Day: May 17, 2022

Understanding inflation

The Inequities of Inflation - Positively Naperville

Inflation is a term we here very frequently in today’s world. Several economies of the world are now in the crunches of inflation. In this situation, let us read about inflation in detail.

What is inflation?

In economics, inflation is a general increase in prices of goods and services in an economy. When the general price level rises, each unit of currency buys fewer goods and services; consequently, inflation corresponds to a reduction in the purchasing power of money. The opposite of inflation is deflation, a sustained decrease in the general price level of goods and services. The common measure of inflation is the inflation rate, the annualized percentage change in a general price index. As prices do not all increase at the same rate, the consumer price index (CPI) is often used for this purpose.

Causes of inflation:

There were different schools of thought as to the causes of inflation. Most can be divided into two broad areas: quality theories of inflation and quantity theories of inflation.

Currently, the quantity theory of money is widely accepted as an accurate model of inflation in the long run. Consequently, there is now broad agreement among economists that in the long run, the inflation rate is essentially dependent on the growth rate of the money supply relative to the growth of the economy. However, in the short- and medium-term inflation may be affected by supply and demand pressures in the economy, and influenced by the relative elasticity of wages, prices and interest rates.

The quality theory of inflation rests on the expectation of a seller accepting currency to be able to exchange that currency at a later time for goods they desire as a buyer. The quantity theory of inflation rests on the quantity equation of money that relates the money supply, its velocity, and the nominal value of exchanges.

Measures of inflation

Consumers’ cost of living depends on the prices of many goods and services and the share of each in the household budget. To measure the average consumer’s cost of living, government agencies conduct household surveys to identify a basket of commonly purchased items and track over time the cost of purchasing this basket. The cost of this basket at a given time expressed relative to a base year is the consumer price index (CPI), and the percentage change in the CPI over a certain period is consumer price inflation, the most widely used measure of inflation.

Core consumer inflation focuses on the underlying and persistent trends in inflation by excluding prices set by the government and the more volatile prices of products, such as food and energy, most affected by seasonal factors or temporary supply conditions. Core inflation is also watched closely by policymakers. Calculation of an overall inflation rate—for a country, say, and not just for consumers—requires an index with broader coverage, such as the GDP deflator.

Types of inflation

Cost-Push Effect

Cost-push inflation is a result of the increase in prices working through the production process inputs. When additions to the supply of money and credit are channeled into a commodity or other asset markets and especially when this is accompanied by a negative economic shock to the supply of key commodities, costs for all kinds of intermediate goods rise.

Built-in Inflation

Built-in inflation is related to adaptive expectations, the idea that people expect current inflation rates to continue in the future. As the price of goods and services rises, workers and others come to expect that they will continue to rise in the future at a similar rate and demand more costs or wages to maintain their standard of living. Their increased wages result in a higher cost of goods and services, and this wage-price spiral continues as one factor induces the other and vice-versa.

Demand-Pull Effect

Demand-pull inflation occurs when an increase in the supply of money and credit stimulates overall demand for goods and services in an economy to increase more rapidly than the economy’s production capacity. This increases demand and leads to price rises.

Understanding inflation

The Inequities of Inflation - Positively Naperville

Inflation is a term we here very frequently in today’s world. Several economies of the world are now in the crunches of inflation. In this situation, let us read about inflation in detail.

What is inflation?

In economics, inflation is a general increase in prices of goods and services in an economy. When the general price level rises, each unit of currency buys fewer goods and services; consequently, inflation corresponds to a reduction in the purchasing power of money. The opposite of inflation is deflation, a sustained decrease in the general price level of goods and services. The common measure of inflation is the inflation rate, the annualized percentage change in a general price index. As prices do not all increase at the same rate, the consumer price index (CPI) is often used for this purpose.

Causes of inflation:

There were different schools of thought as to the causes of inflation. Most can be divided into two broad areas: quality theories of inflation and quantity theories of inflation.

Currently, the quantity theory of money is widely accepted as an accurate model of inflation in the long run. Consequently, there is now broad agreement among economists that in the long run, the inflation rate is essentially dependent on the growth rate of the money supply relative to the growth of the economy. However, in the short- and medium-term inflation may be affected by supply and demand pressures in the economy, and influenced by the relative elasticity of wages, prices and interest rates.

The quality theory of inflation rests on the expectation of a seller accepting currency to be able to exchange that currency at a later time for goods they desire as a buyer. The quantity theory of inflation rests on the quantity equation of money that relates the money supply, its velocity, and the nominal value of exchanges.

Measures of inflation

Consumers’ cost of living depends on the prices of many goods and services and the share of each in the household budget. To measure the average consumer’s cost of living, government agencies conduct household surveys to identify a basket of commonly purchased items and track over time the cost of purchasing this basket. The cost of this basket at a given time expressed relative to a base year is the consumer price index (CPI), and the percentage change in the CPI over a certain period is consumer price inflation, the most widely used measure of inflation.

Core consumer inflation focuses on the underlying and persistent trends in inflation by excluding prices set by the government and the more volatile prices of products, such as food and energy, most affected by seasonal factors or temporary supply conditions. Core inflation is also watched closely by policymakers. Calculation of an overall inflation rate—for a country, say, and not just for consumers—requires an index with broader coverage, such as the GDP deflator.

Types of inflation

Cost-Push Effect

Cost-push inflation is a result of the increase in prices working through the production process inputs. When additions to the supply of money and credit are channeled into a commodity or other asset markets and especially when this is accompanied by a negative economic shock to the supply of key commodities, costs for all kinds of intermediate goods rise.

Built-in Inflation

Built-in inflation is related to adaptive expectations, the idea that people expect current inflation rates to continue in the future. As the price of goods and services rises, workers and others come to expect that they will continue to rise in the future at a similar rate and demand more costs or wages to maintain their standard of living. Their increased wages result in a higher cost of goods and services, and this wage-price spiral continues as one factor induces the other and vice-versa.

Demand-Pull Effect

Demand-pull inflation occurs when an increase in the supply of money and credit stimulates overall demand for goods and services in an economy to increase more rapidly than the economy’s production capacity. This increases demand and leads to price rises.

All about Article 370

On October 17, 1949, Article 370 was added to the Indian constitution, as a ‘temporary provision’, which exempted Jammu & Kashmir, permitting it to draft its own Constitution and restricting the Indian Parliament’s legislative powers in the state. It was introduced into the draft constitution by N Gopalaswami Ayyangar as Article 306 A.

Under Article 370: The Constituent Assembly of Jammu & Kashmir was empowered to recommend which articles of the Indian Constitution should apply to the state,The J&K Constituent Assembly was dissolved after it drafted the state’s constitution. The article allowed the state a certain amount of autonomy – its own constitution, a separate flag and freedom to make laws. Foreign affairs, defence and communications remained the preserve of the central government.As a result, Jammu and Kashmir could make its own rules relating to permanent residency, ownership of property and fundamental rights. It could also bar Indians from outside the state from purchasing property or settling there.

On 5th August 2019, President of India in the exercise of the powers conferred by Clause (1) of Article 370 of the Constitution had issued the Constitution (Application to Jammu and Kashmir) Order, 2019. Through this, Government of India has made modifications in Article 370 itself (not revoked it).With this, the Government of India has dramatically altered the relationship between the state of Jammu and Kashmir and the Indian Union. Order, 2019 has replaced Presidential Order of 1954.Subsequently, the Jammu and Kashmir Reorganisation Bill, 2019, passed by Parliament divides the state of Jammu and Kashmir into two new Union Territories (UTs): Jammu & Kashmir, and Ladakh.This is the first time that a state has been converted into a UT.Of the six Lok Sabha seats currently with the state of Jammu and Kashmir, five will remain with the union territory of Jammu and Kashmir, while one will be allotted to Ladakh.The UT of Jammu and Kashmir will have an Assembly, like in Delhi and Puducherry.Instead of 29, India will now have 28 states. Kashmir will no longer have a Governor, rather a Lieutenant .The special status provided to J&K under Article 370 will be abolished. Jammu & Kashmir will no longer have the separate constitution, flag or anthem. The citizens of Jammu and Kashmir will not have dual citizenship. As the new union territory of Jammu and Kashmir will be subject to the Indian Constitution, its citizens will now have the Fundamental Rights enshrined in the Indian constitution. Article 360, which can be used to declare a Financial Emergency, will now also be applicable. All laws passed by Parliament will be applicable in Jammu and Kashmir, including the Right to Information Act and the Right to Education Act. The Indian Penal Code will replace the Ranbir Penal Code of Jammu and Kashmir. Article 35A, which originates from the provisions of Article 370 stands null and void. Since Presidential Order has extended all provisions of the Constitution to Jammu and Kashmir, including the chapter on Fundamental Rights, the discriminatory provisions under Article 35A will now be unconstitutional.

The Need for Changes in abolishing A370 was dire. Article 370 was added in the Indian constitution to provide autonomy to J&K.However, it failed to address the well-being of Kashmiris who have now endured two generations of insurgency and violence. It contributed to the gap between Kashmir and the rest of the nation. In the newly-formed Union Territory of J&K, the central government is trying to formulate new rules that will give domicile rights to residents over land and in government jobs. This has been a response to the perception that the unemployment rate in J&K is higher than the national average.Domicile rights have also been a long-standing demand of the Dogras of Jammu and the Buddhists of Ladakh. While most of those interviewed by this author chose to remain silent on the issue of domicile rights, a few expressed their fears that such a move will further limit the employment opportunities for the local youth and also lead to a demographic disruption in the Valley.

Possible Consequences include rise in militancy as  Article 370 was seen by Kashmiris as a marker of their separate identity and autonomy. Widespread protests and violence as a reaction to the dilution of Article 370 are bound to take place .Terror elements in Pakistan would find Kashmir to be the most fertile ground for breeding terrorism. The unrest can affect the democratic progress that has been made so far. Opposition political parties could launch a legal challenge but Kashmir is an emotive issue with many Indians, and most parties would be wary of opposing the move lest they be branded anti-India. All in all, Kashmir and the people there are reaching towards normalcy after 2 years of removing article 370, but for how long will peace prevail? India is hoping for a long one.

All about Article 370

On October 17, 1949, Article 370 was added to the Indian constitution, as a ‘temporary provision’, which exempted Jammu & Kashmir, permitting it to draft its own Constitution and restricting the Indian Parliament’s legislative powers in the state. It was introduced into the draft constitution by N Gopalaswami Ayyangar as Article 306 A.

Under Article 370: The Constituent Assembly of Jammu & Kashmir was empowered to recommend which articles of the Indian Constitution should apply to the state,The J&K Constituent Assembly was dissolved after it drafted the state’s constitution. The article allowed the state a certain amount of autonomy – its own constitution, a separate flag and freedom to make laws. Foreign affairs, defence and communications remained the preserve of the central government.As a result, Jammu and Kashmir could make its own rules relating to permanent residency, ownership of property and fundamental rights. It could also bar Indians from outside the state from purchasing property or settling there.

On 5th August 2019, President of India in the exercise of the powers conferred by Clause (1) of Article 370 of the Constitution had issued the Constitution (Application to Jammu and Kashmir) Order, 2019. Through this, Government of India has made modifications in Article 370 itself (not revoked it).With this, the Government of India has dramatically altered the relationship between the state of Jammu and Kashmir and the Indian Union. Order, 2019 has replaced Presidential Order of 1954.Subsequently, the Jammu and Kashmir Reorganisation Bill, 2019, passed by Parliament divides the state of Jammu and Kashmir into two new Union Territories (UTs): Jammu & Kashmir, and Ladakh.This is the first time that a state has been converted into a UT.Of the six Lok Sabha seats currently with the state of Jammu and Kashmir, five will remain with the union territory of Jammu and Kashmir, while one will be allotted to Ladakh.The UT of Jammu and Kashmir will have an Assembly, like in Delhi and Puducherry.Instead of 29, India will now have 28 states. Kashmir will no longer have a Governor, rather a Lieutenant .The special status provided to J&K under Article 370 will be abolished. Jammu & Kashmir will no longer have the separate constitution, flag or anthem. The citizens of Jammu and Kashmir will not have dual citizenship. As the new union territory of Jammu and Kashmir will be subject to the Indian Constitution, its citizens will now have the Fundamental Rights enshrined in the Indian constitution. Article 360, which can be used to declare a Financial Emergency, will now also be applicable. All laws passed by Parliament will be applicable in Jammu and Kashmir, including the Right to Information Act and the Right to Education Act. The Indian Penal Code will replace the Ranbir Penal Code of Jammu and Kashmir. Article 35A, which originates from the provisions of Article 370 stands null and void. Since Presidential Order has extended all provisions of the Constitution to Jammu and Kashmir, including the chapter on Fundamental Rights, the discriminatory provisions under Article 35A will now be unconstitutional.

The Need for Changes in abolishing A370 was dire. Article 370 was added in the Indian constitution to provide autonomy to J&K.However, it failed to address the well-being of Kashmiris who have now endured two generations of insurgency and violence. It contributed to the gap between Kashmir and the rest of the nation. In the newly-formed Union Territory of J&K, the central government is trying to formulate new rules that will give domicile rights to residents over land and in government jobs. This has been a response to the perception that the unemployment rate in J&K is higher than the national average.Domicile rights have also been a long-standing demand of the Dogras of Jammu and the Buddhists of Ladakh. While most of those interviewed by this author chose to remain silent on the issue of domicile rights, a few expressed their fears that such a move will further limit the employment opportunities for the local youth and also lead to a demographic disruption in the Valley.

Possible Consequences include rise in militancy as  Article 370 was seen by Kashmiris as a marker of their separate identity and autonomy. Widespread protests and violence as a reaction to the dilution of Article 370 are bound to take place .Terror elements in Pakistan would find Kashmir to be the most fertile ground for breeding terrorism. The unrest can affect the democratic progress that has been made so far. Opposition political parties could launch a legal challenge but Kashmir is an emotive issue with many Indians, and most parties would be wary of opposing the move lest they be branded anti-India. All in all, Kashmir and the people there are reaching towards normalcy after 2 years of removing article 370, but for how long will peace prevail? India is hoping for a long one.

Importance of Music in Student’s Life

If I ask you what is music for you? Your answer must be entertainment, time pass or just a hobby. Sometime,  we don’t understand the importance of small things and avoid them without thinking. We listen to music just for entertainment or for refreshing our mind but we have never given a thought about why we feel refreshed after listening to good music. It plays an important role in a Student’s life, work professionals and even housewives. According to various researchers, music students have higher academic exam score than their non-musical peers.

How it helps in concentration?

With no doubt it improves one’s mood and thus it helps students to focus better in their studies. It provides motivation and an urge to learn more. It makes the students positive and most likely to memorise clearly which indirectly boosts memory formation.

Not just for students it is helpful for working professionals as well. They listen to their favourite songs when they feel tired or when they don’t find any motivation to work during their working hours. It helps them concentrate more after with an optimistic approach.

Not just students and employers, housewives also feel better after listening to their favourite track. They make their work joyful by playing songs at the side of the table and runs their daily errands by humming their favourites.

Science behind correlation between music and brain

  • Studies have shown that music produces several positive effects on a human’s body and brain. Music activates both the left and right brain at the same time, and the activation of both hemispheres can maximize learning and improve memory.
  • Music is a way to process emotions and strengthen oneself from being overwhelmed.
  • It triggers the release of a chemical called dopamine in a part of the brain called the striatum which helps one feel good.
  • Research has shown that listening to music can reduce anxiety, blood pressure, and pain as well as improve sleep quality, mood, mental alertness, and memory.

Improve your performance

 Music is found to help people perform better in high pressure situations. Studies show that it changes a student from coal to diamond under pressure. For instance there was a research done where basketball player were pressured  and didn’t perform well in the match but the other team which was also under pressure but listened to music before coming to the court performed very well.This is how music plays a very  significant role in a student’s as well as in a human life.This is how music plays a very  significant role in a student’s as well as in a human life.

 Music is found to help people perform better in high pressure situations. Studies show that it changes a student from coal to diamond under pressure. For instance there was a research done where basketball player were pressured  and didn’t perform well in the match but the other team which was also under pressure but listened to music before coming to the court performed very well.This is how music plays a very  significant role in a student’s as well as in a human life.This is how music plays a very  significant role in a student’s as well as in a human life.

 We now understand, that music and memory are strongly linked together in the brain, and that music can be beneficial for studies.Not just the rap or upbeat music but classical music has been proved to be the most effective in treating insomnia and helps one from spending thousands on sleep-inducing meds.

Not just the rap or upbeat music but classical music has been proved to be the most effective in treating insomnia and helps one from spending thousands on sleep-inducing meds.

 

 

Importance of Music in Student's Life

If I ask you what is music for you? Your answer must be entertainment, time pass or just a hobby. Sometime,  we don’t understand the importance of small things and avoid them without thinking. We listen to music just for entertainment or for refreshing our mind but we have never given a thought about why we feel refreshed after listening to good music. It plays an important role in a Student’s life, work professionals and even housewives. According to various researchers, music students have higher academic exam score than their non-musical peers.

How it helps in concentration?

With no doubt it improves one’s mood and thus it helps students to focus better in their studies. It provides motivation and an urge to learn more. It makes the students positive and most likely to memorise clearly which indirectly boosts memory formation.

Not just for students it is helpful for working professionals as well. They listen to their favourite songs when they feel tired or when they don’t find any motivation to work during their working hours. It helps them concentrate more after with an optimistic approach.

Not just students and employers, housewives also feel better after listening to their favourite track. They make their work joyful by playing songs at the side of the table and runs their daily errands by humming their favourites.

Science behind correlation between music and brain

  • Studies have shown that music produces several positive effects on a human’s body and brain. Music activates both the left and right brain at the same time, and the activation of both hemispheres can maximize learning and improve memory.
  • Music is a way to process emotions and strengthen oneself from being overwhelmed.
  • It triggers the release of a chemical called dopamine in a part of the brain called the striatum which helps one feel good.
  • Research has shown that listening to music can reduce anxiety, blood pressure, and pain as well as improve sleep quality, mood, mental alertness, and memory.

Improve your performance

 Music is found to help people perform better in high pressure situations. Studies show that it changes a student from coal to diamond under pressure. For instance there was a research done where basketball player were pressured  and didn’t perform well in the match but the other team which was also under pressure but listened to music before coming to the court performed very well.This is how music plays a very  significant role in a student’s as well as in a human life.This is how music plays a very  significant role in a student’s as well as in a human life.

 Music is found to help people perform better in high pressure situations. Studies show that it changes a student from coal to diamond under pressure. For instance there was a research done where basketball player were pressured  and didn’t perform well in the match but the other team which was also under pressure but listened to music before coming to the court performed very well.This is how music plays a very  significant role in a student’s as well as in a human life.This is how music plays a very  significant role in a student’s as well as in a human life.

 We now understand, that music and memory are strongly linked together in the brain, and that music can be beneficial for studies.Not just the rap or upbeat music but classical music has been proved to be the most effective in treating insomnia and helps one from spending thousands on sleep-inducing meds.

Not just the rap or upbeat music but classical music has been proved to be the most effective in treating insomnia and helps one from spending thousands on sleep-inducing meds.