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Chapter 16 :fire: Achieving Economic Stability :fire: (Misery Index (the…

- - - - an increasing index means a
        worsening economic climate for
        the economy in question, and vice versa.
- - - - international trade irons
        out wild fluctuations in
        prices. it equalizes the prices of goods
        throughout the world (ignoring cost
        of transportation, etc.)
- - - - a rising population in less-developed
        areas frequently has triggered emigration
        to areas of economic opportunity, and
        this in turn has frequently produced a
        stream of remittances to family members
        who remained behind.
- - - - Socially, it can be said that, Collectivisation
        was a failure. It provoked much resistance and
        violent opposition to, and in an attempt to not
        hand over their crops and livestock, farmers burnt
        their crops and killed their livestock.
        Politically, Collectivisation was a success due
        to the fact that there were more officials now in
        the countryside’s, who ensured that grain
        was obtained by force.
- - - - privatization is supposed to save money
        but it rarely does. Profits add to costs.
        What an entrepreneur gets back, they
        generally have to put some of it back
        into the business
- - - - foreign trade may completely exhaust a country’s natural resources like coal and oil which are irreplaceable. these goods are exported for the sake of profit. but the country suffers in the long run when their source is dried up completely.
- - - - countries may impose tariffs
        on goods to... protect new industries,
        diversify the economy, raise revenue,
        protect certain key industries (from
        international competition to
        try and safeguard jobs), and
        protect domestic jobs (which are
        threatened by rise of imports).