The Dangers Of The Debt Ceiling

1486 words - 6 pages

Introduction:
This paper will be about how the Debt Ceilings from nations around the world can affect international management, Hospitality, and Aruba. The paper will look at the United States Debt Limit. From the beginning of the United States, up until 1917, Congress would vote and decide on each time they would issue bonds or make deals with countries that would leave the United States in debt. Since then Congress has set limits to this Governmental debt known as debt limits, and has also since then passed over their limit multiple times over. This paper will discuss how these debt limits may affect international managers in the future, while showing examples of past debt crisis situations. The paper will try to answer the following questions
• What is a debt ceiling?
• What are the potential dangers?
• What can be done to try to solve these issues?
• How does this relate to international management?
There will be two main parts with subsections under each. The first part will cover mostly the history of the debt limit mainly in the United States. Then it will look at the most recent debt ceiling that was passed in the United States, and its possible consequences and possible solutions. The second section will cover the relevance of the topic to International Management and Aruba.

Relevance to International Management:
When speaking about debt limits, usually we mean the debt of governmental bodies. These debts although not belonging to International Managers, may affect the ways that they look and/or work their jobs. Depending on if a manager is deciding on a new location or already in a location they may look at this in different ways. As mentioned before main problem found in the research was a default on debt. Other problems such as increased interest rates from investors may stem out before a default or even because of a default. Looking at interest rates, the international manager may have to begin to deal with higher governmental taxes due to money constraints on part of the government. As the interest rates increases for the government, it affects how much money is at hand to use for resources, which in turn may affect the efficiency and/or quality of your product and/or service. In a business such as hospitality, the quality of your hotel and satisfaction of your customers are what are important. If the business’ quality is being affected by government taxes, it may affect the satisfaction level of clients you were looking for, affecting profitability. Some other effects may include a reduction of reputation of a nation. If a country is continuously failing to pay its debts, other nations may begin to look down on said country. This negative view towards a country could affect how well your business does; it’s possible that potential business partners avoid you solely on the fact that the country you’re in no longer has a good reputation. The next possibility of danger is a default by a country. If a country defaults on a...

Find Another Essay On The Dangers of The Debt Ceiling

The Glass Ceiling Essay

3189 words - 13 pages advance high up the corporate ladder like men can. There are a very few exceptions to this, but the majority of women in organizations can only usually get to a certain position within the organization and that is it. These women fall victims of what is known as the “glass ceiling.”      The term the “glass ceiling” was originally coined in a 1986 publication of the Wall Street Journal report on corporate women (Lockwood, 1

The Glass Ceiling Essay

3315 words - 13 pages The Glass Ceiling The glass ceiling starts to form itself very early on. From the moment a woman enters the work force after college, she is faced with much discrimination and unjust belief that she will not be able to do as well of a job than a man. A man and a woman, who both have the same education and training for a job, will have a considerable gap in their yearly income. In a first year job, a man will make approximately $14,619

The dangers of pregnancy

1072 words - 5 pages Most women are not always aware of dangers of pregnancy. Pregnancy is an awesome thing to experience in life; it is one of the most common thing women can experience. However, pregnancy can also be the most dangerous thing. During the time that a woman becomes pregnant it’s very important for her to keep up with her health. There are so many dangers to pregnancy that are not always known until later during the pregnancy. This paper will inform

Dangers of the Internet

998 words - 4 pages Dangers of the Internet There are many pitfalls and perils on the Internet. Some of them are easy to avoid while other are not so obvious. Some of the Pitfalls and perils are annoying, while others are deadly to your computer. Still others are humorous and entertaining. There are many dangers on the Internet. This paper will try to cover some of them. The biggest dangers of the Internet are virus. Viruses are small programs that "infect

The Dangers of Totlitarianism

715 words - 3 pages Hiding in the shadows yet standing in full view, the signs of totalitarianism and the dangers that accompany it in 1984 are everywhere. Orwell is able to paint a frighteningly realistic picture of the all consuming monster that is a totalitarian state. It tries to hide its negative traits by covering them up with promising lies that bring a good public image to the state. When a totalitarian style of government is employed, it gains control over

The Dangers of Smoking.

1510 words - 6 pages Would you risk your life for one of your addictions? Even though we know more about the dangers of smoking, it sill haunts society. Not only does smoking have many dangers, physical outcomes, and costs, but also there are also many positive steps to combat this tribal habit.Some dangers of smoking are minor outcomes such as: problems breathing, wrinkles, and bad smelling clothes, hair, skin changes to yellowish color from the toxins in

The Dangers of Totalitarianism

1584 words - 6 pages actually the lower class. It wouldn’t matter considering the Inner Party controls the minds of the masses keeping them ignorant with slogans such as: War is Peace Freedom is Slavery Ignorance is Strength. (7) The Party controls every aspect of life your thoughts, memories, even the food you consume is controlled by the Party. The dangers is not in the total control but in the lack of rebellion. The lack of its success and the futility of

The Dangers of Chlamydia

1295 words - 5 pages urinate and wash after sexual contact. People with more than one partner should have an STD check every six months, even if there are no symptoms.      Chlamydia is a very dangerous infection to contract. Because many people do not experience any symptoms, the disease can spread with out the infected person even knowing that they have it. Although it is easily treated, it is important for sexually active people to know the dangers of this disease.

The Dangers of Jealousy

1115 words - 5 pages Jealousy is a powerful emotion, one that can damage the mind and demolish relationships. As soon as the seed of jealousy is planted, it will lead to harmful consequences. Jealousy will turn into anger, making the victim fixated with the idea. Many works of literature use the theme of jealousy to warn individuals about the dangers involved with jealousy. This is evident in Shakespeare’s Othello and Khaled Hosseini’s The Kite Runner. Othello and

The Dangers of Jogging

4126 words - 17 pages Final ReportThe Dangers of JoggingProfessor: Lynda MorrisseyThe Dangers Of JoggingWrittenBy:Spencer KingstonApril 22nd 2013IntroductionIt has been over a decade since the first Canadian Physical Activity Guidelines were published. These guidelines have been maintained and have also been adapted to reflect the advances made in the science of physical activity since the mid-nineties. It is recommended that one does a minimum of thirty minutes of

The Dangers of Metabolife

3998 words - 16 pages The Dangers of Metabolife Obesity: The term obese implies that one is very "fat", extremely overweight, and often carries negative connotations. However the scientific definition describes obese in a non-judgmental way that simply expresses ones weight as a number, a certain body mass index (BMI). Since the early 1980s, BMI has been the medical standard for obtaining obesity measurements (http://www.quantumhcp.com/obesity.htm

Similar Essays

Debt Ceiling And Sp Downgrade Of Us Credit Rating

2250 words - 9 pages Anthony Alonso4213-9739FIN3403Group 10The Debt CeilingIn "Debt Ceiling made easy," Ali Velshi summarizes the basics of the United States debt ceiling. Velshi compares the debt ceiling to be like the credit limit on a credit card. The U.S. borrows money to fund our economy. Government programs such as Medicaid, Social Security, Disability, and other similar programs are funded based of the U.S. debt ceiling. One can think of the debt ceiling as

The Glass Ceiling Essay

2471 words - 10 pages From the time women started working, they have been facing the challenge of breaking the glass ceiling in order to climb to the top of the corporate hierarchy. Although the glass ceiling is not as prominent as it was in the past, it is still very real, and it affects not only women but other minorities. Whether it is the ceiling, wall, elevator, or cage, the glass prevents women from advancing in their careers. It has existed from the beginning

The Glass Ceiling Essay

1447 words - 6 pages of diversity has cultivated an environment of racism and sexism that affects company productivity. It is especially important for employers to be aware of the issues surrounding workplace diversity, as this can affect every aspect of a company. In my search to understand some relevant issues involving workplace diversity, I began researching “the glass ceiling.” The theory of the glass ceiling that woman experience in the workplace has been

The Glass Ceiling Essay

2498 words - 10 pages The “Glass Ceiling” is the term giving to the invisible obstacles sometimes found in the workforce. The barriers that limit women’s and minorities progress toward employment equity extend from the glass ceiling at the top of corporations to the floor of low paying jobs in the labor market. These barriers are created by a process at exclusion that continuously eliminates women, minorities, and other underprivileged groups from being candidates