ASSIGNMENT

Assignment Questions



Security and Peak Oil Theory

Question 4

Complexities Associated with Domestic Political Support on Arms Spending and High Military Budgets

Guns accompany the process of technological development of man from ancient times. Every country's government locally supports mechanistic and defensive arms systems along with the other elements of their particular technology. One of the major complexities associated with supporting arms spending and high military budgets raises concern over the great loss of life, high material costs, and financial burden over the economy (Reinert, 2004). Parallel to the process of spending on weapons and military spending, the American government states established alliances with other countries having high defense budgets to avoid isolation condition in the event of war breaking out. This attitude led to a phenomenon, which itself greatly increased the chances of widespread conflict between the alliance countries, resulting in managing two hostile military alliances complexities (Reinert, 2004).

Federal defense costs are expected to reach an all time high in 2011. This is not surprising considering that the US participated in two wars and constantly faces the threat of terrorism. The costs associated with elevated troop levels are compounded by the newest weapons technology that give American soldiers an edge in the battlefield, for a price. The variation is driven by strategic considerations such as the troop surges in Iraq and Afghanistan and the subsequent scaling back of operations (IBIS World, 2011). Additionally, funding requirements can elevate in response to new threats, which can materialize in a short time frame.

Spending by U.S. government on military budgets increased up to $160 billion in 2009 (IBIS World, 2011). This resulted in increasing the economic burden and making fewer funds available for other domains of the economy, such as healthcare, infrastructure development. Therefore, military budgets can be justified to the extent it does not result in harming the lives of country citizens economically and financially, while serving the need of national security and protection.

Globalization North

Question 1

Purpose and Significance of International Economic Organizations

Economic organization work to stabilize the economic growth of the countries. A number of international economic organizations such as World Bank, IMF, and WTO, and international political organizations such as the United Nations provide a distinctive support to countries in various economic domains.

The need for an organization like the IMF and World Bank became evident during the Great Depression that hit the world economy in the early thirties of 21st century. Economic depression resulted in creating a devastating impact to all forms of economic life. Banks failed by the millions, investment went astray, depositors lost the value of money, land values ??fall down, factories stood idle, and millions of workers walked lost their jobs due to economic instability and economic crunch (Hamilton, 2006). IMF promotes international monetary cooperation to provide a mechanism for consultation and cooperation on monetary issues.

Similarly World Bank provides available resources of the Fund in a position to protect member countries. World Bank works to give them opportunity for correcting maladjustments in their balance of payments without resorting to ...