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Scarcity of water has been a tremendous problem to the country and the rest of the world. The planet and everything that lives is dependent of this source that is essential to everyday life. This country has began to take action to this dilemma by “endorsing the spending of water, conservations, water treatment plants, pollution clean up, and river restoration”. States that are at the moment going through drought have come up with new water plans as well. This is because the country was awakened to the fact that water supplies are down and is continuously  decreasing as time passes.

Taking action:

Texas- The Texas Water Development Board will contribute by distributing funds from a $2 billion pot of money that will go towards “new pipes, wells, reservoirs, and treatments plans”. The state law requires at least 20% of these funds to go towards recycling and conservation.

Florida- A fund that can create between $10- $18 billion over 20 years that will go towards land and water conservation and improvements in water quality.

Montana- Lawmakers are considering a $336 million infrastructure package that was proposed by Gov. Bullock. “One sixth of the package is dedicated to water, sewer, and irrigation projects.”

California- The California Water Commission will spend some of the $7.5 billion in bond money in which they will spend in pending priorities.

This water scarcity problem affects everyone. “Food companies are experiencing negative impacts from producing food in a water scarce world.” There was a report made by the name of “Water Risk Management Scores by Company”, made up of agricultural products, beverages, meat, and packaged good. Of these categories, 91% marked water as a “material risk”. This can have a huge effect in our economy because this report included top of the market brand names such as Coca-Cola, Hershey, Kraft Food Group, ext. The result of this I believe will be that the whole cycle will began to collapse, prices might increase due to the shortages, and the supply will go down and the demand will increase.

We learned about present bias (a.k.a. hyperbolic discounting) in a video we watched in class. It was every interesting how people would take a smaller amount of money one day after one year other than waiting another day for a larger amount (an extra 2 bucks). It’s not quite the term I’m not familiar with but the reason behind why this occurs. In the atrticle I read on damnintersting.com it decribes hyperbolic dicounting as a logical flaw that causes people to over commit to the future without actually doing something about it. We as human beings tend to prefer the now over later which eventually leads to a large disregard in the future. We take in consideration the effect of time and future consequences as effect to our mortality and short life span.

The stock market is a stock exchange, where when you purchase a stock you become part owner of a company. Your ownership increases according to how many stocks you buy. The market is big enough that its is not affected by individuals even though it is made up by individuals. Now, knowing this I believe that one should invest in the market if they are willing to have patience. It’s a long term investment and commitment that will proceed to show positive outcomes in time at least that’s what stocks are meant to do. The person investing in the market should keep in mind that the higher the risk that their investment pertains, the higher the risk of either great loss or great gains.

Since this assignment is late I looked up the significant digits for the date of Feb. 10, 2015. According to fivethirtyeight, 81% of the Russians population have a negative view on the United States. This is the result of the alliance the United States have amended with Ukraine. This can have an impact in our economy because Russia happens to be the world’s largest energy exporter. In other words, this may cause oil prices to go up in the U.S. It would be a bad investment to spend our money buying oil from Russia seeing how things are at the moment. 

Keynes: a modern economist with modern ideas. Suggests that we should steer the market by using it up allowing  a circular flow to occur. He believes (according to the rap battle) that “Savings is destruction. Modern macro was his high point as well. He based his decisions using a mathematical sense rather then a sentiment one. "The ideas of economists and political philosophers both when they are right and when they are wrong are more powerful than is commonly understood. Indeed, the world is ruled by little else. Practical men who believed themselves to be quite exempt from any intellectual influence are usually the slaves of some defunct economist" - John Keynes

Heyek- A more classical man, he believed that market should be “let free”. Took in consideration human action and motivation basing all his choices using a emotional sense. He believes aggregate demand has a certain speed limit to it and that when it goes too fast we’ll (the market) end up worst.Time=Interest.  "The curious task of economics is to demonstrate to men how little they really know about what they imagine the can design." - Hayek

If things are too bad for too long you’re are sacrificing peoples lives by waiting to long. Both economists were famous for their work, but in reality one can prefer one or the others theory based on preferences. Today, the economy seems to use Keynes theory of “steering the market” as he was portrayed as the better character in the video.  Keynes was more about control and getting faster results. It was about speed. Heyek, on the other hand, was about stability and freedom. He trusted the system and thought it was better to just wait. 

WHO WON? WHO’S NEXT? YOU DECIDE. 

While everyone else was taking their AP exams, Mr. Steuter had the four fortunate souls (me included) playback our draftback from any assignment we had completed this semester. I choose to watch my tumblr post “The U’s of Economics”. What I learned was that I am not consistent at all. I go all over the place trying to find the appropriate spot for a certain sentence. I be jumping around more than the frogs at the swamp. Then I result unamused of the turnout.  So I just delete everything. (I write the exact same thing again) (lol). I also noticed that i’m not the best speller when it comes to... life. I’m not a good speller in general, but computers have me loving that “auto correct” feature.

I did, on the other hand, do some good things to enhance my writing. I fixed my sentences to make them sound more appealing by going back and rewriting them with a much better choice of vocabulary. (This effect makes me sound intelligent).

U1: People unemployed 15 weeks or longer. “The long-term unemployed tend to be people who 1) are a little bit older, and 2) got laid off from their last job.” (www.theatlantic.com). They may also be discriminated against. A man just released from prison who has tattoos on his face. He hasn’t had a proper job since 1997. He lives in Rhode Island.

U2: Lost a job as opposed to those who have quit or those who have entered or reentered the labor force. This category consists of temporary workers such as farm workers, retail workers and grant funded positions. Bill is a farmer. Farming is a job the goes with the seasons. So it’s quite difficult for Bill to maintain himself working when the farming season is over.

U3: Those who fall between the cracks of the official rate. U1 and U2 are included. The people included in this category are not worried because they have an education and they are confident in receiving another job if something occurs. Jake worked at Bath and Body workshop but has been fired. He searched for quite some time and has been re-employed at Vans.

U4: Add discouraged workers to the official unemployment rate. Workers with high standards and high expectations. This category includes those who have stopped looking for work because current economic conditions make them believe that no work is available for them. Due to cutting back on the business spending, Donna has been laid off from her job as a secretary for a small lawyer business. She submitted job applications in a few small offices but hasn’t heard back.

U5: Includes all marginally attached workers also known as flexible workers. This also includes those who would like and are able to work but have not looked recently. Due to an accident that left Hanna with a broken leg, she had to let go of her job as a mail carrier. So she looked for another job. She is currently on a waiting list for an office job answering phones. This may or may not be a stable job as she was not given a permanent schedule.

An extraordinary life may be hard to achieve when you live in poverty, have 11 siblings, is a referee, and happens to be Mexican in America when things were harder due to racial discrimination. But this man never lost hope to be the better man, the person who can change an entire system and prove people wrong. Even after his difficult life and becoming the first Mexican U.S. governor he attended elementary schools to motivate children. He strove and surpassed many obstacles even after considering his chances to succeed. 

When Raul Castro was a boy he attended a speech to be done at a park given by the former governor at the time, George W.P. Hunt. He was told that he would get free hamburgers and hot dogs and that was the true reason he went. During the speech, George W.P. Hunt addressed Raul and a few friends and said, “even one of these young barefooted Mexican kids could be governor one day”. It was like fate. It was a true Forrest Gump moment. 

After attending collage from pure coincidence (he received a scholarship while washing windows after graduating high school because he was good at football), he received his teaching degree. He applied for a job in his home town but was turned down practically being told that thy don’t hire Mexican-Americans as schoolteachers. So he became a hobo. He went around the country boxing at carnivals and picking up any job he could get. Throughout his journey he faced many discriminating situations based on races. It opened up his eyes that there were other people who were going through similar racial situations. 

Raul Castro married a German-Irish girl in 1959. For their honeymoon they traveled to Mexico City. They stayed at a hotel where coincidentally  Fidel Castro, the Cuban communist dictator, was planning the Cuban Revolution. He was mistaken for the wrong Castro several times and received crazy phone calls and knocks on there door by armed men. Pretty interesting. 

I believe anything is possible with hard work and perseverance. Raul Castro had it hard but he lived passed it and accomplished many, many things. He is an amazing example of a leader and a true inspiration to all.

Nobody knows what occurrences may happen tomorrow, or the next day.  But timing IS everything according to the article “ Bad News For The Class Of 2008″. Joe Moser graduated from the University of Iowa’s law school in 2008 with a degree that promises a well paying career and a perhaps stable future, money wise.  But that wasn't his case. It wasn't the case for any of his fellow peers. He faced many obstacles to maintain himself economically stable due to a variation of ups and down in the economy. It’s hard to tell whether there will be job opportunity's after graduation. Joe Moser and Richard Palmerwere faced a financial crisis and The Great Recession which had a huge negative impact on the U.S. workforce. Because of the crisis they weren't able to get their “dream jobs”, instead they got whatever they could get. Obviously, those didn't pay well. And to top that all off, they were overwhelmed with student loans. A quick summary here: college degrees, bad timing, low paying jobs, and student loans. They were just simply unlucky. Student loans have interest which increase throughout time which adds more weight on your back.  The more time passes the more you own. You have to focus on paying the loans therefore putting to the side a house, a car, and other essentials. 

No one knows what to expect after graduation. You don’t know if you will graduate in a bad economic year. The future is near, yet so far away. By then the economy will be substantially different and hopefully we won’t face the hardships of a crisis. 

How is the country doing? Well, according to the GDP graph demonstrated in the TED talk delivered by Michael Green, the United States progression is not the worst. There are some places where the country should place some focus like the social well being and the happiness of it’s citizens. People assume that the country is doing bad without any facts to back it up. We must ask ourselves, what really contributes to our society? Throughout the past GDP or gross domestic product has been “the benchmark of success in the global economy”. But we must take the future into consideration. Things change every day in our everyday lives and the economy.

Beat the Market:

Rank: 2

Net worth: $9,983.48

Overall Returns: -.17%

Buy and Hold

Rank: 5

Net worth: $10,003.97

Overall Returns: 0.04%

Average the stock market has done: +1.61%

There are three things you should be aware of when investing in the stock market.

1. Don’t see the stock market as a way to get rich fast. It doesn’t work that way. The stock market carries it’s surprises. The stock market is delicate but at the same time it is quite rough. Its a process that takes time. It’s meant to be a long term thing.

2. One should not get too excited over ups and downs because in may result in quitting. Like mentioned before, the stock market is a long term thing, as time progressively passes by, the prices of stocks will increase or decrease and it may or may not favor you. But you should keep an open mind and relax because stocks are meant to increase in time (hopefully).

Money -A claim on human labor. Money has three specific qualities that make it what it is; 1. Store of value 2. Unit of Account 3. Medium of exchange 

Store of value implies that it has to be permanent and somewhat rare. Unit of account means it should divide into smaller pieces. As well as one unit being viewed as equal as to another. Lastly, medium of exchange. People have to accept it, in other words, have faith. 

Money sustains order and prevents chaos from occurring in our society. People believe that it works therefore allowing order and balance in our economy. What they see today is what they expect tomorrow. What they don't see is the strength that money endures.

If people stop believing in money the whole system will fall. There will be no more trust, no stability. This will lead to ultimate destruction in our nation causing major inflation, disaster, and a state of darkness. It will be hard to bring it back due to the scars it will leave. People will be afraid to trust again.