Discuss the analytical foundations of the Phillips curve Essay

Discuss the analytical foundations of the Phillips curve - Essay Example most of the policy makers believed that unemployment and inflation could not occur at the same time and whichever occurred, it became a major determinant of the policies that would be adopted by a given economy. Another issue that the economists believed was that it was possible to achieve one objective without having negative implications on the other. However, the research that Philips undertook in 1958 provided information that generated quite a number of questions to those assumptions. On his part, Philips used the available UK data to make an analysis on the rates of inflation and unemployment in UK. After plotting the result of the research, Philips noted that there existed an inverse relationship between wage inflation and unemployment. As a way of checking the relevance of the Philips conclusion, other economists used price inflation instead of wage inflation and noted that the results were similar curves and this became the origin of the Philip curve. This paper seeks to dis cuss the analytical foundations of the Phillips curve as well as how unemployment rate of 5% may be inflationary in one country, while it is deflationary in another country. According to the curve, any change in the level of unemployment produced a predictable as well as direct impact on the level of price inflation. Philips, together with other policy makers adopted the relationship between the two variables and noted that an increase in aggregate demand as well as fiscal stimulus in the economy triggers various responses. First, they noted that an increase in demand as the spending by the government rises results into national growth. This is followed by falling on the pool of unemployed. On their part, firms will be involved in competing for fewer workers available in the economy by increasing their nominal wages making the workers to have a higher bargaining power as they seek to have their nominal wages raised further (Forder, 2014). As the economy gets near to full capacity,

This module is entitled Performance Management. What do you think is Essay

This module is entitled Performance Management. What do you think is meant by this title - Essay Example s theory believes that motivated behaviour creates unwanted drives and desires in an employee and hampers his/her work equilibrium both externally and internally. Efforts should be made to reduce the unwanted desires/drives of employees (Kandula, 2006, p. 12). They give an insight into, how the company is advancing. They help in evaluating the operational and organizational goals of the company. Non-financial objectives help in strengthening the framework of the company and help in achieving long term operational goals (The Knowledge behind the News, 2000). Sears Holding Corporation is the third largest retailer in the USA. After the company merged with Kmart Corporation, It started following the performance management technique which led to a healthy working atmosphere and increased the leadership skills of the managers and improved the productivity of the employees (Smither, and London, 2009). The company CISCO has introduced a new software called Cisco Application Performance Management (APM) service which helps employees to have unlimited access to wireless Local Area Network and data centres (Cisco, n.d.). This has helped in reducing the operational costs, strategic costs, initial capital outlay and sales turnover The increasing competitiveness among employees and business organizations has steadily increased. The human resource of the organization can only help in achieving its organizational goal and this can be a significant tool in increasing healthy competitiveness among employees. Let us take an example and evaluate the effectiveness of performance management. If an employee spends more time in interacting with the clients than spending time in the office, it would enhance their efficiency levels. This is a practical approach which helps the company to achieve its strategic goals. Job analysis is a perquisite for performance management. Understanding the job role not only gives clarity to the employees but also a clear understanding of how their