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United States housing bubble The stock of the country's largest subprime lender, New Century Financial, plunged 84% amid Justice Department investigations, before ultimately filing for Chapter 11 bankruptcy on April 2, 2007, with liabilities exceeding $100 million. The manager of the world's largest bond fund, PIMCO, warned in June 2007 that the subprime mortgage crisis was not an isolated event and would eventually take a toll on the economy and ultimately have an impact in the form of impaired home prices. Bill Gross, a "most reputable financial guru", sarcastically and ominously criticized the credit ratings of the mortgage-based CDOs now facing collapse: AAA? You were wooed, Mr. Moody's and Mr. Poor's, by the makeup, those six-inch hooker heels, and a "tramp stamp." Many of these good-looking girls are not high-class assets worth 100 cents on the dollar ... [T]he point is that there are hundreds of billions of dollars of this toxic waste ... This problem [ultimately] resides in America's heartland, with millions and millions of overpriced homes. Business Week has featured predictions by financial analysts that the subprime mortgage market meltdown would result in earnings reductions for large Wall Street investment banks trading in mortgage-backed securities, especially Bear Stearns, Lehman Brothers, Goldman Sachs, Merrill Lynch, and Morgan Stanley
Business&Economics
https://en.wikipedia.org/wiki?curid=1920610
United States housing bubble
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United States housing bubble The solvency of two troubled hedge funds managed by Bear Stearns was imperiled in June 2007 after Merrill Lynch sold off assets seized from the funds and three other banks closed out their positions with them. The Bear Stearns funds once had over $20 billion of assets, but lost billions of dollars on securities backed by subprime mortgages. H&R Block reported that it had made a quarterly loss of $677 million on discontinued operations, which included the subprime lender Option One, as well as writedowns, loss provisions for mortgage loans and the lower prices achievable for mortgages in the secondary market. The unit's net asset value had fallen 21% to $1.1 billion as of April 30, 2007. The head of the mortgage industry consulting firm Wakefield Co. warned, "This is going to be a meltdown of unparalleled proportions. Billions will be lost." Bear Stearns pledged up to U.S. $3.2 billion in loans on June 22, 2007, to bail out one of its hedge funds that was collapsing because of bad bets on subprime mortgages. Peter Schiff, president of Euro Pacific Capital, argued that if the bonds in the Bear Stearns funds were auctioned on the open market, much weaker values would be plainly revealed. Schiff added, "This would force other hedge funds to similarly mark down the value of their holdings. Is it any wonder that Wall street is pulling out the stops to avoid such a catastrophe? ... Their true weakness will finally reveal the abyss into which the housing market is about to plummet
Business&Economics
https://en.wikipedia.org/wiki?curid=1920610
United States housing bubble
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United States housing bubble " The "New York Times" report connects the hedge fund crisis with lax lending standards: "The crisis this week from the near collapse of two hedge funds managed by Bear Stearns stems directly from the slumping housing market and the fallout from loose lending practices that showered money on people with weak, or subprime, credit, leaving many of them struggling to stay in their homes." On August 9, 2007, BNP Paribas announced that it could not fairly value the underlying assets in three funds because of its exposure to U.S. subprime mortgage lending markets. Faced with potentially massive (though unquantifiable) exposure, the European Central Bank (ECB) immediately stepped in to ease market worries by opening lines of €96.8 billion (U.S. $130 billion) of low-interest credit. One day after the financial panic about a credit crunch had swept through Europe, the U.S. Federal Reserve Bank conducted an "open market operation" to inject U.S. $38 billion in temporary reserves into the system to help overcome the ill effects of a spreading credit crunch, on top of a similar move the previous day. In order to further ease the credit crunch in the U.S. credit market, at 8:15 a.m. on August 17, 2007, the chairman of the Federal Reserve Bank Ben Bernanke decided to lower the discount window rate, which is the lending rate between banks and the Federal Reserve Bank, by 50 basis points to 5.75% from 6.25%. The Federal Reserve Bank stated that the recent turmoil in the U.S
Business&Economics
https://en.wikipedia.org/wiki?curid=1920610
United States housing bubble
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United States housing bubble financial markets had raised the risk of an economic downturn. In the wake of the mortgage industry meltdown, Senator Chris Dodd, chairman of the Banking Committee, held hearings in March 2007 in which he asked executives from the top five subprime mortgage companies to testify and explain their lending practices. Dodd said that "predatory lending practices" were endangering home ownership for millions of people. In addition, Democratic senators such as Senator Charles Schumer of New York were already proposing a federal government bailout of subprime borrowers like the bailout made in the savings and loan crisis, in order to save homeowners from losing their residences. Opponents of such a proposal asserted that a government bailout of subprime borrowers was not in the best interests of the U.S. economy because it would simply set a bad precedent, create a moral hazard, and worsen the speculation problem in the housing market. Lou Ranieri of Salomon Brothers, creator of the mortgage-backed securities market in the 1970s, warned of the future impact of mortgage defaults: "This is the leading edge of the storm ... If you think this is bad, imagine what it's going to be like in the middle of the crisis." In his opinion, more than $100 billion of home loans were likely to default when the problems seen in the subprime industry also emerge in the prime mortgage markets
Business&Economics
https://en.wikipedia.org/wiki?curid=1920610
United States housing bubble
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United States housing bubble Former Federal Reserve Chairman Alan Greenspan had praised the rise of the subprime mortgage industry and the tools which it uses to assess credit-worthiness in an April 2005 speech. Because of these remarks, as well as his encouragement of the use of adjustable-rate mortgages, Greenspan has been criticized for his role in the rise of the housing bubble and the subsequent problems in the mortgage industry that triggered the economic crisis of 2008. On October 15, 2008, Anthony Faiola, Ellen Nakashima and Jill Drew wrote a lengthy article in the "Washington Post" titled, "What Went Wrong". In their investigation, the authors claim that Greenspan vehemently opposed any regulation of financial instruments known as derivatives. They further claim that Greenspan actively sought to undermine the office of the Commodity Futures Trading Commission, specifically under the leadership of Brooksley E. Born, when the Commission sought to initiate the regulation of derivatives. Ultimately, it was the collapse of a specific kind of derivative, the mortgage-backed security, that triggered the economic crisis of 2008. Concerning the subprime mortgage mess, Greenspan later admitted that "I really didn't get it until very late in 2005 and 2006." On September 13, 2007, the British bank Northern Rock applied to the Bank of England for emergency funds because of liquidity problems related to the subprime crisis
Business&Economics
https://en.wikipedia.org/wiki?curid=1920610
United States housing bubble
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United States housing bubble This precipitated a bank run at Northern Rock branches across the UK by concerned customers who took out "an estimated £2bn withdrawn in just three days".
Business&Economics
https://en.wikipedia.org/wiki?curid=1920610
United States housing bubble
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Harrod–Domar model The is a Keynesian model of economic growth. It is used in development economics to explain an economy's growth rate in terms of the level of saving and of capital. It suggests that there is no natural reason for an economy to have balanced growth. The model was developed independently by Roy F. Harrod in 1939, and Evsey Domar in 1946, although a similar model had been proposed by Gustav Cassel in 1924. The was the precursor to the exogenous growth model. Neoclassical economists claimed shortcomings in the Harrod–Domar model—in particular the instability of its solution—and, by the late 1950s, started an academic dialogue that led to the development of the Solow–Swan model. According to the there are three kinds of growth: warranted growth, actual growth and natural rate of growth. Warranted growth rate is the rate of growth at which the economy does not expand indefinitely or go into recession. Actual growth is the real rate increase in a country's GDP per year. (See also: Gross domestic product and Natural gross domestic product). Natural growth is the growth an economy requires to maintain full employment. For example, If the labor force grows at 3 percent per year, then to maintain full employment, the economy’s annual growth rate must be 3 percent. Let "Y" represent output, which equals income, and let "K" equal the capital stock. "S" is total saving, "s" is the savings rate, and "I" is investment. "δ" stands for the rate of depreciation of the capital stock
Business&Economics
https://en.wikipedia.org/wiki?curid=1920997
Harrod–Domar model
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Harrod–Domar model The makes the following "a priori" assumptions: Derivation of output growth rate: A derivation with calculus is as follows, using dot notation (for example, formula_2) for the derivative of a variable with respect to time. First, assumptions (1)–(3) imply that output and capital are linearly related (for readers with an economics background, this proportionality implies a capital-elasticity of output equal to unity). These assumptions thus generate equal growth rates between the two variables. That is, Since the marginal product of capital, "c", is a constant, we have Next, with assumptions (4) and (5), we can find capital's growth rate as, In summation, the savings rate times the marginal product of capital minus the depreciation rate equals the output growth rate. Increasing the savings rate, increasing the marginal product of capital, or decreasing the depreciation rate will increase the growth rate of output; these are the means to achieve growth in the Harrod–Domar model. Although the was initially created to help analyse the business cycle, it was later adapted to explain economic growth. Its implications were that growth depends on the quantity of labour and capital; more investment leads to capital accumulation, which generates economic growth. The model carries implications for less economically developed countries, where labour is in plentiful supply in these countries but physical capital is not, slowing down economic progress
Business&Economics
https://en.wikipedia.org/wiki?curid=1920997
Harrod–Domar model
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Harrod–Domar model LDCs do not have sufficiently high incomes to enable sufficient rates of saving; therefore, accumulation of physical-capital stock through investment is low. The model implies that economic growth depends on policies to increase investment, by increasing saving, and using that investment more efficiently through technological advances. The model concludes that an economy does not "naturally" find full employment and stable growth rates. The main criticism of the model is the level of assumption, one being that there is no reason for growth to be sufficient to maintain full employment; this is based on the belief that the relative price of labour and capital is fixed, and that they are used in equal proportions. The model also assumes that savings rates are constant, which may not be true, and assumes that the marginal returns to capital are constant.
Business&Economics
https://en.wikipedia.org/wiki?curid=1920997
Harrod–Domar model
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Cascade tax A cascade tax or cascading tax is a turnover tax that is applied at every stage in the supply chain, without any deduction for the tax paid at earlier stages. Such taxes are distorting in that they create an artificial incentive for vertical integration. They have been replaced in Europe and many other locations by a value added tax.
Business&Economics
https://en.wikipedia.org/wiki?curid=1922122
Cascade tax
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Alfred Eichner Alfred S. Eichner (March 23, 1937February 10, 1988) was an American post-Keynesian economist who challenged the neoclassical price mechanism and asserted that prices are not set through supply and demand but rather through mark-up pricing. Eichner is one of the founders of the post-Keynesian school of economics and was a professor at Rutgers University at the time of his death. Eichner's writings and advocacy of thought, differed with the theories of John Maynard Keynes, who was an advocate of government intervention in the free market and proponent of public spending to increase employment. Eichner argued that investment was the key to economic expansion. He was considered an advocate of the concept that government incomes policy should prevent inflationary wage and price settlements in connection to the customary fiscal and monetary means of regulating the economy. He is noted for his book "The Megacorp and Oligopoly" (1976), "Toward a new economics: essays in post-Keynesian and institutionalist theory" (1985). His "Macrodynamics of Advanced Market Economies" (1987) contains chapters on dynamics and growth, investment, finance and income distribution. Eichner was born in Washington, D.C., in the United States. He received his doctorate in economics from Columbia University. He taught at Columbia from 1962 until 1971. Later he taught at SUNY Purchase (1971–1980), and then joined the Rutgers University faculty
Business&Economics
https://en.wikipedia.org/wiki?curid=1922129
Alfred Eichner
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Alfred Eichner Some books edited by Eichner include "A Guide to Post-Keynesian Economics", "Why Economics Is Not Yet a Science", and "The Macrodynamics of Advanced Market Economies". Eichner testified before Congressional and other legislative committees Together with Eli Ginzberg, a professor of economics at Columbia, Eichner authored an economic history of African Americans, "The Troublesome Presence: The American Democracy and the Negro," published in 1964. These co-authors wrote that... “of the several million persons who reached Great Britain’s North American colonies before 1776, it is conservatively estimated that close to 80 percent arrived under some form of servitude.” Some mainstream economists have argued that assumptions about the character of economic reality in the neoclassical economic paradigm are fundamentally flawed. Points arguably making a convincing case that the mathematical theories used by neoclassical economists cannot be viewed as scientific have consistently been made by trained economists. in "Why Economics Is Not Yet a Science" offers the following commentary on the discipline of economics as a social system: ...'The refusal to abandon the myth of the market as a self-regulating system is not the result of a conspiracy on the part of the “establishment” in economics. It is not even a choice that any individual economist is necessarily aware of making
Business&Economics
https://en.wikipedia.org/wiki?curid=1922129
Alfred Eichner
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Alfred Eichner Rather it is the way economics operates as a social system—including the way new members of the establishment are selected—retaining its place within the larger society by perpetuating a set of ideas which have been found useful by that society, however dysfunctional the same set of ideas may be from a scientific understanding of how the economic system works. In other words, economics is unwilling to adhere to the epistemological principles which distinguish scientific from other types of intellectual activity because this might jeopardize the position of economists within the larger society as the defender of the dominant faith. This situation in which economists find themselves is therefore not unlike that of many natural scientists who, when faced with mounting evidence in support of first, the Copernican theory of the universe and then, later, the Darwinian theory of evolution, had to decide whether undermining the revelatory basis of Judeo-Christian ethics was not too great a price to pay for being able to reveal the truth.'
Business&Economics
https://en.wikipedia.org/wiki?curid=1922129
Alfred Eichner
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McCloskey critique The refers to a critique of post-1940s "official modernist" methodology in economics, inherited from logical positivism in philosophy. The critique maintains that the methodology neglects how economics can be done, is done, and should be done to advance the subject. Its recommendations include use of good rhetorical devices for "disciplined conversation." Deirdre McCloskey's 1985 book "The Rhetoric of Economics" argues that "The Mathematization of Economics Was a Good Idea", but that "economic modernism" took equilibrium model-building and econometrics (especially "existence-theorem" mathematics, and statistical significance) "absurdly" far. Roughly speaking McCloskey wants economics to make interesting, new, and true statements about the real world, and argues that proving the hypothetical possibility of an effect within an analytical framework is not a constructive way of doing this. Although the conventional way of connecting the economic model with the world is through econometric analysis, she cites many examples in which professors of econometrics were able to use the same data to both prove and disprove the applicability of a model's conclusions. She argues that the vast efforts expended by economists on analytical equations is essentially wasted effort
Business&Economics
https://en.wikipedia.org/wiki?curid=1925179
McCloskey critique
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McCloskey critique In "Ask What the Boys in the Sandbox Will Have", McCloskey identified the economists whom she accuses of leading economics astray in the 1940s: Her complaint against the modern profession, and against the Bank of Sweden Prize in Economic Sciences in Memory of Alfred Nobel winners above, has provoked a strong defense from the economic mainstream. It has led to debates with such figures as Kenneth Arrow, who vigorously support the "Samuelson" approach, and argue that the quantity of analytical mathematical models in modern economics is a critical requirement for progress. However, McCloskey acknowledges the virtues as being born from each man's "genius", and rather blames the vices as being created not by these three Nobel economists, but by their students and their students' students, including herself. McCloskey says that most economists when they write are "", assuming that they know already, and concentrating on a high standard of mathematical proof rather than a "scholarly" accumulation of relevant, documented facts about the real world. The advice she offers colleagues here is to spend more time in the archives, and write more heavily researched papers from specific observations in the real world (she argues that this is the norm in the natural sciences on which economics believes it is modelling itself, but that most economics practitioners actually base their methodology more closely on pure mathematics)
Business&Economics
https://en.wikipedia.org/wiki?curid=1925179
McCloskey critique
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McCloskey critique Since she says: "No one really believes a scientific assertion in economics based on statistical significance" the solution she proposes to establishing cause and effect in economics is "calibrated simulation". Calibrated simulation relies on measurement and numerical techniques (such as Monte Carlo methods) to test the robustness of its predictions, without requiring a closed-form solution proving that the postulated relationship will always hold (or will be reached in "equilibrium", or be impossible). As an illustration, she contrasts the Babylonian and Greek "rhetoric" used to back up the claim that the square on the long side of every right angle triangle has the same area as the sum of squares on the other two sides: While Greek geometry found a 'universal proof', the Babylonian engineers simply measured the sides of a thousand right triangular stones, and applied the heuristic that since all of these obeyed the relationship so would the rest. McCloskey believes that the Babylonian approach is more applicable to economics, and that Moore's Law and advances in modeling software will soon make it easier to use and understand than the Greek approach
Business&Economics
https://en.wikipedia.org/wiki?curid=1925179
McCloskey critique
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McCloskey critique In "Calibrated Simulation is Storytelling" she writes that one way to describe scientific theories is how mechanically mathematical they are: at the one end lie such hypotheses as Newtonian celestial mechanics which can be reduced entirely to equations - at the other are important works such as "The Origin of Species" which are "entirely historical and devoid of mathematical models". McCloskey says that economics would benefit from recalibrating its output within that spectrum to the more historical, "narrative" analysis.
Business&Economics
https://en.wikipedia.org/wiki?curid=1925179
McCloskey critique
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Horizontal market A horizontal market is a market in which a product or service meets a need of a wide range of buyers across different sectors of an economy. Compare with vertical market. The market for computer security services may be regarded as a horizontal market, because a broad range of industries and government sectors purchase services and software to protect their computers. The markets for legal services and accounting services are other examples of horizontal markets. The market for legal research software, by contrast, is vertical. The software is directed at the specialized requirements of the legal services industry.
Business&Economics
https://en.wikipedia.org/wiki?curid=1930447
Horizontal market
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Capital deepening is a situation where the capital per worker is increasing in the economy. This is also referred to as increase in the capital intensity. is often measured by the rate of change in capital stock per labour hour. Overall, the economy will expand, and productivity per worker will increase. However, according to some economic models, such as the Solow model, economic expansion will not continue indefinitely through capital deepening alone. This is partly due to diminishing returns and wear & tear (depreciation). Investment is also required to increase the amount of capital available to each worker in the system and thus increase the ratio of capital to labour. In other economic models, for example, the AK model or some models in endogenous growth theory, capital deepening can lead to sustained economic growth even without technological progress. Traditionally, in development economics, capital deepening is seen as a necessary but not sufficient condition for economic development of a country. Capital widening is the situation where the stock of capital is increasing at the same rate as the labour force and the depreciation rate, thus the capital per worker ratio remains constant. The economy will expand in terms of aggregate output, "but" productivity per worker will remain constant.
Business&Economics
https://en.wikipedia.org/wiki?curid=1933105
Capital deepening
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Capital cost Capital costs are fixed, one-time expenses incurred on the purchase of land, buildings, construction, and equipment used in the production of goods or in the rendering of services. In other words, it is the total cost needed to bring a project to a commercially operable status. Whether a particular cost is capital or not depend on many factors such as accounting, tax laws, and materiality. Capital costs include expenses for tangible goods such as the purchase of plants and machinery, as well as expenses for intangibles assets such as trademarks and software development. Capital costs are not limited to the initial construction of a factory or other business. Namely, the purchase of a new machine to increase production and last for years is a capital cost. Capital costs do not include labor costs (they do include construction labor). Unlike operating costs, capital costs are one-time expenses but payment may be spread out over many years in financial reports and tax returns. Capital costs are fixed and are therefore independent of the level of output. For example, a fossil fuel power plant's capital costs include the following: They do not include the cost of the natural gas, fuel oil or coal used once the plant enters commercial operation or any taxes on the electricity that is produced. They also do not include the labor used to run the plant or the labor and supplies needed for maintenance
Business&Economics
https://en.wikipedia.org/wiki?curid=1935679
Capital cost
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Capital cost Government generally provides subsidies through investments and partnerships in the initial capital costs of research and manufacturing infrastructure that cannot be matched by investor-owned companies.
Business&Economics
https://en.wikipedia.org/wiki?curid=1935679
Capital cost
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Time reversibility A mathematical or physical process is time-reversible if the dynamics of the process remain well-defined when the sequence of time-states is reversed. A deterministic process is time-reversible if the time-reversed process satisfies the same dynamic equations as the original process; in other words, the equations are invariant or symmetrical under a change in the sign of time. A stochastic process is reversible if the statistical properties of the process are the same as the statistical properties for time-reversed data from the same process. In mathematics, a dynamical system is time-reversible if the forward evolution is one-to-one, so that for every state there exists a transformation (an involution) π which gives a one-to-one mapping between the time-reversed evolution of any one state and the forward-time evolution of another corresponding state, given by the operator equation: Any time-independent structures (e.g. critical points or attractors) which the dynamics give rise to must therefore either be self-symmetrical or have symmetrical images under the involution π. In physics, the laws of motion of classical mechanics exhibit time reversibility, as long as the operator π reverses the conjugate momenta of all the particles of the system, i.e. formula_2 (T-symmetry)
Business&Economics
https://en.wikipedia.org/wiki?curid=1937658
Time reversibility
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Time reversibility In quantum mechanical systems, however, the weak nuclear force is not invariant under T-symmetry alone; if weak interactions are present reversible dynamics are still possible, but only if the operator π also reverses the signs of all the charges and the parity of the spatial co-ordinates (C-symmetry and P-symmetry). This reversibility of several linked properties is known as CPT symmetry. Thermodynamic processes can be reversible or irreversible, depending on the change in entropy during the process. A stochastic process is time-reversible if the joint probabilities of the forward and reverse state sequences are the same for all sets of time increments { "τ" }, for "s" = 1, ..., "k" for any "k": A univariate stationary Gaussian process is time-reversible. Markov processes can only be reversible if their stationary distributions have the property of detailed balance: Kolmogorov's criterion defines the condition for a Markov chain or continuous-time Markov chain to be time-reversible. Time reversal of numerous classes of stochastic processes has been studied, including Lévy processes, stochastic networks (Kelly's lemma), birth and death processes, Markov chains, and piecewise deterministic Markov processes. Time reversal method works based on the linear reciprocity of the wave equation, which states that the time reversed solution of a wave equation is also a solution to the wave equation since standard wave equations only contain even derivatives of the unknown variables
Business&Economics
https://en.wikipedia.org/wiki?curid=1937658
Time reversibility
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Time reversibility Thus, the wave equation is symmetrical under time reversal, so the time reversal of any valid solution is also a solution. This means that a wave's path through space is valid when travelled in either direction. Time reversal signal processing is a process in which this property is used to reverse a received signal; this signal is then re-emitted and a temporal compression occurs, resulting in a reverse of the initial excitation waveform being played at the initial source.
Business&Economics
https://en.wikipedia.org/wiki?curid=1937658
Time reversibility
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Product literature is a primary subset of business publishing geared toward the selection, purchase and use of a business' products. Typically this includes product promotional literature, product datasheets, product operating manuals and product purchase terms and conditions.
Business&Economics
https://en.wikipedia.org/wiki?curid=1946974
Product literature
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Price support In economics, a price support may be either a subsidy or a price control, both with the intended effect of keeping the market price of a good higher than the competitive equilibrium level. In the case of a price control, a price support is the minimum legal price a seller may charge, typically placed above equilibrium. It is the support of certain price levels at or above market values by the government. A price support scheme can also be an agreement set in order by the government, where the government agrees to purchase the surplus of at a minimum price. For example, if a price floor were set in place for agricultural wheat commodities, the government would be forced to purchase the resulting surplus from the wheat farmers (thereby subsidizing the farmers) and store or otherwise dispose of it. In a hypothetical market in which supply and demand are such that the equilibrium price and quantity are $5 and 500 units, respectively, and the government then institutes a price floor at $6 per unit: The benefit to producers of the price support is equal to the gain in producer surplus (represented in blue). The cost to consumers of the price support is equal to the loss in consumer surplus (represented in red). The cost to the government of the price support is equal to the cost of the surplus in the market (represented in gray)
Business&Economics
https://en.wikipedia.org/wiki?curid=1953376
Price support
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Price support However, since the consumers ultimately pay taxes for the government to purchase the surplus, the total cost to consumers (in the short run) of the price support is the sum of the loss in consumer surplus and the cost of the government purchasing the surplus off the market. In other words, consumers are paying $1650 in order to benefit producers $550 so price supports are considered inefficient. The deadweight loss is the efficiency lost by implementing the price-support system. It is the change in Total Surplus and includes the value of the government purchase, and is equal to $1100.
Business&Economics
https://en.wikipedia.org/wiki?curid=1953376
Price support
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Internet Tax Freedom Act The 1998 is a United States law authored by Representative Christopher Cox and Senator Ron Wyden, and signed into law as title XI of on October 21, 1998 by President Bill Clinton in an effort to promote and preserve the commercial, educational, and informational potential of the Internet. The law bars federal, state and local governments from taxing Internet access and from imposing discriminatory Internet-only taxes such as bit taxes, bandwidth taxes, and email taxes. It also bars multiple taxes on electronic commerce. One of the principal sponsors of the Act argues that the law also codifies the U.S. Supreme Court's Quill Corp. v. North Dakota decision and stipulates that no state shall collect a sales tax from retail purchases made over the internet or through a mail-order catalog unless the seller has a physical presence in the state attempting to collect such tax. If a seller does have a physical presence in a state, then that seller may be required to collect the same state and local sales taxes as those collected on non-Internet sales. The Act did not repeal any state sales or use tax. The U.S. Supreme Court's Quill Corp. v. North dakota was overturned in June of 2018 by South Dakota v. Wayfair. The 1998 law also authorized the establishment of a study commission to study national tax policy with regard to the Internet. The Advisory Commission on Electronic Commerce studied the issue from 1999 to 2000. The Commission was chaired by then-Virginia Governor James S
Business&Economics
https://en.wikipedia.org/wiki?curid=1955969
Internet Tax Freedom Act
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Internet Tax Freedom Act Gilmore, III, who led a majority coalition on the Commission to issue a final report opposing taxation of the Internet and eliminating the federal excise tax on telecommunications services, among other ideas. The law was originally enacted as a ten-year moratorium. It was then extended multiple times by the United States Congress, including several short-term extensions in 2014 and 2015: President Barack Obama signed one extension on September 19, 2014, until December 11, 2014; another one on December 16, 2014, in the Consolidated and Further Continuing Appropriations Act of 2015, until October 1, 2015; and yet another extension on September 30, 2015, in the Continuing Appropriations Act of 2016, which extended the through December 11, 2015. Meanwhile, on July 15, 2014, the United States House of Representatives voted to pass the Permanent (H.R. 3086; 113th Congress), a bill that would amend the to make permanent the ban on state and local taxation of Internet access and on multiple or discriminatory taxes on electronic commerce. On June 9, 2015, the United States House of Representatives voted and approved by voice vote H.R. 235, the Permanent (PITFA), which makes permanent the ban on federal, state, and local taxation of email and Internet access originally enacted in the Internet Tax Freedom Act. It had 188 cosponsors, with the majority of Republicans supporting the measure
Business&Economics
https://en.wikipedia.org/wiki?curid=1955969
Internet Tax Freedom Act
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Internet Tax Freedom Act The bill was then included in the Trade Facilitation and Trade Enforcement Act of 2015 and passed the House 256-158 on December 11, 2015. The Senate passed the bill on February 11, 2016. The became permanent law when President Obama signed the Trade Facilitation and Trade Enforcement Act of 2015 () on February 24, 2016.
Business&Economics
https://en.wikipedia.org/wiki?curid=1955969
Internet Tax Freedom Act
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Schedule (workplace) A schedule, often called a rota or roster, is a list of employees, and associated information e.g. location, working times, responsibilities for a given time period e.g. week, month or sports season. A schedule is necessary for the day-to-day operation of many businesses e.g. retail store, manufacturing facility and some offices. The process of creating a schedule is called scheduling. An effective workplace schedule balances the needs of stakeholders such as management, employees and customers. A "daily" schedule is usually ordered chronologically, which means the first employees working that day are listed at the top, followed by the employee who comes in next, etc. A "weekly" or "monthly" schedule is usually ordered alphabetically, employees being listed on the left hand side of a grid, with the days of the week on the top of the grid. In shift work, a schedule usually employs a recurring shift plan. A schedule is most often created by a manager. In larger operations, a human resources manager or scheduling specialist may be solely dedicated to creating and maintaining the schedule. A schedule by this definition is sometimes referred to as workflow. Software is often used to enable organizations to better manage staff scheduling. Organizations commonly use spreadsheet software or employee scheduling software to create and manage shifts, assignments, and employee preferences
Business&Economics
https://en.wikipedia.org/wiki?curid=1956968
Schedule (workplace)
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Schedule (workplace) For large organisations employee scheduling can be complex, and optimising this is framed as the Nurse scheduling problem in Operations Research. Advanced employee scheduling software also provides ways to connect with the staff, ask for their preferences and communicate the schedule to them. An On call shift or On-call scheduling is a practice which requires employees to be available to be called onto last-minute shifts without pre-scheduling. In the United States, the practice has been opposed by labor rights groups as "unfair and detrimental to employees."
Business&Economics
https://en.wikipedia.org/wiki?curid=1956968
Schedule (workplace)
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Organic growth Organic business growth is related to the growth of natural systems and organisms, societies and economies, as a dynamic organizational process, that for business expansion is marked by increased output, customer base expansion, or new product development, as opposed to mergers and acquisitions, which is inorganic growth. For businesses organic growth typically excludes the impact of foreign exchange. "Core growth" is the term that is used to refer to growth that includes foreign exchange, but excludes divestitures and acquisitions. Organic business growth is growth that comes from a company's existing businesses, as opposed to growth that comes from buying new businesses. It may be negative. Through Growth planning, businesses are able to achieve organic growth by selecting the best strategies available to them. For example, by examining Ansoff's matrix, businesses can select from market penetration, market development, product development and diversification to grow their revenue organically. Organic business growth does include growth over a period that results from investment in businesses the company owned at the beginning of the period. What it excludes is the boost to growth from acquisitions, and the decline from sales and closures of whole businesses. When a company does not disclose organic growth numbers, it is usually possible to estimate them by estimating the numbers for acquisitions made in the period being looked at and in the previous year
Business&Economics
https://en.wikipedia.org/wiki?curid=1966823
Organic growth
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Organic growth It is useful to break down organic sales growth into that coming from market growth and that coming from gains in market share: this makes it easier to see how sustainable growth is. Relating to organic input in an organisation, it can also relate to the act of closing down cost centers through established organic methods instead of waiting for a Finance list. The mechanisms and rate of growth of firms experiencing organic growth was extensively studied by Edith Penrose in her 1958 book "The Theory of the Growth of the Firm". An early reference to "organic growth" appeared in Inazo Nitobe's 1899 book . Organic Growth is evolving to a new concept within the social media marketing of the 21st century. Social networks also do organic growth in terms of followers and social presence.
Business&Economics
https://en.wikipedia.org/wiki?curid=1966823
Organic growth
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Earnings guidance In financial reporting, earnings guidance or simply guidance is a publicly traded corporation's official prediction of its own near-future profit or loss, stated as an amount of money per share; see Earnings call. is usually a financial forecast presented as a quarterly report of the corporation's performance in the next quarter. Guidance is an aid to financial analysts and the stock market in valuing the corporation, and helps prevent overvaluation. According to Investopedia, Guidance refers to Information that a company provides as an indication or estimate of its future earnings. Guidance reports estimating a company's future earnings have some influence over analyst stock ratings and investor decisions to buy, hold, or sell the security. In the United States, a quarterly revenue forecast, or quarterly guidance, by publicly traded companies had become by the 2000s both a common practice (75% of American firms in 2003) and a major influence on the firm's share price. By the 2010s, the quarterly guidance practice had fallen out of favor among many companies (27% of firms continued the practice in 2017) as it was seen as emphasizing a focus on short-term performance. By contrast, public Eurozone companies rarely (1%) issued quarterly guidance in the 2010s.
Business&Economics
https://en.wikipedia.org/wiki?curid=1967438
Earnings guidance
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Business value In management, business value is an informal term that includes all forms of value that determine the health and well-being of the firm in the long run. expands concept of value of the firm beyond economic value (also known as economic profit, economic value added, and shareholder value) to include other forms of value such as employee value, customer value, supplier value, channel partner value, alliance partner value, managerial value, and societal value. Many of these forms of value are not directly measured in monetary terms. often embraces intangible assets not necessarily attributable to any stakeholder group. Examples include intellectual capital and a firm's business model. The balanced scorecard methodology is one of the most popular methods for measuring and managing business value. The concept of business value aligned with the theory that a firm is best viewed as a network of relationships both internal and external. These networks are sometimes called a value network or value chain. Each node in the network could be a stakeholder group, a resource, an organization, end-consumers, interest groups, regulators, or the environment itself. In a value network, value creation is viewed as a collaborative, creative, synergistic process rather than purely mechanistic or a result of command-and-control
Business&Economics
https://en.wikipedia.org/wiki?curid=1967552
Business value
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Business value If the firm is viewed as a network of value creating entities, then the question becomes how does each node in the network contribute to overall firm performance and how does it behave and respond to its own interests. When the nodes are independent organizations (e.g., suppliers) or agents (e.g., customers), it is assumed that the firm is seeking a cooperative, win-win relationship where all parties receive value. Even when nodes in the network are not fully independent (e.g., employees), it is assumed that incentives are important and that those incentives go beyond direct financial compensation. While it would be very desirable to translate all forms of business value to a single economic measure (e.g., discounted cash flow), many practitioners and theorists believe this is either not feasible or theoretically impossible. Therefore, advocates of business value believe that the best approach is to measure and manage multiple forms of value as they apply to each stakeholder group. As yet, there are no well-formed theories about how the various elements of business value are related to each other and how they might contribute to the firm's long-term success. One promising approach is the business model, but these are rarely formalized. Peter Drucker was an early proponent of business value as the proper goal of a firm, especially that a firm should create value for customers, employees (especially knowledge workers), and distribution partners
Business&Economics
https://en.wikipedia.org/wiki?curid=1967552
Business value
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Business value His management by objectives was a goal setting and decision-making tool to help managers at all levels create business value. However, he was skeptical that the dynamics of business value could ever be formalized, at least not with current methods. Michael Porter popularized the concept of the value chain. For a publicly traded company, shareholder value is the part of its capitalization that is equity as opposed to long-term debt. In the case of only one type of stock, this would roughly be the number of outstanding shares times current share price. Things like dividends augment shareholder value while issuing of shares (stock options) lower it. This shareholder value added should be compared to average/required increase in value, also known as cost of capital. For a privately held company, the value of the firm after debt must be estimated using one of several valuation methods, s.a. discounted cash flow or others. Customer value is the value received by the end-customer of a product or service. End-customer can include a single individual (consumer) or an organization with various individuals playing different roles in the buying/consumption processes. Customer value is conceived variously as utility, quality, benefits, and customer satisfaction
Business&Economics
https://en.wikipedia.org/wiki?curid=1967552
Business value
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Business value Customer Value Management started by Ray Kordupleski in 1980s and discussed in his book: Mastering Customer Value Management and extended version of it is Total Customer Value Management modified by Gautam Mahajan and first exposed in his book: Customer Value Investement: Formula for Sustained Business Success and Total Customer Value Management. This is often an undervalued asset in companies and also the area where there is the most discord in reporting. Employees are the most valuable asset companies possess and the one we expect the most from, but often the one that receives the short end of the stick when it comes to values applied to them. The value a business underpins on partner relationships in the business. Partner value here stresses that it can be critical to a firms functioning. It ceases to exist or carry out business activities if partner value is diminished or lost. An increase or decline in Business Value that an action produces is traditionally measured in terms of Customer Satisfaction, Revenue Growth, Profitability, Market Share, Wallet Share, Cross-Sell Ratio, Marketing Campaign Response Rates, or Relationship Duration. Various factors affect the business value impact of Information Technology (IT). The most important factor is the alignment between IT and business processes, organization structure, and strategy
Business&Economics
https://en.wikipedia.org/wiki?curid=1967552
Business value
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Business value At the highest levels, this alignment is achieved through proper integration of enterprise architecture, business architecture, process design, organization design, and performance metrics. At the level of computing and communications infrastructure, the following performance factors constrain and partially determine IT capabilities: The term value-driven design was devised to describe the approach to planning business change (especially systems) based on the incremental improvements to business value - this is seen clearly in agile software development, where the goals of each iteration of product delivery are prioritised on what delivers highest business value drives. is an informal concept and there is no consensus, either in academic circles or among management professionals, on its meaning or on its role in effective decision-making. The term could even be described as a "buzz word" used by various consultants, analyst firms, executives, authors, and academics. Some critics believe that measuring economic value, economic profit, or shareholder value is sufficiently complete to guide decision-making. They regard all other forms of value as essentially intermediate to the ultimate goal of economic profit. Furthermore, if they do not contribute to economic profit, they are actually a distraction for the firm. Other critics believe that extensive efforts to measure business value will be more of a distraction than a boon
Business&Economics
https://en.wikipedia.org/wiki?curid=1967552
Business value
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Business value For example, there is a fear that decision-makers will become confused if they have too many goals and measures that need to be accommodated.
Business&Economics
https://en.wikipedia.org/wiki?curid=1967552
Business value
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Sovereign credit is the credit of a sovereign country backed by the financial resources of that state. is the opposite of sovereign debt. Fiat money is sovereign credit and sovereign bonds are sovereign debts. When money buys bonds, sovereign credit cancels sovereign debt.
Business&Economics
https://en.wikipedia.org/wiki?curid=1967678
Sovereign credit
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Substitution principle (sustainability) The substitution principle in sustainability is the maxim that processes, services and products should, wherever possible, be replaced with alternatives which have a lower impact on the environment. An example of a strong, hazard-based interpretation of the principle in application to chemicals is: "that hazardous chemicals should be systematically substituted by less hazardous alternatives or preferably alternatives for which no hazards can be identified". The principle has historically been promoted by environmental groups. The concept is becoming increasingly mainstream, being a key concept in green chemistry and a central element of EU REACH regulation. Critics of the principle claim it is very difficult to implement in reality, especially in terms of legislation. Nonetheless, the concept is an important one and a key driver behind identifying Substances of Very High Concern in REACH and the development of hazardous substance lists such as the SIN List and the ETUC Trade Union Priority List. EU-funded projects such as SubsPort are under development to aid the identification and development of safer substitutes for hazardous chemicals.
Business&Economics
https://en.wikipedia.org/wiki?curid=1968559
Substitution principle (sustainability)
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NAICS 11 NAICS sector 11 (abbreviated to NAICS 11) is a sub-classification of economic activity that covers agriculture, forestry, fishing and hunting in the North American Industry Classification System (NAICS) system in Canada, the United States and Mexico. The Agriculture, Forestry, Fishing and Hunting sector comprises establishments primarily engaged in growing crops, raising animals, harvesting timber, and harvesting fish and other animals from a farm, ranch, or their natural habitats. The establishments in this sector are often described as farms, ranches, dairies, greenhouses, nurseries, orchards, or hatcheries. A farm may consist of a single tract of land or a number of separate tracts which may be held under different tenures. For example, one tract may be owned by the farm operator and another rented. It may be operated by the operator alone or with the assistance of members of the household or hired employees, or it may be operated by a partnership, corporation, or other type of organization. When a landowner has one or more tenants, renters, croppers, or managers, the land operated by each is considered a farm. The sector distinguishes two basic activities: agricultural production and agricultural support activities. Agricultural production includes establishments performing the complete farm or ranch operation, such as farm owner-operators, tenant farm operators, and sharecroppers
Business&Economics
https://en.wikipedia.org/wiki?curid=1973781
NAICS 11
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NAICS 11 Agricultural support activities include establishments that perform one or more activities associated with farm operation, such as soil preparation, planting, harvesting, and management, on a contract or fee basis. Excluded from the Agriculture, Forestry, Hunting and Fishing sector are establishments primarily engaged in agricultural research and establishments primarily engaged in administering programs for regulating and conserving land, mineral, wildlife, and forest use. These establishments are classified in Industry 54171, Research and Development in the Physical, Engineering, and Life Sciences; and Industry 92412, Administration of Conservation Programs, respectively. The values for NAICS codes beginning with 11 are summarized below.
Business&Economics
https://en.wikipedia.org/wiki?curid=1973781
NAICS 11
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Impunity game The Impunity Game is a simple game in experimental economics, similar to the Dictator Game. The first player "the proposer" chooses between two possible divisions of some endowment (such as a cash prize): The second and final move of the game is in the hands of the responder: he can accept or reject the amount offered. Unlike the ultimatum game, this has no effect on the proposer, who always keeps the share she originally awarded herself. This game has been studied less intensively than the other standards of experimental economics, but appears to produce the interesting result that proposers typically take the "least fair" option, keeping most of the reward for themselves, a conclusion sharply in contrast to that implied by the ultimatum or dictator games. 1998 Bolton, Katok, Zwick, International Journal of Game Theory, for a dictator game comparison.
Business&Economics
https://en.wikipedia.org/wiki?curid=1976511
Impunity game
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Migrant worker A "migrant worker" is a person who either migrates within their home country or outside it to pursue work. Migrant workers usually do not have the intention to stay permanently in the country or region in which they work. Migrant workers who work outside their home country are also called foreign workers. They may also be called expatriates or guest workers, especially when they have been sent for or invited to work in the host country before leaving the home country. The International Labour Organization estimated in 2014 there were 232 million international migrants worldwide who were outside their home country for at least 12 months and approximately half of them were estimated to be economically active (i.e. being employed or seeking employment). Some countries have millions of migrant workers. Some migrant workers may be illegal immigrants. Some may be slaves. The "United Nations Convention on the Protection of the Rights of All Migrant Workers and Members of Their Families" defines migrant worker as follows: The Convention has been ratified by Mexico, Brazil, and the Philippines (among many other nations that supply foreign labour) but it has not been ratified by the United States, Germany, and Japan (among other nations that receive foreign labor). Guest workers may have their status defined in their host country by a particular guest worker program
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker An estimated 14 million foreign workers live in the United States, which draws most of its immigrants from Mexico, including 4 or 5 million undocumented workers. It is estimated that around 5 million foreign workers live in Northwestern Europe, half a million in Japan, and around 5 million in Saudi Arabia. A comparable number of dependents are accompanying international workers. Foreign nationals are accepted into Canada on a temporary basis if they have a student visa, are seeking asylum, or under special permits. The largest category however is called the Temporary Foreign Worker Program (TFWP), under which workers are brought to Canada by their employers for specific jobs. In 2006, there were a total of 265,000 foreign workers in Canada. Amongst those of working age, there was a 118% increase from 1996. By 2008, the intake of non-permanent immigrants (399,523, the majority of whom are TFWs), had overtaken the intake of permanent immigrants (247,243). In order to hire foreign workers, Canadian employers must acquire a Labour Market Impact Assessment administered by Employment and Social Development Canada. Since the 1960s, farmers in Ontario and other provinces have been meeting some of their seasonal labour needs by hiring temporary workers from Caribbean countries and, since 1974, from Mexico under the Canadian Seasonal Agricultural Workers Program (CSAWP)
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker This federal initiative allows for the organized entry into Canada of low- to mid-level skilled farm workers for up to eight months a year to fill labour shortages on Canadian farms during peak periods of planting, cultivating and harvesting of specified farm commodities. The program is run jointly with the governments of Mexico and the participating Caribbean states, which recruit the workers and appoint representatives in Canada to assist in the program's operations. Non-agricultural companies in Canada have begun to recruit under the temporary foreign worker program since Service Canada's 2002 expansion of an immigration program for migrant workers. As of 2002, the federal government introduced the Low Skill Pilot Project. This project allows companies to apply to bring in temporary foreign workers to fill low skill jobs. The classification of "low skill" means that workers require no more than high school or two years of job-specific training to qualify. In 2006, the federal Conservatives expanded the list of occupations that qualified for the Low Skill Pilot Project and increased the speed of processing applications. Immigrants often take any available job, and often they find employment in the fields. The work often consists of hard manual labour, often with unfair pay. The article "Migrant Farmworkers: Is government doing enough to protect them?”, by William Triplett, states that the median annual income was $7,500, and 61% had income below the poverty level
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker After losing their cultural identity immigrants try to find a way to feed their families, and end up being exploited. Triplett also says that since 1989, "their average real hourly wages (in 1998 dollars) had dropped from $6.89 to $6.18", and that immigrants suffer physical as well as economic exploitation in the work place. An estimated 14 million foreign workers live in the United States, which draws most of its immigrants from Mexico, including 4 or 5 million undocumented workers. Green card workers are individuals who have requested and received legal permanent residence in the United States from the government and who intend to work in the United States on a permanent basis. The United States’ Diversity Immigrant Visa (DV) Lottery program authorizes up to 50,000 immigrant visas to be granted each year. This help facilitate foreign nationals with low rates of immigration to the United States a chance to participate in a random drawing for the possibility of obtaining an immigration visa. In Asia, some countries in East and Southeast Asia offer workers. Their destinations include Japan, South Korea, Hong Kong, Taiwan, Singapore, Brunei and Malaysia. Overall, the Chinese government has tacitly supported migration as means of providing labour for factories and construction sites and for the long-term goals of transforming China from a rural-based economy to an urban-based one. Some inland cities have started providing migrants with social security, including pensions and other insurance
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker In 2012, there were a reported 167 million migrant workers in China, with trends of working closer to home within their own or a neighbouring province but with a wage drop of 21%. Because so many migrant workers are moving to the city from rural areas, employers can hire them to work in poor working conditions for low wages. Migrant workers in China are notoriously marginalized, especially due to the hukou system of residency permits, which tie one stated residence to all social welfare benefits. There has been a substantial flow of people from Bangladesh and Nepal to India over recent decades in search of better work. Researchers at the Overseas Development Institute found that these migrant workers are often subject to harassment, violence, and discrimination during their journeys at their destinations and when they return home. Bangladeshi women appear to be particularly vulnerable. These findings highlight the need to promote migrants' rights with, among others, health staff, police and employers at destination. The population of Indonesia, as the world's fourth largest, has contributed to the surplus of work forces. Combined with a scarcity of jobs at home, this has led numbers of Indonesians to seek work abroad. It is estimated that around 4.5 million Indonesians work abroad; 70% of them are women: most are employed in the domestic sector as maids and in the manufacturing sector. Most of them are between 18 and 35 years old
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Around 30% are men, mostly working in plantations, construction, transportation and the service sector. Currently Malaysia employs the largest numbers of Indonesian migrant workers, followed by Taiwan, Saudi Arabia, Hong Kong, and Singapore. These are official numbers, the actual numbers might be far larger, due to unrecorded illegal entry of Indonesian workers into foreign countries. They are prone to exploitation, extortion, physical and sexual abuses, suffered by those enduring human trafficking. Several cases of abuses upon Indonesian migrant workers have been reported, and some have gained worldwide attention. During the Seventh Malaysia Plan (1995–2000), Malaysia's total population increased by 2.3% per year, while foreign residents (non-citizens) make up 7.6% of the total working-age population in Malaysia, not including illegal foreign residents. In 2008 the majority of migrant workers (1,085,658: 52.6%) originally came from Indonesia. This was followed by Bangladesh (316,401), Philippines (26,713), Thailand (21,065) and Pakistan (21,278). The total number of migrant workers from other countries was 591,481. Their arrival, if not controlled, will decrease the local population's employment opportunities. However, the arrival of migrant workers increased the country's output and reduced the wage rates in the local labor market. Despite the benefits achieved by both the sending and receiving countries, many problems arise in the receiving country, Malaysia
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker The number of migrant workers currently in Malaysia is very difficult to determine, although the numbers working legally, with a passport and a work permit, are known. In 2013, the Commission on Filipinos Overseas (CFO) estimated that approximately 10.2 million Filipinos worked or resided abroad. In the census year of 2010, about 9.3 percent of Filipinos worked or resided abroad. More than a million Filipinos every year leave to work abroad through overseas employment agencies, and other programs, including government-sponsored initiatives. Overseas Filipinos often work as doctors, physical therapists, nurses, accountants, IT professionals, engineers, architects, entertainers, technicians, teachers, military servicemen, seafarers, students and fast food workers. Also, a sizable number of women work overseas as domestic helpers and caregivers. The Philippine Overseas Employment Administration is an agency of the Government of the Philippines responsible for opening the benefits of the overseas employment program of the Philippines. It is the main government agency assigned to monitor and supervise recruitment agencies in the Philippines. Since the late 1970s, Singapore has become one of the major receiving countries of migrant workers in Southeast Asia with 1,340,300 foreign workers constituting 37% of the total workforce in December 2014. The number of foreign domestic workers (FDWs) in Singapore increased from about 201,000 in 2010 to 255,800 in 2019, or by 27 per cent
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker As of 2019, one of every five Singaporean household hires a maid. In 1990, the ratio was about one in 13, with about 50,000 maids in Singapore at that time. The 2019–20 coronavirus pandemic led to further concerns about treatment of migrant workers, especially those in dormitories. COVID-19 in the dormitories saw a more rapid spread of the virus compared to the rest of the population in Singapore. According to the Minister of Manpower, Josephine Teo, approximately 200,000 workers live in 43 dormitories in Singapore with about 10 to 20 workers sharing each room. Like many nations, South Korea started as a labour exporter in the 1960s before its economic development in the 1980s changed it to a labor importer. In 1993, the Industrial Trainee Program was established to meets the needs of migrant workers. It provided work for foreigners as trainees in small and medium-sized businesses. However, these workers were considered trainees and not official employees, so they could not receive protection under Korean labour laws. On 14 February 1995 Guidelines for the Protection and Management of Foreign Industrial Trainees provided legal and social welfare for migrant workers. The Act on the Employment of Foreign Workers which states that "a foreign worker shall not be given discriminatory treatment on the ground that he/she is a foreigner", was put into force on 16 August 2003. Later that year the numbers of migrant workers multiplied dramatically
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Even though there has been a drastic rise of migrant workers in Korea and policies are in place for their protection, the lack of cheap labour in Korea has forced the Korean community to condone the maltreatment of illegal migrant workers, and other unsavoury practices. In response, the Korean government has increased the quota for migrant workers by 5,000, to 62,000 individuals in 2013. In addition, on 31 January 2013, the minimum wage for migrant workers increased to 38,880 KRW for eight hours per day or a monthly rate of 1,015,740 KRW. Programs were put into place to protect migrant workers and ease their integration to Korean society. Programs sponsored by the government such as Sejonghakdang (세종학당), Multicultural Center of Gender Equality and Family Program, Foreign Ministry Personnel Center Program, and Ministry of Justice Social Integration Program provide free Korean language lessons for migrant workers. In addition, by fulfilling all the requirements of the Ministry of Justice Social Integration Program, migrant workers can apply for Korean citizenship without taking the Naturalization exams. The E-9 Non-professional Employment visa was launched in order to hire foreigners to work in the manual labour field. The visa is only limited to people that come from 15 Asian countries including, the Philippines, Mongolia, Sri Lanka, Vietnam, Thailand, Indonesia, Uzbekistan, Pakistan, Cambodia, China, Bangladesh, Nepal, Kazakhstan, Myanmar and East Timor
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker A new visa, known as the C-3 visa, was launched on 3 December 2018 which allows one to stay in South Korea for up to 90 days within the visa's validity period of up to 10 years with no restrictions on the number of visits to the country. The visa is specifically designed for professionals like doctors, lawyers or professors, graduates who are enrolled in four-year-plus programs in South Korean universities and those with master's degrees or above from overseas. The visa is only granted to people from 11 Asian countries those being Bangladesh, Cambodia, India, Indonesia, Laos, Myanmar, Nepal, Pakistan, the Philippines, Sri Lanka and Vietnam. Traditionally, South Korea has appeared to largely accept overseas ethnic Koreans such as the Koreans of China and other Asians. Under the Employment Permit System launched in 2004 for foreign worker registration, 55% of those registered in 2007 were ethnic Koreans, mostly Chinese nationals of Korean descent. Among those who weren't ethnic Koreans, most were Asian with the largest groups being the Vietnamese, Thais, Mongolians, Indonesians and Sri Lankans. In 2013, there were 479,426 foreigners working in South Korea and holding nonprofessional working visas and 99% of them came from other Asian countries with ethnic Koreans from China at 45.6%, Vietnamese at 11.8%, Indonesians at 5.9%, Uzbeks at 5.1%, ethnic Chinese at 4.2%, Cambodians at 4%, Sri Lankans at 3.9%, Thais at 3.9%, Filipinos at 3.8% and Nepalis at 3.3%
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker The vast majority of foreign workers in South Korea come from other parts of Asia with most coming from China, Southeast Asia, South Asia, and Central Asia. Sri Lanka is currently a net emigration country, however in recent years a gradual rise in immigrant workers in Sri Lanka has coincided with the decline in the departure of Sri Lankans leaving the country for overseas employment. As a result, the country has now been transitioning from a country that only sends workers overseas to one that both sends and receives migrant workers. Thousands of foreign workers have entered the country from other Asian countries to work in Sri Lanka with 8000 coming from China and others coming from Nepal, Myanmar, Bangladesh and India. In addition to lawfully residing and working foreigners in the country, there are those that have over-stayed their visas or have illegally entered the country. In 2017, there were 793 investigations on unauthorised workers in the country and 392 foreign nationals were removed. The number of illegal Nepali migrants hiding in Sri Lanka prompted Nepal to launch an investigation in 2016 in order to crack down on the illegal movement of its citizens into Sri Lanka. An estimate from a Sri Lankan minister in 2017 put the number of foreign workers in the country at 200,000. However this number has been disputed
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Additionally, there have been allegations that there are 200,000 illegal workers from China, India and Bangladesh working in the country, however certain parties have also dismissed this claim. As of June 2016, there are more than 600,000 migrant workers in Taiwan which are spread across different sectors of industry, ranging from construction workers, domestic helpers, factory workers and other manual jobs. Most of them come from Southeast Asia. In Thailand, migrants come from bordering countries such as Burma, Laos and Cambodia. Many face hardships such as lack of food, abuse, and low wages with deportation being their biggest fear. In Bangkok, Thailand many migrant workers attend Dear Burma school where they study subjects such as Thai language, Burmese language, English language, computer skills and photography. In 2016, around 7.14% (15,88,300 people) of total EU employment were not citizens, 3.61% (8,143,800) were from another EU Member State, 3.53% (7.741.500) were from a non-EU country. Switzerland 0.53%, France 0.65%, Spain 0.88%, Italy 1.08%, United Kingdom 1.46%, Germany 1.81% were countries where more than 0.5% of employees were not citizens. United Kingdom 0.91%, Germany 0.94% are countries where more than 0.9% of employees were from non-EU countries. countries with more than 0.5% employees were from another EU country were Spain 0.54%, United Kingdom 0.55%, Italy 0.72%, Germany (until 1990 former territory of the FRG) 0.87%
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker The recent expansions of the European Union have provided opportunities for many people to migrate to other EU countries for work. For both the 2004 and 2007 enlargements, existing states were given the rights to impose various transitional arrangements to limit access to their labour markets. After the Second World War, Germany did not have enough workers so laborers from other European states were invited to work in Germany. This invitation ended in 1973 and these workers were known as Gastarbeiter. 1 March has become a symbolic day for transnational migrants' strike. This day unites all migrants to give them a common voice to speak up against racism, discrimination and exclusion on all levels of social life. The transnational protests on 1 March were originally initiated in the US in 2006 and have encouraged migrants in other countries to organise and take action on that day. In Austria the first transnational migrants' strike ("") took place in March 2011, in the form of common actions, e.g. a manifestation, but also in form of numerous decentralised actions. According to the Finnish trade union organizations SAK (Central Organisation of Finnish Trade Unions) and PAM Finnish Service Union United PAM foreign workers were increasingly abused in the construction and sectors in Finland in 2012, in some cases reporting hourly wages as low as two euros. Bulgarians, Kosovars and Estonians were the most likely victimised in the building trade
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker In Nazi Germany, from 1940–42, Organization Todt began its reliance on guest workers, military internees, Zivilarbeiter (civilian workers), Ostarbeiter (Eastern workers) and Hilfswillige ("volunteer") POW workers. The great migration phase of labor migrants in the 20th century began in Germany during the 1950s, as the sovereign Germany since 1955 due to repeated pressure from NATO partners yielded to the request for closure of the so-called 'Anwerbe' Agreement (German: Anwerbeabkommen). The initial plan was a rotation principle: a temporary stay (usually two to three years), followed by a return to their homeland. The rotation principle proved inefficient for the industry, because the experienced workers were constantly replaced by inexperienced ones. The companies asked for legislation to extend the residence permits. Many of these foreign workers were followed by their families in the following period and stayed forever. Until the 1970s, more than four million migrant workers and their families came to Germany like this, mainly from the Mediterranean countries of Italy, Spain, the former Yugoslavia, Greece and Turkey
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Since about 1990, came for the disintegration of the Soviet bloc and the enlargement of the European Union and guest workers from Eastern Europe to Western Europe Sometimes, a host country sets up a program in order to invite guest workers, as did the Federal Republic of Germany from 1955 until 1973, when over one million guest workers (German: Gastarbeiter) arrived, mostly from Italy, Spain and Turkey. The main destination for Armenian seasonal workers is Russia. Until the end of the 1990s, there was an act of a third huge wave of Armenian emigrants, which accounted for about one million people. The main destination was the Russian Federation (620,000) ․ When Armenia became Independent (1991), the number of people who leave the country permanently slowed down, whereas, the number of seasonal labor migrants mainly to Russia increased. According to a study conducted by the Ministry of Territorial Development and Administration, 95% of seasonal migrants and 75% of long-term migrants work in Russia as of the end of the year 2018, and the reason is supposed to be the membership with the Eurasian Economic Union (EAEU). The First Deputy Minister of Territorial Administration and Development of Armenia, Vache Terteryan, once said: Since December 2008, Sweden has more liberal rules for labor immigration from 'third countries' – countries outside the European Union (EU) and European Economic Area (EEA) – than any other country in OECD
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker The introduction of employer-driven labor immigration, motivated by the need to address labor shortages, resulted in large inflows of migrants also in low-skilled occupations in labor surplus sectors, for example the restaurant and cleaning sectors. The underestimation of the required integration services by the state and the society of the host countries, but also by the migrants themselves. Switzerland's transformation into a country of immigration was not until after the accelerated industrialization in the second half of the 19th century. Switzerland was no longer a purely rural Alpine area but became a European vanguard in various industries at that time, first of textile, later also the mechanical and chemical industries. Since the middle of the 19th century especially German academics, self-employed and craftsmen, but also Italians, who found a job in science, industry, construction and infrastructure construction migrated to Switzerland. In the United Kingdom migrant workers are denied National Health Service treatment unless they can afford to pay. Untreated illnesses can worsen and migrant workers can die from treatable illnesses that remain untreated. In 1973, an oil boom in the Persian Gulf region (UAE, Oman, Saudi Arabia, Qatar, Kuwait, and Bahrain, which comprise the Gulf Cooperation Council), created an unprecedented demand for labor in the oil, construction and industrial sectors. Development demanded a labor force
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker This demand was met by foreign workers, primarily those from the Arab states, with a later shift to those from Asian countries. A rise in the standards of living for citizens of Middle Eastern countries also created a demand for domestic workers in the home. Since the 1970s, foreign workers have become a large percentage of the population in most nations in the Persian Gulf region. Growing competition with nationals in the job sector, along with complaints regarding treatment of foreign workers, have led to rising tensions between the national and foreign populations in these nations. Remittances are becoming a prominent source of external funding for countries that contribute foreign workers to the countries of the GCC. On average, the top recipients globally are India, the Philippines, and Bangladesh. In 2001, $72.3 billion was returned as remittances to the countries of origin of foreign workers, equivalent to 1.3% of the world GDP. The source of income remains beneficial as remittances are often more stable that private capital flows. Despite fluctuations in the economy of GCC countries, the amount of dollars in remittances is usually stable. The spending of remittances is seen in two ways. Principally, remittances are sent to the families of guest workers. Though often put towards consumption, remittances are also directed to investment. Investment is seen to lead to the strengthening of infrastructure and facilitating international travel
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker With this jump in earnings, one benefit that has been seen is the nutritional improvement in households of migrant workers. Other benefits are the lessening of underemployment and unemployment. In detailed studies of Pakistani migrants to the Middle East in the early 1980s, the average foreign worker was of age 25–40 years. 70 percent were married, while only 4 percent were accompanied by families. Two thirds hailed from rural areas, and 83 percent were production workers. At the time, 40 percent of Pakistan's foreign exchange earnings came from its migrant workers. Domestic work is the single most important category of employment among women migrants to the Arab States of the Persian Gulf, as well as to Lebanon and Jordan. The increase of Arab women in the labour force, and changing conceptions of women's responsibilities, have resulted in a shift in household responsibilities to hired domestic workers. Domestic workers perform an array of work in the home: cleaning, cooking, child care, and elder care. Common traits of the work include an average 100-hour work week and virtually non-existent overtime pay. Remuneration differs greatly according to nationality, oftentimes depending on language skills and education level. This is seen with Filipina domestic workers receiving a higher remuneration than Sri Lankan and Ethiopian nationals. Saudi Arabia is the largest source of remittance payments in the world
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Remittance payments from Saudi Arabia, similar to other GCC countries, rose during the oil boom years of the 1970s and early 1980s, but declined in the mid-1980s. As oil prices fell, budget deficits mounted, and most governments of GCC countries put limits on hiring foreign workers. Weaknesses in the financial sector and in government administration impose substantial transaction costs on migrant workers who send them. Costs, although difficult to estimate, consist of salaries and the increased spending required to expand educational and health services, housing, roads, communications, and other infrastructure to accommodate the basic needs of the newcomers. The foreign labor force is a substantial drain of the GCC states' hard currency earnings, with remittances to migrants' home countries in the early 2000s amounting to $27 billion per year, including $16 billion from Saudi Arabia alone. It has been shown that the percentage of the GDP that foreign labor generates is roughly equal to what the state has to spend on them. The main concerns of developed countries regarding immigration centers are: (1) the local job seekers' fear of competition from migrant workers, (2) the fiscal burden that may result on native taxpayers for providing health and social services to migrants, (3) fears of erosion of cultural identity and problems of assimilation of immigrants, and (4) national security
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker In immigrant-producing countries, individuals with less than a high school education continue to be a fiscal burden into the next generation. Skilled workers, however, pay more in taxes than what they receive in social spending from the state. Emigration of highly skilled workers has been linked to skill shortages, reductions in output, and tax shortfalls in many developing countries. These burdens are even more apparent in countries where educated workers emigrated in large numbers after receiving a highly subsidized technical education. "Brain Drain refers to the emigration (out-migration) of knowledgeable, well-educated and skilled professionals from their home country to another country, [usually because of] better job opportunities in the new country." As of 2007, 10 million workers from Southeast Asia, South Asia, or Africa live and work in the countries of the Persian Gulf region. Xenophobia in receiving nations is often rampant, as menial work is often allocated only to foreign workers. Expatriate labor is treated with prejudice in host countries despite government attempts to eradicate malpractice and exploitation of workers. Emigrants are offered substandard wages and living conditions and are compelled to work overtime without extra payment. With regards to injuries and death, workers or their dependents are not paid due compensation. Citizenship is rarely offered and labor can oftentimes be acquired below the legal minimum wage. Foreign workers often lack access to local labor markets
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Oftentimes these workers are legally attached to a sponsor/employer until completion of their employment contract, after which a worker must either renew a permit or leave the country. Racism is prevalent towards migrant workers. With an increasing number of unskilled workers from Asia and Africa, the market for foreign workers became increasingly racialized, and dangerous or "dirty" jobs became associated with Asian and African workers noted by the term "Abed", meaning dark skin. Foreign workers migrate to the Middle East as contract workers by means of the "kafala", or "sponsorship" system. Migrant work is typically for a period of two years. Recruitment agencies in sending countries are the main contributors of labor to GCC countries. Through these agencies, sponsors must pay a fee to the recruiter and pay for the worker's round-trip airfare, visas, permits, and wages. Recruiters charge high fees to prospective employees to obtain employment visas, averaging between $2,000 and $2,500 in such countries as Bangladesh and India. Contract disputes are also common. In Saudi Arabia, foreign workers must have employment contracts written in Arabic and have them signed by both the sponsor and themselves in order to be issued a work permit. With other GCC countries, such as Kuwait, contracts may be written or oral. Dependence on the sponsor ("kafeel") naturally creates room for violations of the rights of foreign workers. Debt causes workers to work for a certain period of time without a salary to cover these fees
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker This bondage encourages the practice of international labour migration as women in situations of poverty are able to find jobs overseas and pay off their debts through work. It is common for the employer or the sponsor to retain the employee's passport and other identity papers as a form of insurance for the amount an employer has paid for the worker's work permit and airfare. Kafeels sell visas to the foreign worker with the unwritten understanding that the foreigner can work for an employer other than the sponsor. When a two-year work period is over, or with a job loss, workers must find another employer willing to sponsor them, or return to their nation of origin within a short time. Failing to do this entails imprisonment for violation of immigration laws. Protections are nearly non-existent for migrant workers. The population in the current GCC states has grown more than eight times during 50 years. Foreign workers have become the primary, dominant labor force in most sectors of the economy and the government bureaucracy. With rising unemployment, GCC governments embarked on the formulation of labor market strategies to improve this situation, to create sufficient employment opportunities for nationals, and to limit the dependence on expatriate labor. Restrictions have been imposed: the sponsorship system, the rotational system of expatriate labor to limit the duration of foreigners' stay, curbs on naturalization and the rights of those who have been naturalized, etc
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker This has also led to efforts to improve the education and training of nationals. Localization remains low among the private sector, however. This is due to the traditionally low income the sector offers. Also included are long working hours, a competitive work environment, and a need to recognize an expatriate supervisor, often difficult to accept. In 2005, low-paid Asian workers staged protests, some of them violent, in Kuwait, Bahrain, and Qatar for not receiving salaries on time. In March 2006, hundreds of mostly south Asian construction workers stopped work and went on a rampage in Dubai, UAE, to protest their harsh working conditions, low or delayed pay, and general lack of rights. Sexual harassment of Filipina housemaids by local employers, especially in Saudi Arabia, has become a serious matter. In recent years, this has resulted in a ban on migration of females under 21. Such nations as Indonesia have noted the maltreatment of women in the GCC states, with the government calling for an end to the sending of housemaids altogether. In GCC countries, a chief concern with foreign domestic workers is childcare without the desired emphasis on Islamic and Arabic values. Possible developments in the future include a slowdown in the growth of foreign labor. One contributor to this is a dramatic change in demographic trends. The growing birth rate of nationals in the GCC states will lead to a more competitive workforce in the future
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker This could also lead to a rise in the numbers of national women in the workforce. The treatment of migrant workers in the UAE has been likened to "modern-day slavery". Migrant workers are excluded from the UAE's collective labour rights, hence migrants are vulnerable to forced labour. Migrant workers in the UAE are not allowed to join trade unions. Moreover, migrant workers are banned from going on strike. Dozens of workers were deported in 2014 for going on strike. As migrant workers do not have the right to join a trade union or go on strike, they don't have the means to denounce the exploitation they suffer. Those who protest risk prison and deportation. The International Trade Union Confederation has called on the United Nations to investigate evidence that thousands of migrant workers in the UAE are treated as slave labour. Human Rights Watch have drawn attention to the mistreatment of migrant workers who have been turned into debt-ridden "de facto" indentured servants following their arrival in the UAE. Confiscation of passports, although illegal, occurs on a large scale, primarily from unskilled or semi-skilled employees. Labourers often toil in intense heat with temperatures reaching 40–50 degrees Celsius in the cities in August. Although attempts have been made since 2009 to enforce a midday break rule, these are frequently flouted. Those labourers who do receive a midday break often have no suitable place to rest and tend to seek relief in bus or taxi stands and gardens
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Initiatives taken have brought about a huge impact on the conditions of the laborers. According to Human Rights Watch, migrant workers in Dubai live in "inhumane" conditions. "See Women migrant workers from developing countries." According to the International Labour Organization, 48 per cent of all international migrants are women and they are increasingly migrating for work purposes. In Europe alone there are 3 million women migrant workers. The 1970s and 1980s have seen an increase in women migrant labourers in France and Belgium. In China, as of 2015 a third of their migrant workers were women who had moved from rural towns to bigger cities in search of employment. Female migrants work in domestic occupations which are considered part of the informal sector and lack a degree of government regulation and protection. Minimum wages and work hour requirements are ignored and piece-rates are sometimes also implemented. Women's wages are kept lower than men's because they are not regarded as the primary source of income in the family. Women migrate in search of work for a number of reasons and the most common reasons are economic: the husband's wage is no longer enough to support the family. In some places, like China, for instance, rapid economic growth has led to an imbalance in the modernization of rural and urban environments, leading women to migrate from rural areas into the city to be a part of the push for modernization
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Other reasons include familial pressure, on a daughter, for instance, who is seen as a reliable source of income for the family only through remittances. Young girls and women are singled out in families to be migrant workers because they don't have a viable alternative role to fulfil in the local village. If they go to work in the urban centres as domestic workers they can send home money to help provide for their younger siblings. Many of these women come from developing countries, and are low skilled. Additionally women who are widowed or divorced and have limited economic opportunities in their native country may be forced to leave out of economic necessity. Migration can also substitute for divorce in societies that don't allow or do not condone divorce. In terms of migrant labour, many women move from a more oppressive home country to a less oppressive environment where they have actual access to waged work. As such, leaving the home and obtaining increased economic independence and freedom challenges traditional gender roles. This can be seen to strengthen women's position in the family by improving their relative bargaining position. They have more leverage in controlling the household because they have control over a degree of economic assets. However, this can lead to hostility between wives and husbands who feel inadequate or ashamed at their inability to fulfil their traditional role as breadwinner. The hostility and resentment from the husband can also be a source of domestic violence
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Studies have also been done which point to changes in family structures as a result of migrant labour. These changes include increased divorce rates and decrease in household stability. Additionally, female migrant labour has been indicated as a source for more egalitarian relationships within the family, decline of extended family patterns, and more nuclear families. There is also a risk for infidelity abroad, which also erodes the family structure. Researchers identified three groups of women to represent the dimensions of gender roles in Singapore. The first group is made up of expatriate wives who are often reduced to dependent spouse status by immigration laws. The second group are housewives who left work in order to take care of the children at home. Although they are from the Singaporean middle class, they are stuck at almost the same level and share status with the third group, foreign domestic workers. Because of global economic restructuring and global city formation, the mobility of female labours is increasing. However, they are controlled through strict enforcement and they are statistically invisible in migration data. The female foreign domestic workers are always gender-stereotyped as maids and generalized as low wages workers in society. The spread of global neoliberalism has contributed to physically displaced people, which translates to displaced workers, worldwide
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Due to the national and transnational economic push and pull of migration, growing numbers of women migrant workers find themselves employed in the underground and informal sector. To be clear, these women tended not to be previously employed in the formal sector, if at all. Frequently, the cheap and flexible labor is sought in more developed areas. Also, these women migrant workers are often considered an asset to employers who think of these individuals as docile, compliant, and disposable. Work found in the informal economy is defined as being outside the legal regulation of the state. This underground sector includes nontraditional types of employment: intimate care, street vending, community gardening, food selling, sewing and tailoring, laundry service, water selling, car cleaning, home cleaning, and various kinds of artisan production. These positions are frequently precarious and lack the social contracts often found between employee and employer in the formal sector. This unofficial economy is often found in locations that are between home and work and combine personal and private spaces. Because migrant women workers often occupy the lowest economic positions, this leaves them especially vulnerable to exploitation and dangerous working conditions. Incidentally, Guy Standing has termed this kind of vulnerable worker, the Precariat
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Women are frequently at the bottom of the economic hierarchy due to various factors, mainly a lack of opportunity to support themselves and their families and in addition, a lack of adequate education. Despite the United Nations' Girls Education Initiative, there remains high rates of illiteracy among women in the Global South. Commonly, the informal sector is the only place where geographically displaced workers are able to insert themselves into the economy. Thus, women migrant workers perform a high percentage of work found in this sector. Due in part to complex migration issues which include the restructuring of gendered and familiar relations, women migrant workers frequently care for children without a local family network. The informal sector allows for public and private space to be merged and accommodate their care-taking responsibilities. New immigrants are often concerned with leaving children unattended and the informal sector allows for care-taking alongside of economic activities. It is important to note, through case studies, it has been determined that men and women migrate for similar reasons. Mainly, they leave places in search of better opportunities, most often financial. In addition to the financial push, women also migrate to escape oppressive environments and/or abusive spouses. Migrant labour of women also raises special concerns about children. Female migrant workers may not have enough possibilities to care for their own children whilst being abroad
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Their children may learn to regard their relatives at home as their parents and may rarely see their mothers. Frequently, children of migrant workers become migrant workers themselves. There is concern that this may have negative psychological effects on the children who are left behind. Although this has not been proven to be entirely true or false, studies have been done which show that many children of migrant workers manage reasonably well. One theory states that remittances to some degree make up for the lack of care by providing more resources for food and clothing. Additionally, some migrant mothers take great care in attempting to maintain familial relationships while abroad. "See Migrant education." Children of migrant workers struggle to achieve the same level of educational success as their peers. Relocation, whether it is a singular or regular occurrence, causes discontinuity in education, which causes migrant students to progress slowly through school and drop out at high rates. Additionally, relocation has negative social consequences on students: isolation from peers due to cultural differences and language barriers. Migrant children are also at a disadvantage because the majority live in extreme poverty and must work with their parents to support their families. These barriers to equal educational attainment for children of migrant workers are present in countries all over the world
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Although the inequality in education remains pronounced, government policies, non-governmental organizations, non-profits, and social movements are working to reverse its effects. The migrant workforce has historically played a vital role nationally and across local communities in recent times. Economic globalization has created more migrant workers than ever before. While developed countries have increased their demand for labour, especially unskilled labour, workers from developing countries are used. As a result, millions of workers and their families travel to other countries to find work. This influx of migrant workers contributes to growth of slums and urban poverty, according to Mike Davis. Some of these workers, usually from rural areas, cannot afford housing in cities and thus live in slums. Some of these unskilled workers living in slums suffer from unemployment and make a living in the informal sector. According to International Labor Organization, as of 2013 there were approximately 175 million migrants around the world. Recruitment of international workers through employment agencies is a common phenomenon in developed countries, such as the United States or the UAE. Especially members of underprivileged communities are attracted by the opportunities of living and working in the US. Some of these agencies make fraudulent promises. But even worse than false promises, some migrants are abused and mistreated by the agencies and their middlemen
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Some migrant workers may have their passports and mobile phones confiscated, are imprisoned in the employer's home or at least strictly overseen and disconnected from society, friends and family; some may not receive their full wage and have to work unrestrained long hours without breaks or days off. Migrant workers may also be denied adequate food and living conditions, as well as medical treatment. In a study done by the Human Rights Watch of 99 domestic workers in the United Arab Emirates, 22 alleged that their sponsors had physically abused them. Workers refuse to report their abuse due to fear of deportation and not being able to find a better job. It is common in some cases for a woman to fall victim to sexual violence and harassment, because the employers and their stories will always be trusted more. Some migrant workers flee from their abusive employers and seek help at the embassy or consulate of their home country. This however, is difficult to achieve in remote locations. A United States company, Signal International, led by an immigration lawyer, Malvern C. Burnett, and an Indian labor recruiter, Sachin Dewan, "lured hundreds of Indian workers to a Mississippi shipyard with false promises of permanent US residency." This was under the H-2B visa guest worker program, to work as welders, pipefitters, and in other positions to repair damaged oil rigs and related facilities
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker Each worker paid the labor recruiters between $10,000 and $20,000 or more in recruitment fees and other costs after being promised good jobs, green cards, and permanent U.S. residency. Some went deep into debt. "On arrival at Signal shipyards in Pascagoula, Mississippi, beginning in 2006, they discovered that they wouldn't receive the green cards or permanent residency, and that in fact, each would have to pay $1,050 a month to live in isolated, guarded labor camps where as many as 24 men shared a space the size of a double-wide trailer." Signal International "had to compensate workers $14.4 million in a jury ruling to five Indian guest workers, one of the largest settlements of its kind in U.S. history. The ruling was based on the finding that the company and its agents engaged in labor trafficking, fraud, racketeering and discrimination, News India Times reported at that time. The jury also found that one of the plaintiffs was a victim of false imprisonment and retaliation." There have been many cases of corruption among brokers who often act as if they have companies, often encouraging migrants to come to the United States. This was the case with broker, Kizzy Kalu was, "a naturalized United States citizen from Nigeria". "He secured government approval to bring in Filipino nurses under a government visa program, claiming they would be paid up to $72,000 as instructors at an Adam University in Colorado, according to a 2012 criminal indictment of the labor broker
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker " Adams State University did exist in Colorado, however Adam University was nonexistent just as much as the jobs that were supposed to be there for migrants. "Kalu promised the nurses, most from the Philippines, jobs as nurse instructors/supervisors." "He arranged with the Departments of Labor and Homeland Security to provide H-1B visas for the workers, saying that Adam University faced a labor shortage and needed foreign labor to serve as nursing instructors/supervisors," as a way to lure workers in. Kizzy Kalu and "other foreign nationals" received compensation for these visas after they secured and received them for the soon to be workers. "Kalu $6,500 for assistance in obtaining them. Upon arrival in Denver, Colorado, the nurses were told that there was no such place as Adam University. Instead, they were sent to "work in nursing homes. The facilities paid Kalu's company, Foreign Health Care Professionals Group, $35 per hour for one of the nurses. Kalu then pocketed almost half the wage and paid the nurse $20 an hour." He continued to exploit these workers by allowing them to work while he was the one gaining their profit. He had to report to the government about these women and that they were in fact working in the country so that he could continue to receive funds, while they too continued working. And that is what he did. "Documents he submitted to the government didn't indicate that he and his partner, Philip Langerman, were taking a large portion of the visa-holders' wages
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker " Eventually, this scheme that Kalu and his partner Phillip Langerman created began to become known to the public. Instead of the facilities paying the company they had created together from the work the women were doing, "the nurses were paid directly by the facilities but were required to pay Kalu $1,200 a month or Kalu would send a letter to the Department of Homeland Security and they would lose their visas, prosecutors said." Soon, the nurses realized this kind of unfair treatment and mode of oppression and stopped paying him. Therefore, their visas got revoked because he reported this matter to officials. Kizzy Kalu was guilty of "trafficking in forced labor for luring foreign nurses to the United States with promises of high-paying jobs but then demanding they kick back a portion of their wages or face deportation." He was sentenced to nearly 11 years in prison and ordered to pay $3.8 million in restitution. He was convicted of 89 counts of mail fraud, visa fraud, human trafficking and money laundering. Kalu's partner, Philip Langerman, 78, of McDonough, Ga., was sentenced to three years of probation for his role in the criminal scheme. He, too, must pay restitution of $3.8 million." U.S. District Chief Judge Marcia Krueger said in this case unlike many others, "Kalu did not sexually assault, isolate or strike his victims. She describe these cases as "fraud and economic coercion." There are other fraudulent cases by United States companies that recruit and employ Filipino workers
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker On 19 March 2013, in an article titled, "Filipino Workers Urge Overhaul of U.S. Guest Worker Policies", information is provided about the corruption in labor. "The shipyard, Grand Isle Shipyard (GIS) in L.A., put the Filipinos to work on an oil production platform owned by Black Elk Energy, a U.S. company that, according to federal regulators, had racked up 315 documented "incidents of safety non-compliance" offshore since 2010.The problems at Black Elk Energy were amplified following an explosion in November on a platform in the Gulf of Mexico that claimed the lives of three Filipino workers, while three others were seriously injured." This problem became known because the work at this company against workers were very dangerous even before they were hired which is why work here was put to a stop. However this did not stop GIS. They needed to make their money and unfortunately the migrant workers were the ones who suffered. "The main [hazardous condition] is the sleep deprivation that they experience – just long hours of work that the [U.S.] workers don't face. They're forced to work sometimes for two weeks straight, 70 hours a week." They hired and recruited many skillful men from the Philippines who were "welders, pipefitters and scaffolders were trafficked under "fraudulent" contracts that promised high pay and safe working conditions. But many were placed for work on dangerous oil rig platforms
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker " Since the early 1980s, increasing numbers of Mexican women have migrated to the United States in search of jobs. These women usually leave their families, including young children, behind in order to help maintain the family by sending remittances. After arriving in the U.S., many are put to work and live in places that are neither clean nor safe. Companies and traffickers promise legitimate jobs in America because they make money doing so. An article "Girl Next Door", by Peter Landsman, examines this system, which is said to be brutal and inhumane oppression of migrant workers. "On a tip, the Plainfield police raided the house in February 2002, expecting to find illegal aliens working an underground brothel. What the police found were four girls between the ages of 14 and 17. They were all Mexican nationals without documentation. But they weren't prostitutes; they were sex slaves. The distinction is important: these girls weren't working for profit or a paycheck. They were captives to the traffickers and keepers who controlled their every move." These girls, a large percentage are underaged, are forcefully lured from their homeland in Mexico and other parts of Latin America. This section mainly focused on the exploitation of men and women however, it was very disturbing to even learn that children were also trafficked and stolen from their homelands
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker "They had been promised jobs as models and baby sitters in the glamorous United States, and they probably had no idea why they were sitting in a van in a backwater like Tijuana in the early evening." "The police found a squalid, land-based equivalent of a 19th-century slave ship." There were doorless bathrooms, decaying sinks and mattresses, morning after pills (medications that can induce abortion) and girls were pale, exhausted and malnourished. However, this is just an example of one of the apartments and houses that were affected by this type of abuses. Many other houses or neighborhoods in the U.S that seem to be upscale and upper class are infested with these types of illegal actions. In the agricultural sector (strawberry industry, ...) in some countries in Europe (Spain, Italy), sexual harassment, rape and even sexual exploitation occurs. The "People's Movement for Human Rights Education (PDHRE)" have composed a list of fourteen rights for migrant workers. "The Philippine government has long lauded the fact that, every day, some 4,500 Filipinos are sent abroad to work. The remittances they send back keeps the Philippine economy afloat.The government doesn't seem to provide any protection when these overseas Filipino workers run into distress. This labour export policy is still one of their pillars of development – pushing people to other countries instead of addressing poverty or lack of jobs at home
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker " Instead of sending workers out just because the process helps the economy at their countries of origin, the country needs to examine ways in which they can work with the people to obtain jobs or at least create more jobs. When their skilled workers come to the United States and are often exploited, sexually, physically and mentally it not only affects the worker, but also the country upon their return-or if they are able to return at all due to the conditions they face. These are risky jobs and journeys taken by migrants to ensure themselves better lives and also their families. The governments need to do more. "The exploitative immigration system of the U.S. works hand-in-hand with the corrupt labour export policy of the Philippines to maintain a steadily increasing flow of cheap, temporary migrant labour." Monica Rosales (a professor from Colorado State University) describes work-related injuries in her journal article titled "Life in the field: Migrant farm workers’ perceptions of work related injuries". Rosales discusses bone problems, respiratory problems and allergic reactions all in relation to the migrant farm work that immigrants do to make money. Rosales discussed how these working conditions affect the lives of immigrants. Rosales states that, "The average life expectancy of migrant and seasonal farm workers is 49 years of age, in comparison to the U.S. average of 75 years of age". On top of unfair wages, migrant workers often find themselves toiling in dangerous working conditions
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker The life expectancy compared to average is 26 years less for a migrant worker in the U.S. A survey by Lien Centre for Social Innovation in Singapore also found that over 60 per cent of lower-skilled South Asian migrant workers who are waiting for salary or injury compensation from employers were predicted to have serious mental illness. Like transnational migration, national (internal) migration plays an important role in poverty reduction and economic development. For some countries, internal migrants outnumber those who migrate internationally. For example, 120 million people were estimated to migrate internally in China compared to 458,000 people who migrated internationally for work. Situations of surplus labour in rural areas because of scarcity of arable land is a common "push factor" in the move of individuals to urban-based industries and service jobs. Environmental factors including drought, waterlogging, and river-bank erosion also contribute to internal migration. There are four spatial patterns of internal migration: Circular migration, the temporary and repetitive movement of a migrant worker between home and host areas, can occur both internally and transnationally. In 2015, scholar Gabriela Raquel Ríos published "Cultivating Land-Based Literacies and Rhetorics," in which she theorizes the phrase "land-based literacies and rhetorics
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Migrant worker " Her definition is as follows: These literacies (acts of interpretation and communication) and rhetorics (organizational and community-building practices) ultimately build a theory that 1) recognizes the ways in which land can produce relations and 2) recognizes the value of embodied ways of knowing (60).Ríos argues that migrant workers' rhetorical practices incorporate their relationship to land and labor in addition to language.
Business&Economics
https://en.wikipedia.org/wiki?curid=1981818
Migrant worker
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Milestone (project management) Milestones are tools used in project management to mark specific points along a project timeline. These points may signal anchors such as a project start and end date, or a need for external review or input and budget checks. In many instances, milestones do not impact project duration. Instead, they focus on major progress points that must be reached to achieve success. Milestones can add significant value to project scheduling. When combined with a scheduling methodology such as Program Evaluation and Review Technique (PERT) or the Critical Path Method (CPM), milestones allow project managers to much more accurately determine whether or not the project is on schedule. By constraining the dates associated with milestones, the critical path can be determined for major schedule intervals in addition to the entire project. Slack/float can also be calculated on each schedule interval. This segmentation of the project schedule into intervals allows earlier indication of schedule problems and a better view into the activities whose completion is critical. Milestones are like dashboard reviews of a project. Number of activities which were planned at the beginning of the project with their individual timelines are reviewed for their status. It also gives an opportunity to check the health of the project. Milestones are frequently used to monitor the progress, but there are limitations to their effectiveness. They usually show progress only on the critical path, and ignore non-critical activities
Business&Economics
https://en.wikipedia.org/wiki?curid=1986210
Milestone (project management)
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Milestone (project management) It is common for resources to be moved from non-critical activities to critical activities to ensure that milestones are met. This gives the impression that the project is on schedule when actually some activities are being ignored.
Business&Economics
https://en.wikipedia.org/wiki?curid=1986210
Milestone (project management)
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Wage curve The wage curve is the negative relationship between the levels of unemployment and wages that arises when these variables are expressed in local terms. According to David Blanchflower and Andrew Oswald (1994, p. 5), the wage curve summarizes the fact that "A worker who is employed in an area of high unemployment earns less than an identical individual who works in a region with low joblessness." One way to understand the wage curve is as follows. The labour supply of each individual is positively correlated to wages, therefore the higher is the hourly wage offered, the more hours an individual is willing to work. However, there is a limit to which every person would be willing to sacrifice an hour of leisure or rest, for an hour's worth of wages. Let's say that X is the maximum number of hours a person can work, and $A is the minimum hourly wage rate he expects in return. Any wage $B, greater than $A, will increase the worker's daily wage without increasing the hours of work. So if you need more hours of work than X, you need to hire more people. Say you need to purchase Y hours of labour from the labour market. Let us assume that Y = 4X. This means that Y is four times as much as one labourer's maximum labour offer. If you pay $A an hour then you can hire 4 labourers to work for X hours each
Business&Economics
https://en.wikipedia.org/wiki?curid=2007726
Wage curve
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Wage curve However, depending on the labour market conditions, other options are open: Say that there are not very many jobs in the labour market, unemployment is high and a lot of people are under-employed (working much fewer than X hours). In this situation the going rate is likely to be lower than $A as it is very unlikely that an employee would be asked to work for X hours. You would save money by hiring more than 4 labourers with each of them working fewer than X hours. Say the labour market is tight and most people are already working X hours a day. It is very hard to find people who are not already earning $A an hour, and because of that you must match the money offer elsewhere in order to get someone to work for you. The wage level in this scenario would be higher than the earlier scenario. In short, the lower unemployment is and the fewer laborers there are available, the higher the wages. The contrary is true when unemployment is high. This is the essence of the wage curve. It is utilised to explain why within a country, some regions suffer worse unemployment than others. Labourers could, but, for whatever reasons, are unwilling to migrate from regions with high unemployment, low wage areas to low unemployment, high wage areas. One of the reasons why unemployed labourers would not want to migrate to other areas with plenty of jobs is because of home-ownership. The worker might be deterred from moving because of the costs involved in selling off their home and moving
Business&Economics
https://en.wikipedia.org/wiki?curid=2007726
Wage curve
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Wage curve Blanchflower and Oswald have found that the unemployment rate is positively correlated to home-ownership rate in a cross country study. However recently some micro econometric evidence suggests that the relationship between home-ownership and unemployment is slightly more complicated. People who are employed are more likely to be able to afford a mortgage, and are therefore more likely to have bought their own home. The evidence indicates that the employed home-owners are less likely to become unemployed, and they are also more likely to be employed in jobs with high stability and therefore less likely to change jobs. The unemployed home-owners are more likely to find jobs within the local areas, and less likely to find jobs which would necessitate a move. The overall picture suggests that although home-owners are reluctant to move around, they are more often than not employed, and therefore not contributing to the unemployment rate.
Business&Economics
https://en.wikipedia.org/wiki?curid=2007726
Wage curve
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Random walk hypothesis The random walk hypothesis is a financial theory stating that stock market prices evolve according to a random walk (so price changes are random) and thus cannot be predicted. It is consistent with the efficient-market hypothesis. The concept can be traced to French broker Jules Regnault who published a book in 1863, and then to French mathematician Louis Bachelier whose Ph.D. dissertation titled "The Theory of Speculation" (1900) included some remarkable insights and commentary. The same ideas were later developed by MIT Sloan School of Management professor Paul Cootner in his 1964 book "The Random Character of Stock Market Prices". The term was popularized by the 1973 book, "A Random Walk Down Wall Street", by Burton Malkiel, a Professor of Economics at Princeton University, and was used earlier in Eugene Fama's 1965 article "Random Walks In Stock Market Prices", which was a less technical version of his Ph.D. thesis. The theory that stock prices move randomly was earlier proposed by Maurice Kendall in his 1953 paper, "The Analysis of Economic Time Series, Part 1: Prices". Burton G. Malkiel, an economics professor at Princeton University and writer of "A Random Walk Down Wall Street", performed a test where his students were given a hypothetical stock that was initially worth fifty dollars. The closing stock price for each day was determined by a coin flip. If the result was heads, the price would close a half point higher, but if the result was tails, it would close a half point lower
Business&Economics
https://en.wikipedia.org/wiki?curid=2009882
Random walk hypothesis
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Random walk hypothesis Thus, each time, the price had a fifty-fifty chance of closing higher or lower than the previous day. Cycles or trends were determined from the tests. Malkiel then took the results in a chart and graph form to a chartist, a person who “seeks to predict future movements by seeking to interpret past patterns on the assumption that ‘history tends to repeat itself’”. The chartist told Malkiel that they needed to immediately buy the stock. Since the coin flips were random, the fictitious stock had no overall trend. Malkiel argued that this indicates that the market and stocks could be just as random as flipping a coin. There are other economists, professors, and investors who believe that the market is predictable to some degree. These people believe that prices may move in trends and that the study of past prices can be used to forecast future price direction . There have been some economic studies that support this view, and a book has been written by two professors of economics that tries to prove the random walk hypothesis wrong. Martin Weber, a leading researcher in behavioral finance, has performed many tests and studies on finding trends in the stock market. In one of his key studies, he observed the stock market for ten years. Throughout that period, he looked at the market prices for noticeable trends and found that stocks with high price increases in the first five years tended to become under-performers in the following five years
Business&Economics
https://en.wikipedia.org/wiki?curid=2009882
Random walk hypothesis
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Random walk hypothesis Weber and other believers in the non-random walk hypothesis cite this as a key contributor and contradictor to the random walk hypothesis. Another test that Weber ran that contradicts the random walk hypothesis, was finding stocks that have had an upward revision for earnings outperform other stocks in the following six months. With this knowledge, investors can have an edge in predicting what stocks to pull out of the market and which stocks — the stocks with the upward revision — to leave in. Martin Weber’s studies detract from the random walk hypothesis, because according to Weber, there are trends and other tips to predicting the stock market. Professors Andrew W. Lo and Archie Craig MacKinlay, professors of Finance at the MIT Sloan School of Management and the University of Pennsylvania, respectively, have also presented evidence that they believe shows the random walk hypothesis to be wrong. Their book "A Non-Random Walk Down Wall Street", presents a number of tests and studies that reportedly support the view that there are trends in the stock market and that the stock market is somewhat predictable. One element of their evidence is the simple volatility-based specification test, which has a null hypothesis that states: where To refute the hypothesis, they compare the variance of formula_9 for different formula_10 and compare the results to what would be expected for uncorrelated formula_5
Business&Economics
https://en.wikipedia.org/wiki?curid=2009882
Random walk hypothesis
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Random walk hypothesis Lo and MacKinlay have authored a paper, the adaptive market hypothesis, which puts forth another way of looking at the predictability of price changes. A more rigorous treatment of testing the random walk null hypothesis for United States stock prices using one-sided optimal statistical tests is due to Alok Bhargava. It is important to separately test the random walk null hypothesis against stationary and explosive alternatives using two one-sided tests. In contrast, two-sided asymptotic tests such as those employed by Lo and MacKinlay can lead to misleading conclusions because the process could be stationary or explosive under the alternative hypothesis. The random walk null hypothesis for quarterly stock prices was rejected in favor of stationary alternatives using several test statistics appropriate for longitudinal ("panel") data. Peter Lynch, a mutual fund manager at Fidelity Investments, has argued that the random walk hypothesis is contradictory to the efficient market hypothesis -- though both concepts are widely taught in business schools without seeming awareness of a contradiction. If asset prices are rational and based on all available data as the efficient market hypothesis proposes, then fluctuations in asset price are "not" random. But if the random walk hypothesis is valid then asset prices are not rational as the efficient market hypothesis proposes.
Business&Economics
https://en.wikipedia.org/wiki?curid=2009882
Random walk hypothesis
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National Export Credits Guarantee Board (Sweden) Swedish National Export Credits Guarantee Board (, EKN) is a Swedish government agency that answers to the Ministry for Foreign Affairs. The agency is located in Stockholm. Its aim is to promote Swedish exports by issuing guarantees, functioning as insurances, by which the Government of Sweden assumes certain risks. The customers include export companies and banks.
Business&Economics
https://en.wikipedia.org/wiki?curid=2015383
National Export Credits Guarantee Board (Sweden)
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National Board of Trade (Sweden) The National Board of Trade ( lit. "College of Commerce") is a government agency in Sweden that answers to the Ministry for Foreign Affairs. The agency is located in Stockholm. The National Board of Trade is dealing with foreign trade, the Internal Market and trade policy. The Board provides the Swedish government with analyses and recommendations. It was founded in 1651.
Business&Economics
https://en.wikipedia.org/wiki?curid=2015450
National Board of Trade (Sweden)
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National Board for Consumer Complaints (Sweden) The National Board for Consumer Disputes (, ARN) is a Swedish government agency that answers to the Ministry of Finance. The agency is headquartered in Stockholm. Its main task is to issue non-binding recommendations on the resolution of disputes between consumers and business operators. A person can, free of charge, file complaints against a company. If the company does not follow the recommendation from ARN, the consumer has the possibility to take the matter to court.
Business&Economics
https://en.wikipedia.org/wiki?curid=2015539
National Board for Consumer Complaints (Sweden)
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Operational-level agreement An operational-level agreement (OLA) defines the interdependent relationships in support of a service-level agreement (SLA). The agreement describes the responsibilities of each internal support group toward other support groups, including the process and timeframe for delivery of their services. The objective of the OLA is to present a clear, concise and measurable description of the service provider's internal support relationships. OLA is sometimes expanded to other phrases but they all have the same meaning: OLA(s) are not a substitute for an SLA. The purpose of the OLA is to help ensure that the underpinning activities that are performed by a number of support team components are clearly aligned to provide the intended SLA. If the underpinning OLA(s) are not in place, it is often very difficult for organisations to go back and engineer agreements between the support teams to deliver the SLA. OLA(s) have to be seen as the foundation of good practice and common agreement.
Business&Economics
https://en.wikipedia.org/wiki?curid=2016437
Operational-level agreement
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