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Economic Geography

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Both academics and scientists have laid special emphasis on trying to decipher the various aspects of the labor market as a related strategy of effecting broader and extensive processes of economic restructuring. Essentially, power struggles refer to the fight between individuals or groups with the aim of obtaining control of something. It entails a situation where two groups are trying to outmaneuver each other to gain control over a specific task or situation. Politics refers to the activities associated with the governance of a particular place, nation or corporation. Through politics, individuals or groups make the rules and regulations by which they live of a day-to-day basis. A “Local Labor Control Regime: refers to a local but very stable local institutional framework with the primary objective of regulating and accumulating labor around strategic market reciprocities.

There is no doubt that through politics and power struggles, various changes, and alterations are witnessed especially with respect to norms, habits, social relations and rules. Additionally, the emergence and development of “Local Labor Control Regimes” is widely informed by the fact that there has been a marked decline in the capitalistic consensus seeking institutions raises the fundamental question of which, if any of the labor market government structure or regimes will take the center stage in various localities. The primary aim of this research paper is to provide a detailed explanation of how power struggles and politics affects and influence various changes “social relations, rules, habits and norms” and therefore, the Local Labor Control Regimes.

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The constant power struggles and politics associated with the labor market has resulted to several significant changes in the labor market. Changes have been witnessed in the systems of reproduction and production, which are often owned and driven by actors at higher scales, but are widely influenced and effected by the “local Labor regime” to the benefit of the locals. Some of the institutions involved in the politics and power struggles that characterize the changing labor relations include labor unions, municipal  officials, community leaders, corporate investors, recruiting agents commercial estate management agencies and community leaders.

The concept of Local Labor Control Regimes brings to mind the aspects of labor regulation including Fordism and neoleiberalism. It does not concentrate on how the local levels of capital deal with the immediate needs of the labor control. In this scenario, control is used to underline the need to exert some power over the entire labor process. The Local Labor Control Regimes are widely driven by a contradiction of capitalism, which is mainly the potential spatial mobility of various firms, and their related bargaining power, and the dire need of the organization or firm to make considerable profits from the investments that they make. Essentially, the conflict and power struggle is often witnessed between the employees and the employers within a labor setting.  Several organizations and individuals that are involved in the power struggle and politics that often characterizes the labor industry. In most forms or organizations, both the laborers and the management work very hard for the company to make profit.

The resultant profit is often divided and the workers get the least share in the form of wages while the company owners get the largest portion of the profit. The main struggle of the working class has always been to try to get an equal share of the profits produced by their labor. Essentially, most of the money given to the laborer by the owners of the companies they work for is spent on basic necessities such as food, clothing and housing. Therefore, the workers end up spending all their money by the end of the week. In essence, all the money they are given by the capitalistic system is taken away by the same system and this leads to strained social relations (Coe, et al., 2006).

All companies must act responsibly while dealing with their workers or employees. The management of Boeing dream liner has the right and authority to make crucial decisions that are aimed at ensuring that the firm is making reasonable profits. Nevertheless, the have to take the interests of their works into consideration to foster good social relations and minimize power struggles between the laborer and their employers.          

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Free trade agreement

Free trade Agreements are policy regulation that enables traders from various parts of the world to conduct their trade across national boundaries without interference, hindrance or prohibition from other governments. They are agreements between two or more nations to reduce or eliminate various tariffs on trade between them. In the contemporary societies, the “Free Trade Agreements” go beyond mere elimination of tariffs and may entail customs cooperation; foreign investment; commitment to services; intellectual property; and all other issues that are geared towards facilitating and bolstering trade. A notable example of a trade agreement is the North American Free Trade Agreement (NAFTA).

The arguments that have been raised against FTAs is they divert instead of promoting trade, nevertheless, research suggest that there has been very little or no diversion and that FTAs are widely responsible for trade liberalizations being witnessed in various regions of the world. General, a practical advantage of FTAs is they are always very easy to negotiate as opposed to other bilateral or multilateral agreements because they have relatively fewer members or parties at the table. While there North American Free Trade Agreements (NAFTA) has some disadvantages, the advantages far outweigh the disadvantages.

Encourages or promotes liberalization

There is no doubt that regional and bilateral trade agreements bolster multilateral agreements or processes of trade liberalization. Free markets expands the goals of the ever-expanding free markets, enhances peaceful cooperation between the member states and it bolsters individual liberty. In addition to the short-term economic benefits, NAFTA can advance American interests in several ways. NAFTA provides a very crucial safety valve whenever multinational negotiations and consultations become stuck. Ideally, NAFTA provides the requisite institutional competition necessary for keeping multilateral talks on track (Sonali et al., n.d).

Further, NAFTA and other free trade agreements provides a very fair and level playing field for all U.S. exporters who have been disadvantaged by the free Trade Agreements that do not include the united states. Even though the American producers may the most efficient and effective in providing quality goods and services in a particular sector, American exporters may not be in a position to surpass the advantage derived by other competitors who have the ability of exporting tariff free to the nations with which their nations that are members of the NAFTA (Sonali et al., n.d).

FATs such as NAFTA can institutionalize positive reforms and abroad. Essentially, NAFTA can assist or help the less developed nations embrace and institutionalize ongoing reforms and changes. A signed and ratifies agreements prevents nations from backtracking form the particular agreement during the times of political and economic challenges or hardships. Moreover, agreements serve to assure investors and potential investors that the undertaken reforms are binding commitments to liberalization. The availability of a free trade agreement also underlines that the exporters in member nations will enjoy duty free aces to the large American market. Additionally, by signing trade agreements with the USA, the less developed nation indicates to the world that they are ready to embrace competition. This signal, coupled with the apparent access to the American markets, foreign investors can develop confidence in these nations, thus stirring investment.

In addition, FTAs facilitate consolidation and internal reform among the member nations, therefore bolstering economic growth and support for enhanced liberation programs. By enhancing and boosting regional integration, FTAs accelerate the consolidation of production by nations that are members of a particular FTA, creates more production that is integrated and enhances economies of scale. Consolidation that arises from FTAs is more evident in crucial service sectors such as transportation, communication, services and financial sectors. Subsequently, efficient and effective industries can produce increased returns, which can boost investment, growth and a demand for exports from other members of the FTA or even the nations of the world. When the right conditions exist, FTAs can promote competition in local and domestic markers thus leading to reduced prices for the consumers and directing significant factors production to better uses, while leveling the playing field for American exporters.

FTAs are very important and significant tools for expanding prosperity, freedom and free-bilateral trade agreements between different nations. A clear example of FTAs is the NAFTA, which serves the purpose of opening domestic markets for local and foreign competition, underlining crucial foreign policy and security pacts, enhancing economic liberalization, opening markets to American exports, integrating economies from various regions and providing strong and effective institutions necessary for bilateral negotiations.                       

Why my argument is better

In may view some of the Free Trade Agreements such as NAFTA are reached of ratified without proper and insightful considerations to the subtle effects that they may have to the non-economic aspects of the society. The NAFTA agreement was ratified without critically examining the effects it could bring to the environment and to the labor market. Indeed, the original “NAFTA” document concentrates on aspects such as capitalization and further underlines the interests of corporations and organizations. The agreement or treaty has been in existence for the last seventeen years and repealing or it may not be very beneficial. Canada who is a member of NAFTA has in deeded benefited from being members of NAFTA. However, its GDP went down and this signifies that it was widely affected by the NAFTA agreement.      

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