Economics I Singapore

Topics: Unemployment, Inflation, Economics Pages: 7 (971 words) Published: March 20, 2015
1) Introduction:

This report consolidates the Economy of Singapore, formally the Republic of Singapore, a sovereign city-state and island located in Southeast Asia, the Production Output Performance Analysis, Labour Market Analysis and the Price Level Analysis. Emulated by the conclusion and references.

Despite being known as a little nation, Singapore was ranked by the ‘2011 World Bank Ease of Doing Business Index ranks’ as the best state ahead of Hong Kong and New Zealand, in the world to begin an organisation.

2) Production Output Performance Analysis:

2.1) GDP (Constant Price):

The Singapore economy shrank in the last quarter of 2009. This decrease was essentially because of compression in the yield of the biomedical assembling and transport group. Another factor affecting the economy will be the increase of oil prices around the world; therefore affecting any countries including Singapore, which will lead to an inflation hence, causing a recession.

The economy got back on track in 2014, with development backed principally by the biomedical assembling and chemicals clusters.

2.2) GDP Growth rate:

The decline in GDP growth rate in 2008 and 2009 was due to the consequence of the global financial crisis caused by Lehman Brothers. Thus, affecting the real economy especially the import and export business, MNC and small medium enterprise companies.

However, in 2010 the annual growth rate increased and reached a record high brought on by the blossoming manufacturing sector and the growth in export and tourism.

2.3) GDP Per Capita:

During year 2014, Singapore surpassed the charts for the hightest GDP per capita rate reasons being due to having gifted and educated work power which is liable to prompt better long haul prospects for Singapore's financial development.

2.4) Government’s measures to achieve the economic performance:

The Government has propelled different projects, and worked with organizations and unions to help organizations rebuild and enhance their benefit. Examples are; the enhanced Productivity and Innovation Credit Scheme (PIC) gives tax benefits to organizations, which put resources into productivity upgrades and training for their employees. Upgraded and focused on aid is given to more helpless gatherings, including older and low-wage workers.

3) Labour market analysis:

3.1) Describe unemployment trends:

2004 was an extreme year for Singaporeans, therefore hitting the most astounding rate of unemployment in. Organizations are still trying to cope with the recession, which is influenced by the worldwide financial meltdown and an alternate troublesome sitution that hits Singapore in 2003 – SARS, which affects tourism and purchasers spending.

After a rough year, Singapore recovers its economy due to the Government financial strategy, brilliant infrastructure, numerous foreign investments and high talented workforce. Real redevelopment activities likewise help developments, recreation and retail commercial enterprises, and additionally tourism.

3.2) Types of unemployment:

Frictional unemployment happens, as it requires time for individuals to discover new employments after changing occupations or in search for other suitable employments. Job seekers like fresh-graduates have a tendency to be frictionally unemployed.

Structural unemployment is an outcome of structural changes inside an economy. Workers who do not have the fitting are laid off, in this way causing unemployment.

Cyclical unemployment is programmed unemployment on account of an unlucky deficiency of aggregate enthusiasm for stock and organizations.

3.3) Government measures to achieve full employment:

To lighten the unemployment issue, the Government has created alternatives such as job fairs, job recuritment websites and agencies like Workforce Development Agency (WDA) to help unemployed Singaporeans seek employment opportunties in a...
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