Discuss in detail the various objectives of macroeconomics policy Essay

Discuss in detail the various objectives of macroeconomics policy explain the costs of failing to achieve those objectives - Essay Example The current global crisis has once again raised the importance of macroeconomic policy to prevent such crisis in future. There has been felt a need to redefine the basic objectives of the macro-economic policy. There is an urgent need for reassessment of macroeconomic policy and theory with a goal to provide a theoretical framework for macroeconomic policy at national and international levels. Consistent high inflation stops the growth of the economy. High inflation leads to increase in interest rates. High interest rates discourage borrowing by consumer (for spending purpose), and companies (for investment purpose). Firms that export will become less competitive. All these factors may lead the economy into a recession. Another aftereffect of high inflation is the redistribution of income from savers to borrowers. This leads to erosion of real value of money. This erosion is good for the borrower, but very bad for the saver. Thus, inflation is a harmful occurrence for the savers. This hurts the economy in the long-run as investment in an economy is majorly dependent on the amount of savings. If the inflation rate is higher than the interest rate in economy, the savers receive a negative real (inflation-adjusted) interest rate. High inflation is accompanied by variable inflation, leading to unstable prices. This forces the manufacturers to continually change their menus, price, machines, supply systems, etc. This cost is called as the ‘Menu Costs’. Inflation is generally measured as the rate of change in the Retail Price Index (RPI). Many Governments such as that of UK focus on the annual percentage change in RPIX, which is housing costs removed from RPI. Another rate of interest is the Consumer Price Index This is an important objective that any macroeconomic policy should try to achieve. High growth in GDP leads to improvement in the living standards. But, an important point that

U2 Are you listening Coursework Example | Topics and Well Written Essays - 250 words

U2 Are you listening - Coursework Example Agents can place customers on hold only when they have to consult for a solution to challenging customer inquiries. When taking a message, the agents should forward the message to the floor supervisor in charge, who presents it to the appropriate department or individual. The technique used to measure an individual’s telephone skills is through monitoring. Since all calls are recorded, the supervisors randomly select an individual’s recording, after which they analyze the skills to determine whether they meet the organizational expectations. The interviewee evaluates his performance by gauging reactions from the customer. The interviewee believes that the training offered by the company is vital for improving their customer service skills. The habit he has developed over time is to be patient when listening to customer inquiries. Patience is necessary for calming some of the irate customers, which eventually makes them confident with the services the company offers. To conclude, it would be essential to consider training call-center employees in order to improve their telephone skills. Additionally, monitoring their performance is not only necessary for optimizing individual performance but also assists in enhancing service delivery (Coen, 2001). These invaluable elements help in implementing and evaluating the organization’s quality assurance practices. A recommendation that would benefit the company is that they should consider training the call center agents frequently. This deliberation will allow the employees to refresh their telephone skills and to evaluate their individual performance (Coen, 2001). It might also be beneficial if the supervisors or managers could identify the imperfections of each agent through the recordings. The identification will enable them to determine the best way to assist the affected person, which will be beneficial to the entire