Utilitarianism Essay Essay Example for Free

Utilitarianism Essay Essay Utilitarianism is an ethical theory which acts as a guideline on how people should act in certain situations and was first introduced by a hedonist (pursuer of pleasure) named Jeremy Bentham who put forward the ‘Principle of Utility’ which said â€Å"The greatest happiness for the greatest number†. Utilitarianism is a theory which bases on the end purpose (teleological) of achieving pleasure, our decisions should be based on consequences in pursuit of the principle of utility (consequentialist) and is a theory which judges each situation independently (relativistic). Jeremy Bentham was the first contributor and developer for Utilitarianism and was most famous for his version of ‘Act’ Utilitarianism which focused applying the Principle of utility to each individual act to each unique situation. Bentham believed that happiness was the first thing to consider when making a decision, and our pleasure helped us achieve the most happiness. Bentham said that ‘Nature has placed mankind under two sovereign masters, pain and pleasure and it is them that will determine what we ought to do’ meaning the right moral decision will come about through the considerations of pleasure and pain. He devised the ‘Hedonic calculus’ (hedonic meaning pleasure) which was a piece of apparatus which helped him quantify happiness. The Hedonic calculus holds seven aspects which need to be considered: Duration (How long the pleasure will last), Remoteness (How close is the happiness), Purity (How free from pain is the pleasure), Richness (How likely will the pleasure lead to more happiness), Intensity (How strong the pleasure is), Certainty (How sure the act will produce happiness) and Extent (Will other people be affected by the pleasure). It’s these factors which a person must consider and weigh up in terms of pain and pleasure in order to find the most moral and ethical decision to make, if the calculus totals up in more pain over pleasure then this defines it as the wrong choice to make. Bentham says that you must choose the act which maximises the amount of pleasure for the most amounts of people to ensure happiness. Bentham believed that all people were entitled to happiness, and thus each to count as one and no-one as more than one. However, there were many obvious faults in this theory; for example, eating a chocolate bar is subjective to people who like and dislike chocolate therefore not every action has equal pleasure and pain for every person. John Stuart Mill, a fellow colleague of Jeremy Bentham criticised him for developing a ‘Swine theory’ as it encouraged people to be selfish and recognizes no higher purpose for life other than the mere pursuit of pleasure. Mill was concerned that one person’s unhappiness could be entirely overlooked if the majority were happy. Unlike Bentham, Mill focused on differentiating the quality of pleasure and thus introduced a new theory of utility called ‘Rule’ Utilitarianism which acted as a general guideline that achieved happiness without discriminating. Mill’s definition of happiness was tended to the spiritual and culture side rather than just physical. He distinguished between Higher and lower pleasures, higher pleasures were in pleasures in tune with the mind such as reading and poetry and lower pleasures tended to physical needs to do with the body like sex and eating. Mill stated that lower pleasures are more easily accomplishable and thus have to be completed before satisfying the intellectual needs of the mind. He famously wrote ‘It is better to be a human satisfied than a pig satisfied, it is better to be Socrates dissatisfied than a fool satisfied’ this meant that humans were able to feel much more rewarding emotions far above the magnitude of the feelings of the pig, regardless of dissatisfaction. Two types of rule utilitarianism have been identified in modern times, strong rule and weak rule utilitarian. Each still focuses on the application of a general rule to achieve happiness, but strong rule utilitarianism defines the rule as absolute and must not be broken, an example of this is ‘Do not kill’ which is created through the principle of utility. Weak rule utilitarianism offers a person the choice to break certain rules in order to achieve the greater good as an exception, for example the rule of ‘Do not kill’ could be broken if the opportunity to kill Hitler to prevent more pain from occurring. Mill was defined by some scholars as a weak Utilitarian.

Animal Farm, by George Orwell :: Animal Farm Essays

Animal Farm Essay by George Orwell   Ã‚  Ã‚  Ã‚  Ã‚  In the book Animal Farm, by George Orwell, the idea of how power can corrupt is depicted in the novel. The theme of the novel is â€Å"Power corrupts and absolute power corrupts absolutely†. When one receives to much power, such as the character Napoleon, it forms a dictatorship like government in which all decisions are made by one man. When a revolution happens, or a sudden change occurs people begin to grow unhappy while working for their government with no say in any political decisions.   Ã‚  Ã‚  Ã‚  Ã‚  When the animals of Animal Farm took over there main beliefs were based on their made up commandments called Animalism. The beliefs derived from this law were basically that â€Å"man is our enemy†, â€Å"all animals are comrades†, â€Å"do not become like man†, and â€Å"no animal should be more powerful then another†. These views were from Old Major, who had given a speech to stir the animals into rebellion. Old Major’s dream was for the earth to be ran by animals. When Old Major died, Snowball, Napoleon, and Squealer replaced him. At first things started off pretty well; the harvest was very good the first year and the reading and writing system had helped some, but had limited success on others. Napoleon soon shared his view on education and took the puppies into his home and started teaching them. In time the leaders of animal farm started to have mixed feelings. Snowball said the animals only had to work three days a week, but Napoleon said it would only result in the animals starving to death. Napoleon then had the dogs kill off Snowball. Napoleon had eliminated Sunday morning meetings. The committee of pigs were now the leaders and there were no more debates. Napoleon soon started brainwashing the lower class of animals to believe him. The traditions of Old Major were soon forgotten, it was now Napoleons plans. Under new leader Napoleon the work week had been extended so that each animal had to work 60 hour weeks. Napoleon also hired Mr. Whymper as a go between for trade. Napoleons hiring of Mr. Whymper had gone against Animal Farms motto. The pigs now lived in the house and changed some of Animal Farms laws such as â€Å"no animal shall sleep in a bed† was now changed to â€Å"no animal shall sleep in a bed with sheets†. The laws were changed to fit Napoleons needs. Napoleon had changed around their seven commandments One was â€Å"no animal shall kill another†,this was changed to â€Å"no animal shall kill another without

Introduction to Axis Bank

INTRODUCTION TO AXIS BANK Commercial banking services which includes merchant banking, direct finance infrastructure finance, venture capital fund, advisory, trusteeship, forex, treasury and other related financial services. As on 31-Mar-2009, the Group has 827 branches, extension counters and 3,595 automated teller machines (ATMs). Axis Bank was the first of the new private banks to have begun operations in 1994, after the Government of India allowed new private banks to be established.The Bank was promoted jointly by the Administrator of the specified undertaking of the Unit Trust of India (UTI – I), Life Insurance Corporation of India (LIC) and General Insurance Corporation of India (GIC) and other four PSU insurance companies, i. e. National Insurance Company Ltd. , The New India Assurance Company Ltd. , The Oriental Insurance Company Ltd. and United India Insurance Company Ltd. The Bank today is capitalized to the extent of Rs. 359. 76 corers with the public holding (othe r than promoters) at 57. 79%. The Bank's Registered Office is at Ahmadabad and its Central Office is located at Mumbai.The Bank has a very wide network of more than 853 branches and Extension Counters (as on 30th June 2009). The Bank has a network of over 3723 ATMs (as on 30th June 2009) providing 24 hrs a day banking convenience to its customers. This is one of the largest ATM networks in the country. The Bank has strengths in both retail and corporate banking and is committed to adopting the best industry practices internationally in order to achieve excellence. HISTORY OF AXIS BANK In 1993, the Bank was incorporated on 3rd December and Certificate of business on 14th Dece11mber.The Bank transacts banking business of all description. UTI Bank Ltd. was promoted by Unit Trust of India, Life Insurance Corporation of India, General Insurance Corporation of India and its four subsidiaries. The bank was the first private sector bank to get a license under the new guidelines issued by th e RBI. In 1997, the Bank obtained license to act as Depository Participant with NSDL and applied for registration with SEBI to act as `Trustee to Debenture Holders'. Rupees 100 crores was contributed by UTI, the rest from LIC Rs 7. 5 crores, GIC and its four subsidiaries Rs 1. crores each. In 1998, the Bank has 28 branches in urban and semi urban areas as on 31st July. All the branches are fully computerized and networked through VSAT. ATM services are available in 27 branches. The Bank came out with a public issue of 1,50,00,000 No. of equity shares of Rs 10 each at a premium of Rs 11 per share aggregating to Rs 31. 50 crores and Offer for sale of 2,00,00,000 No. of equity shares for cash at a price of Rs 21 per share. Out of the public issue 2, 20,000 shares were reserved for allotment on preferential basis to employees of UTI Bank.Balance of 3, 47, 80,000 shares were offered to the public. The company offers ATM cards, using which account-holders can withdraw money from any of th e bank's ATMs across the country which is inter-connected by VSAT. UTI Bank has launched a new retail product with operational flexibility for its customers. UTI Bank will sign a co-brand agreement with the market, leader, Citibank NA for entering into the highly promising credit card business. UTI Bank promoted by India's pioneer mutual fund Unit Trust of India along with LIC, GIC and its four subsidiaries.In 1999, UTI Bank and Citibank have launched an international co-branded Credit card. UTI Bank and Citibank have come together to launch an international co-branded credit card under the MasterCard umbrella. UTI Bank Ltd has inaugurated an off site ATM at Ashok Nagar here, taking the total number of its off site ATMs to 13. m In 2000, the Bank has announced the launch of Tele-Depository Services for Its depository clients. UTI Bank has launch of `iConnect', its Internet banking Product. UTI Bank has signed a memorandum of understanding with equitymaster. om for e-broking activiti es of the site. Infinity. com financial Securities Ltd. , an e-broking outfit is Typing up with UTI Bank for a banking interface. Geojit Securities Ltd, the first company to start online trading services, has signed a MoU with UTI Bank to enable investors to buysell demat stocks through the company's website. India bulls have signed a memorandum of understanding with UTI Bank. UTI Bank has entered into an agreement with Stock Holding Corporation of India for providing loans against shares to SCHCIL's customers and funding investors in public and rights issues.ICRA has upgraded the rating UTI Bank's Rs 500 crore certificate of deposit programmed to A1+. UTI Bank has tied up with L&T Trade. com for providing customized online trading solution for brokers. In2001, UTI Bank launched a private placement of non-convertible debentures to rise up to Rs 75 crores. UTI Bank has opened two offsite ATMs and one extension counter with an ATM in Mangalore, taking its total number of ATMs across t he country to 355. UTI Bank has recorded a 62 per cent rise in net profit for the quarter ended September 30, 2001, at Rs 30. 5 crore. For the second quarter ended September 30, 2000, the net profit was Rs 19. 08 crore. The total income of the bank during the quarter was up 53 per cent at Rs 366. 25 crore. In 2002, UTI Bank Ltd has informed BSE that Shri B R Barwale has resigned as a Director of the Bank w. e. f. January 02, 2002. A C Shah, former chairman of Bank of Baroda, also retired from the bank’s board in the third quarter of last year. His place continues to be vacant. M Damodaran took over as the director of the board after taking in the reins of UTI.B S Pandit has also joined the bank’s board subsequent to the retirement of K G Vassal. UTI Bank Ltd has informed that Shri Paul Fletcher has been appointed as an Additional Director Nominee of CDC Financial Service (Mauritius) Ltd of the Bank. And Shri Donald Peck has been appointed as an Additional Director (nom inee of South Asia Regional Fund) of the Bank. UTI Bank Ltd has informed that on laying down the office of Chairman of LIC on being appointed as Chairman of SEBI, Shri G N Bajpai, Nominee Director of LIC has resigned as a Director of the Bank.In 2002, B Paranjpe & Abid Hussain cease to be the Directors of UTI Bank. UTI Bank Ltd has informed that in the meeting of the Board of Directors following decisions were taken: Mr Yash Mahajan, Vice Chairman and Managing Director of Punjab Tractors Ltd were appointed as an Additional Director with immediate effect. Mr. N C Singhal former Vice Chairman and Managing Director of SCICI was appointed as an Additional Director with immediate effect. ABN Amro, UTI Bank in pact to share ATM. UTI Bank Ltd has informed BSE that a meeting of theBoard of Directors of the Bank is scheduled to be held on October 24, 2002 to consider and take on record the unaudited half yearly/quarterly financial results of the Bank for the half year/Quarter ended September 30, 2002. UTI Bank Ltd has informed that Shri J M Trivedi has been appointed as an alternate director to Shri Donald Peck with effect from November 2, 2002. In 2003, UTI Bank Ltd has informed BSE that at the meeting of the Board of Directors of the company held on January 16, 2003, Shri R N Bharadwaj, Managing Director of LIC has been appointed as an Additional Director of the Bank with immediate effect. UTI Bank, the private sector bank has opened a branch at Nellore. The bank's Chairman and Managing Director, Dr P. J. Nayak, inaugurating the bank branch at GT Road on May 26. Speaking on the occasion, Dr Nayak said. This marks another step towards the extensive customer banking focus that we are providing across the country and reinforces our commitment to bring superior banking services, marked by convenience and closeness to customers. -UTI Bank Ltd. has informed the Exchange that at its meeting held on June 25, 2003 the BOD have decided the following: 1) To appoint Mr. A T Pann ir Selvam, former CMD of Union Bank of India and Prof.Jayanth Varma of the Indian Institute of Management, Ahmedabad as additional directors of the Bank with immediate effect. Further, Mr. Pannir Selvam will be the nominee director of the Administrator of the specified undertaking of the Unit Trust of India (UTI-I) and Mr. Jayanth Varma will be an Independent Director. 2) To issue Non-Convertible Unsecured Redeemable Debentures up to Rs. 100 crs, in one or more tranches as the Bank's Tier – II capital. -UTI has been authorized to launch 16 ATMs on the Western Railway Stations of Mumbai Division. -UTI filed suit against financial institutions IFCI Ltd in the ebt recovery tribunal at Mumbai to Recover Rs. 85cr in dues. -UTI bank made an entry to the Food Credit Program me; it has made an entry into the 59 cluster which includes private sector, public sector, old private sector and co-operative banks. -Shri Ajeet Prasad, Nominee of UTI has resigned as the director of the bank. - Banks Chairman and MD Dr. P. J. Nayak inaugurated a new branch at Nellore. -UTI bank allots shares under Employee Stock Option Scheme to its employees. -Unveils pre-paid travel card ‘Visa Electron Travel Currency Card' -Allotment of 58923 equity shares of Rs 10 each under ESOP. UTI Bank ties up with UK govt fund for contract farm in -Shri B S Pandit, nominee of the Administrator of the Specified Undertaking of the Unit Trust of India (UTI-I) has resigned as a director from the Bank wef November 12, 2003. -UTI Bank unveils new ATM in Sikkim. In 2004, Comes out with Rs. 500 mn Unsecured Redeemable Non-Convertible Debenture Issue, issue fully subscribed -UTI Bank Ltd has informed that Shri Ajeet Prasad, Nominee of the Administrator of the Specified Undertaking of the Unit Trust of India (UTI – I) has been appointed as an Additional Director of the Bank w. e. f. January 20, 2004. UTI Bank opens new branch in Udupi-UTI Bank, Geojit in pact for trading platform in Qatar -UTI Bank ties up with Shriram Group Cos -Unveils premium payment facility through ATMs applicable to LIC UTI Bank customers –Metal junction (MJ)- the online trading and procurement joint venture of Tata Steel and Steel Authority of India (SAIL)- has roped in UTI Bank to start off own equipment for Tata Steel. -DIEBOLD Systems Private Ltd, a wholly owned subsidiary of Diebold Incorporated, has secured a major contract for the supply of ATMs an services to UTI Bank -HSBC completes acquisition of 14. 6% stake in UTI Bank for . m -UTI Bank installs ATM in Thiruvananthapuram -Launches Remittance Card' in association with Remit2India, a Web site offering money transfer services In 2005, UTI Bank enters into a banc assurance partnership with Bajaj Allianz General for selling general insurance products through its branch network. -UTI Bank launches its first Satellite Retail Assets Centre (SRAC) in Karnataka at Mangalore. In 2006, UBL sets up branch in Jaipur -UTI Bank unveils priority b anking lounge. MANAGEMENT OF AXIS BANK Promoters: Axis Bank Ltd. has been promoted by the largest and the best Financial Institution of the country, UTI.The Bank was set up with a capital of Rs. 115 crore, with UTI contributing Rs. 100 Crore, LIC – Rs. 7. 5 Crore and GIC and its four subsidiaries contributing Rs. 1. 5 Crore each SUUTI – Shareholding 27. 02%Erstwhile Unit Trust of India was set up as a body corporate under the UTI Act, 1963, with a view to encourage savings and investment. In December 2002, the UTI Act, 1963 was repealed with the passage of Unit Trust of India (Transfer of Undertaking and Repeal) Act, 2002 by the Parliament, paving the way for the bifurcation of UTI into 2 entities, UTI-I and UTI-II with effect from 1st February 2003.In accordance with the Act, the Undertaking specified as UTI I has been transferred and vested in the Administrator of the Specified Undertaking of the Unit Trust of India (SUUTI), who manages assured return schemes along w ith 6. 75% US-64 Bonds, 6. 60% ARS Bonds with a Unit Capital of over Rs. 14167. 59 crores. The Government of India has currently appointed Shri K. N. Prithviraj as the Administrator of the Specified undertaking of UTI, to look after and administer the schemes under UTI where Government has continuing obligations and commitments to the investors, which it will uphold.MEANING OF WHOLE BANKING OPERATION The Wholesale Banking contains products sold to large and middle market commercial companies, as well as to consumers on a wholesale basis. This includes lending, treasury management, mutual funds, asset-based lending, commercial real estate, corporate and institutional trust services, and investment banking through Wells Fargo Securities. The company also owns Baring ton Associates, a middle market investment bank.Wells Fargo historically has avoided large corporate loans as stand-alone products, instead requiring that borrowers purchase other products along with loans which the bank s ees as a loss leader. One area that is very profitable to Wells, however, is asset-based lending: lending to large companies using assets as collateral that are not normally used in other loans. This can be compared to subprime lending, but on a corporate level. The main brand name for this activity is â€Å"Wells Fargo Foothill,† and is regularly marketed in tombstone ads in the Wall Street Journal.Wells Fargo also owns Eastdil Secured, which is described as a â€Å"real estate investment bank† but is essentially one of the largest commercial real estate brokers for very large transactions (such as the purchase and sale of large Class-A office buildings in central business districts throughout the United States). The wholesale banking operations consist of the following transactions: 1. Opening of Account 2. Issue of Check book 3. International Debit / Credit Card 4. Issue of Demand Draft (DD) 5. Net banking 6. e-mail statement 7. phone banking 8.Insta Query 9. Insta Alert 10. Bill pay 11. Passbook 12. Quarterly Account Statement 13. Loan Facility definitions of banking * A bank is a financial institution licensed by a government. Its primary activity is to lend money. Many other financial activities were allowed over time. For example banks are important players in financial markets and offer financial services such as investment funds. * Banking can also be defined as engaging in the business of keeping money for savings and checking accounts or for exchange or for issuing loans and credit. Transacting business with a bank; depositing or withdrawing funds or requesting a loan. * Bank – a supply or stock held in reserve for future use (especially in emergencies) MEANING of BANK An organization, usually a corporation, chartered by a state or federal government, which does most or all of the following: receives demand deposits and time deposits, honors instruments drawn on them, and pays interest on them; discounts notes, makes loans, and invests in securities; collects checks, drafts, and notes; certifies depositor's checks; and issues drafts and cashier's checks.PRADUCT OF AXIS BANK * Easy Access Saving Account * Saving Account for Women * Prime Saving Account * Senior Citizens Saving Account * Priority Banking * Corporate Salary Account * Trust /NGOs Saving Account * Resident Foreign Currency Account * Online Trading Account * Current Account * Term Deposits * Locker Facilities * NRI Services * Depository Services * Financial Advisory Services * Wealth Management Services * Insurance Solutions – Life and General * Retail Loans * Credit Loans * Travel Currency Cards * Remittance Cards CUSTOMER SERVICE IN BANKING OPERATION CHEQUE DROP BOX FACILITY: – RBI's Committee on Procedures and Performance Audit on Public Services have recommended that both the drop box facility and the facility for acknowledgement of the cheques at the regular collection counters should be available to customers and no branch sh ould refuse to give an acknowledgement if the customer tenders the cheques at the counters. * ISSUE OF CHEQUE BOOK: – The Committee has observed that some banks do not allow depositors to collect their cheque book at the branch but insist on dispatching the cheque book by courier to the depositor.Further, it is stated by the Committee that the depositor is forced to sign a declaration that a dispatch by the courier is at the depositor's risk and consequence and that the depositor shall not hold the bank liable in any manner whatsoever in respect of such dispatch of cheque book. Committee has observed this as an unfair practice and advised banks to refrain from obtaining such undertakings from depositors. Banks should also ensure that cheque books are delivered over the counters on request to the depositors or his authorized representative. STATEMENT OF ACCOUNT / PASS BOOK: – The Committee has noted that banks invariably show the entries in depositor’s passbooks / statement of accounts as â€Å"By Clearing† or â€Å"By Cheque†. Further, in the case of Electronic Clearing System (ECS) and RBI Electronic Funds Transfer (RBIEFTR) banks invariably do not provide any details even though brief particulars of the remittance are provided to the receiving bank. In some cases computerized entries use sophisticated codes which just cannot be deciphered.With a view to avoiding inconvenience to depositors, banks are advised to avoid such inscrutable entries in passbooks statements of account and ensure that brief, intelligible particulars are invariably entered in passbooks / statements of account. Banks may also ensure that they adhere to the monthly periodicity prescribed by us while sending statement of accounts. TRADITIONAL BANKING ACTIVITIES Banks act as payment agents by conducting checking or current accounts for customers, paying cheques drawn by customers on the bank, and collecting cheques deposited to customers' current accounts .Banks also enable customer payments via other payment methods such as telegraphic transfer, EFTPOS, and ATM. Banks borrow money by accepting funds deposited on current accounts, by accepting term deposits, and by issuing debt securities such as banknotes and bonds. Banks lend money by making advances to customers on current accounts, by making installment loans, and by investing in marketable debt securities and other forms of money lending. Banks provide almost all payment services, and a bank account is considered indispensable by most businesses, individuals and governments.Non-banks that provide payment services such as remittance companies are not normally considered an adequate substitute for having a bank account. Banks borrow most funds from households and non-financial businesses, and lend most funds to households and non-financial businesses, but non-bank lenders provide a significant and in many cases adequate substitute for bank loans, and money market funds, cash manag ement trusts and other non-bank financial institutions in many cases provide an adequate substitute to banks. ACCOUTING FOR BANK ACCOUNTBank statements are accounting records produced by banks under the various accounting standards of the world. Under GAAP and IFRS there are two kinds of accounts: debit and credit. Credit accounts are Revenue, Equity and Liabilities. Debit Accounts are Assets and Expenses. This means you credit a credit account to increase its balance, and you debit a debit account to increase its balance. This also means you debit your savings account every time you deposit money into it (and the account is normally in deficit), while you credit your credit card account every time you spend money from it (and the account is normally in credit).However, if you read your bank statement, it will say the opposite that you credit your account when you deposit money, and you debit it when you withdraw funds. If you have cash in your account, you have a positive (or credi t) balance; if you are overdrawn, you have a negative (or deficit) balance. The reason for this is that the bank, and not you, has produced the bank statement. Your savings might be your assets, but the bank's liability, so they are credit accounts (which should have a positive balance).Conversely, your loans are your liabilities but the bank's assets, so they are debit accounts (which should have a also have a positive balance). Where bank transactions, balances, credits and debits are discussed below, they are done so from the viewpoint of the account holder which is traditionally what most people are used to seeing. ECONOMIC FUNCTION * ISSUE OF MONEY: – In the form of banknotes and current accounts subject to cheque or payment at the customer's order. These claims on banks can act as money because they are negotiable and/or repayable on demand, and hence valued at par.They are effectively transferable by mere delivery, in the case of banknotes, or by drawing a cheque that the payee may bank or cash. * NETTING AND SETTELEMENT OF PAYMENT: – Banks act as both collection and paying agents for customers, participating in interbank clearing and settlement systems to collect, present, be presented with, and pay payment instruments. This enables banks to economies on reserves held for settlement of payments, since inward and outward payments offset each other. It also enables the offsetting of payment flows between geographical areas, reducing the cost of settlement between them. * CREDIT INTERMEDIATION: –Banks borrow and lend back-to-back on their own account as middle men. * CREDIT QUALITY IMPROVEMENT: – Banks lend money to ordinary commercial and personal borrowers (ordinary credit quality), but are high quality borrowers. The improvement comes from diversification of the bank's assets and capital which provides a buffer to absorb losses without defaulting on its obligations. However, banknotes and deposits are generally unsecured; if the bank gets into difficulty and pledges assets as security, to rise the funding it needs to continue to operate, this puts the note holders and depositors in an economically subordinated position. MATURITY TRANSFORMATION: – Banks borrow more on demand debt and short term debt, but provide more long term loans. In other words, they borrow short and lend long. With a stronger credit quality than most other borrowers, banks can do this by aggregating issues (e. g. accepting deposits and issuing banknotes) and redemptions (e. g. withdrawals and redemptions of banknotes), maintaining reserves of cash, investing in marketable securities that can be readily converted to cash if needed, and raising replacement funding as needed from various sources (e. g. wholesale cash markets and securities markets).BANKING CHANNELS Banks offer many different channels to access their banking and other services: * A branch, banking centre or financial centre is a retail location where a bank or f inancial institution offers a wide array of face-to-face service to its customers. * ATM is a computerized telecommunications device that provides a financial institution's customers a method of financial transactions in a public space without the need for a human clerk or bank teller. Most banks now have more ATMs than branches, and ATMs are providing a wider range of services to a wider range of users.For example in Hong Kong, most ATMs enable anyone to deposit cash to any customer of the bank's account by feeding in the notes and entering the account number to be credited. Also, most ATMs enable card holders from other banks to get their account balance and withdraw cash, even if the card is issued by a foreign bank. * Mail is part of the postal system which itself is a system wherein written documents typically enclosed in envelopes, and also small packages containing other matter, are delivered to destinations around the world. This can be used to deposit cheques and to send or ders to the bank to pay money to third parties.Banks also normally use mail to deliver periodic account statements to customers. * Telephone banking is a service provided by a financial institution which allows its customers to perform transactions over the telephone. This normally includes bill payments for bills from major billers (e. g. for electricity). * Online banking is a term used for performing transactions, payments etc. over the Internet through a bank, credit union or building society's secure website. * Mobile banking is a method of using one's mobile phone to conduct simple banking transactions by remotely linking into a banking network. Video banking is a term used for performing banking transactions or professional banking consultations via a remote video and audio connection. Video banking can be performed via purpose built banking transaction machines (similar to an Automated teller machine), or via a videoconference enabled bank branch. TYPES OF INVESTMENT BANK * Investment banks â€Å"underwrite† (guarantee the sale of) stock and bond issues, trade for their own accounts, make markets, and advise corporations on capital market activities such as mergers and acquisitions. * Merchant banks were traditionally banks which engaged in trade finance.The modern definition, however, refers to banks which provide capital to firms in the form of shares rather than loans. Unlike venture capital firms, they tend not to invest in new companies. MORTGAGE BANKING Mortgage banking deals primarily with originating mortgage loans and servicing them. Read more about it here as well as about what a career in mortgage banking involves. Mortgage banking is meant for a single purpose, to service the real estate finance industry. Mortgage banking deals specifically with originating mortgage loans as well as servicing them.Mortgage banks are state-licensed entities from which consumers can get mortgage loans directly. Usually, mortgage banks avail funds from the Federal National Mortgage Association, or FNMA, also known as Fannie Mae, the Federal Home Loan Mortgage Corporation, or FHLMC, also known as Freddie Mac, or any other large companies that service mortgages, which are related to the secondary mortgage market. Here are a few pointers about the nitty-gritty of mortgage banking. * MORTGAGE BANK SPECIALIZE IN MORTGAGE LOANS: – Unlike a savings bank that is federally chartered, in general mortgage banks specialize in only providing mortgage loans.Hence, customers do not deposit their money in these banks. As has been mentioned above, the secondary wholesale market is their primary source of funds. Freddie Mac and Fannie Mae are examples of the lenders in the secondary market. * MORTGAGE BANKS DIFFER IN SIZE: – While some mortgage banks can be nationwide, others can originate a volume of loan that can exceed that of a commercial bank that is nationwide. Many of these mortgage banks utilize specialty servicers like Real T ime Resolutions to carry out tasks like fraud detection work and repurchase. MORTGAGE BANKS HAVE TO SOURCES OF RAVENUE: – The two main sources of income are from loan servicing fees (if they are into loan sevicing0, and fees from loan origination. Mortgage bankers, by and large, are choosing not to service the loans they have originated. That is because they are entitled to earn a service-released premium by selling them soon after the mortgage loans are closed and funded. The investor in the secondary market that purchases the loan has the ability of earning revenue for providing servicing of the loan every month the borrower keeps the loan. DEFFERENT BANKING LAW APPLY TO MARTGAGE BANK: – Mortgage banks usually operate under banking laws that are quite different, according to the state they operate in. You will need to check each individual state’s financial department or state banking in order to get list of mortgage bankers in each state. While federal laws a pply to the operation of a federal bank, in terms of consumer protection, usually consumers have additional rights, which are applicable according to each state. * MORTGAGE BANKERS CAN BE MORE COMPETITIVE: –Since they only specialize in lending and do not have to subsidize any of the losses that other departments may have incurred, as in regular banking, mortgage bankers have the ability of being really competitive when lending for mortgage. However, they usually do not have the advantage of accessing adjustable rate mortgages that are low cost, which federal banks are typically associated with, and federal money access. * A CAREER IN MORTGAGE BANKING: – Professionals in mortgage banking in the job market today need to have a college degree in business or finance, or some specific experience or training related to the field.Skills in good customer service, an inherent ability with numbers, and computer skills are also essential requirements for mortgage banking jobs. A mortgage banking professional’s job involves reviewing credit scores, determining the kind of loan that is most beneficial for the customer and guiding them through the process of application as well as closing. The loan officer has to be very organized and detail oriented, and need to be able to handle the large amounts of paperwork and reporting that are required for getting loans approved, up to the closing.A mortgage banking professional also has to have thorough know-how about the regulations associated with federal mortgage as well as the various types. KYN (KNOW YOUR CUSTOMER) As per KYC guideline the RBI has advised banks to follow KYC guidelines of RBI mandates banks to collect three proofs from their customers they are 1 Photograph 2 Proof of Identity 3 Proof of address Accordingly, Axis bank has framed its KYC procedure according to which, a photograph and documentary proof of personal identification and address proof are required t be provided.The account Opening form provides the nature of documents required / procedure to be followed for opening a new account. You may also log in to our website www. axisbank. com for such information which is displayed product-wise. ORGANIZATION STRUCTURE OF AXIS BANK SAVING ACCOUNT INFORMATION Definition: A deposit account at a bank or savings and loan which pays interest, but cannot be withdrawn by check writing. * TYPE OF SAVING ACCOUNT IN AXIS BANKING * * ZERO BALANCE SAVING ACCOUNT: – At Axis Bank it has been constant endeavor to create products specifically catering to your needs.The account while offering a whole range of services also addresses your latent need of having an account without the hassle of maintaining an average quarterly balance. * FEATURES: – 1. No Average Quarterly Balance requirement 2. Free International Debit Card with an Accidental Insurance cover up to Rs. 2 lakhs* (charges for the primary holder are waived) 3. Free mobile banking facility 4. Access through more than 825 branches and more than 3595 ATMs 5. At-Par cheque facility with the clearing limit of Rs 50,000 6. 24Ãâ€"7 Tele banking & Internet banking . Free quarterly statements 8. Free monthly e-statement * CONDITION APPLY: – 1. Initial funding of Rs. 5,500. 2. Account maintenance fee of Rs. 500 per annum * KRISHI SAVING ACCOUNT (KHETI HO KHUSHAHALI KI): – Axis Bank offers a unique savings account which is easy to operate and allows you to transact immediately. This product has been specially designed keeping in mind the unique requirements of a farmer and true to its nature has been called the Krishi Savings Account. Some of the features of our new product are: * AVERAGE BALANCE REQUIREMENT: –This account is offered with the requirement of maintaining the half-yearly average balance of Rs 1000 only. * INTERNATIONAL MASTER DEBIT CARD: – The Krishi Savings Account entitles you to an International Master Debit Card with which you can access your account an ytime through the Axis Bank ATM network free of cost. This card comes with a cash withdrawal limit of Rs 25,000 per day. Free Accident Insurance cover of Rs 2 lacks. * ANYWHERE BANKING: – Being a Krishi account holder, you are entitled to access our wide network of more than 825 branches and 3595 ATMs across 440 cities.You can now easily carry out your transactions through any of the branches or ATMs. * AT PER CHEQUE BOOK: – Your Krishi Savings Account comes with the At-Par Cheque facility. This facility enables you to en cash the cheques as local instruments at any of the 440 centers where the Bank has its presence, at no extra cost. Moreover, you can also issue cheques at other centers up to the limit of Rs 50,000. * EASSY ACCES SAVING ACCOUNT(BANKING MADE EASY): – * A :Accessibility * C :Convenience * C :Comfort * E :Earnings * S :Speed * S :Service Want a savings account that transcends geographical boundaries?Presenting, Axis Bank's Easy Access Savings Acco unt. The account is an endeavor by the Bank to understand the consumers' needs and redefine banking to suit your requirements for a truly comfortable banking experience. Easy Access Savings Account gives you instant access to your money anywhere, anytime. Possessing a range of unmatched features, it has been devised to better suit the convenience of our eclectic client base. You can avail of all these services with a minimum quarterly average balance of Rs. 5,000 in metro or urban centers, Rs. ,500 in semi urban centers and Rs. 1,000 in rural centers. * At-par cheque * ATM Network * Anywhere Banking * Tele banking * iConnect * Mobile Banking * Quarterly account statement * Quarterly interest @ 3. 5 % per annum * Free monthly e-statement. You can avail of all these services with a minimum quarterly average balance of Rs. 5,000 in metro or urban centers, Rs. 2,500 in semi urban centers and Rs. 1,000 in rural centers. * CORPORATE SALARY ACCOUNT: – Our Corporate Salary Power Offe ring is designed to offer payroll solutions through in a 24 X 7 environment.We leverage on our extensive network of distribution channels spread across 450 centers through a network of more than 827 branches and 3595 ATMs besides our superior service delivery model and product features, as a strong differentiator, to provide value to the end user. * BENEFIT TO EMPLOYERS: – * Efficient salary disbursal. Web Upload – Transfer salaries/reimbursements directly from your current account with Axis Bank to your employee's accounts using I Connect from your office. * Single-instruction salary credit – Same day salary credits for all companies having Corporate Account with Axis Bank.Dedicated Relationship Manager at metro locations to understand the financial requirements of your employees. * BENEFIT TO EMPLOYEES: – * No minimum balance criteria. * Unparalleled Access – Anywhere banking facility through our network of Branches, ATM and Internet banking faci lity. * AT Par cheque books payable locally at all Axis Bank locations. * International Debit cum ATM cards with enhanced Cash withdrawal facility and other value add ones. * Online Banking with funds transfer, online shopping and bill payment options. * Depository services with free online trading accounts. Meal Cards on a master card platform. * Employee Reimbursement accounts as a savings account variant. Preferential pricing on loan products and credit cards and other banking products ; services. CURRENT ACCOUNT INFORMATION * CHANNEL ONE: (FOR SUCCESSFUL BUSINESSES) The ‘Channel One’ Current Account is an effort in that direction where we take care of your day to day banking requirements leaving you with more time for your business. Channel One Current Account is most appropriate choice of successful businesses. At a monthly Average Balance (MAB) of Rs. 10 lacks. FEATURES: 1.Relationship Manager 2. Doorstep Banking 3. Anywhere Banking 4. Free Internet Banking 5. Fre e 24 hour Tele banking 6. Mobile Banking Service 7. International debit card 8. cheque Protection Facility 9. Free 24 – hour cheque deposit facility 10. Payment of Government Taxes/ Dues 11. Foreign exchange services. * ZERO HASSLE BALANCE Small businesses rising on the growth graph need the right of nurturing and appropriate solution for their growing banking requirements. Recognizing these needs, Axis Bank present you the Local Current Account geared to answer all kinds of local business requirements.At a monthly Average Balance (MAB) of Rs. Nil. FEATURES: 1. Zero Balance facility 2. 75 free transactions every month 3. Rebate on Annual Charges 4. Up front Annual Fee 5. Mobile Banking 6. ATM cum International Debit Card 7. Free Internet Banking 8. Tele banking 9. Free Monthly Account Statement * BUILDERS AND REAL ESTATE Axis Bank understands the increasing demands on businesses in this segment . Here’s presenting the Axis Bank Builder ; Real Estate Current Account a c urrent account with unparalleled product features built to suit Builders ; Realtors exclusively.This account offers you unmatched convenience while adding financial value to your businesses spread over geographies. . At a monthly Average Balance (MAB) of Rs. 5 Lacks this account comes loaded with special facilities and benefits, most appropriate for your business. FEATURES: 1. Home Branch Cash Deposit 2. Non – Home Branch Cash Withdrawal 3. Free Anywhere Banking 4. Cluster facility 5. Zero Balance account for Vendors and Suppliers 6. Franking Facility 7. Customer cheque printing 8. Internet Banking 9. Free 24-hour Phone banking 0. Mobile Alerts 11. ATM cum Debit Card 12. Free Monthly Account Statement TRAINING AND WHOLE BANKING OPERATIONS * CORPORATES Corporate Banking reflects Axis Bank's strengths in providing our corporate clients in India, a wide array of commercial, transactional and electronic banking products. We achieve this through innovative product development and a well-integrated approach to relationship management. * Funded Services: Working Capital Finance, Bill Discounting, Export Credit, Short Term Finance, Structured Finance, Term Lending. Non Funded Services: Letter of Credit, Collection of Documents, Bank Guarantees. * Value Added Services: Syndication Services , Real Time Gross Settlement, Cash Management Services, Corporate Salary Accounts, Reimbursement Account, Bankers to Right/Public Issue, Forex Desk, Money Market Desk, Derivatives Desk, Employees Trusts, Cash Surplus Corporate, Tax Collection. * Internet Banking: Supply Chain Management, Corporate Internet Banking. SMALL AND MEDIUM ENTERPRISES At Axis Bank we understand how much of hard work goes into establishing a successful SME.We also understand that your business is anything but â€Å"small† and as demanding as ever. And as your business expands and enters new territories and markets, you need to keep pace with the growing requests that come in, which may lead to purchasing new, or updating existing plant and equipment, or employing new staff to cope with the demand. That's why we at Axis Bank have assembled products, services, resources and expert advice to help ensure that your business excels.Solutions are designed to meet your varying needs. The following links will help you identify your individual needs. Funded Services: Funded Services from Axis Bank are meant to directly bolster the day-to-day working of a small and a medium business enterprise. From working capital finance to credit substitutes; from export credit to construction equipment loan we cater to virtually every business requirement of an SME. Click on the services below that best define your needs Non-Funded Services: Under Non-Funded services Axis Bank offers solutions that act as a catalyst to propel your business.Imagine a situation where you have a letter of credit and need finance against the same or you have a tender and you need to equip yourself with a guarantee i n order to go ahead. This is exactly where we can help you so that you don't face any roadblocks when it comes to your business. The following are the services that will precisely tell you what we can do Business Accounts, Letters of Credit, Collection of Documents, Axis Bank Trade, Guarantees, Cash Management Services, Money Market Desk, Derivatives Desk, Services to Cash Surplus Corporate, Services to Employee Trusts, Bankers to Rights/Public Issue, Tax Collection.Specialized Services: Axis Bank is one of the most trusted entities when it comes to specialized services like selling of precious metals to customers. Under specialized services you can also avail customized control of your value chain through our internet banking platform. Value Added Services: There is a plethora of services that we offer under value added services. There's corporate salary account which ensures smooth payment methods to your staff. You can avail an assortment of credit cards and debit cards from our merchant services.The following are the highlights of this service: Real Time Gross Settlement, Reimbursement Account, Custody Services, Corporate Salary Accounts, Merchant Services, Axis Bank Gold Business Credit Card. Internet Banking: Internet banking is a revolutionary service under the banking sector and Axis Bank is a forerunner in providing you with this service. We provide state-of-the-art payment gateway services to industries and companies in order to ease transaction processing. This in turn enhances the credibility of your business and makes banking extremely cost-efficient.GOVERNMENT SECTOR: Axis Bank acts as an active medium between the government and the customers by means of various services. These services include : * Tax Collection wherein customers can directly pay their taxes like Direct taxes, Indirect taxes and Sales Tax collections at their local Axis Bank * E-Ticketing – Helps the customer by providing him a direct access to book a Railway Ticket onli ne and get it home delivered * * Opening of L/C's is done by the bank on behalf of Government of India, Mints and Presses, thus facilitating imports for the Government. Collection of levies and taxes on behalf of Municipal Corporations i. e. Kalyan -Dombivli Municipal Corporation, is undertaken by the Bank. * Disbursement of Pension to retired Employees of Central Govt and Defense is directly done by Axis Bank along with the disbursement of pension to the members of EPFO (Employees Provident Fund Organization) * Electronic Collection of fees on behalf of DGFT is done by the bank too * Ministry of Corporate Affairs – Collection of ROC fees for the Ministry through authorized Branches and Net Banking.Collection of Property Tax through Selected Branches on behalf of Municipal Corporation of Delhi. FINDINGS AND SUGGESTIONS * FINDINGS: – 1. Bank is having 853 branches all over the country. 2. The number of branches should be increased. * SUGGESTIONS:- 1. Number of Branches should be increased covering a wider area in various states. 2. A wide publicity to be given about the organization and its products through various means of communications to keep growth moments. 3. More number of training and educational programmers’ should be included in Banks schedule. . Developing a learning culture through continuous learning process. COMPETETIORS * ICICI Bank Ltd. * HDFC Bank Ltd. * State Bank of India * HSBC Bank * RBS (Royal Bank of Scotland) * Maharashtra Bank of India * Canara Bank * Andhra Bank * IDBI bank * Bank of India * Punjab National Bank * Central Bank * Allahabad Bank * ING Vysya * Centurion Bank CONCLUSION Axis bank has developed manifold in short period of time due to facilities and services provided to their customer and this growth rate can be keep it up if they start to go in semi-urban areas.In last couple of years they have opened new many branches and they should open many more. The working staffs are very co-operative in nature an d due to that the bank will also get good benefit. Axis Bank has provided their customer Net-banking facilities and due to that transactions are done fast. Charges at Axis Bank are on lower side when we compare it with other Banks BIBLIOGRAPHY SR. NO. | REFERENCE| 1| * A New Beginning : The Turnaround Story Of Indian Bank| 2| * Bank Marketing : Concepts And Applications| | Banking And Finance| 4| Banking Developments in India| 5| Basics of Banking| 6| Bank leaflet and Boucher| 7| Internet| CONTENTS * INTRODUCTION TO AXIS BANK * HISTORY OF AXIS BANK * MANAGEMENT OF AXIS BANK * DEFINITION OF BANK * PRODUCT OF AXIS BANK * CUSTOMER SERVICE IN BANKING OPERATION * TRADITIONAL BANKING ACTIVITIES * ACCOUNTIG FOR BANK ACCOUNT * ECONOMIC FUNCTION * BANKING CHANNELS * TYPES OF INVESTMENT BANK * MORTGAGE BANKING * ORGANISATION STRUCTURE * FINDINGS AND SUGGETIONS * COMPETETIORS * CONCLUSION * BIBLIOGRAPHY

What is global economy - Free Essay Example

Sample details Pages: 21 Words: 6161 Downloads: 6 Date added: 2017/06/26 Category Statistics Essay Did you like this example? An Introduction to the Global Economy Abstract With a view to considering the extent to which an increasingly global economy with more effective economic integration has been achieved, it is necessary for this essay to show an appreciation of the relevance of the principles of globalisation in this regard that have served to effect the way international economic law is developing. On this basis, it is considered to be of particular interest to show and appreciation of the World Trade Organizations position in view of the fact that it has sought to both regulate and enhance international trade relations between developed and developing countries. In addition, it will also be for this essays discussion to look to show a clear understanding of the fundamental issues raised due to the ever increasing levels of international trade between countries including how they should deal with concerns pertaining to this kind of trade. Don’t waste time! Our writers will create an original "What is global economy?" essay for you Create order Therefore, this essay will not only deal with the issues of legality and regulation that are linked with the recognition of the principle of globalisation with a view to producing what is considered to be a truly global economy, but also provide for an evaluation of traditional understandings of nationality and how they are being dealt with regarding the development of international economic law. Moreover, it will also be shown how international economic law has moved towards dealing with issues of international trade including the prevalence of the principle of free trade and how countries are becoming increasingly intertwined on a commercial level with a view to ensuring consistency between nations. Finally, this essay will seek to conclude with a summary of the key points derived from this discussion with a view to recognising the increasing levels of economic integration achieved in the global economy. Introduction The concept of globalisation describes how regional cultures, societies, and economies have become integrated through an international trade network. Principles in this regard are commonly driven through factors of economic, technological, sociocultural, political, and biological combined although it is also related to the transnational circulation of ideas, languages, or popular culture. According to the United Nations Economic Social Commission for Western Asia, globalisation is a broad term that can be defined in a varied manner. However, when the concept of globalisation is used in the context of the economy, the related principles have referred to the barriers to trade being reduced and even removed across national borders to provide for a much greater flow of goods, capital, labour and services. Nevertheless, whilst globalisation is not a new phenomenon, the process, begun at the turn of the late nineteenth century, has seen its effectiveness slowed somewhat steadily from Wor ld War I until the end of the twentieth century. This development arose from the inward-looking policies pursued by many countries to protect numerous industries before globalisation increased rapidly again as relations between countries were made more certain leading to enhanced economic growth. Main Body The process of globalisation is commonly understood to be closely linked to developments in international trade in view of all individual countries need to generate sustainable economic growth to develop and maintain a standard of living for their people derived from the effective recognition of the need for effective economic integration within the global economy. However, the World Trade Organization has only actually been managing the international trade regime as part of the global economy in more contemporary times since the General Agreement on Tariffs Trade served to precede it. The General Agreement on Tariffs Trade was implemented as policy for the regulation of international trade between member states in relation to the regulation of international trade in 1948 amid what were recognised as significant inequalities of a post-colonial nature. As a result, this understanding of the law effectively served to embrace the view that there was a clear need to look to move forwar ds from a regime that was founded upon an agreement that constituted a significant shift in relations between countries regarding matters of multilateral trade within the global economy through effective economic integration. Nevertheless, in what was a move that may serve to emphasise continuity or the minimal nature of what has transpired from agreement to organisation, the World Trade Organization now includes within its scope a Preamble similar to what was found previously within the terms of the General Agreement on Tariffs Trade with a view to then better securing the developing worlds growth as part of the global economy. On this basis, it would seem that the World Trade Organization sought to consolidate a trend that begun from the moment that the system of international trade became fixated with non-tariff issues like human rights significance that served to create added pressure for consolidation leading to the need for an overarching institution to be developed that was similar to what the European Communities looked to propose with a Multilateral Trade Organization. However, the reality is that the development of the World Trade Organization arose in the form of a regulatory organisation as a significant response to the economic interdependence GATT had contributed to through the instigation of policies of corporate capitalism despite what have been recognised as non-tariff measures inhibitions. The World Trade Organization was put into place with a view to then looking to provide for the improvement of both the administration and function of the multilateral trading system under the previous remit provided for in this regard by the General Agreement on Tariffs Trade within the global economy through more effective economic integration. This was considered to be particularly true of the position that was achieved in developing and less developed countries so as to then provide for the guarantee of full employment and real economic growth in the long-term for these countries within the global economy. The reason for this is largely because the financial conditions that have come to be recognised as being particularly prevalent in developed countries have improved substantially, whilst developing countries have unfortunately been left some way behind seemingly without awareness and sufficient redress due to the failure to effectively integrate these countries within the globa l economy for their benefit. The reason for this is that, according to calculations undertaken by the International Monetary Fund, economies in developing countries will soon account for almost a hundred percent of the growth in levels of output internationally. Therefore, even assuming the United States of America and European economies return to what are their long-term economic growth paths, the International Monetary Fund still expectsÂÂ   developing countries markets will account for at least seventy percent of economic growth in the world until at least 2016. On this basis, in an effort to improve the position of developing countries, the World Trade Organization has looked to create dispute settlement panels for resolving disputes between nations pertaining in issues of international trade. Moreover, the World Trade Organization provides for the strict surveillance of adopted panel reports implementation and also the authorisation to retaliate against those nations that fail to accept such rulings with a view to limiting their impact upon the ongoing development of the global economy with effective economic integration. The framework that developed under the World Trade Organization regulatory mechanism sought to provide for the assurance that rules of international trade would then serve to keep up with the ongoing varied nature of the developing world economy. In addition, it was also believed that the World Trade Organization served to put into place the Multilateral and Plurilateral Trade Agreements.These developments then better provided for the resolution of disputes in international trade before they then start by looking to oversee national trade policies and co-operating with other international institutions for the purpose of enhanced economic integration within the global economy.However, the academics that are working in this field of study have looked to embrace the idea moving from a regime previously based upon the General Agreement on Tariffs Trade was a significant achievement for relations with regard to multilateral trade.Therefore, the World Trade Organization arose as an intern ational regulatory body in response to the significant level of economic interdependence General Agreement on Tariffs Trade had successfully contributed to through achievements in relation to matters of corporate capitalism despite their having still been inhibited by many measures labelled as non-tariff like the recognition of human rights norms despite the increasingly global nature of relations between countries. The reason for this it that the use of tariffs in international trade relations was supposed to provide for a means for one countrys problems to then be exported internationally to other countries around the world.Therefore, in an effort to countenance such measures foreign producers have looked to retaliate because, for example, with regards to the United States of Americas car industry it was estimated that the damage that had been caused by the Japanese stood at around $6.2 billion.As a result, the General Agreement on Tariffs Trade and then more latterly the World Trade Organizations development was intended to limit the need to deal with such problems by providing then providing countries involved in international trade with a forum for then being able to air any and all concerns that they may have with regards to problems relating to international trade relations in the making of such policies.Such an understanding of the value of these kinds of international regulatory bodies was then only further emphasised by former US President Harry Truman in an address given at Baylor University when he said that rather than adopting measures that could be considered to be somewhat harmful to others countries would look to negotiate in relation to matters of concern with a view to fairly resolving a dispute.Then, in somewhat similar regard, the then Director of the Office of Economic Affairs in the US, one Harry Hawkins, recognised that when a country suffers to its significant detriment economically, then its people are likely to be more willing to follow anyone who may promise them a better life.On this basis, it has come to be understood that conflicts in relation to matters of international trade are likely to breed a certain level of non-cooperation, suspicion, and bitterness that will not assist the development of effective relations between nations pertaining to principles of globalisation. In spite of this understanding of the importance of trading effectively in the wake of the recognition of the importance of principles of globalisation, although the World Trade Organization is a significant international economic institution its exact nature and scope is still heavily contested. The reason for this is that, with regard to the activities of the World Trade Organization in particular, it is now somewhat unclear as to why an international organisation is needed to be able to oversee countries individual international trade policies when it has been argued that free trade should be selected as a natural response so the unilateral disarmament of trade barriers should occur spontaneously.In addition, the World Trade Organization has also been placed under constant scrutiny supported by the remit of the Atlantic Charter 1941 where it was determined that countries need to endeavour with respect for their existing obligations to further all countries enjoyment of equal acces s to world trade and raw materials needed for their economic prosperity. This is because it is believed such an approach will then serve to bring about collaboration between all nations in the economic field with the object of then being able to secure improved labour standards, economic advancement, and social security.Therefore, since it is arguable that, by resolving one issue, other matters can then also be resolved for the benefit of individual countries so it is arguable the credibility of the World Trade Organization is then closely linked to the effectiveness of its dispute settlement mechanisms.The reason for this is that the World Trade Organizations methods of resolving disputes will be useless without the proper incentives to then back them up so as to guarantee their enforcement as a high priority. On this basis, it would seem that the World Trade Organizations rules in relation to international trade that have been developed have served to underpin the multilateral trading system that countries seek to trade within so that, from 1991, a significant source of disquiet has been the recognition that the World Trade Organizations success was still largely dependent upon national governments co-operation.Nevertheless, those World Trade Organization Member States that have used the World Trade Organizations procedures have been found to be generally satisfied with the system that has been used for strengthening the credibility and predictability of the multilateral trading system to better improve all countries economic positions.However, most World Trade Organization Member States are developing countries with usually neither the financial means nor the expertise to protect their rights so that, even where they receive a favourable report, they have no effective means for enforcing its recommendations.In addition, it is also necessary for World Trade Organization Member States to respect certain principles in relation to the determining of solutions to their disputesso if one of the parties was unwilling to hold consultations this would violate their obligations in relation to forming relationships for bringing about an increase in international trade leading to greater economic growth. By way of illustration, if a party adopts a negotiating position without contemplating any modification of it,this would then serve to violate Articles 4.1 and 4.2 of the World Trade Organization Dispute Settlement Understanding.The reason for this is that they fail to account for the opinions of the other party and this would then be considered to be contrary to the overall aims of the dispute settlement procedure. With this in mind, developing countries have sought to bring about the implementation of special rules to then help them with the process of dispute resolutionso as to then better account for their abilities to trade internationally.However, arguably the most significant change has arisen with regards to the introduction of the World Trade Organization in the wake of the previously instigated General Agreement on Tariffs Trade system of international trade regulation that sought to ensure decisions in relation to disputes that are not dependent upon the individual parties economic strength. Nevertheless, the expertise needed to advocate a particular claim before the World Trade Organization is still often lacking due to a fear of the large costs that are involved with seeking appropriate legal advice and the collection of technical, economic, scientific, and other data as supporting evidence for these purposes.In addition, even where such countries will willingly accept the costs th at are involved with seeking appropriate legal advice, developing countries must still look to deal with the enforcement of the decisions of dispute resolution panels. However, although retaliation may not be an effective policy in seeking to resolve issues pertaining to international trade, such a problem is nothing new and neither are the proposed solutions with damages suggested along with joint or collective retaliation as opposed to more unilateral action that could be perceived of as being somewhat negative and antagonistic ultimately in its effects. Problems have, however, arisen from out of the fact that economic powers in the more developed and industrialised world like the United States of America and the United Kingdom have proved to be somewhat unwilling to support the forms of international trade that both developing and less developed countries are forced to use in the policies that they have developed. As has already been stated as part of this essays discussion, free trade is a type of international trading policy that serves to allow international traders to carry out transactions with with one another without then also being concerned about any potential interference from national governments with a view to then deriving mutual benefits from both goods and services that are then traded in keeping with the understanding of comparative advantage. Therefore, the prices that have been recognised in this regard under a policy of free trade are determined as being part of such a policy to be able to then reflect true supply and demand principles that are the sole determinants of resource allocation.This is, however, somewhat different from other international trading policies where goods and services allocation among countries are determined on the basis of the use of more artificial prices that have been derived from protectionist trade policies because of a national governments intervention that only increases the costs involved.Principles of free trades understanding was then only further emphasised arguably by the fact national government interventions generally include tariffs and non-tariff barriers as well as inter-government managed trade agreements such as the North American Free Trade Agreement that otherwise restrict free trade principles between countries involved in international trade.This is reflective of the fact, therefore, that most countries conduct some policy of international trade that is at least to some degree protectionist in nature regarding, for example, agricultural subsidi es in particular due to the importance of farmed food. That this stance has proved to be so significant in relation to international trade is marked by the fact that the adoption of a free trade policy may actually serve to increase poverty in a given nation by all too often contravening human rights norms as they are usually understood in the much more developed and industrialised west.Nevertheless, there is still a need to show an understanding of the fact that, historically, the majority of the most prosperous civilisations ever to have existed have involved themselves in some form of free trade policy believing that this was the main reason why many of these civilizations achieved prosperity.For example, academics have recognised that increased trading between countries throughout history was fundamental for achieving economic prosperity in Ancient Egypt, Greece, and Rome amongst othersThe importance of free trade principles were then only further emphasised between the 19th and well into the 20th century for many industrialised stat es now,whilst it was also believed that the adoption of policies of international free trade would serve to promote peace.John Maynard Keynes for one argued that this underpinned his criticism of the Treaty of Versailles in 1919 for the damage it had done to the European economy at the end of World War I.This understanding was then only further affirmed for Keynes, after a brief flirtation with protectionism in the early 1930s, when he once again looked to favour principles of free trade combined with internationally coordinated domestic economic policies to promote high levels of employment and international economic institutions. Such an approach was then only further reflected by the fact that From 1820 to 1980, the average tariffs on manufacturers in twelve industrial countries ranged from 11 to 32% whilst In the developing world, average tariffs . . . are approximately 34% to effectively repress the entry of products onto the international market from these countries.However, it has also since come to be believed that the higher tariffs that are utilised by developing countries may be justified because the productivity gap that has been recognised with developed countries is much higher than that which exists between developed countries alone.Therefore, whilst it is arguable that tariffs should serve to enhance infant industries in developing countries in particular (although also in developed countries), these tariffs need to be sufficiently great in scope to be able to then allow goods that are manufactured domestically to compete under the import substitution industrialisation theory where an individual nation seeks to reduce its dependence on foreign goods through the production of more goods domestically.At the same time, however, there is a needÂÂ   to recognise that such a theory has proved somewhat ineffective for more developing countries. The reason for this is that it has long been recognised that export-oriented industrialisation policies correlate with higher economic growth founded upon theory and the observational study of correlations so they then suffer from a number of weaknesses including the size of sample.In addition those factors that are ingrained in socialism have frequently opposed the recognition and use of free trade policies in international trade since they have served to permit workers to then have maximum exploitation. Such a view was then only further supported by the fact that, in a lecture given to the World Trade Organization in 2007, Jagdish Bhagwati recognised that the growing use and development of new forms of innovative technology for the purposes of enhanced communication was likely to place up to 40 million jobs at risk in the US alone within a short period of just twenty years so that there is now a need for more stringent protection for displaced workers and improved systems of education. Loss of opportunities to work is not the only problem, however. This is because international free trade agreements have served to seriously undermine peoples international human right to adequate food when they should be able to seek redress for this under Article 11 of the International Covenant on Economic, Social, Cultural Rights 1966 as part of an individuals right to seek a sufficient standard of living for both themselves and their family. However, whilst states parties must look to take steps appropriately to guarantee the realisation of this right to food, the implementation of such a right has proved practically somewhat flawed due to the need for the development of an alternative strategy meaning the production and distribution of food should be removed from international trade agreements because of its universal importance to all people. Such a view is then only further emphasised by the fact that academics including Thomas Pogge have recognised that millions of people could have had their lives saved had more developed countries permitted international institutions to satisfy even the most basic idea of fairness in international trade because the World Trade Organizations remit has been slanted with a view to emphasising the interests of richer countries over and above those of the developing world. By way of illustration, the World Trade Organization has permitted more developed countries to be able to maintain higher tariffs against developing countries, whilst h ypocritically requiring them to dismantle their own systems of protectionism regarding the implementation of barriers to international trade. Therefore, although Pogge may claim not to be against the recognition of the importance of inter-related principles of free trade and globalisation, Pogge has complained against the World Trade Organization because of the fact that it fails to open markets involved with international trade enough so that the benefits of free trade have proved to be somewhat limited, whilst they have also been particularly withheld from those who are impoverished living in developing countries. That such a view has arisen is largely derived from the fact that the growing global recognition of free trade principles has served to magnify the recognised complications that are involved with accountability across the corporate divide that clearly distinguishes the position in developed and developing countries. Significant efforts have, however, also been made to enhance free trade systems accountability internationally through (i) participating in international institutions governing trade; (ii) domestic litigation asserting rights against corporations operating in different countries operating abroad; and (iii) the promotion of principles of corporate social responsibility. For example, a number of major interest groups in the are of international trade including the International Labour Rights Forum have sought to implement reforms supranationally to permit greater public participation in international trade institutions like the World Trade Organization to better resolving disputes pertaining to international trade. Moreover, organisations with a more non-governmental scope in this regard have also sought to encourage the World Trade Organization to be more responsive to human rights issues as opposed to just those matters that are specifically involved with international trade through policies of greater consultation and cooperation. However, matters have not been helped by the World Trade Organizations decision to use its discretion regarding whether to accept public interest submissions meaning they are rarely reviewed in the way they should regarding human rights issues although interest groups in this area remain undaunted. The somewhat marginal nature of such efforts have, however, also served to highlight the World Trade Organizations power and insularity, whilst also bringing into sharp relief the problems with how international trade policy has been determined. Efforts that have been made in relation to international law in this area has also sought to promote corporate accountability in developing countries by extending the remit of national legislation such as that which is found in the US in the form of the Alien Tort Statute 2000. As a result, the International Labour Rights Forum has also looked to spearhead a test case of some significance that looked to attack international corporate action on the basis of allegations that the Union Oil Company of California had permitted the Burma government to perpetrate acts of forced labour, torture, and other abuses that serve to contravene international human rights recognition. Nevertheless, labour abuses that transpire that are of a more traditional n ature may not fall within the scope of the universally accepted international law violations that are required by the United States Supreme Court according to its decision in Sosa v. Alvarez-Machain. This is because it was recognised by the court that there is a need for any claim that is founded upon the contemporary understanding of the law of nations to rest upon showing an appreciation of norms of international character commonly accepted by the civilised world. As a result, labour groups have looked to more obliquely consider matters related to international human recognition by looking to focus upon allegations of egregious abuse against labour activists in view of the fact that most recent International Labour Rights Forum-led cases have spotlighted the torture and murder of union organisers in Latin American-United States subsidiaries as a particular concern. Free trade is not the only area of concern, however. This is because the United States of America, for one, has traditionally looked to make it clear that it is not a supporter of countertrade involving developing nations broadly considered as being founded upon the exchange in goods without the use of money and with a maximum feasible reduction of social, cultural, political, or personal transaction costs. The reason for this is then only further supported by the fact that the American government generally looks upon the concept ofcountertrade as being contrary to an open, free trading system not really in the best long-term interests of the business community domestically although, as a matter of policy, the government would not oppose domestic companies participation in countertrade arrangements unless they would negatively impact upon national security. This is a particularly important point because it has been recognised that the adoption of such a stance could serve to have mo re than a little to do with the perceived threat to national security that is not without its foundations. For example, in 2004, an international trade agreement was reached on a five-year co-operation programme between Turkmenistan and Russia, whereby Turkmenistan would supply Russia with unspecified amounts of natural gas in exchange for upgrading its existing Soviet-era weaponry so that the United States of Americas government has long looked to impose trading sanctions on these countries to restrict the flow of imported goods to make countertrade much more difficult. At the same time, however, there is now also a need to look to account for the ongoing effects of the world financial crisis that transpired just a few short years ago sinceÂÂ   it is crucial any recovery from the crisis has the same global reach touching all countries and not just those with the least resources that are from developing countries. This is because the ongoing impact of the economic crisis served to affect the state of affairs in developing countries through declining private financial flows, trade, and remittances that have proved detrimental to both their economic and social prosperity. As a result, by the end of 2009, developing countries were believed to have lost incomes that total at least $750 billion between them as a reflection of current failings in relations between nations pertaining to international trade. Such figures are, however, in reality just a slight reflection of the overall problems that have been recognised in developing countries because th e cost of resolving the world financial crisis has come to $11.9 trillion. Additionally, some significant human consequences arose including increasing levels of unemployment, poverty and hunger with an additional 50 million people that are now trapped in a state of absolute poverty that it seems that they will never be able to get out of. This is because speculative nature of companies and financial institutions in the developed world had a significant detrimental impact upon economic prosperity in developing countries because a lot of the problems with financial services still being experienced in the world today are founded on the United States of Americas sub-prime mortgage financial crisis. Matters came to a head in 2007 when Paribas reported it was impossible for it to value some of the securities it had purchased since, collectively, all financial services then felt they did not know enough about the solvency of one another for lending on the inter-bank market as they looked to central banks to provide the liquidity needed to replace what was no longer available. With a view to then resolving such problems in keeping with principles that have been recognised in relation to matters of globalisation between nations, a key question that needs to be answered is that of how developing countries can look to matters of commerce and financial services for better resolving issues of concern that are derived from the effects of the current global financial crisis. In this regard, it has been recognised that far too many poor countries have been in something tantamount to a state of denial about the effects of the global economic crisis because it has been suggested that developing countries are not well positioned to gain from any efforts made at achieving a global recovery. On this basis, there is a need for a new trade package to be developed to then focus upon preventing protectionism in labour, trade and financial markets that has hardened recently through the implementation of new restrictions along with Funding for Aid for Trade to be brought for ward so as to bring more significant long-term prosperity to developing countries. More specifically, however, it is also to be understood that better financial regulations are required in developed countries to be able to then better increase capital flows transparency, curb illegal transfers, and reduce the pro-cyclicality of financial flows to developing countries through efforts that are undertaken to then be better place to pursue sustainable global growth and responsible investment abroad in the parties best interests. Additionally, it is also arguable that global imbalances can be better addressed through recognition of the fact the majority of rich and emerging countries have high levels of surplus capital that can bring about better returns through greater investment in low-income countries to help the global recovery alongside appropriate financial regulation. Such an understanding of the position in relation to how the global financial crisis can be better resolved in favour of developing countries is then only further emphasised by the fact that International Monetary Fund needs sufficient resources for low-income countries. However, additional flexible grants are needed aside from their more customary efforts of loans for furthering the resolution of current problems with the global economy since increased support for poor countries makes all people around the world much better off around the world. Therefore, the approach associated with the International Monetary Fund means the World Bank also needs to instigate new approaches to risk and crisis founded upon better analysis for it to then be faster, stronger and more flexible. In addition, there is also a need to look to work much more closely with regional development banks along with the private sector with a view to then being able to support other social issues of importance including climate change initiatives, entrepreneurship and job creation in developing countries. Moreover, there is also a need for developing countries to look to diversify their economic foundation by spreading their reliance on more than a few export sources by stimulating knowledge-intensive sectors like education and technology as opposed to manufacturing and concentrated commodity exports that face stiffer competition and volatility with a view to enhancing financial services. Conclusion To conclude, with a view to better understanding the achievement of economic integration within the global economy between developing and developed countries, it is clear that the principles of globalisation have had a significant impact upon the way international economic law is being developed. With this in mind, with a view to showing an appreciation of as to how successfully a truly global economy has proved to be achievable, it has been recognised that, with regard to any form of international trade, there is a need to look to foster positive relations between all countries the world over. That this has proved to be the case has been marked by the recognition of the risk of international trade barriers having been implemented by individual nations authorities to their detriment so as to then achieve the stifling of their economic growth by not being fully integrated into the global economy. However, the achievement of this kind of development has proved to be somewhat difficult to say the least in practice. This understanding of the laws development in this regard has come to be recognised as being particularly true for those countries that are understood as being poorer and developing. The reason for this is that, in view of the fact that they do not have the money to trade with other nations anywhere near the same way as the more developed and industrialised nations, they also do not have what has been recognised as the legitimacy or expertise to be able to act to their benefit. It is also to be appreciated that the matters of concern that have arisen in this regard with a view to achieving a truly global economy are also all too often only exacerbated when this area becomes too competitive or when it does not suit those that are involved. The reason for this is that it has been recognised that barriers to international trade could be effectively implemented that are considered to be somewhat to be contrary to the work of the General Agreement on Tariffs Trade and, more latterly, the World Trade Organization through the work of more developed nations. On this basis, it would seem to be arguable that the recognition of the value of the process of globalisation is somewhat flawed to say the least with regard to the development of international law as it relates to the effective achievement of enhanced economic integration through the formation of closer relations between the parties via the ongoing development of international trade. That this has proved to be the case is marked by the fact that the ongoing development of international law in this regard has served to provide for the permitting of action to be taken too easily in a manner that has been taken to suits what are considered to be the more developed nations in the world today. With this in mind, it then served to fall upon the World Trade Organization to look to take action to resolve the problems that have been recognised in this area with regard to the ongoing development of the global economy and the enhanced integration of economic relations between nations to their respective benefits. However, even with the implementation of the World Trade Organization with a view to providing for greater regulation in this area, the reality is that it is a necessity to look to then undertake more action in the future to better resolve problems between countries that are still present in this area. That this has proved to be the case is particularly true of the relations between developing and developed countries where it has been recognised, for the reasons already stated as part of this essays discussion, that developing countries are usually considered to be at a disadvantage with regard to the resolution of disputes between nations allied to the use of policies so as to then be able to enhance their potential for economic growth. As a result, it is arguable that, to provide for compensation for the problems that have been recognised in this regard, principles of globalisation are considered to be central to most of the economic development that has been achieved internationally. This is because it could prove to be the case that countries must look to carry out their activities collectively through more effective economic integration to the benefit of the global economy with a view to guaranteeing that they are meeting their full potential as individual countries so as to then also provide for the illustration of the extent that the p rinciple of globalisation is considered to be interactive with international economic law.