Relationship between energy consumption and economic development

Relationship between energy consumption and economic development In the recent years China has rapidly developed into one of the largest economies in the World. China has shifted from the 108th to the 72nd rank on the World Development Index. The economic growth, industrialization and the urbanization have resulted to an annual average real GDP growth rate of 8 to 9 percent. The real income per capita has increased in this period, with the factor 10. This impressive growth however also implies higher environmental pressures despite new technological improvements of resource utilization being applied. The enormous growth of China results in substantially higher energy consumption. This goes hand in hand with higher CO2 emissions. The primary energy consumption in China has grown at an annual average rate of 6% between 1965 and 2008, with the first measurement of 183 oil equivalent million tonnes in 1965, and the latest measurement of 2003 MTN in 2008 (BP Statistical Review of World Energy June 2009). The emission emitted by China in 2007 was 6.466 MTN and 6.897 MTN in 2008, indicating an increase of 6.4%. The global CO2 emission has increased from 31.007 MTN in 2007, to 31.578 MTN in 2008. This represents an increase of 1.6 %. The share of China in the global emission in 2008 according to this information is a stunning 21,8% (BP Statistical Review of World Energy June 2009). The projection of the IPCC (2007) is that the CO2 emission from energy consumption between 2000 and 2030 are estimated to increase with 40 to even 110%. The CO2 emissions in China has exceeded the maximum amount stated in the Kyoto Protocol, which is a protocol to the United Nations Framework Convention on Climate Change focusing on preventing global warming. China has not been able to meet 10 of the 13 critical points in the current five-year plan, with targets for air and water pollution control (The World Bank, State Environmental Protection Administration, P.R. China, 2007). The overall environmental pollution costs in China are estimated to be about 5.8% of the GDP in China. For example it is estimated that in 2003 the acid rain which is mainly caused by fossil fuel emissions, has caused over 44 million dollars (30 billion Yuan  [1]  ) damage to crops, and an estimated 10,3 million dollars (7 billion Yuan) in damage to building materials in China (The World Bank, State Environmental Protection Administration, P. R. China, 2007) It is clear that economic growth contributes to a higher CO2 emission and global warming. Is this economic growth sustainable in the long term due to the impacts on air pollution? Is it worth the growth of China given the limited amount of resources available and the need for environmental conservation? Countries will have to find a balance between their consumption and economic growth. Various studies have analyzed the relationship between economic growth and the emission of CO2. For instance B. Friedl and M. Getzner (2003) found a significant relationship during the period of 1960 and 1999, with a structural break in the seventies due to the oil price shock. J. B. Ang (2007) found a dynamic relationship between pollutant emissions, energy consumption and economic development. They point out that the more energy is used in the economy, the more CO2 emissions are released, which in its turn has a quadratic relationship with the output in the long run. This indicates that output growth is a reactor for CO2 emissions and energy consumption. This relationship between output and the pollution level has been widely documented as the Environmental Kuznets Curve (EKC). The EKC hypothesis indicates that the relationship between economic development and the environment is shown as an inverted U-curve, whereas environmental damage first increases with income and over time will stabilize, and eventually declines. China is one of the main driving forces of global warming, with the highest emission value and the highest economic growth rate. Since energy consumption has a direct impact on the level of environmental pollution, China is an interesting country to examine. Amidst the animated debate of global warming and sustainability, the energy consumption will be related as an input factor for economic activity along with the emission of CO2 in China. Other influences which are included are price indices, total gross fixed capital, population and the technological developments. I will make use of the measurements published by the following databases excluding the Chinese Statistical Yearbooks due to incoherent results with these databases; the BP Statistical Review of World Energy, the World Development Indicators database, The Conference Board Total Economy database and the World Intellectual Property Organization database. The outcome of the research could contribute to the debate of the mitigation of global warming and should imply that China has to speed up the technological developments to create or implement energy efficient technologies to reduce the CO2 emissions in line with the targets of the Kyoto Protocol. This implies that policies should be reformulated to stimulate the use of alternative resources and technological developments. The nexus of energy consumption economic development CO2 emission, with price indices, total gross fixed capital, technological development and population. Price indices and fluctuations Investment in Pollution Treatment and RD Technological development Air pollution: CO2 Emission Economic Development: GDP TGFC Consumption Total Energy Consumption: Oil / Gas Coal / Nuclear / Hydro-electricity Households Population Literature review/Background There are two strands of literature relevant in the nexus of energy consumption à ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬ economic development à ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬ CO2 emission. The first strand focuses upon the relation between energy consumption and economic development. More energy consumption leads to higher economic development through the enhancement of productivity. The second strand focuses upon the relation between economic growth and CO2 emission. The latter strand represents the interrelation between energy consumption and the increase of CO2, which is well known and obvious. Various studies indicate that more energy use results in more CO2 emission (J.Ang, 2007). Thus any movement of energy use will positively react to the emission level. 2.1 Strand 1 Energy consumption and economic development  [2]   This first strand divides the causality between energy consumption and economic growth in three possibilities. Firstly the causality that runs from energy consumption to economic growth. Secondly the causality that runs from economic growth to energy consumption. Thirdly bidirectional causality which implies there is an effect, or no effect in either direction between energy consumption and economic growth. 2.1.1 Unidirectional from energy consumption to economic growth The traditional neo-classical model based upon economic growth uses the energy inputs as an intermediate. The factor inputs land, labor and capital are used as basic factors, in order to neutralize the function of energy in production. Energy is an intermediate function; however it is the consumption of energy that causes economic growth. Energy remains an important aspect in the determination of income. National economies therefore depend upon the use of energy and will be affected by changes in energy consumption. Therefore the elasticity is expected to be high between energy consumption and economic growth, since it is an important aspect. Jia-Hai Yuan et al (2008) tests the causality between output growth and energy use in China at both aggregated total energy and disaggregated levels as coal, oil and electricity consumption and find that there exists Granger causality between the electricity and oil consumption to GDP. However they do not find Granger causality from coal and the total energy consumption of these three energy inputs to GDP. Soytas and Sari (2007) found the same Granger causality from electricity consumption to GDP in Turkey. Previous research by Soytas and Sari (2003) examining the G-7 countries, indicated an unidirectional relationship running from energy consumption to GDP in Turkey, France, Germany and Japan covering the period 1950-1992. Stern (1993) also found a Granger causality from total energy to GDP, employing a four-variable model with capital, labor, energy consumption and GDP. A.E. Akinlo (2006) results indicate that energy consumption is co-integrated with economic growth within seven out of eleven African countries, using an autoregressive distributed lag bound test (ARDL). The study also implies that there exists a significant long run effect on economic growth in four African countries. Fatai et al. (2004) showed that energy consumption has a significant positive effect on economic growth in Indonesia and India. C. Lee and C. Chang (2007) report a nonlinear relationship between energy consumption and an economic growth in Taiwan for the period 1955-2003, as inverse U-shape. They state from their previous research that in the long run energy unanimously acts as an engine of economic growth, and that energy conservation may harm economic growth. J. Ang (2007) found a unidirectional causality from the increase of energy and the output growth in the short run. The existence of unidirectional causality has some policy implications; it could suggest that a country is dependent upon the inputs of energy to establish economic growth. The restriction of energy may directly lead to lower economic growth or even a restrain and could result in a fall in employment or equivalently an increase in unemployment rate (N. M. Odhiambo 2009, A.E. Akinlo, 2008). It is difficult for governments to implement energy conservation policies as a part of a green future, and face the trade-off between energy consumption and growth. Environmental conservation will constantly be a part of every economic development process. Policies to conserve energy could be quotas, taxes, subsidies or the promotion of efficient use of technology (C. Lee, C. Chang, 2007) 2.1.2 Unidirectional from economic growth to energy consumption On the other hand I expect the increase in GDP will influence the energy consumption in various ways, firstly through an increased energy-intensity (energy consumption per unit of GDP) in households due to more spendable income. Also the private consumption of fuels in households and private car use seem to have a significant effect on the emission level (C.Lee and C. Chang, 2007). Population can thus be an indicator for the amount of energy consumption, whereas air pollution levels could be directly associated with population. The article of Lee and Chang (2007) discusses that the energy consumption in Taiwan has risen sharply due to rapid economic growth and higher living standards. Secondly increases in income will increase activities as investment, which is an important input factor for production processes. If the economy grows, this will result to an increased demand for energy will increase. Pioneering in this strand is the article of Kraft and Kraft dated in 1978. It is one of the first articles to examine the phenomenon. They found a unidirectional causality running from output to energy consumption for the United States during the period 1947à ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬1974. Jia-Hai Yuan et al (2008) is consistent with this result and found Granger causality in the short run from GDP to total energy consumption, coal and oil consumption. However there does exist causality from GDP to electricity consumption. Soytas and Sari (2003) found in their panel research a unidirectional relationship from economic growth to energy consumption for Italy (1950-1992) and Korea (1953-1991). Total gross fixed capital can be an indicator for the amount of energy consumption. This form of unidirectional causality from GDP to energy consumption can imply that a country is not solely dependent upon the energy consumption or energy input, leading to economic growth. Therefore policies can be implemented to conserve energy sources with no adverse or small effects on the economic growth (N. M., Odhiambo, 2009, A.E., Akinlo, 2008) 2.1.3 Bidirectional between energy consumption and economic growth The third view implies that there exists a bidirectional relationship within the nexus of energy consumption and economic growth. N. M. Odhiambo (2009) and A.E. Akinlo (2008) found this bidirectional causality. Soytas and Sari (2003) found this relationship for Argentina (1950-1990) within the G-7 countries. A.E. Akinlo (2008) analyzed three African countries in the short and long run show that this relationship holds for developed countries, while developing countries endure economic growth through more energy consumption only in the short run. C. Lee and C. Chang (2007) empirical findings suggest that energy consumption and economic growth are positively interrelated under a certain threshold. They stress the implications for future economic growth to the extent of resource scarcity. The finding of causality in both directions implies that energy conservation policies will have an impact on economic growth. The other bidirectional causality is known as the neutrality hypothesis, which implies that energy conservation policies do not affect economic growth. The insignificant impact in Taiwan beyond the mentioned threshold indicates that conservation policy is effective. The conservation policy could be implemented through energy taxes, new subsidies, quantity restriction and promoting efficient usage of energy such as innovation. However such environmental protection policies will lead to high costs and avoidance of rules. Eventually this will results in control expenditures. 2.2 Economic growth and CO2 emission The more energy consumed the more CO2 emission will follow up to a level of total clean technology. The direct relationship between energy consumption and the amount of CO2 emission is logical and empirically proven in several articles. The relationship between economic growth and CO2 emission is a more interesting one. Well known in the literature is the Environmental Kuznets Curve (EKC) hypothesis. Studies show that the EKC describes the relation between income and several local pollutants such as sulfur dioxide, nitrogen oxide and water pollutants. This relationship is an inverted U-curve, whereas environmental damage will first increases with income and over time will stabilize to its maximum. The curve will eventually decline, creating the inverted U-shape. It appears that economic growth can solely lead to environmental degradation (Soytasa Saria 2007). This implies that at low-income levels we might see a positive relation between national income and pollution, and at high levels of income we can trace a negative relation between the two variables (Liu, X. 2005). This non-linear relationship between environmental pollution and income levels can be explained by three factors: scale, composition, and technique effects. The scale effect refers to the increase in pollution along with the size of the economy. The composition effect refers to the change in the production structure and reallocation of resources, from an agriculture based economy to an industry and service based economy. The technique effect refers to the used techniques of production which may reduce the amount of pollutant emissions. (J. Ang, 2007) B. Friedl and M. Getzner (2003) analyzed the CO2 emissions in a small open economy (Austria) and found a cubic relationship between GDP and CO2 emissions in their research for the period of 1960 and 1999, meaning that the relationship has two inflection points, and change direction twice. They concluded that the Austrian emission and GDP are cointegrated and run parallel. J. Ang 2007 shows that there is a quadratic relation between CO2 emissions and output in the long run (parabola), in France for the period of 1960 to 2000. The results suggest that output growth causes CO2 emissions and energy consumption in the long run. A. Jalil, S.F. Mahmud 2009 analyzed the EKC hypothesis for China in the period 1971à ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬2005 with an ADRL framework. From their analysis there appears to be causality from economic growth to CO2 emissions, and a significant effect of energy consumption on the CO2 level. 2.3 Other factors affecting energy consumption and economic growth Another import factor is the research activity or investments in RD to reduce the amount of emissions. The common believe is that improvement in productivity and research activity will lead to a reduced amount of emission. An example is the Investment in technical upgrades and transformation in China in the electricity sector which increased sufficiently in 1990 and accelerated further since 1996. This should be one of the most important economic impulses driving energy efficiency improvements (L. Wu et al.2006). They also point out that the rising prices of energy since 1993 have provided strong economic incentives for the industry to decouple energy use from economic growth. This has driven the incentive to technically innovate. This refers to an economy that is able to sustain economic growth, without also experiencing a worsening of environmental conditions. However contra dictionary is the case of Taiwan, which has substantial changes in the structure of production in the economic sectors and enormous increases in development. This has led to a rapid increase in energy consumption and carbon dioxide emissions. Cole et al. (2008) show that productivity improvements and research activity will reduce the amount of emission. The article of J.Ang 2009 indicates that there exists a declining trend in CO2 emissions with the increase in research activity in China. From the data covering 1953 to 1999, it becomes clear that more innovation and RD activity will lead to beneficial influences in decreasing CO2 emissions. Policies created to decrease emission levels will lead to more research activity which will contribute directly through improved production techniques. This will decrease emissions and it will indirectly enable China to absorb green technology more efficiently from other countries. It is also likely that more efficient use of energy may require a higher level of economic development. That is, better economic performance may be a catalyst for energy efficiency, which makes energy consumption and economic development jointly determined (J. Ang 2007) This is based on the premises that different countries are in different stages of development. There are different effects on the developing process and impacts on the energy and growth relation. Two countries with similar levels of technology and factor endowments may have significantly different industrial structures as a result of past investment decisions. Their aggregate capital levels may be similar, but differences in the composition of capital may lead to differences in the opportunity cost of reducing emissions. A regression of only emissions on income may lead to a misspecification and bias, without controlling for the industrial structure. Therefore the total gross capital formation is important to include (Liu, X. 2005) Besides innovation and total gross capital formation, reforms of energy pricing systems in China since 1993 led to a dramatic rise in fuel prices and consequently to an economic decreased condition in the electricity generation sector, petroleum refinery sector and coal mining sector. B. Friedl and M. Getzner (2003) directly relate this structural break in energy consumption as a result, to a lower CO2 emission in Austria after the oil price shock. The recent price hikes stresses the importance of energy policies for conservation (R. Mahadeva, 2006). Theoretically if the fuel price increases, it will stimulate energy conservation behavior if the demand is relatively elastic. Practically the effect of rising prices can be seen by the oil price shock from 1973, which did not fail to leave its mark on CO2 emissions. Economic growth in this period slowed down, and due to changes in energy policies, such as rationalizing private consumption of fuels by restricting private car use, CO2 emissions dropped to about 57 million MTNE in 1975.

Is Latin America a More Democratic Place Today Than It Was in 1945

Is Latin America a more democratic place today than it was in 1945? Given the word and time restrictions, an in depth analysis of each Latin American country’s democratic progression across the time period would simply not be feasible. Instead I will attempt to look at Latin America’s progression as a whole and will provide examples of specific countries situations where relevant, in particular Venezuela. Firstly it is important to distinguish between two ideas. One is democracy. For democracy to work, there must be free and fair elections.There must be more than one political party. The people of the country should have a good education so that they can make informed choices. They should share a common culture. All must accept the idea that everyone has equal rights. Finally, there must be rule by law, not by power. In other words there must be a separation of power, which means that the judiciary has to be a completely different body from the governing power of the co untry. Many nations in Latin America have had dif? culty achieving democracy because all these factors are not present.The second idea is that of democratic culture. This involves the existence of constitutions, respect for rights, transparency when it comes to policies and governmental decisions and crucially, no corruption. Latin America, when viewed as a whole, is generally viewed as a more democratic place now than in 1945 but it would be wrong to assert that during the past 68 years Latin American countries have undergone a steady increase in democracy. Brazil is a prime example of a country that has gone through fluctuations in democracy throughout the period.Currently in Latin America, despite being in a state of relative poverty when compared to the rest of the world, the majority of countries have become, at least formally, electoral democracies. 13 countries are now classed as free, 8 as partially free, with only Cuba and Haiti being deemed as not. Venezuela, following the recent passing of Hugo Chavez, is at a crossroads on its journey to democracy. However many question how democratic a ruler Chavez actually was in his time as president. One of two very important relationships to analyse is that of democracy and the level of development in a country or in this case Latin America.This leads on to what is one of the most stable relationships in social sciences, the positive correlation between high levels of wealth and established democracy (Lipset 1959). To back this statistic up, a democratic regime has never fallen after a country has reached a certain level of income per capita, which is said to be $6055 (Przeworski 2000). In 1945 Latin America was still recovering from the economic shockwaves caused by the great depression of 1930. This global economic crisis meant that the rest of the world was not demanding any imports from Latin America.At the time these would have been mainly raw materials and this lack of export revenue for the South Americ an countries had a detrimental effect on their situations in the majority of cases. During the decade or so after the great depression, around 1945, the effects will have trickled down and income per capita and GDP levels will have been significantly reduced. This will in turn have destabilised democracy attempts and can be viewed as a reason for why Latin America was less democratic then than it is now. Without the economic and financial means it is very difficult to achieve a fully functioning democracy.Of course it is worth pointing out that we are nearing the end of a fairly gruelling global economic downturn today but the consequences for Latin America are far less in this instance. The economic growth in Latin America has been very modest throughout the 68 years in question but more importantly it has been volatile. Periods of prosperity in several countries have been followed by long periods of stagnation and even negative growth. This volatility can be seen in Latin American countries progression since independence in terms of democracy as well.Take Brazil as an example. The country became independent in 1822 and was ruled by a monarchy. In 1930 this monarchy was overthrown and the country was under a dictatorship for a couple of decades. In 1956 an elected leader was installed only to be replaced by military rule 10 years later. Finally in the 1980’s, as a result of yet another economic decline, Brazil was yet again ruled by an elected president. The other significant relationship that needs to be looked at is that of democracy and corruption.Corruption is usually defined as a violation of the norms of public office for personal gain (Nye 1967). It has been suggested that corruption permeates everyday life in Latin America with only very high profile cases ever being unveiled in a court of law and even then this only happens in the more democratic countries (Blake and Morris 2009). Here are a few statistics to back this assertion up. In a 2004 survey 42 % of respondents ranked the probability of paying a bribe to the police as high, while 35% expressed the same ease of bribing a judge (Blake and Morris 2009).In a 2005 survey, 43% of respondents in Paraguay and 31% in Mexico admitted to having paid a bribe just within the past twelve months (Blake and Morris 2009). Democracy has a complex and multifaceted relationship to corruption (Doig and Theobald 2000). It provides alternative avenues to obtain and then use power and wealth. This leads to brand new opportunities for corruption. However despite the fact that democracy makes it easier for corruption to exist, when there is a democracy it becomes of even greater importance to supress corruption as it strikes at the very meaning of democracy itself.To sum this idea up, corruption undermines the essence of citizenship, distorting and crippling democracy (Blake and Morris 2009). It is clear from the statistics in the previous paragraph that corruption continues in today†™s Latin America to have a tight grip over many if not all of its countries. Therefore it is very difficult to say that democracy has come on in leaps and bounds since 1945 when as crucial a factor as corruption is still such a plague to the region. Another factor when looking at democracy in the continent is the level of education.People must be aware of the fact that there is more than one option in a democracy. It is also crucial that the population of a country understands the concept of propaganda. A democracy can only work in a country with a certain level of education otherwise it can easily be classed as brainwashing, especially with the level of influence that the media can have over an ill-educated population. An example of what a lack of education can do in a democracy is that during the elections in which Chavez was voted in, he very nearly missed out on the appointment because his main rival was a former Miss Venezuela.The implication of this is that a worrying amount of the Venezuelan public didn’t vote for Chavez because there was a far better looking female alternative. Of course this could just be cynicism and she may well have had a very impressive manifesto and realistic yet progressive goals. During Chavez’ time in power though, he managed to substantially increase literacy along with reducing poverty by over half. Chavez had many positive effects on Venezuela, not least providing them with 14 years of stable rule. However his recent death has thrown the country off its feet and they are at risk of descending into political turmoil.Further examples of why Latin America was less democratic in 1945 include the fact that leading South American countries such as Columbia and Argentina had still not given women the right to vote. Universal suffrage is something that can be found in certain definitions of democracy for example Dahl’s and was definitely holding those countries back at that stage in their bid for democracy (D ahl 1971). To conclude, it is safe to say that Latin American countries are in a better overall place than in 1945 but that corruption in particular is holding them back.A country needs to be not only ready for democracy but also willing to accept it. It can definitely be argued that not all Latin American countries are ready for democracy but one final point may indicate that they are nearing acceptance of it. This is that something the Latin Americans care greatly about is their national identity, an idea that is very closely linked to democracy. Therefore with the rapid increase in globalisation endangering this coveted national identity, South American countries are rapidly warming to the idea of being democratic. Bibliography: Charles H. Blake & Stephen D. Morris (1999), Corruption and Democracy in Latin America, published by the University of Pittsburgh Press. * R. A. Dahl (1971), Polyarchy: Participation and Opposition, published by Yale University Press. * Alan Doig and Robi n Theobald (2000), Corruption and Democratization. * S. M. Lipset (1959), Some Social Requisites of Democracy, Economic Development and Political Illegitimacy. * A. Przeworski (2000), Democracy and Development: Political Institutions and Well-being in the World 1950-1990, Cambridge University Press. Is Latin America a More Democratic Place Today Than It Was in 1945 Is Latin America a more democratic place today than it was in 1945? Given the word and time restrictions, an in depth analysis of each Latin American country’s democratic progression across the time period would simply not be feasible. Instead I will attempt to look at Latin America’s progression as a whole and will provide examples of specific countries situations where relevant, in particular Venezuela. Firstly it is important to distinguish between two ideas. One is democracy. For democracy to work, there must be free and fair elections.There must be more than one political party. The people of the country should have a good education so that they can make informed choices. They should share a common culture. All must accept the idea that everyone has equal rights. Finally, there must be rule by law, not by power. In other words there must be a separation of power, which means that the judiciary has to be a completely different body from the governing power of the co untry. Many nations in Latin America have had dif? culty achieving democracy because all these factors are not present.The second idea is that of democratic culture. This involves the existence of constitutions, respect for rights, transparency when it comes to policies and governmental decisions and crucially, no corruption. Latin America, when viewed as a whole, is generally viewed as a more democratic place now than in 1945 but it would be wrong to assert that during the past 68 years Latin American countries have undergone a steady increase in democracy. Brazil is a prime example of a country that has gone through fluctuations in democracy throughout the period.Currently in Latin America, despite being in a state of relative poverty when compared to the rest of the world, the majority of countries have become, at least formally, electoral democracies. 13 countries are now classed as free, 8 as partially free, with only Cuba and Haiti being deemed as not. Venezuela, following the recent passing of Hugo Chavez, is at a crossroads on its journey to democracy. However many question how democratic a ruler Chavez actually was in his time as president. One of two very important relationships to analyse is that of democracy and the level of development in a country or in this case Latin America.This leads on to what is one of the most stable relationships in social sciences, the positive correlation between high levels of wealth and established democracy (Lipset 1959). To back this statistic up, a democratic regime has never fallen after a country has reached a certain level of income per capita, which is said to be $6055 (Przeworski 2000). In 1945 Latin America was still recovering from the economic shockwaves caused by the great depression of 1930. This global economic crisis meant that the rest of the world was not demanding any imports from Latin America.At the time these would have been mainly raw materials and this lack of export revenue for the South Americ an countries had a detrimental effect on their situations in the majority of cases. During the decade or so after the great depression, around 1945, the effects will have trickled down and income per capita and GDP levels will have been significantly reduced. This will in turn have destabilised democracy attempts and can be viewed as a reason for why Latin America was less democratic then than it is now. Without the economic and financial means it is very difficult to achieve a fully functioning democracy.Of course it is worth pointing out that we are nearing the end of a fairly gruelling global economic downturn today but the consequences for Latin America are far less in this instance. The economic growth in Latin America has been very modest throughout the 68 years in question but more importantly it has been volatile. Periods of prosperity in several countries have been followed by long periods of stagnation and even negative growth. This volatility can be seen in Latin American countries progression since independence in terms of democracy as well.Take Brazil as an example. The country became independent in 1822 and was ruled by a monarchy. In 1930 this monarchy was overthrown and the country was under a dictatorship for a couple of decades. In 1956 an elected leader was installed only to be replaced by military rule 10 years later. Finally in the 1980’s, as a result of yet another economic decline, Brazil was yet again ruled by an elected president. The other significant relationship that needs to be looked at is that of democracy and corruption.Corruption is usually defined as a violation of the norms of public office for personal gain (Nye 1967). It has been suggested that corruption permeates everyday life in Latin America with only very high profile cases ever being unveiled in a court of law and even then this only happens in the more democratic countries (Blake and Morris 2009). Here are a few statistics to back this assertion up. In a 2004 survey 42 % of respondents ranked the probability of paying a bribe to the police as high, while 35% expressed the same ease of bribing a judge (Blake and Morris 2009).In a 2005 survey, 43% of respondents in Paraguay and 31% in Mexico admitted to having paid a bribe just within the past twelve months (Blake and Morris 2009). Democracy has a complex and multifaceted relationship to corruption (Doig and Theobald 2000). It provides alternative avenues to obtain and then use power and wealth. This leads to brand new opportunities for corruption. However despite the fact that democracy makes it easier for corruption to exist, when there is a democracy it becomes of even greater importance to supress corruption as it strikes at the very meaning of democracy itself.To sum this idea up, corruption undermines the essence of citizenship, distorting and crippling democracy (Blake and Morris 2009). It is clear from the statistics in the previous paragraph that corruption continues in today†™s Latin America to have a tight grip over many if not all of its countries. Therefore it is very difficult to say that democracy has come on in leaps and bounds since 1945 when as crucial a factor as corruption is still such a plague to the region. Another factor when looking at democracy in the continent is the level of education.People must be aware of the fact that there is more than one option in a democracy. It is also crucial that the population of a country understands the concept of propaganda. A democracy can only work in a country with a certain level of education otherwise it can easily be classed as brainwashing, especially with the level of influence that the media can have over an ill-educated population. An example of what a lack of education can do in a democracy is that during the elections in which Chavez was voted in, he very nearly missed out on the appointment because his main rival was a former Miss Venezuela.The implication of this is that a worrying amount of the Venezuelan public didn’t vote for Chavez because there was a far better looking female alternative. Of course this could just be cynicism and she may well have had a very impressive manifesto and realistic yet progressive goals. During Chavez’ time in power though, he managed to substantially increase literacy along with reducing poverty by over half. Chavez had many positive effects on Venezuela, not least providing them with 14 years of stable rule. However his recent death has thrown the country off its feet and they are at risk of descending into political turmoil.Further examples of why Latin America was less democratic in 1945 include the fact that leading South American countries such as Columbia and Argentina had still not given women the right to vote. Universal suffrage is something that can be found in certain definitions of democracy for example Dahl’s and was definitely holding those countries back at that stage in their bid for democracy (D ahl 1971). To conclude, it is safe to say that Latin American countries are in a better overall place than in 1945 but that corruption in particular is holding them back.A country needs to be not only ready for democracy but also willing to accept it. It can definitely be argued that not all Latin American countries are ready for democracy but one final point may indicate that they are nearing acceptance of it. This is that something the Latin Americans care greatly about is their national identity, an idea that is very closely linked to democracy. Therefore with the rapid increase in globalisation endangering this coveted national identity, South American countries are rapidly warming to the idea of being democratic. Bibliography: Charles H. Blake & Stephen D. Morris (1999), Corruption and Democracy in Latin America, published by the University of Pittsburgh Press. * R. A. Dahl (1971), Polyarchy: Participation and Opposition, published by Yale University Press. * Alan Doig and Robi n Theobald (2000), Corruption and Democratization. * S. M. Lipset (1959), Some Social Requisites of Democracy, Economic Development and Political Illegitimacy. * A. Przeworski (2000), Democracy and Development: Political Institutions and Well-being in the World 1950-1990, Cambridge University Press.

Principles of Marketing †Shoes Essay

For most women shoes are probably the most important part of the whole outfit. The shoes you wear can increase your confidence or destroy it, and you can never have enough. Companies capitalize on this idea by mostly targeting women when they are marketing their shoe products. The market for fashion forward men is growing rapidly, thus more stores are providing a lot more variety of men’s shoes as well. The shoe market is divided into three major product categories athletic shoes, casual and dress shoes, and then â€Å"boom-or-bust† novelty designs. The shoe industry is one of the more â€Å"mature† industries, meaning that it has passed the emerging and growth stages and the sales are slower and more constant. The average woman owns 17 pairs of shoes. Women make up 25% out of the 40% casual/dress shoes segment, while the remaining 15% of it belongs to men. In order for a company, to retain its old customers and attract new customers, they must continually offer better and bolder shoes. The taste of shoe buyers changes often, and so the retailers must improve their shoes. The improvements in an athletic shoe would focus on comfort and performance enhancement. The dress and casual shoes would rely on the fashion-forwardness and the superior products and novelty designs focus on improving profitability. The whole shoe industry has to be able to adapt to change and with the electronic era here. The biggest change the industry probably has to make is moving to an e-business adjusting a company’s sales to stay the same and even increase, while keeping up with the technology and trends at the same time. That could mean expanding internet sales and closing down low performing stores or just marketing their online segments harder. The Designer Shoe Warehouse, more formally known as DSW, opened in 1969 and over the years has become a â€Å"leading branded footwear and accessories retailer†. DSW offers a wide range of brand name shoes and sneakers for men women kids as well accessories. Their strengths rely in the distinctive and convenient store layout as well as the prices offered to customers. Some shoes at DSW are offered at lower prices than in other stores. DSW is a warehouse with rows upon rows of shoes. The possibilities seem endless. They carry lots of different brands and styles so everyone can find something that they like. The company has 364 stores in 41 states, the District of Columbia, and Puerto Rico, as well as 346 leased departments for other retailers in the US. Not only does DSW have a whole bunch of traditional brick and mortar store locations, there are two websites. There is a product site where you can purchase shoes and accessories, and there is an investor relations site where you can find information about the company, press releases, SEC filings, and stock information since it is a publicly traded company. DSW became public in 2005. One effort in retaining customers would be their rewards system. To become a member is free of charge and you receive reward certificates after every 1,500 points earned. There are special deals and offers that are available to members only, such as, double-point shopping days twice a year, birthday certificates, and tracking purchases. And if you want to, you could upgrade your membership to the Premier Rewards status; for a small price. But, the Premier Reward members get all the perks, such as free next day shipping, triple-point days twice a year and access to events and offers that are just exclusively for them. The product website has an easy layout for customers divided into categories and sub categories. When a customer is in the process of looking for a shoe to purchase there are many great features included to help along the way. Such as full product detail that includes a colorful description of the shoe, the materials the shoe is made out of, and the dimensions. The customer can see ratings other people give the shoe such as duration, width, and comfort. There are also indications on the site that are more specific to feet preferences. Options such as choosing whether you want the shoe to come in a wide or narrow, the different colors and sizes available are given to the customer as well as, compare prices to show you how much you can save on a particular shoe. These details help the customers find a shoe that is the best for them. ALDO is a private company that is deeply rooted in culture, tradition, and service to others. Their mission is to deliver Total Customer Service, and make people feel good through the products that they provide. Similar to DSW, ALDO sells shoes and accessories to men and women. ALDO stores are found all over the world in the United States, Canada, the United Kingdom, and 60 other countries. ALDO’s success relies on its ability to be fashion forward and globally conscious. This company is big on giving back and the employees participate in community service events, fundraisers and causes. One big cause ALDO participates in is the fight against AIDS. They have been involved with the fight since 1985 but in 2005 the ALDO Group launched campaign called ALDO fights AIDS that has been spreading awareness and raising money for a cure by using talented and known celebrities and media genres to donate as well as promote it. Something that differentiates ALDO’s website is that they have a ‘Trends’ tab on their website that describes the looks, or styles they represent and has a gallery of pictures to show how they would dress while wearing the shoes. To make it easier for the customer, they have a section on the website that has the top pic ks for both men and women. When thinking about purchasing a pair of shoes from ALDO there are many helpful things such as videos to teach you about the style of the shoes, colors available, a full written description of the material of the outside of the shoe and what the soles made of and a size guide with US and European sizes since their shoes vary in the sizes offered. The website also provides recommendations on what else you may like according to their beliefs. ALDO offers free returns and fast delivery. There is a new age among us where shoe stores don’t have to actually have a building, but only a space online to sell and showcase shoes. Zappos is one of those stores. Zappos was founded in 1999 at the peak of the internet boom because the founder Nick Swinmurn was dissatisfied with the shoe market. No one retailer had everything that he was looking for. The vision for the company is to have the best service and best selection online and they are living the vision, and have been evolving with the market for the past 9 years. Zappos has been called the Amazon of shoes. Even though the company does not have traditional brick and mortar stores they do have a warehouse that houses all of the shoes that they make available for sale. Zappos is a family that is made up of different members that do different things. The first member is Zappos.com, Inc. which has the facilities, finance Treasury and Accounting departments, the Help Desk , Human Resources, etc. The next member of the family is Zappos CLT which takes calls, emails and chat live with customers. Zappos Development is responsible for content, creativity and marketing. Zappos Gift Cards sells gift cards. Zappos Insights provides insight into the company culture and mentors people on Zappos Family culture. Zappos IP is comprised of development and the Project Management Team. Zappos Merchandising develops relationships with the vendors and purchase the products on the site. Zappos Retail consists of clothing and apparel to help with retail therapy. And the last member of the family is 6pm.com, LLC, this site sells shoes, clothing, bags, and accessories at discount prices. The Zappos Family has ten core values that they live and abide by in order to grow strong and fulfill their goal to have the best service and best selection online. When on the Zappos website it is extremely easy to navigate through the pages. There are many categories and sub categories to choose from and the selections under them are endless. Zappos currently houses 1,140 different brands of shoes clothing and accessories with the goal and plan on increasing that number. They sell merchandise from Crooks and Castles which sells hip clothing to Giuseppe Zanotti which sells expensive high fashion shoes, heels, boots, and sandals. A newer, all internet company is Just Fabulous or JustFab.com. This company is led by, fashion icon and owner of Baby Phat, Kimora Lee Simmons. JustFab keeps its members and customers up-to-date with fashion trends and styles. This company is differentiated because when you first sign up for JustFab, you take a style quiz about the different styles and looks you like. And every month your own style experts pick out items that they think you will like, and adds them to your boutique. There is a VIP membership, where members pay $39.95 for everything on the site and receive free shipping and returns. There is no obligation to pay but each month you must browse your boutique by the 5th or else you will be charged the $39.95. It is very important for a company to differentiate itself from others. Differentiation is key to getting and retaining customers, whether the differentiation comes from customer service, brand style, membership perks, etc. The companies selected all have things that differentiate them from each other, most of them relying on their rewards programs and customer service. DSW and Zappos pride themselves on having a wide range and variety of shoes, accessories, and clothing. They both try to be a â€Å"one-stop-shop† getting all of your needs fulfilled in one place. I think the personalized stylist in the JustFab Company is a brilliant idea because it is a form of interactive marketing. They are increasing relationships between the customer and the company. The only critique of JustFab is in the variety and styles. Most of the shoes and clothes they sell look cheap and ugly, but that is the price to pay when you are only spending about $40.00 for a pair of shoes, when they can run from $60-$200 for a good pair, or even more. ALDO has a strong sense of community and the products are extremely stylish. The AIDS campaign is also a good sense of social responsibility that increases the goodwill of the company. Out of all the companies the best and most effective business model and presence would have to be Zappos’s. The Zappos Family established a set of goals in the beginning and have been working toward them ever since. They live, work, and thrive by their ten Zappos Family Core Values. They are constantly working on growing the company and offering more brands to sell. The prices are good because they give sales on different shoes periodically. One thing I would do to better the company would implement a â€Å"boutique† just like in JustFab because all the variety it can be a little overwhelming at times. Websites Used http://www.dsw.com/ http://investors.dswshoe.com/ http://www.aldoshoes.com/us/culture http://www.justfab.com/how-justfab-works.htm http://about.zappos.com/ http://www.statisticbrain.com/footwear-industry-statistics/ http://www.investopedia.com/terms/ http://articles.philly.com/2011-10-18/entertainment/30292867_1_shoes-foot-pain-women http://www.valueline.com/Stocks/Industry_Report.aspx?id=7259

Essay on Objectification of Women by the Media - 2003 Words

Objectification of Women by the Media The objectification of women is commonly used to refer to the presentation of women in the media as an object. Womens bodies are routinely used as objects to sell various products. In certain pictures women are presented as being vulnerable and easily overpowered especially in ads were they have on revealing clothing and take on submissive roles. These images are found in music videos as well, where the focus is only a particular body part. Lyrics to some songs promote this objectification as well. In many magazine advertisements women are often viewed as objects rather than human beings. Instead of focusing on the woman as a whole, many ads will just focus on one part of her†¦show more content†¦In one extremely disturbing photograph from Esquire, several (what appear to be) Barbie dolls with broken limbs litter the landscape. Closer inspection, however, reveals them to be women. A male figure in the background is throwing one over his shoulder while he holds another in his hand. The central female has her head severed with her body lying behind it. The title of the article the picture acompanies is 46 Women Who Were Not My Wife which focuses on the authors various affairs. This is the image of intimate sexual relationships? The picture vividly illustrates that those involved are merely objects for the mans sexual pleasure. Music lyrics and videos continually objectify women. Dr. Dre and friends spray champagne on women in Next Episode. In Maxwells video Lets Not Play the Game, Maxwell pauses on womens body parts. In DMXs No Love For Me, footage is shot looking up womens skirts. Sugar Rays Fly video features several shots of various parts of female dancers bodies. In a raft of Rock and Hip Hop videos, women get turned into pieces of booty served up for the pleasure of powerful men.... (Mtv News Now) Eminems Kim includes the lyrics, Sit down bitch If you move again Ill beat the shit out of you...Now shut the fuck up and get whats comin to you. You were supposed to love me {choking} NOW BLEED! BITCH BLEED! BLEED! BITCH BLEED! BLEED! Fuckin your bitch in the ass with a tire iron.. is a line from Under the Influence. Who Knew says,Show MoreRelatedMedia Objectification of Women1389 Words   |  6 PagesMedia Objectification of Women â€Å"Dreamworlds 3† To be sociologically mindful is to look for patterns in the society, observe all sides of the social life, ask questions, and seek answers. Being sociologically mindful can lead us to looking into matters that are complex and allow us the opportunity to understand the mechanism behind the division of our society. Race and gender seems to be the most obvious divide lines for this society. 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