Economia

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Economic Crises. |
Alejandra Álvarez. Adriana Camacho, Mariana Gutiérrez, Melissa Velásquez.Tutor: Andrea Piñeres, Anthony Regalado.
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18/01/2012 |

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Problem:
By asking ourselves the questions of “what is economy?” “How is it caused?” And, “what is it’s their consequences?” we reached the problem of our project.

A “crisis” is a situation occurring in a country when itsuddenly experiences a fall in their finances, a situation in which the supply of money is really low comparing to the demand for money. This also this affects banks, which are forced to sell and invest in projects in order to prevent any kind of collapse.
Recession is also another significant cause of the problem; this is a result of a concentration of high unemployment that refers to theinability of willing workers to find gainful employments. Also, falling wages is about the falling of the using labor; and usually low inflation, that is when the general level of prices is rising and subsequently purchasing powers are falling.

Objective.

The objective of this project is to learn, analyze, demonstrate and teach about what economy is, how crises develop and the impact produced.Justification.
There are a lot of people all over the world. People with activities, routines and hobbies which form part of their daily lives. Many of these people are usually taught with many beliefs about the main principle that keeps our world stable. Some people think that the government has something to do with this, and they are right because without laws our world would be a disaster. Butwhat most people ignore is the real principle that helps us establish rules, and maintain a certain way of living, and this principle; this fundamental part of our lives, is called economy. Most people would define the economy just as the way in which money is managed. It is a lot more than that, because without economy, the world wouldn’t be the one we know.
But as always, our actions haveconsequences. In this case, it’s the economic crisis, and what most people don’t realize is that in this phase, the country and the world suffer a major change. The reason why people don’t realize this, is because the they are blinded by the thought that the government is the one that will take us out of the problem, the one that will rescue us when dark days arrive, and as a consequence, our countriesare where they are and that there are a lot of confrontations occurring now a days.
In our opinion, people should show more interest about this topic because it’s something that concerns us all. All of us have the right to be taught about our countries problems, and learn ways of how we can make it better. For example, the government should teach everyone the economic cycle, and how it works soeveryone can be prevented on how this can change their lives significantly.
This is the reason why we want to make this project, because we feel like we need to share our knowledge with everyone we can, because we have very valuable information in our hands, and we can spread it out. Even if we can’t share it with the people all around the world, we will just be glad to know, that we helpedothers to be notified about our major problems. This project, in theory should be shown to whomever we can because it’s the method for understanding an important part of the world’s crucial phases and most of all, isn’t the method in which we can fully understand what is happening around us, just by knowing the basics about economy.

Hypothesis.
As a group we infer that the principal characteristicof the development of a crisis is when the economy isn’t able to maintain itself during an indefinite period of time that is difficult to overcome. As a consequence of this development the market suffers a negative impact.
On having analyzed situations it is possible to say that a crisis is caused by an overproduction or lack of spending. The excess of supply over demand of products being...