Friday, August 3, 2012

FUNDAMENTAL REASON AND SOLUTION OF RECESSION 2008

Fundamental cause and solution of recession 2008 in world market

Major areas of improvement for economic improvement at running recession, effective since 2007-2008:
* Citizen may change their habit to ignore consuming overseas products/ brands. They may find alternatives in domestic products/brands only.
* Citizen and government may take this recession as a challenge and start a joint operation of non-cooperation movement against overseas products.
* They may try to increase GDP (gross domestic production) rate of country
* Government organization may monitor, promote and invest in activities concerned to the growth of national productivity and GDP. They regulate the portfolio of overseas demand generation of consumer goods, production supports and supply chain system.
* Conversion of natural resources and raw materials in processed goods and the high-tech consumer products at their home production only.
* Change the life style at alternate track to minimize consumption of necessary life line products and unavailable natural resources like petroleum oil, crude palm oil etc.
* Citizen may adopt battery invertors as alternate of petroleum consuming generators.
* Avoid fuel engines and use alternate e-bikes/ cars. That gives: personal savings to individual minimize import volume of fuel, save cash reserve of a country, save stock of natural resources for the future generation, control pollution from global warming and save life on earth for longer period.
* Use and promote; only alternate energy sources in consumption. Like: solar energy, mechanical energy, wind energy and garbage energy etc.
* say no to thermal energy and hydro energy to preserve the reserve of coal and sweet drinking water for a long future on earth.
* People may play a forward role near government fighting to the current urgent and immediate required activity for development of the country during pressure of global recession. Government action may free from demand by public on domestic care in area of improving public life style by education, employment, health, infrastructure, subsidy, election, internal matters, home wars etc.
* People may declare blind support to government on level of emergency by people itself.
* We need announcement of "operation non-cooperation to foreign support" by the citizen near their government.
* If recession may solve, then all discussed problems of citizen would automatic solve including infrastructure, employment, education, health, subsidy, election, home affairs etc.
* GE, GM, Chevrolet, Ford, Tesla, Canadian electric vehicles Ltd and many major automobile manufacturers are already manufacturing and supplying to the consumers in America, Europe and some Asian companies. China based traders has already the same products on sale since 2003. We Indians are still late to adopt this mandatory facility in our welfare. leaders in India; government of India; auto mobile manufacturer of India like Mahindra, Tata, Bajaj etc.; prominent investor like reliance industry, DLF, Adani, Jindal, Singhania; NGO like Anna Hajare, Swamy Ramdev; inspirational models like Amir khan, Amitabh Bachhan, Sachin Tendulkar, Bal Thakrey; news channel like Star, Zee, Sony, Discovery and specially the citizen of India may change their habit and adopt this electronic-vehicles in load and passenger ranges to bring required green revolution of 21st century as well as minimize dependency on overseas import of petroleum crude oil. We have the trigger to stop out flow of heavy amount of domestic cash and simultaneously control our daily expense on expensive fuel based transportation system. We need a mental change in everyone from entire systems in country. It is a fight with recession, daily savings and global warming all three by a single change.
* Indian companies may start manufacturing electronic, solar, mechanical vehicles/engine kits to replace the entire fuel engine vehicles from the road of India. They may increase their marketing in global market and produce to supply them to earn foreign revenue.
* Research and development team in India should be tasked to find out the solution in direction to run a normal fuel engine without fuel even if a fuel tank gets empty. Nature may work as our fuel tank. And natural air may take place of non-stop fuel supply. Vacuum pressure pump may frequently pumped by the produced spring strain on starting. External airs may absorbed above the capacity of combustion chamber. These airs may compressed within the limited space of combustion chamber. Compressed airs may get condensed and heated by this reason. Hot airs in combustion chamber may move out through the fuel pipe and reaching to the engine block, where they would be ignited and affect expected propulsion motion in pistons. This way, model of a vacuum pressure engine should ready to use.

- We may categorize some countries like India, Brazil, Peru, Russia and other developing countries in category A selling iron ore, manganese, bauxite, alumina and other mines, minerals and raw materials to countries in category AA like China, South Korea, Saudi Arabia and other countries. They are processing the raw materials in finished products and pallets. These finished products and pallets are further imported by developed countries in category AAA like USA, UK, Japan, Germany, Australia etc. to produce motor cars, home appliances, technical items, real estate, big infrastructures etc. for further sales and distribution to consumers across the world.
- Citizen at unorganized industry investment system of governments from countries in category A are missing the possible job opportunities at his motherland. They are depended on overseas job at well-developed industry investment structure of countries in category AAA. Government schemes by countries in category AA are causing total employment to citizen at domestic industries, mills, and heavy plants.
- Countries in category AAA develops a system with plaintive of basic infrastructure and productive industry. Infrastructures prove it strong business city for a shelter and attraction of tourism and investment in housing by millionaires from the world. It also retains the cash of salary paid to the overseas employees working on job visa at these foreign lands. Employees from countries in category A become the consumer of such infrastructure. Thus there are great demands of this infrastructure. Motor cars, technical goods and other products of Countries in category AAA are distributed to the world market including consumers at countries in category A. Turned up capitalist from the sale of raw material, mines and minerals in country A are also investing at overseas infrastructure with hope of regular growing economy of this infrastructure at Country AAA. Liquid cash of country A are shifting to developed countries in category AAA by this method. Cash of raw material owners in country A are becoming one half for the same product when that reaches to country AA including additional coast of transportation and others. That may further become one fourth with coast on processing in pallets and become one eighth when supplied to a motor car manufacturer, Construction Company of big infrastructures and other importers from countries in category AAA. That would further equivalent to one sixteenth or lesser than the original price of raw material used at construction of these motor cars or houses. This fraction of gross domestic production called GDP is major factor to express the fundamental reason of economy gap of countries. Countries A may control this depreciation by adopting planned steps in right direction. Countries in category AAA are obviously encouraged for multiple projects and investment on same strategy in due respect to increase their GDP. Obviously they invent and use the advance technologies for easy, qualitative, quantitative and economic production. These depict them as advance breeds in race of adopting high tech life style. They develop new models and high-tech models of luxurious cars, home appliances and other goods. Others pay the multiple and higher value to consume those cars, home appliances, dress, designs and apartments etc.

Reverse cycle of non-cooperation movement by country in category A; to avoid consumption of high-tech consumer goods and investment in fascination towards modern life styles to cease the gross domestic production GDP rate of countries in category AAA.
- Country A like India and other developing countries has learned the lesson from globalization and appreciably beating developed countries in competition. They have searched the key formula, to reverse the cycle and overcome the gap of developing and develop. Hence they have now focused on increase in GDP rate of the country. They stopped dependency over imported high-tech products of developed countries. They improved domestic system in adequate and surplus production than domestic need. Hence it damaged the complete industrial system of developed nations in category AAA resulting recession in world economy. Instead of brain drain and overseas recruitment now these developed countries are suffering from problems like: unemployment, uncontrolled falling economy to retain investors, day to day industry closing, continuous bankruptcy in banking sector, decreasing liquidity reserve, missing foreign income, decreasing export of finished products, decreasing import of raw material or processed pallets for industrial use and increasing dependency on imported consumable goods etc. Experienced migrated workers are returning back with similar domestic jobs. Countries A are industrialized to employ their man power for surplus production of need based and hi tech products; supplying to consumers of developed nation. One side the developed nations are suffering with falling demand, crashing value, unemployment, break down industries and withdrawing investors simultaneously in second part of the world, developing nations are taken charge to fill up this gap. They become the attraction of investors. Industry systems have grown up at planned layers of demand generation and supply management. Reverse circumstance depict this replaced economy in a successful example of see saw. Developing country in category A are now minimum and somehow reverse in nature and towards intension to export raw material, mine and mineral and stopped overseas investment or dependency on import of processed consumer goods at globalization. It affects the mills and industries of countries like China in category AA. They suffer to pay high price on import of raw material for their mills and beaten to sale the processed product at competitive lower price due to appearance of producers in country A as well as decreasing demands under falling economy of the regular consumer market in country like USA, UK, Germany in category AAA. Import of raw material from country A is obviously closed and option of procuring these raw materials from other country has also become expensive by the emerging demands of raw materials from increasing mills in countries A.
- Here major effected countries at changing economy cycle of recession in discussed three categories are countries in category A is India, Brazil, Russia etc. Category AA is China, South Korea, Saudi Arab etc. And category AAA is USA, Germany, UK, Japan etc.



BY: DR RAJEEV KUMAR 00919709717711 rtycoon@gmail.com

No comments:

Post a Comment