Relationship Between Asset Price and Monetary Policy

Relationship Between Asset Price and Monetary Policy With the development of capital market and the innovation of finance, asset prices have taken a more prominent role in financial economy. Meanwhile, financial crisis and economy turbulences arouse by abnormal assets price fluctuation appear in many countries. Currently, China is confronted with the reality of asset prices inflation. Asset prices rapidly fluctuation bought gigantic impact to monetary policy, therefore, study the relationship between asset price and monetary policy according to Chinas economy is significant. This dissertation applies correlation analysis, unit root test, cointegration test and Granger causality test in the empirical analysis of the relationship between asset price and monetary policy, from the data analysis, we could conclude that asset prices and monetary policy have a long-term relationship. The central bank should focus on the role of asset price on the transmit mechanism of monetary policy. 1. Introduction Motivation With the development of modern capital market and financial innovation, the world economy has into the financial economy era, and disappears increasingly capitalization, virtualization trends. It is no doubt that modern capital market has provided a powerful lever for economic growth, but its instability also cause macroeconomic fluctuations , and in particular the asset price bubbles, which is becoming a key factor for financial crisis and economic fluctuations. So far, the most developed Western countries have experienced a long period of rapid growth, concern is that global asset price has increased sharply in recent years. In the late 1980s, the stock market and real estate in Japan as the representative of asset prices have greatly increased ,which also caused Japanese economy into the bubble economy, the credit crunch and economic recession arising from the bubble economy have serious negative effects so far. In 2006, the Dow Jones industrial average index in USA was beyond the highest point of network technology bubble expansion from 2000, the stock market of many other developed and emerging market countries generally strongly increased and was beyond history records. In addition to the security market , the global real estate, gold and oil market are also very active. In 2001-2005, real estate prices have nearly doubled in many developed countries, meanwhile, real estate price in many developing countries has also generally increased . In May 2006, the international spot gold price reached USD per ounce 718 score in New York City market since 1980. In mid-July 2006, the International crude oil futures price GE exceeded the highest record to reach 75 USD/barrel. But, inevitably brought the more serious financial crisis in 2007, which has caused huge economic fluctuations to the economy from 2007. In China, securities market have established for ten years, the shares of negotiable securities in the structure of residents capital portfolios continued to be increasing, in 1992, the total value of Chinese stock market is 1048 billion yuan, accounting for only 3.9% of gross domestic product (GDP) ratio . But in 2007, the stock market value is 327141 billion yuan, the ratio of market value in GDP has being greatly rising to 130% , which is 312 times growth compared with the total stock market value in 1992 . Not only a huge amount, but also the fluctuations of asset prices have become more frequent and intense. In 2006-2007, Chinese economy under the driven of stock market and real estate market has a certain degree of asset price bubbles. While in the same time , Chinese economy is actually facing the reality of asset price falling from the top digit, shanghai security market falls rapidly from the peak position in 2007, the stock market bubbles receive the extrusion, the real est ate market similarly is also facing the similar situation, house price of major cities has falls obviously, the turnover falls into the valley. All of these financial crisis constantly are reminding people that the worldwide economic fluctuations are characterized by the financial instability , and economic cyclical fluctuations, instead of disappearing, and to be getting worse, cause considerable economic depression, frequent asset price volatility and financial crisis and economic recession arising from the asset market collapse, hence , the government should focus on the asset prices on the role of macroeconomic fluctuations and the central bank in the world have to consider the information from asset price fluctuations. The Fed Chairman Alan Greenspan and Bernanke concern much about monetary policy and asset price volatility. Alan Greenspan proposed central banks should be more concerned about the issue of asset price bubbles in the anniversary meeting celebrating the establishment of the Bank of England in 1994 . Chairman Bernanke is an internationally recognized as the founder of monetary policy and asset price researc h. At their encouragement , the international academic community and the national central banks have recent research and debate whether the monetary authorities should intervene directly in asset price fluctuations. These research and debates are from the different backgrounds in different countries, in accordance with their different assumptions and premises, provide some significance policy advice. Financial markets in particular capital market deepening and broad-based, and financial innovation enables financial institutions have diversity features. The boundaries of currency and other financial assets is blurring, money supply and real economic variables lost stability, the monetary policy impact on the real economy is no longer limited to traditional approaches, according to the traditional Keynesian theory, this impact on consumption and investment mainly through interest rate variable . But as the improvement of financial system and increase of financial assets stock , monetary policy can also use the wealth effect of asset prices and Tobin q to affect the consumption and investment, causing the changes of total demand, in stick price, the aggregate demand led to a change in the output , and cause the effect of the output changes on demand, if the aggregate demand exceeds the aggregate supply ,it can lead to inflation pressures. This series of transmission mechanism make t he role of asset market on the real economy become more prominent, asset price has become a major transmission channel of monetary policy . From the reality in China, the rapidly development of asset markets have a key role in our national economy, the impact of real estate market and stock market on economic and monetary policy are becoming increasingly apparent. In fact, the Chinese monetary authorities have also already begin to pay attention to the relationship of asset price and monetary policy . Xiaochuan, Zhou , as the Governor of Chinese central bank ,says that the central bank concerns about changes in asset prices and gives full attention to information from asset price when formulating and implementing monetary policy. Therefore, study the relationship between asset price and monetary policy in Chinese economy is significant. This dissertation analyze the relationship of asset price and monetary policy systematically, and will use econometric methodology to seek to explore the relationship between asset price and monetary policy in China by using quarterly statistics from 1998 to 2008. I will estimate the relationship between monetary policy variables and asset price variables , through correlation analysis, unit root test, cointergration test Granger Causality test to get the conclusion. This dissertation conclude the results that ¼Ã… ¡monetary policy and asset price have a long-term relationship, in a short time, the monetary policy aggravated the asset price fluctuations to some degree, the asset market appeared to be rapidly soared and shirked in a short period of time. The central bank should focus on the role of asset price on the transmit mechanism of monetary policy. 2. Literature Review 2.1 Empirical Studies from Western Economists The research from western economists on relationship of asset price fluctuations and monetary policy mainly reflects the two views. First, asset price and monetary policy do not exist the causal relationship on behavior , and the only relationship is on the information that reflects the present and future output growth. Another view on research of asset price fluctuation and monetary policy is that asset price can affect consumption and investment through wealth effects , the change of capital cost and asset price fluctuations affect consumption and investment respectively through wealth effects and Tobin q, thus affect the financial institutions status of assets and liabilities , further affect the stability of the financial system. It is evidently that asset price has become the transmission mechanism of monetary policy. Frank Smets (1997) is one of the economist who systematically analysis the optimal monetary policy that Central Bank should response on asset price change. He has proposed the following important viewpoint: how the central bank should respond to monetary policy reflecting the unexpected change of asset price, how this change affect the central banks inflation forecast. There are two factors affecting the central bank forecast inflation. First is that the effect of asset price on transmitting mechanism of monetary policy. Second is that the unique information on asset price. He established a simple macro-economic model that contains equation of Phillips curve, aggregate demand on financial asset prices (as represented by the stock price) , arbitrage and dividend , he uses this model to examine the variety of ways that change of financial assets price affect the real economy, and analysis the optimal monetary policy of central bank response to financial asset price movements. He demons trate that the optimal monetary policy of central bank response to financial asset price movements, that is, according to the structure of established model , weighted average of the short-term interest rate ( traditional intermediary target of monetary policy) and asset price as price index — monetary conditions index (MCI) , and regard this index as the target of monetary policy operations, therefore it can properly guide central bank make effectively response on monetary policy to change of financial assets price. Gunnarsson and Lindqvist (1997) have discussed the role of asset price on monetary policy from the wealth effect on change of asset price and the effect of inflation. They conclude that the monetary policy should be given more attention on the change of asset price, although it is very difficult to explain. They believe that the change of asset price affect monetary policy as long as this change is long-term change, and in recent years, the impact of this change of asset prices on the economic has been more and more important, so the central bank should spend more energy to analyze the relationship of asset prices and monetary policy, although this relationship is hard to explain but indeed existing. They believe that asset price as an indicator for monetary policy might contribute to the inflation forecast. B.Bemanke and M.Gcrtler (2000,2001) have provided that :In an particular assigned situation , the monetary policy respond to the change of asset price is determined by if existing of the inflation or the deflation pressure on real economy or not, if this change of asset price do not bring the inflation or the deflation pressure on the real economy, then the monetary policy does not need to respond to this kind change of asset price, but If this change of asset price indicates that it indeed brings the inflation or the deflation pressure on the real economy, then the monetary policy should make some response to alleviates this pressure. They propose the above policy seriously under the system frame of flexible currency inflation goal. Cecchetti, Genberg, Lipsky and Wadhwani (2000) have noted that how the central bank respond to asset price fluctuation mainly depends on the nature of the asset price fluctuation. When only have the shock of financial aspect on macro-economy, the central banks exchange rate policy should make an appropriate response, because doing so will avoid the financial shock on the stability of real economy . When the central banks target is to minimize the fluctuations of Inflation ratio and economic output gap to their target value , the central bank take possible action to eliminate the negative effects of financial volatility is a very good thing. 2.2 Empirical Studies from Chinese Scholars After the Asian financial crisis in 1997, the scholars in China have began to research the relationship between asset price and monetary policy. From a theoretical viewpoint, on the one hand, monetary policy have an impact on asset prices through the adopted operation tool, on the other hand, as a virtual asset relatively to physical asset , asset price fluctuations can also have some impact on peoples consumption and investment behaviour, hence, affect economic development through consumer and investment , further transmit monetary policy purpose to the real economy. Xiaoan Qian (1998) finds that change of asset price make a difficulty in monetary policy transmission mechanism, this will cause the certain effects on monetary quantity management, inflation control and financial risk avoidance. The increase of asset price has been made transmission role of the monetary policy in the currency market change and become a source of funds in the asset markets, causing short-term funds long-term occupation , so that the transmission mechanism of monetary policy to occur difficulty. Part of funds seperated from the bank system, directly to the virtual asset markets. Wenjun Xun (2000) believes that the development of capital market increase the number of the emerging non-bank organization such as superannuation fund, the mutual fund, the Insurance company and so on, the bank also participates in the competition of capital market , the effect of the capital market on the real economy gradually highlight, the transmitted mechanism of monetary policy increases, economic subject and its behavior are diversity, uncertainty about the economical movement increases, therefore the transmitted mechanism of monetary policy is more complex. They thinks that Central Banks monetary policy should control official interest rate through the market , thus indirectly influence the bond and the stock market price in capital market, further influence real economy, achieves the monetary policy goal. Qiang Qu (2001) has found that it is difficult to put asset prices as the goal of direct control of monetary policy in the monetary policy operations, the possibilities and accuracy of establishment of general asset price index is very small, asset prices can only be used as an indirect reference, in short, to concern on it , but not target on it. Gang Yi and Zhao Wang (2002) have considered that monetary policy have impact on financial asset prices (in particular the stock price), the relationship of currency quantity and inflation not only depends on the price of goods and services, and in a certain degree depends on the stock market. Tianyong Guo(2006) has affirmed the role of asset price fluctuation on real economy , financial stability and monetary policy through analysis, at the same time, he also points out that the asset price as regulatory targets exist difficulties. Chang Cui (2007) analysis the role of asset price on monetary policy through the model , in asset price inflation period, the central bank can take the measure of interest rate for a given period too control asset price fluctuation, and control the money supply when asset price bubbles exist will receive immediate effect. While in asset price downturn period , interest rate adjust asset price have obvious and relatively durable effect. Yuanquan Yu (2008) obtains through the empirical analysis: the asset price has a certain influence on macroeconomic , particularly the effect of house price is more obvious. Therefore, the Central Bank must give the appropriate attention and control on asset price in the implement of monetary policy . In an conclusion, the asset price fluctuations have an certain impact on the ultimate objective of monetary policy, we can not ignore the unique role of asset price on the transmission mechanism of monetary policy and the macro-economic activities. The central bank should concentrate on the effect of asset prices on monetary policy, particularly in asset prices fluctuations periods, the vast majority of economists believe that the central bank should take an certain monetary policy to address and reduce the negative effect of the economy. For most of research focuses on the study of asset price fluctuation and its relationship with monetary policy, the role of asset prices in the transmission mechanism of monetary policy , as well as the effect size issues ,this dissertation based on the domestic and foreign scholar research results , deeply analyzes the transmitted mechanism of monetary policy in asset price through the impact of monetary policy on asset price . 3. Data Description This dissertation focus on the relationship between asset price and monetary policy in China according to the quarterly statistics during the year of 1998 to 2008. This dissertation mainly use the stock price (index) and house price(hsp) as indicators of asset price , and use boarder money supply (m2), financial institution loan (loan), real rate (rate) as indicators of monetary policy for simplicity. Due to the amount of the data of these variables are really great, we take log of these variables to analyze. This dissertation get all needed data from China Economic Information Network, which is a professionals institution engage in the development of economic data resources and services, provide data support, data integration, and other business data analysis for government and research institutions. All the quarterly data we need from 1998 to 2008 is recorded in the China Economic Information Network. à £Ã¢â€š ¬Ã¢â€š ¬ 3.1 Indicators for asset price in China Asset prices generally including stock prices, bonds, prices, and even exchange rate, and other financial assets and house prices. However, the stock price and house price have a significant effect on real economy, and its fluctuations can have a key role in monetary policy decision-making, hence, in this dissertation , we will use the stock price and house price refer to the asset price. In particular, the Shanghai securities composite index is on behave of the stock price for data limitations, Shanghai securities composite index is established by the Shanghai stock market to reflect the Shanghai securities trading market overall trend. House price is on behave of the average house price in China. We can easily get these data from the China Economic Information Network. 3.2 Indicators for monetary policy in China Monetary policy refers to the Government or the Central Bank influence economic activity, especially by money supply control and regulation of interest rates. To achieve a specific goal or maintain target — for example, curbing inflation ,achieving full employment and economic growth, directly or indirectly through open market operations and setting the minimum reserve rate. There are many factors needed to be consider in implementing monetary policy, for data restrictions, in this dissertation ,we mainly consider the variable of boarder money supply, financial institution loan and real rate. First, boarder money supply (lnm2) indicates the change of aggregate supply and pressure condition of inflation in the future. In china, boarder money supply is narrow money supply plus the saving, foreign currency and fiduciary deposits of government, organizations, services, businesses and institutions in financial institution. Boarder money supply can be used as a medium and long-term equilibrium target to regulate of financial markets .It is usually the rate of boarder money supply increasing should be controlled at the sum rate of economic growth and price inflation, monetary movement. Second, financial institution loan have some disadvantage as a indicators of monetary policy. First, it is closely associated with the monetary policy objective. Currency circulation and deposit currency caused by loan, the Central Bank control the size of the loan, which also mean to control the money supply. Second, financial institution loan is an accuracy an endogenous variable , loan size is positive correlation with loan demand. As a policy variables, loan size and the demand also have a positive correlation. Furthermore, data of financial institution loan is easily accessible . Third, real rate refers to the real rate of interest return that the depositors and investors can get after eliminating of inflation rate, it is calculate as nominate rate minus CPI. Real rate can be used as the indicator of Central Banks monetary policy due to following reasons : (1) real rate reflect the supply of money and credit, and able to show the relative supply and demand, it is correlation with nominal interest rate ,High level of interest rate is thought to be a tight, low interest rate level of convergence are considered monetary relaxation. (2) real rate belongs to the Central Bank , the Central Bank can use this tools to increase or decrease in interest rates. Table 1: denotation for Variables denotation Variables Implication Lnindex Shanghai securities composite index Shanghai securities trading market overall trend Lnhsp House price Real estate price Lnloan Loan financial institution aggregation loan domestic Lnm2 M2 boarder money supply: M2+M1 Rate Real rate nominate rate minus CPI. 4. Economic Theory and Econometric Model The effectiveness of monetary policy depends not only on the sensitivity of economic subjects on policy signal , but also on numerous external factors of financial system. According to the traditional Keynesian theory, when implementing expansionary monetary policy, increase of money supply will lead to rate decline, i.e. capital costs decreasing, further increasing investment expenditure, hence increasing aggregate demand and aggregate output. Meanwhile, increase of money supply will lead to the bank reserve and deposit increase, thus enhanced bank to increase the loan quantity, the fund that the borrower attains increase, then the total quantity investment will increase, which also lead to the quantity of aggregate demand increase, hence, the total output also rise. We will use following econometric model to analyze the relationship of asset price and monetary policy. 4.1. Analyzing correlation coefficient The correlation coefficient is a measure of two variables relate to each other and their close degree of effective tools. Its absolute value is close to 1 description of relevance, the stronger between variables, the more its relevance with 0. If the correlation coefficient is positive, then the variables presented to changes in the relationship, with one variable with another variable changes. But if the correlation coefficient is negative, then the variables are changes in the relationship in the opposite direction. Using correlation coefficient can be better measured variables and between monetary policy and asset price correlation between Extent its positive and negative symbol can indicate the variable ask changes direction. Generally used to be associated matrix said. 4.2. Testing for Nonstationary In time series, stationary is a key concept, as it allows powerful techniques for modelling and forecasting to be developed. Stationary is generally regarded as some pattern of data stable or equilibrium. Stationary time series have constant mean and variance, but its covariance only determined by the time distance. However, when time series could not analyze as stationary, this types of time series always have a strong upwards or downward trend over time, we call it as nonstationary, and we can use differencing as an effective tool to transform a nonstationary time series into a stationary time series. Sometimes, Transforming a nonstationary time series into a stationary one needs more than once differencing operation. Generally speaking, if the differencing needs to be operated at least d times to achieve a stationary time series where d is the order of integration, then the time series is said to be integrated of order d, denoted by I(d). Hence, the I(1) time series also referred to have a unit root, while the I(0) time series are stationary. Dickey and Fuller (1979) provided an effective method to test a time series is stationary or nonstationy time series, which is also called as Dickey-Fuller (DF) test. The elementary object is to test the null hypothesis that the time series have a unit root or not. The model the Dickey-Fuller (DF) test involves bellows In this dissertation , indicates the variables on monetary policy and asset price at time t. ÃŽ ± denotes unknown parameter and denotes the trend. denotes the first difference which . Also, the t-statistic for testing the null hypothesis that H0: =0 against the alternative hypothesis H1: While the index and real rate variable we consider under the model H0: against H1: We also can identify the fittest lag k by running the ADF(k) test, choosing the fitted order k that gives the minimum AIC and BIC. 4.3 Cointegration Formally, Engle and Granger (1987) defined the cointegration as if there exists a linear combination of two or more I(d) time series which is I(d) with d In practice, we usually use cointegration test to exam the long-run relationship among variables in economics. If times series have relationship between variables, and the trend of the two time series has been common, and thus there will be a linear combination of these time series give us an stationary time series. In this dissertation , we test the long-run relationship between monetary policy variable and asset price variable by cointegration test .First, we consider the regression of two I (1) time series. The model is To test { } and { } are cointegrated, we need to exam that the residuals term { } is stationary .If the residuals term is I (1), then this two times series do not have a cointegration, otherwise , if the residuals term is I (o), then this two times series are cointegrated. Under this case, to test the residuals for unit root ,we can conduct DF/ADF-statistic test. In this paper, we denote that monetary policy variables as and we regress on a constant and one of the asset price variables as . 4.4. Causality Test Granger (1969) provided that Granger causality test can apply generally for testing the causal relationship on two time series.Granger causality means that if { } Granger causes{ } then { } have a predict power of { } , given any other variables. More formally, it is said that { } Granger causes { }; when the forecast of given data on { } and { } outperforms the forecast of given data on { }only. Granger causality is only related to the predictability of { } using { } and is not concerned as to whether{ }causes { }, it could be that { } Granger causes { } but { } is not causal for { },and vice versa. To test for Granger causality, we could estimate the regression by OLS In this dissertation , denotes an indicator of asset price, i.e. Shanghai composite index (lnindex) , house price ( lnhsp) , Also,denotes the indicator of monetary policy, i.e. financial institutions aggregate loan (lnloan), broad money (lnm2), real interest rate (rate) . Then conduct an F test on the null hypothesis against the alternative at least one of the is not zero. If we reject the null hypothesis, then { } has predictive power for { } and therefore, { } Granger causes { }, on the other hand, if we fail to reject the null hypothesis, then { } has no predictive power for { }, therefore, { } does not Granger causes { }.We usually test the two times series for Granger causality in pairs, that is, first test whether { } Granger causes { } and then test whether { } Granger causes { }.If two variables have Grange causality relationship in both directions, i.e. { } Granger causes { } and { } Granger causes { }, then we could regard these two varibles have causality relationship in both directions, that means these two variables are related. If two variables have Granger causality in one direction, e.g. { } Granger causes { } but { } does not Granger cause { }, then we can conclude that these two variable just have a one way causality relationship. 5. Presentation and Interpretation of Results 5.1. correlation coefficient between monetary policy variables and asset prices variables We analysis the correlation between monetary policy variables and stock prices variable according to the data provided by China Economic Information Network, and the correlation coefficients are presented in Table 2 and Table 3. Table 2 Correlation coefficient between lnindex and lnloan,lnm2,rate in 1998-2008 Lnindex Lnloan Lnm2 Rate Lnindex 1.000000 Lnloan 0.4829 1.000000 Lnm2 0.4867 0.9980 1.000000 Rate -0.4717 -0.9013 -0.9067 1.000000 As we can see, stock price (Lnindex) has correlation relationship with all monetary policy variables. With a higher stock price, loan and money supply will be increased, while real rate will be decreased. For monetary variables, loan and M2 have a strong positive correlation, and M2 have a strong negative correlaton with real rate. In conclusion , for the stock price variable, it has basically the positive correlation with the loan and money supply variables , and has negatively correlation with the real rate. Table 3 Correlation coefficient between lnhsp and lnloan,lnm2,rate in 1998-2008 Lnhsp Lnloan Lnm2 Rate Lnhsp 1.000000 Lnloan 0.9667 1.000000 Lnm2 0.9633 0.9980 1.000000 Rate -0.8453 -0.9013 -0.9067 1.000000 From table 3, we can see house price (Lnhsp) has correlation relationship with all monetary policy variables. With a higher house price, loan and money supply will be increased, while real rate still will be decreased. In conclusion ,for the house price variable, it has basically the strong positive correlation with the loan and money supply variables , and has strong negatively correlation with the real rate. 5.2.Results for unit root test We exam monetary policy variables and asset prices variables by Augmented Dickey-Fuller (ADF) to test the stationary of time series. First ,we choose the AIC and BIC to determine the fitted lag it suggest that the optimal lag for time series is lag k =1,Then we run ADF to test stationary of time series. Results are below: Table 4 ¼Ã… ¡Augmented Dickey-Fuller Unit Root Test for Variables Series ADF Test critical values Results 5% 1% Lnhsp -1.685 -3.41 -3.96 have a unit root Lnindex -2.085 -2.86 -3.43 have a unit root Lnm2

Hatred Against Work Essay -- Employment, Slavery

Throughout history, mankind has worked. Work is a physical effort made towards a purpose. Work has been done in all aspects and forms. Whether it was working on a farm, picking crops or working in office, analyzing data, different forms of work are done. Due to work, our society is able to enjoy unimaginable luxuries and the economy thrives off such success. However, work has altered mankind. Because of work, we have become slaves in our own society. Not only do we work long hours during our job, but we even have to sacrifice our own free time to work on other work related tasks. Such views can be illustrated through the works of Antler, an American poet. His poems, Factories Are Boxcars Full of Jews and Written After Learning Slaves in Ancient Greece and Rome Had 115 Holidays a Year demonstrate my views of how negatively work affects us. Work has altered our sensibilities, making us almost animals. Antler, who mainly wrote on nature and factories, develops such anti-work themes in both of his poems. Through just the first stanzas of both poems, he illustrates his views. Workers are "brainwashed robotzombies", "crucified their whole lives"(Written 9/ Factories 26). Every year, the number of workers increase but the "cells of urban hives" remain the same (Factories 1). The human spirit is killed each year by work. Were not creating loving boys and girls, but rather " better murder weapon", all in hopes of a higher standard of living (Written 4). "Work is a curse", changing men into beast. It is work that led to the murder of 6 million Jews, contributing in some way to the death of our planet. What "difference [is there] between [workers] and Nazis", if what Nazis did to the Jews is what workers in "factories are doing to the ... ...ing through society. In hopes of higher standards of living, we fall into a life of work, becoming "socialization lobotomies"(Written 10). Each day, we follow the same routine as brain-dead machines , going to work in the morning and returning at night. Society is not creating better individuals but rather better workers. Antler is a nonconformist, who despises the notion of work and factories. His inspiration come through the forest and rivers, where he spends nearly two months every year in the wilderness. His poems, Factories Are Boxcars Full of Jews and Written After Learning Slaves in Ancient Greece and Rome Had 115 Holidays a Year reflect such negative views about work. Work is a dark pit, which if someone falls into, there's no getting out. Work has done nothing more than brought misery on our planet and create the largest scale of slavery in history.

Cortes Conquers the Aztecs: Spanish Conquest or Indian Civil War Essay

The Spanish conquests of Montezuma and the Aztecs were both a Spanish conquest as well as an Indian civil war. The thing that ties them both together is the Conquistador Hernan Cortes. You could argue for both sides as to which played a more significant part in the fall of the Aztecs, however, I feel they both played an equal role in the defeat of the Aztecs and the fall of Tenochititlan to the Spaniards. When Cortes first came to Mexico, he did not know the language spoken by the Indian tribes. He was fortunate enough to have two interpreters; Aguilar, a shipwrecked Spaniard who had learned the Maya language, and Malinche. Malinche was a young maiden â€Å"given† to Cortes as an offering. Between her and Aguilar, Cortes was able to become familiar with the way the Aztecs lived, thought, and fought. He used this tactic to aid in expedition and to guard against any attacks. By far, one of the biggest downfalls of Montezuma and the Aztecs was the role of the God Quetzalcoatl. The majority of the Aztecs’ lives and beliefs was centered on their Gods. One of their biggest beliefs was of the God Quetzalcoatl, the feathered serpent. Montezuma believed that Cortes was the human version of Quetzalcoatl. The legend of Quetzalcoatl depicted a bearded, white God who looked similar to Cortes. Quetzalcoatl was prominent during the Toltec rule and had supposedly left the valley because he was unhappy with the way things were. The Aztecs believed he was expected to return and bring back good times and good fortune. Cortes took advantage of their beliefs and immersed himself into the Aztecs lives. Against the advice of his royal family, Montezuma welcomed Cortes and the Spaniards with open arms. They wanted Montezuma to kill the foreigners. The Aztecs tried giving the Spaniards gold and other riches to get them to leave their city. This only fueled their desire and ambitions for more, and they refused to leave. The more they gave, the more the Spaniards wanted. Cortes made Montezuma a prisoner of his own city, which led to an uprising by the Aztecs known as â€Å"La Noche Triste†, or The Sad Night. Many lives were lost on both sides. Many other factors contributed to Cortes’ victory over the Aztecs. His soldiers had far more superior weapons and they had horses. The Aztecs were very afraid of the horses because they had never seen anything like them before. Disease also played a huge part in the defeat of the Aztecs. The Spanish brought ailments that the Aztecs had no immunities for. Three-fourths died from either violence or diseases such as small-pox and the measles in just the first century of the conquests. The Aztecs’ tactics of war were quite different from those of the Spaniards, and this was also a point in the Spaniards’ favor. The Spaniards fought to kill. The Aztecs did not. The Aztecs fought to capture and get prisoners so they could later use them as human sacrifices to their Gods. In fact, Cortes himself was captured several times but was re-captured by his men and rescued. The most important factor by far in the defeat of the Aztecs by Cortes, according to some historians, is the help he received from the other suppressed Indian tribes in the area. This is why I believe one could view this as not only a Spanish conquest, but also as an Indian civil war. These other Indian tribes chose to help Cortes fight because they felt they would benefit greatly from the defeat of the Aztecs. They were tired of living under the Aztecs’ rule and saw Cortes as a type of hero, or liberator. They were more than happy to help wage a war against the Aztecs if it meant they could have better lives. After many deaths on both sides, The Aztec capitol fell in August of 1521. After capturing Tenochititlan, the Spaniards destroyed the city and on top of it built was is now present day Mexico City. I believe the preceding statements support my argument that the most important factors in the demise of Montezuma and the Aztecs were from the equal combination of having to deal with a Spanish conquest and an Indian civil war. Sources: Vigil, James Diego From Indians to Chicano Internet site, Then Again Info World History Chronology Project; www.thenagaininfo Matthew, Roy T. and F. DeWitt Platt Western Humanities Sullivan, Richard E., Dennis Sherman and John B. Harrison A Short history of Western Civilization Wood, Michael A Legacy- The Search for Ancient Cultures

Football Coaching Essay Example

Football Coaching Essay Example Football Coaching Essay Football Coaching Essay Football coaches develop the knowledge, techniques and motivation of football teams and players. They train players at all levels, from beginners to top As a football coach you would: plan coaching activities, sessions and programmes provide feedback and give advice on players performance, fitness and technical skills develop and discuss strategies and tactics for both individual and team play give guidance on nutrition, and injury recognition and prevention research good practice and innovative examples of coaching from around the world advise players on how to keep up a positive mental attitude and self-discipline. At a higher level, you may also: analyse matches and player performance data design innovative training methods and programmes deal with the media. You could coach at amateur level, working in the community with children, youth or adult teams (often as a volunteer), or at semi-professional and professional level, with players in football academies and league clubs. As a community football coach you would work with clubs, schools and local authorities, using football as a means of personal and social development. You would work closely with local community organisations to develop opportunities for young eople to get involved in sporting activities. Hours Many coaches are part-time, and you would often combine your coaching with other full-time work, for example coaching for two evenings during the week and attending games or tournaments at the weekend. Attending training sessions and matches can mean working long and often unsocial hours in all weathers. Income Community football coaches can earn between E16,OOO and E24,OOO a year. : Football League/Premiership coaches may earn between E25,OOO and around E250,OOO, depending on the role of the coach and the level of the club. Football coaches are often employed for a few hours a week, and paid an hourly rate. Figures are intended as a guideline only. Entry requirements You can qualify as a coach by completing Football Association (FA) coaching qualifications (often called badges), which start at Level 1 and go all the way through to the UEFA A Licence for the semi-professional and professional game. You would begin by taking one of the following qualifications, depending on your experience: Level 1 Award in Coaching Football Level 2 Certificate in Coaching Football. The Level 1 Award introduces the basics of coaching theory and practice and would e suitable for someone without experience or who assists a coach in a team. The Level 2 Certificate is aimed at those who already have some experience in coaching and/or playing and teaches how to plan, conduct and evaluate training sessions, using different coaching styles. These are widely available at colleges and training centres, are open to anybody over 16 who has a keen interest in sport and can be used to work with football players of all ages. 1st4sport Qualifications accredits the Level 1 and 2 coaching awards and you can find more detailed information about them on their website. st4sport Qualifications Football (Opens new window) Volunteering at a local amateur football club is a good way to get started and gain some experience in coaching. Check the FA Find a Club page for contact details of your nearest clubs. FA Find a Club (Opens new window) The FA also offers a range of coaching qualifications if you wish to work with people with disabilities or want to concentrate on coaching children and at youth levels. To work with children, either as a volunteer or paid coach, you will need to pass background checks by the Disclosure and Barring Service (DBS). See the DBS website for more information about checks. Disclosure and Barring Service (Opens new window) You can find full details of routes into coaching, volunteering, and local and national courses on the FA website. FA Become a Coach (Opens new window) You could also gain coaching qualifications and experience as part of a university course in sports coaching, sports science, sports studies or physical education. Once you nave completed qualifications up to Level 2 and nave experience ot coaching, you could progress to the higher level FA qualifications. Training and development After achieving the Level 2 Certificate in Coaching Football you can apply for the UEFA B Licence. The course covers a variety of theoretical and practical skills, including: principles of attacking, counter-attacking, movement and possession, and defending set plays (corners, free kicks and throw-ins) training drills the 4-corner approach to player development technical, physical, psychological and social fitness and nutrition. The course involves 16 days of study and practical workshops, spread over a number of weeks. It can be done at regional centres or through the St Georges Park National Football Centre at Burton-upon-Trent. To apply, you must be aged 20 or over, hold the Level 2 Certificate in Coaching Football and be regularly coaching an 11-a-side team. The last stage for some coaches is the UEFA A Licence, which is geared towards those working at semi-professional and professional level, although it can be used to work at all levels. It has two parts done on a residential basis. The first part is 13 days long and the second takes eight days. You would also take a one-day pre-application course to make sure you have the necessary qualifications and experience. It builds on topics covered by the UEFA B course and includes team motivation, tactics, strategy, match analysis and player performance. On successful completion, you would be expected to apply for re-assessment within five years. There is a UEFA Pro Licence beyond the A Licence, mainly aimed at managers in professional football, which concentrates on areas like management skills, leadership and handling the media. You can also add to your coaching qualifications with training in particular areas, such as: goalkeeping specific skills for defenders, midfielders and attackers sychology player confidence, mental strength and behaviour futsal (South American indoor 5-a-side game, growing in worldwide popularity). See the FA website for more details about their courses and coaching qualifications. FA National Course Planner (Opens new window) To be successtul, you should always be open to new ideas and continually improve your skills and knowledge of the game. You can Join the FA Licensed Coaches Club for continuing professional development opportunities. FA Licensed Coaches Club (Opens new window) Sportscoach I-JK also offers an extensive programme of personal development ourses for coaches at every level. Skills, interests and qualities To become a football coach you will need to have: energy, enthusiasm and the ability to motivate others knowledge of, and keen interest in, football good communication skills patience and determination to succeed flexibility and the ability to adapt to changing environments, ability groups and weather conditions the ability to give tactful, positive advice and constructive criticism good organisational and planning skills a confident and professional manner. More information Football Association My Football (Opens new window) ww. thefa. om/my-football Sport England (Opens new window) www. sportengland. org sports coach UK (Opens new window) www. sportscoachuk. org SkillsActive (Opens new window) Castlewood House 77-91 New Oxford Street London WCIA IPX Advice line: 08000 933300 www. skillsactive. com 1st4sport Qualifications (Opens new window) Coachwise Ltd Chelsea Close Off Amberley Road Armley Leeds Tel: 0113 290 7610 www. 1st4sportqualifications. co m Opportunities You can develop your career by moving to more prestigious and higher profile clubs. Progression will depend on your results and reputation. You may also be able to take further training to develop your skills into more specialist areas, such as international coaching, performance coaching and goalkeeping coaching. As a coach working with young people, you may be able to gain relevant qualifications and move into sports development or youth work. Many of the skills and qualities you develop as a good coach would be transferable to other areas of the sports industry. Vacancies are advertised in the press and on websites such as the following: Leisure Jobs (Opens new window) I-JK sport (Opens new window) Jobs page

An Apple for the Teacher

An Apple for the Teacher The tradition of putting an apple on teacher’s desk was allegedly started by a grade-school student who polished a red apple and placed it on teacher’s desk just before the class start. The â€Å"apple polisher’s† intention was to ask for a better grade or bribe the teacher with a bright and shiny red apple. REMEMBERING OUR FIRST STAGE OF EDUCATION Apple as a Symbol of Teaching in Different Countries The apple has been the symbol of teaching for many years but used differently some parts of the world. For instance, seems so different from the original apple polisher’s intention, students in Europe who cannot afford school fees traditionally bring an apple for the teacher as acceptable payment in kind. In Nashville, Tennessee, U.S, a crystal apple award is given to a teacher â€Å"who made a difference†. Moreover, the apple according to literature represents the happy relationship between teachers, students, and their families and from a teacher’s perspective, an apple on their desk is an appreciation of their hard work and a gift from people who like and see them as noble professionals. Teaching is the most demanding of all profession but according to a teacher with more than thirty years in service, teaching is the most rewarding and noble profession of all. For one thing, teachers help younger generation survive the challenges of present and future by transferring their knowledge and skills. The reward on the other hand such as simple a bear hug from students, an apple on the desk, a birthday card with a note, and so on is far greater than the demands. Teaching Is the Noblest Profession of All Teaching is a profession that is conceptually and ideally noble. Compared to another profession, teaching has a multitude of dimensions and it is considered to be the only profession that requires becoming a qualified practitioner.  For instance, teachers must undertake sound professional training before they can teach, undergo induction training at work and update their knowledge and skills through continuous education. Moreover, teachers are mostly engaged in human development activities. Qualified teachers normally mastered the knowledge of the subject, the pedagogy, teaching techniques, dedicated to students’ learning and betterment of our society. The professional and cultural dimensions of teaching made it an even  more difficult profession. However, the most inspiring justification for being an exceptional and noblest profession is the reality that monetary consideration in teaching is often secondary. One of its primary principles is selflessness and required by the code of ethics to maintain dignity and avoid controversies in and out of school. In fact, aside from maintaining a high standard of personal appearance, a teacher’s own life should reflect dignity in education, act as people with superior educational skills, blameless, obedient, and neutral to any social, economic, and political issues. Despite enormous demands and pressure, teaching is a poorly paid profession, teachers do not usually have similar public respect that other professionals enjoy, considered professional but not autonomous at the workplace, they normally need to work in the evenings and on weekends, perform enormous clerical activities, and in most occasion dealing with poor working condition. JUNK FOOD IN SCHOOL

Inferential Statistics Essay Example | Topics and Well Written Essays - 500 words - 3

Inferential Statistics - Essay Example The study aimed at establishing whether the Federal workers’ compensation cases referred to Navy physicians for medical opinions in any way had an influence on the final decision made by the Department of Labor’s Office of Workers’ Compensation Programs (OWCPs) (p.18). Some independent variables were claimant’s age and categories of the case (p.19). The dependent variable was â€Å"decision outcomes†. The study tested whether decision outcome in the compensation cases was dependent on the physician’s review report. The researchers used a descriptive epidemiological study to select the 325 worker’s compensation cases from the navy injury compensation programme administrators. The cases were sampled from all over the United States between 2006 and 2010. The filed selected cases were treated as participants in this study, although the owners were not directly interviewed. The particular bias inherent in the study was that the cases tested were the ones which the ICPAs analysed as unusual, and thus needed a support from a physician. If this was the case, the physicians would have rejected most of the cases, which did not require a physician to strengthen the claim (p.19). However, the researchers were alarmed by the fact that physicians recommended in favour of the claimant in most of the referred cases. Since the review was found to influence decision, the whole process might have had a degree of bias. In the study, the researchers used retrospective case study and descriptive analysis of the 258 physician opinion letters written between 2006 and 2010. They used analysis of variance (ANOVA) to test the significance of the relationship between the dependent and independent variables. One ethical concern is the disclosure of the medical records of the claimants without their consent. Given that they were not requested when their information was being tracked, neither were their physicians, this can

Introduction to Marketing Research Paper Example | Topics and Well Written Essays - 2000 words

Introduction to Marketing - Research Paper Example In every business the political arena is a key determinant of firm future, this is because the firm can either continue to invest in the country or withdraw if there’s political environment. Politics of a certain region affect the producers of a certain product. In our case, though Kenya has had a peaceful business environment for the past decades, there are some regions which had tribal clashes and this affected the operations of the company. Tribal clashes in the rift valley province made the production cost of the firm to rise so high were it not for the company’s big capital base than the company could have ceased its operations. There was a rise in the wage rates, cost of transportation doubled and security had to be beefed which all came along with costs. Political environment affects the operation of the firms in all the developing countries, Kenya being one of them, during the year of an election. This is because due to the high poverty rate, a lot of funds are distributed to the poor citizen who are casual workers in many firms, this diverts their attention thereby making the production cost to be very high. The company does export its products to the United Kingdom where the political environment has been very conducive for it to market its customers; political environment affects the effectiveness of a business marketing strategy such as promotion, pricing, product cycle and where to place its products in the market. The economic environment of a business affects the marketing strategy and product mix.