Shifts in the Economic System from Building Real Capital to Building Research Paper

Shifts in the Economic System from Building Real Capital to Building Credit - Research Paper Example This paper demonstrates how the values of the economic system have shifted from amassing real capital or wealth to building credit. Building credit is presently revered in all sectors and industries, areas including transportation, entrepreneurship and real estate. This is primarily because good credit good credit is essential, not only to getting loans and credit cards, but more and more firms and societies are making the case that individuals must possess good credit prior to extending products and services to their customers. The issue of the shifting values, in the economic system, towards building credit is an important topic of discussion since it not only demonstrates the evolution of economic rhetoric, but also helps anticipate future trends in economic system. The modern economic environment is such that credit is a greater determiner of wealth accumulation than real capital The accumulation of real capital, which encompasses both financial capital and wealth essentially, refers to the accrual of ownership claims on labor and other forms of capital. Real capital can be epitomized in financial terms, for instance, having financial securities characterized by the ownership of massive funds to get hold of wealth and capital. Therefore, accumulating capital encompasses amassing objects of value by concentrating wealth or capital, for instance, financial capital, natural capital, social capital and human capital. However, in the modern day, credit is what dictates the wellbeing of the financial world. This is the case, not only among first-time home buyers, but Fortune 500 companies that significantly affect national economies (Guseva, 2005). Lenders, whether local, national, regional or global make decisions concerning the credit worthiness of their borrowers on the basis of their credit histories or scores. At present, having a strong credit history is a major determining factor for one’s access to wealth, for instance, homes and cars since credit scores and histories influence access to loans, mortgages and other forms of financial investments. The shift in economic value from building real capital to building credit has been influenced by the microeconomic environment in which organizations and individuals are increasingly shunning physical money in favor of credit. Today, one does not require physical money to make purchases since credit cards allow for exchange of goods and services by swiping credit cards. This occurrence in the microeconomic environment has, in tur n, resulted in the shifts in economic values and ideologies in the macroeconomic environment. The real meaning of building credit is to meet the requirements lenders establish. The macroeconomic theory presently integrates credit and banking by appreciating the role of both banking and credit in shaping the overall economy (Heijdra & Ploeg, 2002). The present economic system appreciates the macro mechanisms that link the real economy to variables inherent in the environment, for instance, climatic changes and

Evaluation of Facebook, Twitter and LinkedIn in the Marketplace Essay

Evaluation of Facebook, Twitter and LinkedIn in the Marketplace - Essay Example The indexing of information provides an easy way of getting the information to the consumers on Twitter. Indexing of the information again provides the updates about the products to be got by the customers in real time. Again the method of indexing on twits can help consumers to search for more information about a particular product instantly. Twitter has improved its strategies for marketing in the business world. That is an indication of success in its development. Second, Twitter also provides new business ventures for its users. For instance, the speaker states that some users find Twitter convenient to follow states agency publications. Further, Conan indicates that there is no limitation on the number of persons to follow on twitter. In addition, it is not very necessary to follow an individual to get his or her twits. An individual can follow another user but do not follow the person and the person can read your twits. Twitter can, therefore, give one unlimited space to follow more and more Twitter accounts. In a case where one wants to explore the marketplace for business, and then the persons can understand the very diverse business area of interest. The advantages of the use Twitter, therefore, indicate the success of Twitter in the future in the marketplace. It will give a space for one to understand very diverse market area through twitter. That is an evidence of the success of Twitter in the marketplace. According to Lucy, the monthly traffic web traffic indicates that Facebook is posing much more threats to LinkedIn (1). In most of the blog posts, almost a half-dozen blogs show that Facebook is gaining dominance over Myspace in the made-up social media war. Twitter and Facebook have been integrated by their founders such that one can synchronize both Facebook and Twitter account as just update on one account, and the other account would automatically be updated.