What has been the impact of World Bank upon development in the south Essay

What has been the impact of World Bank upon development in the south - Essay Example According to the neo-classical economic theory, the financially weak countries should borrow money abroad to finance their investments and requirement. According to CIA (2009), United States has got the highest level of outstanding external debt, which is approximately $13,450 million. United Kingdom being the second and there are few other countries too. So it can be understood that neither the developing nor the developed countries are immune to the finance deficit problems. This context can be better explained through the dual-gap model, which highlights the aspect of motivation for introducing debt in growth model. This model states that there are two gaps, mainly foreign exchange gaps and saving gaps. These two factors might be scarce to support the growth of the developing countries (Daud, and Podivinsky, 2011, p. 2-4). High levels of debt could also adversely affect the economic growth of any country. It can be also related to the debt-overhang theory. According to debt-overhang theory, the expected return of external debt is inadequate compared to the contractual value of debt. The heavy burden of debt on the developing countries drains their investments too and returns get taxed away. Apart from this high debt also negatively affect the investment rates and growth of the country because of huge cash flow and has effects of moral hazards. However, on the opposite side, if external debt is considered at the level of foreign borrowings, then it could have a positive impact on growth and investment of the country. The Laffer curve represents the relation between the investment and the face value of the debt. The expected amount for repayment falls when the level of outstanding debt increases beyond the specified mark. So according to the Laffer curve, the expected payment would reduce with the increa se in the face value of debt (Zawalinska, 2004, p. 5-6). Since the past decades, policymakers and also academicians have taken keen interest in studying, and investigating theories to develop a link between debt and the economic growth of the global economy, but we would consider a few empirical studies to understand the concepts in this study. Abdelmawla-Mohammed (2005) supports the fact that external debt has a negative effect on the economic growth and development. Studies in about 61 developing countries have been conducted and results reveal that high debt can also create negative effects on the physical capital and productivity growth of the country. This study aims at focusing on the Structural Adjustment Programs (SAPs) of the World Bank and the impact of such strategies on the south. We would follow a well-defined framework to evaluate each dimension of external debt, its effects on economic growth, and effect of SAPs on the economic condition of the developing countries. A lso a critical analysis of the negative aspect of SAP of World Bank would be done in this study. World Bank and its Initiative towards Poverty Reduction Richard Peet in his "Unholy

HISTORY OF THE CLAY BRICK Essay Example | Topics and Well Written Essays - 500 words

HISTORY OF THE CLAY BRICK - Essay Example Clay bricks have been in use as building material even before the Roman periods. However  its use  increased in the first four centuries during the Roman rule. This is a one of the outstanding structures of a beehive made out of bricks. Characteristics of bricks Bricks as a building material boast of being versatile due to its very good climatic uniqueness. For most people, it remains the material that is most preferred for constructing most residential houses. In addition, bricks have an excellent fire rating as well as being able weatherproof against extreme weather changes. It also has good auditory properties since it can hold sound within a desired area. Moreover, besides all that it is cheap because it’s worth amounts to about 10 percent of the total charges of a classic residential structure. This low cost and durability of brick buildings make it to be more valued (Kanti, 2008). Brick making in the old days As Harrison (1998) observes, bricks are usually modeled fr om sticky soil known as clay which is  derived from weathered and composed silicates. In early times, brick making was undertaken by small groups of people particularly men who prepared brick by combining water and soil. After casting out bricks from the brick moulds, it was then allowed to loose moisture. Bricks were thereafter placed in a fire furnace that would burn out water content at very high temperatures of between 400 to 1770 degrees Celsius.