffel Tower Fountain Paris Hd 1080x675px hd wallpapers : creekbed wall fountain, when was the eiffel tower built, eiffel tower facts, eiffel tower pictures, eiffel tower history, #4450 All Super High Qality HD Wallpapers." All Super High Qality HD Wallpapers : Just another WordPress site ~ All Super High Qality HD Wallpapers. N.p., n.d. Web. 28 Apr. 2013. <http://www.lewaya.com/eiffel-tower-fountain-paris-hd/>.

The Eiffel Tower

The Eiffel tower is an iron tower located in Paris Champ de Mars. It is named after the engineer Gustave Eiffel, whose company designed and built the tower. It was built between 1887 and 1889; it took 2 years and 2 months. The tower opened on 6 May 1889. It has become a global and cultural symbol of France and one of the most recognizable structures of the world; it’s the most visited paid attraction in the world with 7.1 million visitors in 2011. The tower was built for the World Exhibition, held in celebration of the French Revolution to mark the 100-year anniversary of the French Revolution. 

The tower stands 320 meters tall, about the same height as an 81 storey building. The estimated cost was six and half million francs. No more than three hundred workers were employed on site, and because of the safety precautions, only one man died during the construction period.

The tower had a permit for 20 years; the city had planned to tear it down but as the tower proved valuable for communication purposes it was allowed to remain after the expiry of the permit. And till the moment it still exists.

Refrence.

"Eiffel Tower - Wikipedia, the free encyclopedia."Wikipedia, the free encyclopedia. N.p., 16 Apr. 2013. Web. 16 Apr. 2013. 

<http://en.wikipedia.org/wik

"Eiffel Tower, Paris." A View On Cities. N.p., n.d. Web. 16 Apr. 2013. <http://www.aviewoncities.com/paris/eiffeltower.htm>.

"Eiffel Tower — History.com Articles, Video, Pictures and Facts." History.com — History Made Every Day — American & World History. N.p., n.d. Web. 16 Apr. 2013. <http://www.history.com/topics/eiffel-tower>.

Youths put skills ahead of money

A day before the Emiratisation summit 50 students participated in a live voting session; 30 per cent said growth and opportunity is the most important factor when considering a job offer; 20 per cent said learning new skills; while 18 per cent said work environment and culture and only 10 per cent said they would consider salary first.

INJAZ UAE is an organization that aims to build bridges between colleges, universities and the private sector. An employer says we can’t hire Emirates because we can’t give them the salaries and the working hours they demand. So INJAZ takes this opportunity to prove them wrong.

Voting outcomes also showed that students believed working in the private sector would present more demand than government; the main reason about working in the private sector was competition for recognition and promotion; in the government, jobs are dealing with a routine.

Job fairs, career guidance and workshop are ways to help create new perceptions about working in the private sector.

Regrettably, Emirati youth are unaware of the development and opportunities in private sector companies. Then again, private sector employers misguidedly believe that Emirati youth place more importance on the salary, benefits and working hours.

The private sector work environment does not encourage or motivate many youths to work in it but it benefits the youth from the work experience it offers.

Houbara survival

This year IFHC announced they have bred 13,000 Asian Houbara exceeding the target by 3000; it’s a remarkable year. Yet their mission is to spread awareness on sustainable hunting. It’s a big leap from 2,726 chicks bred last year

According to the experts the main reasons for the decline in the houbara population in the UAE is the demolition of its habitat to use the land for the city development. And by over hunting houbara to train falcons .In contrast, falconers will play a big part on houbara’s survival; they use houbaras to train falcons to hunt which it’s not their natural prey in the first place, which makes them highly demanded by falconers; besides the number of falconers has increased and the prices of falcons have decreased.

The best conservation plan is to eliminate the black market for houbara and provide falconers birds officially for training rather than go into the black market, and to educate falconers about the risks that come with this sport.

These issues were all raised at the falconry section of ADIHEX as many people gathered to buy weapons, falcons and even to adopt homeless animals. 

How do Gulf corals beat the heat?

How do the coral reefs in Abu Dhabi survive the heat? Does the coral manage to beat the heat by creating a stable local stock of heat-resistant corals or by some genetic development by the generations over thousands of years?

A reef builder has taken samples of hump coral from Abu Dhabi and sent it to a lab to find how they acclimatize and survive in hot water.

A type of algae lives inside the coral’s tissue and produces 90% of its energy by producing sugars, and in return, the coral provides it with shelter and nutrients. In contrast; when the temperature exceeds 35C the algae produce oxygen radicals that damage the coral tissue. To protect itself, the coral essentially spits out the algae. The coral can live up to one week from its reserves then it needs to take back in the algae or it will die.

The coral can reproduce in two ways: through fragmentation or larval production; fragmentation is when a piece of the coral breaks off, rolls across the sand; larval reproduction is when larval float for about a week until they develop the ability to attach themselves to a rocky surface. Once there, they begin secreting their skeleton, becoming the first block of a new colony.

Pearl Museum

Pearl Museum

There are two ancient myths about the precious pearl; they say she has two mothers. One says she is the daughter of the rain and the other claims she is the daughter of the moon.

“There is nothing more beautiful or precious than pearls” said the RAK museum operation manager; his passion with pearls is obvious when he gives a tour of the museum which was historically known as Julfar. The pearl industry collapsed in the early 1930s when the Japanese created an artificial pearl; regardless of its fate, the influence of pearls lived among Emirati women.

They waste nothing of the oyster; they make designs with the shells, its interior edible and what’s left they use it as fertilizer.

On the first floor of the museum is historical gear worn by divers and how they were cautious. Despite this precaution, some people suffered later on from blindness and deafness; it was very hard work.

The museum’s second floor is lined with displays of the world’s famous pearls , and how to distinguish natural and cultured pearls; as well Buddha oyster shells are also on display. Last but not least is RAK’s 12mm “miracle of Arabia” pearl, sitting on a red velvet throne inside the museum.

First reflective statement

What is this course about?

This is an English course; it’s about academic reading, writing and summarizing; how to develop our academic business skills

What I have learnt so far?

I have learnt how to summarize an article and extract the main points like what we did last week with Alhajj article. Moreover, I learnt how to use bloggers and post a discussion online; communicate with my colleagues .

What do I expect to get from this course?

I am expecting to develop my reading, writing and summarizing skills and improve my punctuation; expand my vocabulary.

What do I know about Hedley?

Mr. Hedley Butterfield is an English teacher in the Higher College of Technology; he has worked in various places and been through lots of experiences. He is married with 2 daughters .furthermore, Mr Hedley went for a trip to the Grand Canyon, Hawaii, HongKong, and many other countries; he likes being in the wild and nature. He told us some stories about his adventures and how to save yourself if you were ever chased by a crocodile. 

The hajj

The Ka’aba is special to Muslims because it’s a holy place and they face it when they pray. It’s located in Mecca and was constructed by Abraham and his son Ishmail.

The pilgrims follow the footsteps of the prophet Muhammad, Hajj is the biggest annual mass movement in the world; it’s organized by the Saudi authorities. All pilgrims must be vaccinated to avoid any contagious diseases in the hajj. In 1990 about 1400 pilgrims were killed during stampede in an overcrowded tunnel

Before entering Mecca , pilgrims perform cleansing rituals; men shave their heads cut their nails ,and wear two pieces of white robe; women as well have rituals; they wear long white robes and uncover their face. After that pilgrims perform their first Tawaf which is seven times around the Ka’aba; they also perform Sa’I which is going seven times between the two hills of Safa and Marwa .

On the first day of hajj, pilgrims travel three miles to Mina; the next morning they travel to Arafat where the prophet did his last sermon; that evening they travel to Muzdalifah where they camp for the night; in the morning they go back to Mina to throw seven pebbles at each of three places; after that they return to Mecca to perform Tawaf around the Ka’aba and again between the hills of Safa and Marwah; after that they go back to  Mina for three days; finally they go to Mecca for the farewell Tawaf.

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