The current Euro/Dollar parity was already hounding the citizens as well as the government of U.K. and now the news of millions of job losses in coming years has started to burn bullets in a normal human’s brain. Estimates are guessing that over 1.3 million jobs will be lost in coming six years which will prove to be a killer for United Kingdom. This will be due to the massive cuts in daily expenditure which the government is planning to impose pretty soon. It seems like the austerity measures are going to raise concerns and anger in the brains of normal locals.
Though the government is planning hard to create over 2.5 million job opportunities in coming years so as to nullify the effects that job drought will create due to cost cutting but it seems like the leaked news of upcoming loss in jobs for local citizens has already started to take a toll on their brains. Same is the reason why the news of new job opportunities being created by the government isn’t helping them by any means.
The major issue being faced by the government is the job loss that will occur in the northern region of the country which relies more on jobs and investment for its day to day living. Even the private firms in this area will be hit hard and all these will have their own long lasting effects. No way do the hard hit economy of U.K. seems to take better shapes.
With its headquarters in Washington, D.C., International Monetary Fund (IMF) is an international organization that keeps a check on the financial system of this planet by following apolicies designed specifically for its member countries. It was formed with the goal of stabilizing international exchange rates and bringing in development by utilizing its sharply designed policies.
45 countries were involved in laying down the corner store for IMF but as of now the strength of IMF has quadrupled due to the political independence achieved by plenty of countries since 1944. Since then, IMF has worked pretty hard to adapt with changing conditions so that it could continue to server its purpose without the disregard of any member. The data dissemination system organized by IMF was one such drastic step where IMF guided countries to desseminate their financial and economic data to its public. As of May 2010 Ukraine happens to be the largest borrower of funds with around $16.4 billion grant permitted by IMF.
IMF has faced harsh criticism for plenty of its policies like currency devaluation suggested to poor countries which is defined by experts as economic prosperity. The economic crises of Argentina in 2001 was considered to be the result of IMF policies that were being followed by Argentina. Before the involvement of IMF Kenya was enjoying its growth but with the entry of IMF and its policies Kenya saw some of the countries frauds occurring and all this was related to IMF. Documentaries like Life and Debt have explored the disastrous results that countries have faced once IMF entered their kingdom thus adding salt to injuries.
Keeping aside all the allegations and disputes IMF has continuously been working hard to help those who need help. As of now it is being run under its Managing Director (which is from western countries most of the time) Dominique Strauss-Kahn who happens to be from France.
HFCE or Household final consumption expenditure is a measurement of a countries accounts based on consumer spending. It is based on the amount that individuals or households spend each quarter, or each year, on every type of goods and services.
It does not just look at regular households of two adults and two children; it also looks at other types of living such as single people, or those living in communal groups such as retirement homes.
It does not just concentrate on major commodities but includes everything that is purchased. HFCE looks at items such as the cost of renting or mortgage payments on homes.
HFCE is basically a measurement of the actual average price paid by purchasers for a huge variety of goods and services, it includes all taxes that have been added to the costs and even takes into account other more invisible expenditure such as the amount spent tipping at restaurants.
It takes into account everyday purchases such as food and clothing. Also included are semi-regular payments such as tickets for entertainment events, there are also very occasional payments made to the government such as the fee for issuing passports.
The list is endless but when calculated together it gives an indication of the average expenditure of individuals and households.
