TEXTBOOK-Brinkley, American History, Connecting with the Past, Volume Essay - 4

TEXTBOOK-Brinkley, American History, Connecting with the Past, Volume II, McGraw Hill chapters 20-21 - Essay Example The Square deal was an approach where Roosevelt was focused in solving three fundamental community concerns. The other progressive who took up the Presidential Office was Woodrow Wilson, a democrat with proper academic backgrounds who was equipped with various community development change ideologies (Alan 2011, pg.516). In their quest to facilitate a corruption free society and foster development by using the progressivism program, the two presidents experienced several obstacles that derailed the achievement of their goals; however, they managed to overcome some of the obstacles and in the end achieved their development agendas. To begin with, when Roosevelt came to power as the President of the United States, he had a focus to address three aspects of the society in which on his own view were fundamental: Roosevelt was enthusiastic in protecting consumers, conserving the environment and controlling corporations (Alan 2011, pg. 516). In 1902, coal miners in Pennsylvania went on strike demanding better pay, proper working conditions as well as a reduction of normal working time from ten hours to nine hours a day. President Roosevelt stepped in to create a solution to this conflict by calling a meeting with the mine owners for negotiations. However, some of the mine owners were reluctant and did not attend the meeting; some of them did not show sympathy and were adamant to meet the demands of their workers. President Roosevelt, having been motivated by the majority support from the public, miners and the workers’, decided to use his ‘big stick’ where: He was to seize and manage the mines through the use of Government troops (Alan 2011, pg. 517). Additionally, President Roosevelt experienced great challenges in his effort to eliminate corruption among monopolistic businesses and corporations (Trusts) of which majority were owned by the America’s

Country brand Essay Example | Topics and Well Written Essays - 2000 words

Country brand - Essay Example The elements explored in the paper are Tourism, Investment/Immigration, Culture and Export (Shimp, 2008). The other two elements of the hexagon are touched on briefly, that is the People and Governance. This is because the paper is fashioned to focus on matters of Nation Branding that are relevant to the creation of value for American corporate entities on the global level. Elements of Nation Branding In order to analyze the strategy of branding America, there is the need to explore the main elements of nation branding strategy. Olin defines a 7 step model that must be followed to draw a nation branding strategy (Molianen & Rainisto, 2009): 1. Define Preliminary Vision 2. Establish a Working Group 3. Internal & External Research 4. Formulation of Strategic Plan 5. Visualisation 6. Implementation of the Plans 7. Testing Implementation & assessment Preliminary Vision The preliminary vision of America's branding technique is to extend its influence over different country through a blend of diplomatic, governmental as well as industrial campaigns (Snow, 2009). This means that the branding of America is handled by the diplomatic corps which has a strong history of promoting America as a brand all over the world. There has also been different governmental projects and units set up over the past years that has been responsible for promoting America as a brand around the world. ... These questions are as follows: â€Å"Where are we now? How did we get here? Where do we want to be? How do we get there?† The United States is the most powerful and most popular country in the world today (Wolfe, 2007). It attained its status as a global super-power during and after the Second World War, which saw the influence of America spread throughout Europe and the rest of the world (Houghton, 2009). Since the 1950s, America led the West in gaining influence around the world against the Soviet led East (Wolfe, 2007). Due to this struggle, the United States created a very strong network to establish its presence in nations around the globe through various export techniques. This has boosted America's image around the world. Everyone around the world, from Latin America, Africa, Europe, Asia and the Middle East identifies with American movies, clothing, food, books, cars and brands. And this has been the case over the past 20 years after the collapse of the Soviet Union ( Houghton, 2009). However, in the era of globalisation, there are competitors that are coming up namely BRICS (Brazil, Russia, India, China & South Africa) as well as old powers like Europe and Japan. There is the need to re-brand and present America in a different light. Currently, the vision of branding America is one that seeks to take advantage of the country's status as a super power, the country's past image and global influence as well as America's competitive strength against the emerging powers. Thus, the vision of the 21st Century for the branding of USA is as follows: 1. Re-branding the superpower and presenting it to the world in a different light. 2. Re-igniting the American flame 3. Putting American ingenuity to the doorsteps of the world 4.

Factors That Affect the Market Price of Oil

Factors That Affect the Market Price of Oil THE FACTORS THAT AFFECT THE MARKET PRICE OF A PRODUCT SUCH AS THE WORLD PRICE OF OIL IN THE PAST TWO DECADES. BRIEF: 103737 INTRODUCTION In order to have a good understanding of the factors that affect the market price of a product, one will first need to grasp the meaning of what a market is. A market can be defined as an area over which buyers and sellers negotiate the exchange of some product or related group of products. It must be possible, therefore, for buyers and sellers to communicate with each other and to make meaningful deals over the whole market. Individual markets differ in the degree of competition among the various buyers and sellers. In some cases where the number of buyers and sellers is sufficiently large no one of them will have any appreciable influence on price. This is what is known as a perfectly competitive market. However, for the purposes of this essay we will stick to the concept of a market. Using the table below we will show how the market price of a product (bread) is affected. Demand and supply schedules for eggs and equilibrium price From the table above we can see that the quantity demanded is much higher than the quantity supplied at 110 and 5 and the price is  £0.50. This shows an excess demand of 105. When the quantity demanded is 90 and the amount supplied to the market is 46, we have excess demand of 44 we correspondingly have a market price of 1. However, when the quantity demanded is 77.5 and the quantity supplied is 77.5, the market price for bread is  £1.50. At this point the quantity demanded is the same as the quantity supplied. At such a price consumers wish to buy exactly the same amounts as the producers wish to sell, this is known as the equilibrium price. At prices above  £1.50 the quantity supplied exceeds quantity demanded. Furthermore, the higher the price, the lower the excess of quantity demanded over quantity supplied. The amount by which the quantity demanded exceeds the quantity supplied is called the excess demand, which is defined as quantity demanded minus quantity supplied (qd à ¢â‚¬â€œ qs). This is shown in the last column of the table. Finally, consider prices higher than  £1.50. At these prices consumers wish to buy less than producers wish to sell. Thus, quantity supplied exceeds quantity demanded. Furthermore, the higher the price, the larger the excess of one over the other. In this case there is negative excess demand (qd – qs Now that we have understood the factors that affect the market price of a product, we can now move on to talk about the factors that affect the fluctuations in the price of oil for the past two decades. In 1985, the price of oil (Saudi Arabian Light) was $27.53 per barrel[1] (yearly average). The price of oil during this period was falling, in which in 1986, the Saudi’s abandoned the swing producer role because they had the largest reserves of oil and capacity utilization to stabilize the price of oil when there was a shortage in the world oil market. By 1987, the price of oil had dropped to $16.95. In 1988, it dropped further to $13.27 and $15.62 in 1989. In 1990, Iraq invaded Kuwait in what turned out to be a huge blow to the stable price of oil. The oil price rose to $20.45 per barrel. The major reason for this is that both Iraq and Kuwait were members of OPEC and due to the war there was a shortage of oil in the world oil market which led to an increase in the price of oil. Between 1990 and 1991 America launched operation desert storm, which was to help Kuwait against Iraq. This also contributed to the rise in the price of oil as America is the largest consumer of oil, an d they needed it during the military campaign of operation desert storm. In 1991 and 1992, the price of oil decreased to $16.63 and $17.16 respectively. In 1993, it fell again to $14.95 and $14.74 in 1994. In 1995, the price rose to $16.10, and in 1996 it shot up to $18.52. In 1998, the price initially dropped to $12.21 but shot back up again to $17.25 in 1999. The main reason for this during this period was that there was an Asian economic crisis; the Iraq oil-for-food programme which helped in stabilizing the price of oil in 1998. In 2000, the price of oil leaped to an astounding $26.20. The reason for this was that due to the decline in the price of oil OPEC members decided to cut back production in order to stabilize the price of oil, before it went below the amount various member countries of OPEC will be able to cover the cost of producing oil. In 2001, the price decreased to $22.81, and in the same year (Sept. 11th) there was an attack in the US which destroyed the world trad e centre. In 2002 to 2003, the price of oil rose to $23.74, and $26.78 respectively. This came about due to strong demand growth mainly from countries like China, and India, in which in 2004, the price of oil jumped to an ecstatic $33.64. In the present year of 2005, the monthly average of the price of oil has reached $63 a barrel. However, for reasons to do with accuracy, we have decided not to use 2005 figures since we are still in the year. The following graph represents the trend in the world price of oil over the past two decades. Data source: BP Statistical Review of World Energy, June 2005. On the supply side, the main players in the crude oil market are OPEC, which currently provides about 40 percent of world supply and hold about 70 percent of proven oil reserves, and non-OPEC producers who own the rest. OPEC as the marginal supplier does act like a cartel in most cases, i.e. they collude to restrict the output of oil and raise the price far above their cost. In recent years, its policy has been to balance the market while allowing for an appropriate level of crude oil inventories in consuming nations. Non-OPEC producers, on the other hand, have relatively limited reserves and spare capacity, and generally behave as price takers. Currently, the estimated reserves of OPEC are 890 billion barrels, as opposed to 177 million barrels for non-OPEC members. In the latter years, world events such as the Iran and Iraq war, the Asian economic crisis, the invasion of Kuwait by Iraq, and corporate social responsibility such as country legislation which regard environmental pollut ion as high on the agenda (in some country’s environmental pollution is stricter than others in order to produce oil, e.g. Nigeria has a less stricter environmental pollution legislation compared to Saudi Arabia) have all contributed to the fluctuations in the world price of oil. However, of recent, the strong demand growth from Asia and China in particular can be said to be the reason why the price of oil is rising. The consumption of oil in 2004 grew by 2.9 million barrels a day (mbd) (3.7 percent of which China contributed about 1 mbd) relative to 2003, which can be said to be the largest increase in the past 20 years. With notable exceptions of Iraq, Russia, and Saudi Arabia, the world’s oil producers may be close to their short-run output capacity. Thereby, continuing increases in demand and the possibility of even minor disruptions (Hurricane Katrina (US), Industrial disputes (Nigeria), environmental concerns (Nigeria)) in supply thus help in explaining the high market price for oil. Investment in refining capacity has been too low, and a mismatch has emerged between the type of refining capacity now required and what is available. For sometime, world oil demand has been driven by high-quality light crude (oil of low density or containing a low wax content, which makes production and refining easier) and by sweet crude (oil with a low sulphur content). Recent additions to production capacity by OPEC have though largely been in the heavy and sour grades of crude, which are more difficult and costly to refine. This lack of investment in appropriate refining capacity and limited substitution possibilities has pushed the retail price of oil up. Another reason which can be said to this lack of investment by OPEC members is a price collapse. When demand falls and the quotas allocated to member OPEC countries breaks down, the price can drop dramatically. For example, in 1997, OPEC raised its production ceiling by 2.5 million barrels per day in ant icipation of growing Asian demand, but the currency crisis of late 1997 instead caused Asian demand to fall. The result was a market price in 1998 that dipped to as low as $12.21 per barrel, the lowest level since 1973, and a $51 billion year over year reduction in oil revenue. In addition given continued uncertainty over the pace of China’s economic development, OPEC may be cautious in expanding supply capabilities due to this. This uncertainty of slow or minimal investment contributes to high futures prices for oil delivery several years ahead. One should also note that since 1986, most oil exporting countries have been burning more oil than they have discovered and since 1998, there has been a fragile balance between supply and demand. Oil is being found at a lower rate than what has been consumed, i.e. we are finding reserves at 7 billion while consuming oil at 30 billion barrels per annum (Exxon-Mobil estimates), hence the law of price adjustment and equilibrium can be s aid to have taken place. SUMMARY AND CONCLUSION This paper has looked at the definition of what a market is. We have also mentioned the concepts of demand and supply with regards to equilibrium and the law of price adjustment. The erratic movement in the price of oil in the past two decades are also looked at. Issues of what factors cause fluctuations in the price of oil such as, the lack of investment by various OPEC member countries into oil production so as to keep up with the world demand of oil, the increasing demand of oil from Asia and the Peoples Republic of China, and the uncertainty of the oil market are all mentioned. It will be worthwhile to conclude that although at present these factors seem to be the norm that affects the price of oil, one should be more cautious into the future, as with hindsight these factors could become obsolete with time passing by. Potential factors which could turn out to be embedded in the future range from alternative sources of energy to synthetic fuels, in which in the long term the demand of oil will continue to exceed supply until the previous mentioned becomes entrenched in most economies. BIBLIOGRAPHY Asian Development Outlook, (2005), The challenge of higher oil prices. BP Statistical Review of World Energy, (2005), Putting energy in the spotlight. Berkmen, P., Ouliaris, S., and Samiei, H., (2005), The structure of the oil market and causes of high prices, research department, International Monetary Fund. Chrystal, K.A., and Lipsey, R.G., (2004), Economics, Tenth Edition, Oxford printing press. International Energy Agency, (2004), Analysis of the impact of high oil prices on the Global economy. www.iea.org/textbase/papers/2004/high_oil_prices.pdf. International Monetary Agency, (2004), Analysis of the impact of high oil prices on the global economy, research department, December. Saxton, J., (2005), Explaining the high price of oil, Joint Economic Committee, Research Report, United States Congress. Serrapere, J., (2005), Crude Oil – Energy and Market Outlook, September. APPENDICES Source: BP Statistical review data 2005 The following table since 1999 shows that there has been no ‘Real’ excess oil supply. Estimated Annual World Oil Demand Growth 2000 – 2005 (million barrels daily) % Change Source: IEA monthly oil report July, 2005. 1 Footnotes [1] The reason we have used US dollars is that it is predominantly used internationally as the currency to benchmark trade.

Ancient Greece Essay -- Ancient Greece Essays

Ancient Greece GEOGRAPHICAL LOCATION The Ancient Greek civilization was located on today’s Greek land, Ionian Islands, Asia Minor, South Italy, and Sicily. It is surrounded by mountains and in the north by water. The Ionian and the Aegean seas, together with natural islands and bays, gave the Greeks the opportunety to develop their maritime commerce and their rich culture. The mountains, which surrounded Greece, gave us the picture of its political character. From early times, the Greeks lived in independet settlements, and they were isolated from one another. Later, this settelments grew up into â€Å"poles† or city-states. The Mediteranien Sea moderates Greeks climate  ­ cooling air in summer and warmth in winter period. Summers are generaly hot and dry, and winters are mild and rainy in costal regions. In mountain region winters are stronger. GREEK’S HISTORY The Greek civilization has made great contributions in many areas to western society. Greeks scientists made revolutionary discoveries in medicine, mathematics, physics and astronomy. They also developed the expression of individuality. Those are only some reasons why the Greek civilization was and still is one of the most important civilizations in the world. TIME PERIODS 1. PROTOGEOMETRIC STYLE (1100-900 BC) The protogeometric period is time of economic and cultural depression. The depths of this depression occurred from circa 1100 to 1050 BC. This period is also known as the Sub  ­ Mycenean period on the Greek mainland, and Minoan period on the island of Crete. Contribution made by the Minoan and Mycenean Empire to the creation of the Greek civilization, helped them to develop their own Empire. The use of iron and the cremation of the dead became the greatest progress in Greek civilization. The urns for the ashes are among the most characteristic vessels of that period. 2. THE GEOMETRIC PERIOD (900-700 BC) This period, the Geometric period, is well known by many transformations and startling innovation in Greek architecture and sculpture. The population has increased, and people have moved from the isolated settlements to the city  ­ states. The Greeks also moved to the new teritories to the east, and to the west. In that, new-concured teritories, the Greeks founded commercial trading posts and colonies. Also in this period, new script was adopted  ­ the Semtic alpha... ... of workers, usually slaves or free people who were very poor. Those activities required a broad range of skills - the stone, clay and metal trades, sculptures, potters, painters; the clothing industry; the leather trade, tanners and cobblers; construction, stone cutters, carpenters; maritime transport, ship building, food production and many others. RELIGION The ancient Greeks were very religious people. They were poligamics, and they believed that a certain god shows up in a human form. In the Greek art, especially on the vases, many scenes with gods were illustrated. For people of the ancient Grrek, many gods usually had the affair with the usual man. This is even written in some myths, and the result of that event was that many demi-gods appeared. Sarcifices were the gifts for their gods. There were two types of sarcifices  ­ the bloodless (roots, cereal grains, fruits, cheese), and blood-offerings (animals, birds and fish). The Greeks housed their gods in temples, which were often enclosed by the walls. In the inside of the temples, big statues of their gods were exposed. When the ceremony took place, those statues were even bathed, clothed and symbolicayy fed. Ancient Greece Essay -- Ancient Greece Essays Ancient Greece GEOGRAPHICAL LOCATION The Ancient Greek civilization was located on today’s Greek land, Ionian Islands, Asia Minor, South Italy, and Sicily. It is surrounded by mountains and in the north by water. The Ionian and the Aegean seas, together with natural islands and bays, gave the Greeks the opportunety to develop their maritime commerce and their rich culture. The mountains, which surrounded Greece, gave us the picture of its political character. From early times, the Greeks lived in independet settlements, and they were isolated from one another. Later, this settelments grew up into â€Å"poles† or city-states. The Mediteranien Sea moderates Greeks climate  ­ cooling air in summer and warmth in winter period. Summers are generaly hot and dry, and winters are mild and rainy in costal regions. In mountain region winters are stronger. GREEK’S HISTORY The Greek civilization has made great contributions in many areas to western society. Greeks scientists made revolutionary discoveries in medicine, mathematics, physics and astronomy. They also developed the expression of individuality. Those are only some reasons why the Greek civilization was and still is one of the most important civilizations in the world. TIME PERIODS 1. PROTOGEOMETRIC STYLE (1100-900 BC) The protogeometric period is time of economic and cultural depression. The depths of this depression occurred from circa 1100 to 1050 BC. This period is also known as the Sub  ­ Mycenean period on the Greek mainland, and Minoan period on the island of Crete. Contribution made by the Minoan and Mycenean Empire to the creation of the Greek civilization, helped them to develop their own Empire. The use of iron and the cremation of the dead became the greatest progress in Greek civilization. The urns for the ashes are among the most characteristic vessels of that period. 2. THE GEOMETRIC PERIOD (900-700 BC) This period, the Geometric period, is well known by many transformations and startling innovation in Greek architecture and sculpture. The population has increased, and people have moved from the isolated settlements to the city  ­ states. The Greeks also moved to the new teritories to the east, and to the west. In that, new-concured teritories, the Greeks founded commercial trading posts and colonies. Also in this period, new script was adopted  ­ the Semtic alpha... ... of workers, usually slaves or free people who were very poor. Those activities required a broad range of skills - the stone, clay and metal trades, sculptures, potters, painters; the clothing industry; the leather trade, tanners and cobblers; construction, stone cutters, carpenters; maritime transport, ship building, food production and many others. RELIGION The ancient Greeks were very religious people. They were poligamics, and they believed that a certain god shows up in a human form. In the Greek art, especially on the vases, many scenes with gods were illustrated. For people of the ancient Grrek, many gods usually had the affair with the usual man. This is even written in some myths, and the result of that event was that many demi-gods appeared. Sarcifices were the gifts for their gods. There were two types of sarcifices  ­ the bloodless (roots, cereal grains, fruits, cheese), and blood-offerings (animals, birds and fish). The Greeks housed their gods in temples, which were often enclosed by the walls. In the inside of the temples, big statues of their gods were exposed. When the ceremony took place, those statues were even bathed, clothed and symbolicayy fed.

Project Evaluation Essay

REPORT ON PROJECT EVALUATION FOR KALAHI-CIDSS PROJECT, PHILIPPINES Introduction This report considers the following project evaluation methodologies in the context of the KALAHI – Comprehensive and Integrated Delivery of Social Services (CIDSS) Project in the Philippines (â€Å"the Project†): (a) financial analysis; (b) economic analysis; (c) social cost benefit analysis; (d) other evaluation methods including willingness to pay, planning balance sheet and cost effectiveness analysis. In order to analyse the relevance of the various evaluation methods to the Project, it is appropriate to have regard to the objectives of the Project. The overarching objectives of the Project as outlined in the logical framework for the Project were to: †¢ improve local governance; †¢ reduce poverty; and †¢ improve the quality of life of the poor. By considering the various evaluation methodologies, it is possible to identify the evaluation methods that best apply to the Project, in light of its objectives. FINANCIAL ANALYSIS Overview of financial analysis Financial analysis is an essential part of project appraisal which is necessary to estimate the financial profit generated by a project. Financial analysis â€Å"†¦attempts to determine the net financial benefit (or loss) to an  agency rather than the net benefit (or loss) to the economy or society. Financial evaluations are only concerned with cash flows in and out of the organisation.† (Commonwealth of Australia 2006, p. 28) Assessing the financial benefit of a project may be achieved through a consideration of the following: (a) net present value; (b) financial internal rate of return. Page 1 ARCH1260 Net present value Net present value is calculated by â€Å"†¦discounting a project’s cash receipts using the minimum required rate of return on new investment (cost of capital), summing them over the lifetime of the proposal and deducting the initial investment outlay.† (Levy and Sarnat 1982, p.55) It is necessary to apply a discount rate, that is the minimum required rate of return on new investment, to future cash receipts to determine the present value of those profits. The minimum required rate of return often reflects interest rates at which capital could otherwise earn interest in the market if it was not invested in a project. It is then necessary to sum the present value of cash receipts and deduct the initial cash investment for the project. Where the net present value is positive, the project may be accepted as financially viable. Financial internal rate of return The financial internal rate of return is calculated by determining the rate at which the net present value of a project equals zero. (Brent 1990) In determining financial internal rate of return, future cash receipts must be time-discounted to present values to relate to the initial investment outlay for the project. Levy and Sarnat (1982, p.55) suggest that as a general principle, where financial internal rate of return exceeds the discount rate, that is the minimum rate of return on new investment, a project may be accepted. Application of financial analysis to the case study Financial analysis is an essential valuation methodology to be applied to the Project to determine its financial viability. One of the key objectives of the Project was to maximise the use of the World Bank funding in order to ensure that the Project was economically beneficial to the Philippines’ national economy. (Araral and Holmemo 2007, p. 8) The funding of the subprojects was to be provided in counterpart by provincial, municipal and barangay local governments, in addition to funding from communities and private sources. As Araral and Holmemo (2007, p. vii) indicate, such contributions were intended to reduce the fiscal impact of the project on the national government. Accordingly, it was necessary for the various investors to be confident of the profitability of the Project. Moreover, the World Bank (2001, p. 25-26) required a financial analysis of the Project in order to determine the cost effectiveness of the Project and ultimately, whether to provide a loan to the Philippines government. However, it is noted that whilst carrying out a financial analysis is an essential aspect of project appraisal, there is a degree of uncertainty surrounding financial analysis at the outset of a project. This is particularly so in the context of developing countries where economic Page 2 ARCH1260 uncertainty affects market prices. Moreover, a financial analysis does not take account of external costs or benefits. (Commonwealth of Australia Jan 2006) ECONOMIC ANALYSIS Overview of economic analysis Economic analysis has a broader focus than financial analysis, it considers â€Å"†¦ the overall impact of a project on improving the economic welfare of the citizens of the country concerned. It assesses a project in the context of the national economy, rather than for the project participants or the project entity that implements the project. Economic analysis differs from the financial analysis in terms of both (i) the breadth of the identification and evaluation of inputs and outputs, and (ii) the measure of benefits and costs.† (Economics and Development Resource Centre Feb 1997, p. 9) The focus of economic analysis is the profitability of a project for society, rather than simply the project investor. Similar to financial analysis, through economic analysis, the net present value of a project may be calculated by summing the future flow of social benefits, less social costs (discounted to present values) and deducting the initial investment outlay. A project will be viable if the net present value of the project is greater than zero, that is, social benefits exceed social costs. Moreover, the economic internal rate of return may also be calculated for a project, by considering the net present value of a project taking into account social costs and benefits. The higher the economic internal rate of return, the more beneficial the project is to society. Discounting must be factored into the calculation of these analyses, being the minimum required rate of return on new investment, as an expression of society’s preferences rather than on the basis of interest rate as is used in financial analysis. In order to measure the social costs and benefits of a project, it is necessary to determine the common unit of account or numeraire that benefits and costs should be expressed in. Thirwall (1983, p. 213) suggests that whilst the numeraire may be expressed in domestic prices or international prices, using world prices is justified as it â€Å"†¦avoids the use of the exchange rate in order to value in a single currency some goods measured at world prices (traded goods) and others measured at domestic prices (non-traded goods).† It is also necessary, when carrying out economic analysis to adopt shadow prices. Shadow prices place a value on a factor for which there is inadequate market information, given that â€Å"†¦a project’s inputs and outputs should not necessarily be valued at current market prices because the market price may not reflect the social opportunity cost of the resource†. (Devarajan et al Feb 1997, p. 36) For example, in the context of labour, a project may Page 3 ARCH1260 employ an individual at a certain wage, which represents a financial cost, however that financial cost does not represent the social cost of  employment, being the supply price of labour. As such, a shadow price may be adopted to reflect the social opportunity cost of employment generated by the project. Application of economic analysis to the case study The Project sought to achieve several benefits beyond profitability, including improved infrastructure and services, increased community participation and improved quality of life. Accordingly, economic analysis is relevant in that it evaluates the Project’s benefits to all levels of government and to the community, rather than just the investors. An economic analysis can be carried out in respect of the infrastructure subprojects, as is evident in the analysis summarised by Aral and Holmemo (2007). For example, it is possible to quantify the cost of construction and maintenance of roads against benefits such as number of households benefiting from a road and transport costs for paddy and fertilizer. (Aral and Holmemo 2007, p. 12) However, it should be noted that economic analysis is still confined to those benefits and costs that can be measured. Whilst economic analysis is clearly useful for assessing the economic benefits and costs of the infrastructure subprojects, other broader benefits, such as better access to social services and technology and possible benefits from improvements in barangay governance (Aral and Holmemo 2007, p. 21-22), are not captured through economic analysis. SOCIAL COST-BENEFIT ANALYSIS Overview of social cost-benefit analysis Cost-benefit analysis involves the application of both financial analysis and economic analysis to a project to determine the strength of the project in being profitable and contributing to society. It â€Å"†¦attempts to measure the value of all costs and benefits that are expected to result from the activity. It includes estimating costs and benefits which are ‘unpriced’ and not the subject of normal market transactions but which nevertheless entail the use of real resources.† (Commonwealth of Australia Jan 2006, p. 5) Moreover, this analysis involves a consideration of distributional issues, that is, how benefits and costs from a project are distributed amongst private and public sectors. (Little and Mirrlees 1990, p. 352) Page 4 ARCH1260 Application of social cost-benefit analysis to the case study The use of social cost-benefit analysis as a method of evaluation for the Project is beneficial in combining a consideration of the financial viability of the project and the costs and benefits of the Project for society as a whole. It is relevant to turn to the scenarios for cost-benefit analysis for the case study. For roads, the best scenario for both road construction and road improvement is scenario 3. This is because whilst the net present value and economic internal rate of return for both scenario 1 and scenario 3 is the same for both road construction and road improvement, the discount rate for scenario 3 in both instances is less than that for scenario 1. That means that the economic internal rate of return is proportionally greater than the discount rate in scenario 3 and as such the return on those projects is greater than it would be for the scenario 1 projects. Furthermore, in the case of both road construction and road improvement, scenario 2 is the worst scenario, as the net present value is significantly less than the other scenarios and also the economic internal rate of return is lower. The higher the internal rate of return, the more beneficial the project. Overall, road construction under scenario 3 is a better option than road improvement as both the net present value and economic internal rate of return is greater for road construction than road improvement. For school building, whilst scenario 1 and scenario 3 have the same economic internal rate of return (15.91%) and the net present value for scenario 1 (at 42,729 USD) is slightly higher than that of scenario 3 (at 42,000 USD), scenario 3 is the best option as the economic internal rate of return is proportionally greater than the discount rate at 10%, rather than under scenario 1 where the discount rate is 15%. Accordingly, scenario 2 is the worst option with the lowest net present value and an economic internal rate of return which is less than the discount rate. Where economic internal rate of return is less than the discount rate the project should not be considered. As such,  scenario 2 should not be considered. For school improvement, scenario 1 and scenario 3 have the same net present value (22,930 USD) and economic internal rate of return (15.10%), however scenario 3 is more favourable given that its economic internal rate of return is proportionally greater than its discount rate (10%) than scenario 1’s discount rate (15%). Scenario 2 is the worst option given that it has a lower net present value than the other scenarios and its economic internal rate of return is less than its discount rate and as such it should not be considered. Overall, school building under scenario 3 is a better option than road improvement as the net present value of the project is greater and the proportional relationship between economic Page 5 ARCH1260 internal rate of return and discount rate is higher for school building than for school improvement. OTHER EVALUATION METHODS Overview of other evaluation methods Willingness to pay Willingness to pay examines how much a person is willing to pay for a good or service. The value that a person is willing to pay is then compared to the actual cost of the good or service. This technique relies on data collection through surveying people in a community in which a project is proposed. For example, Whittington et al (1990) surveyed a village in southern Haiti regarding willingness to pay for water services. Whilst it is suggested that the viability of willingness to pay surveys is limited given the scope for bias in individuals’ responses, Whittington et al concluded that such surveys were a feasible method of estimating willingness to pay for improved water services (1990, p. 308). Planning balance sheet This evaluation methodology attempts to list ‘intangible’ benefits of a project and also involves an analysis of the distribution of project benefits amongst society. Cost-benefit analysis only considers those  benefits that can be easily measured. As Materu (1985, p. 4) suggests, â€Å"†¦the tendency to select projects on the basis of their expected quantified monetary benefits, with intangibles treated as a minor balancing factor – which is inherent in traditional forms of cost-benefit analysis, can be misleading because it may not reflect the true social value of an investment.† The planning balance sheet approach attempts to focus on all costs and benefits of a project to the community rather than simply quantifiable economic costs and benefits. Cost effectiveness analysis Cost effectiveness analysis involves an assessment of the cost of investment in a project against the benefits measured on the basis of physical units rather than monetary value, for example, number of lives saved or children provided with an education. This enables an evaluation of the effectiveness of money spent to achieve program objectives. Cost effectiveness analysis is valuable for assessing the cost-effectiveness of alternatives programmes with similar objectives, where the project objectives are clearly defined. Page 6 ARCH1260 Application of other evaluation methods to the case study Whilst the willingness to pay approach might be suitable in respect of the infrastructure subprojects that are part of the case study, this evaluation method is not suitable for taking account of the broader aspects of the Project, such as improved community participation and quality of life. However, the planning balance sheet approach is likely to be useful in analysing the benefits of those aspects of the Project, given that they are difficult to quantify in a monetary sense. In considering cost effectiveness analysis, whilst there may be some value in measuring the benefits of the Project on the basis of units such as number of people engaged in community decision-making, however this would be difficult to measure given the broad scope of the Project wherein programmes for improved governance and participation are to be tailored to local barangay communities. As such,  this method of evaluation would not produce consistent results for carrying out preliminary appraisal of the Project. Conclusions Conducting a financial analysis is an essential part of appraisal for the Project in order to determine the financial profitability of the project for the investors. However, it is relevant to examine other aspects of the project to determine its viability given the objectives were broader than merely financial objectives. Economic analysis is relevant to apply market prices to the costs and benefits of the Project to society, rather than just the investors in the project. This enables a consideration of the net benefits of the Project as against the cost of capital expenditure required to implement the Project. Financial analysis and economic analysis are both relevant to conducting a meaningful evaluation of the Project, however, they are of limited use if applied independently. As such, social cost-benefit analysis offers an effective methodology for assessing both the financial and economic costs and benefits of the Project, and enables a consideration of how those costs and benefits would be distributed amongst various sectors within society. By applying social cost-benefit analysis, it is possible to determine whether the benefits outweigh the costs of the project to the extent that the capital should not be invested elsewhere. However, whilst social cost-benefit analysis can be used to assess benefits and costs of those aspects of the Project that are easily quantifiable, such as the infrastructure subprojects, this method does not give weight to the benefits and costs associated with the intangible objectives of the Project such as increased community participation, improved local governance and quality of life. Here, the planning balance sheet approach is useful as a means to give weight to the intangible benefits of the Project to society. Page 7 ARCH1260 Aral, E. and Holmemo, C. 2007, ‘Measuring the Costs and Benefits of Community Driven Development: The KALAHI-CIDSS Project, Philippines’, Social Development Papers – Paper No. 102. Brent, R. 1990, â€Å"Investment Criteria†, Chapter 2 in Project Appraisal for Developing Countries, New York: Harvester Wheatsheaf, pp. 24-39. Commonwealth of Australia. January 2006, Introduction to Cost-Benefit Analysis and Alternative Evaluation Methodologies, Department of Finance and Administration. [online] http://www.finance.gov.au/publications/finance-circulars/2006/01.html [Accessed 9 October 2011] Devarajan, S., Squire, L. and Suthiwart-Narueput, S. February 1997, â€Å"Beyond Rate of Return: Reorienting Project Appraisal†, The World Bank Research Observer, 12(1), pp. 3546. Economics and Development Resource Centre. February 1997, Guidelines for the Economic Analysis of Projects, Asian Development Bank. [online] http://www.adb.org/Documents/Guidelines/Eco_Analysis/eco-analysis-projects.pdf [Accessed 3 October 2011] Levy, H. and Sarnat, M. 1982, â€Å"The Economic Evaluation of Investment Proposals†, Chapter 3, in Capital Investment and Financial Decisions, 2nd ed., Englewood Cliffs, NJ: Prentice Hall International, pp. 39-64. Materu, J. 1985, â€Å"A Planning Balance Sheet of a Sites and Services Project in Tanzania†, University of Sheffield Department of Town and Regional Planning Occasional Paper Number 57. Thirwall, A. 1983, â€Å"Social Cost-Benefit Analysis and the Shadow Wage†, Growth and Development with Special Reference to Developing Economies, London: Macmillan, pp. 202-216. Whittington, D., Briscoe, J., Mu, X. and Barron, W. 1990, â€Å"Estimating the Willingness to Pay for Water Services in Developing Countries: A Case Study of the Use of Contingent Valuation Surveys in Southern Haiti†, Economic Development and Cultural Change, pp. 293311. World Bank. 2010, The World Bank Annual Report 2010, The International Bank for Reconstruction and Development, The World Bank, Washington DC. [online] Page 8 ARCH1260 http://siteresources.worldbank.org/EXTANNREP2010/Resources/WorldBankAnnualReport2010.pdf [Accessed 10 August 2011] Page 9

Ethical

The problem This paper discusses the legal and ethical implications in conjunction with performing surgery on disabled people for social reasons. Ethical Katie is immaturity and she has the right like other non-disabled girls to live with her body in tact and she has the same choice to give birth to her own baby. According to the Family Court in Australia and Family Law Act 1975, no person under 18 should have hysterectomy unless the procedures are necessary to prevent serious physical and psychological damage and to save life (Skene, 2008, p. 38). Medical This surgery is not medically necessary and it is irreversible, persistent, traumatic and painful that it results in the permanent loss of reproductive capacity. The medical complications after surgery will affect the person health. Social There are lacks of access to health services and recourses, social and educational support for her and her family. Katie is lack of the basic human rights, freedoms to work, freedoms to get educa tion and move freely about society. Legal The parents could not consent and the doctor does not have the right to remove the womb of Katie as non-therapeutic surgery requires court approval. This is not just a medical decision for the doctor, but the child’s best interest and the consequences of wrong decision being made. The facts It is estimated in Australia that a child is born with cerebral palsy every 15 hours. There is no pre-birth test and no known cure for cerebral palsy (Levitt, 2010, p. 33). Cerebral palsy is a permanent physical condition that affects movement. It effects can be just a weakness from one hand ranging to almost complete lack of movement (Miller & Browne, 2005, p. 51). People with cerebral palsy may have seizures and other impairments that affect their speech, vision, hearing or intellect. Spastic, Dyskinetic and Ataxic are the three main types of cerebral palsy. A cerebral palsy result from the neurological damage to the child’s developing brain (Miller et al. , 2005, p. 51). There is greater risk in babies born with low birth weight and preterm. Cerebral palsy can be diagnosed through test reflexes, check for hand preference, CT scan, MRI and Ultrasonography. The treatment are physical therapy which consists exercise to keep limbs from weakening, speech therapy can help regain lost control over facial and throat muscles and gaining the ability to communicate effectively, medication help prevent certain effects of cerebral palsy such as seizures and surgery which is performed to cut some of the nerves affected by spasms and minimize muscle contractions (Miller et al. , 2005, p. 52). Four principles Autonomy Autonomy is described as the right to self-determination, the ability to control what happens to us and how we behave (Staunton & Chiarella, 2003, p. 8). This is a significant ethical principle which allows respect for individuals thought, action and their personal space. Katie is believed to understand little of what is said to her but she has no sense of what is happened to her body. Although, she has the right to make her own decision but she could not give valid consent.. Non-maleficence The principle of ‘above all, do no harm ’ ( Pera & Tonder, 2005, p. 34). A strong principle in health care and it forms the basis of nurses’ duty of care. This procedure affects the welfare and health of Katie as it is seriously invasive her personal integrity and human dignity. Health care professionals should avoid emotional, spiritual, moral and physical harm to Katie’s dignity (Pera et al. , 2005, p. 34). Beneficence The principle of ‘above all, do good’ (Staunton & Chiarella, 2003, p. 29). It includes the principle of cost benefit analysis and paternalism. In health care, this principle range from determining the number and type of hospital beds in a given geographic area to the validation of research involving human subjects (Pera & Tonder, 2005, p. 4). In Katie case, she deserve better quality of life that she won’t suffer from menstrual pain, discomfort, mood swings, behavior changes and complication of adulthood. More information about women’s health nowadays and more alternatives options should be given to her parents so that Katie could receives the best and suitable treatment. Justice The p rinciple of justice is the unifying principle in health and nursing ethics. It comprises the justice as fairness and justice of an equal allocation of burdens and benefits (Staunton et al. , 2003, p. 30). Ethical conflicts This case raises fundamental ethical issue about the way the society treats disabled people and the respect for the human rights and reproductive rights of disabled people. There are a few ethical conflicts arise in Katie case. The conflicts are: is the operation in the best interest of the child, is there any risk of making decision wrongly and is it ethically allows having hysterectomy on disabled people below 18 and without their consent. Menstruation is always regarded negative for parents with disabled kids as it is uncomfortable, unclean and devastating. Therefore, most parents wanted hysterectomy on their disabled kids before their menstruation as they thought their disabled kids would not be able to cope and deal with menstruation. But, it is not known that whether hysterectomy is in the best interest of the child as no one could predicts about the future problems to be encountered with menstruation. This is not fair for the disabled people as they have the rights to experience changes of their body and have their body in tact through their life span (Fellowes, 2000). Sterilization is a serious invasion the person honor and self-respect as their womanhood is being stolen. In 1994, Brennan J, the Chief Justice of the High Court of Australia believed that mentally or physical disabled people should enjoy a full decent life, in condition which ensure dignity, promote self-reliance and participate in the community (Fellowes, 2000). There is a significant risk of making the wrong decision to what are the best interests of a child who cannot consent and the consequences of a wrong decision are grave as this procedure is irreversible and invasive. Cincinnati Adolescent Clinic had carried out an interviewed in 1983, 69 parents were interviewed regarding sterilization of their disabled daughters. Almost 80 percents parents had thought of sterilization and their common reason was to protect their daughters from pregnancy (Strahan, 1991). People with disabilities have the equal human rights as all members of the community (Disability Discrimination Act 1992). Katie has the rights to make her own decision and acknowledge what is happened to her body and health