in one part of the globe can quickly spread other parts of the world. The recent global financial crisis and the ongoing Eurozone crisis are perfect examples. A great deal of similarity has been observed in how governments, banks, and organisations in the affected countries responded or have responded to the crises. This further demonstrates how globalisation has harmonised business cultures and practices across the globe.
The impact of globalisation on the convergence of business cultures and practices can further be observed in the increased similarity of organisational structures and practices around the world (Bhattacharyya, 2010). Traditionally, hierarchical, autocratic, and centralised organisational structures were the norm… Continue Reading...
from negative interest policy because banks and households are recovering from the sovereign debt crisis and global financial crisis. The unorthodox policies assist in pushing up the aggregate demand, and liquidity thereby pushing the prices up and stimulate firm propensity to initiate capital investment. A robust argument in favor of negative interest policy is to counter deflation, forcing banks to lend more thereby reducing their excess reserves. A way of using the negative interest policy is to boost economic growth since banks naturally do not like to hold excess reserves and prefer lending out their cash reserves. However, during the period of financial risks, banks will… Continue Reading...
Economics
This remarkable progress is owing to the fact that Australia was relatively not affected by the global financial crisis, taking into consideration that the financial and banking system of Australia continued to be strong and the rate of inflation under control. The greatest share of the Australian economy is represented by the services sector, which signifies roughly 70% of the gross domestic product (GDP) (Thedora, 2016). One of the elements contributing to the Australian economic growth encompasses the increase in demand for raw materials from emerging nations. This in turn has given rise to a considerable rise in global commodity prices, and has had a largely… Continue Reading...