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北美经济学论文代写 The Impact Of Entrepreneurs On The Economy

北美经济学论文代写 The Impact Of Entrepreneurs On The Economy

As we know, the economy continues to grow as a result of globalization. Globalization itself is a new process of exchange of views held by one country from another country as a perspective on the world, products, culture and the most influential in the country are technological advances in transportation and telecommunications. Meanwhile, if we relate economic with globalization, then we can conclude that the economic interdependence between one country and others around the world that led to the rapid increase in the movement of goods, services and technology. The development of economic globalization in a country is usually seen on how fast the development of technologies and the country’s productivity activities. Globalization economy had already happened long time ago, but with a policy created by the General Agreement on Tariffs and Trade and the World Trade Organization that gradually requires countries to reduce trade barriers and open a checking account and the capital account, led to a significant increase in the number of trading goods.

One factor that affects economy is entreprenuerships. Entrepreneur according to Brockhaus (1980) is defined as a major owner and manager of a business venture not employed somewhere. A more specific definition according to Hornaday and Aboud’s is a man or woman who started a business where there was none before, who had at least 8 employees and who had been established for at least 5 years (Hornaday, J. & Aboud, J., 1971). These two authors have different thought which can be seen from their own definition. An analysis indicates that entrepreneurs is a common deminator and also an important indicator for a country’s economic. In 2012 the real GDP of Indonesia is 6%. It has proved us that if the economy of a country wants to develop its fully potential, entrepreneurship should be developed fully. In this essay, I will discuss about the economic benefits provided by entrepreneurs and their disadvantages.

Firstly, the economic advantage of the existance of entrepreneur in Indonesia is creating a field job for unemploy citizens to reduce the unemployment rate. As we can see the unemployment in Indonesia in 2012 is 6.32%, on the other hand, India made a significant decrease from 9.4% in 2011 to 3.8% in 2012. For instance, millions of women in India managed to bring their families out of poverty by making entrepreneurs held through non-governmental organizations and also got through a variety of resources such as micro finance and so on. In contrast, Indonesia has lots of entrepreneur, but they only think about themselves without considering poor people’s conditions. Therefore, the government of Indonesia should reduce the percentage of unemployment rate by increasing the number of entrepreneurs, because entrepreneurs can cause a great degree of impact on an economy through job creation.

Secondly, the increased of resources value makes many individuals and companies to compete finding the best methods to improve their operations. Obviously, this will make them thinking of the most efficient and effective resources to rise their operations. Since the natural resources had increased substantially, they must adjust their initial budget to meet all the necesssary. In addition, most importantly it reduces costs while adding value. Usually, if a country can obtain that objective, it will end up with good results such as an increase in economic productivity and in the Gross Domestic Product (GDP), which is indeed a benefit for the economy. Many people believe that when productivity increases the unemployment can often increase, thus reducing the positive impacts. In my opinion, otherwise, the productivity increasing which can then lead to increase unemployment will then cause more individuals to be creative, find niche markets, become entrepreneurs and begin generating more employment opportunities, which are going to re-inventing the wheel and driving the economy forward.

In addition, a very tight competitive market makes entrepreneurs looking for goods that are outside the market to increase their profits. It is related to the competitive markets’ theory which is stated that if the price of goods is still above Average Total Cost, we still get profits, because there are still a low number of vendors in the market. However, if the price of goods is under the Average Variable Cost, it is recommended to leave the markets. Since there had had lots of merchant, our profit was decreasing slowly. Nowadays, many entrepreneurs in Indonesia who purchase lots variety of cheap goods from China and then sell them back at a high price to have benefits not only for themselves but also for the country’s economic condition. By rising the Gross Domestic Product up, the businessmen also make contributions to their country by making the economic situation to be able to reach its prosperity such as reducing poverty numbers and also generating some funds to lift up the citizens living standards.

北美经济学论文代写 The Impact Of Entrepreneurs On The Economy

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