Public Debt And Political Changes Essay - 1517 Words

6.3Domestic Public Debt and Political Changes Figure 8 shows that domestic public debt has been aggravated since January revolution, as domestic public debt was 755.3 billion Egyptian pounds in 2010; and then increased to 2116.3billion Egyptian pounds in 2015. This means that domestic public debt has increased by 180% during period of revolutions. In spite the trend of domestic public debt before revolutions was positive; however, the change in domestic public debt was in average 77.2 billion Egyptian pounds during the time period (2006-2010); and then increased to 245.5 billion Egyptian pounds during the time period (2011-2015), with an increase of 218%. The only logical explanation for this significant inflation in domestic public debt is the occurrence of two successive revolutions in a short time period and their negative consequences on the political status in Egypt. A regression analysis between domestic public debt (as a dependent variable) and political risk sub-indicators (as explanatory variables) confirmed the validity of this suggested explanation. The analysis found a statistically significant negative relationship between domestic public debt and political stability and absence of violence ((R-Sq = 82.1% R-Sq(adj) = 80.5%,F statistic is 50.61 with p-value 0.000). See Appendix 13. Figure 8.Development of domestic public debt in Egypt Source: The Egyptian Cabinet, Information and Decision Support Center. Unfortunately, the problem of aggravation ofShow MoreRelatedThe Effect Of Political Changes On Egyptian Economy1438 Words   |  6 Pagesstudying the effect of political changes on Egyptian economy by studying the direct and indirect effect of political risk index and its sub-indicators on number of important variables such as economic growth, employment, exchange rates, Egyptian Exchange main index (EGX30), foreign investment flows, domestic interest rates, and domestic public debt during the time period from 2006 to 2015 using parametric and nonparametric statistical methods. The study concluded that political risk index and its sub-indicatorsRead MoreThe Affect of Political Instability and Inflation on Pakistan1438 Words   |  6 PagesThis paper issued by the State Bank of Pakistan talks about the affect of Political Instability and Inflation on our country. Pakistan since independence has been a victim of political instability ranging from political dismissals, cabinet changes or assassinations. This instability has had an adverse affect on our policy formulation, implementation and effectiveness in terms of economic stabilization. Due to an unstable political environment we are unable to implement a set of consistent and coherentRead MoreGreece Debt Crisis Analysis1434 Words   |  6 PagesWhen global financial and economic downturn hit Europe in 2008, some of its debt-ridden and deficit-bearing states were utterly ill-prepared. Greece, especially, became the crisis’s first and most abject victim (Pappas, 2013). In 2009, the incoming Panhellenic Socialist Movement (PASOK) administration announced that the Greek government had been severely underreporting its deficit and debt. Both the domestic and international communities were at a loss at how to respond. Never before had the EurozoneRead MoreThe Structural Drivers And Political Facilitators Of Local Government Bankruptcy1109 Words   |  5 Pagesthe structural drivers and political facilitators of local government bankruptcy? The main ingredient for a local government bankruptcy to happen is structural weaknesses in the systems and policies of the local government unit (LGU) coupled with political facilitators within the LGU. These weaknesses may refer to rules that are not being followed when issuing licenses or permits, say on building permit or excavation permit in order to favor a friend or a political ally. Poor financial managementRead MorePublic Debt : Why Private Debt Is The Bigger Problem Essay1719 Words   |  7 PagesPublic vs. Private Debt: Why Private Debt is the Bigger Problem, and how it got So Out of Hand Much of the rhetoric regarding growing American debt and its detrimental effects focuses on public debt—government debt acquired through deficits and government borrowing. The clear concern many have regarding public debt is not undue; with that said, it is worth noting that usually government debt, and even consecutive deficits—if managed correctly—are relatively benign. Particularly when compared to theRead MoreWhat It Means To Be A Citizen1010 Words   |  5 Pagesand they were â€Å"referred to as an idiÃ… tÄ“s† (Ginsberg et al. 9). Part of the reason why political opinions vary so far from person to person is in part due to the amount of political knowledge that each individual has. A person who stays informed on current political events weekly by reading newspaper articles will be able to understand our current government structure better than someone who hears about political information from other people’s opinions. Valuable questions a re whether or not AmericanRead MoreA Government Divided Essay1519 Words   |  7 Pages Based on the U.S. National Debt each American citizen contributed debt is $47,724.00. This does not mean that we are accruing debt our self this is a representative number of how much debt is comparison to all the American citizens (US Debt, 2011). According to the U.S. Social Security Office the average income for an American citizen is $41,673.83 (Social Security Administration, 2011). Although these statistics are loosely based the average is a sample. One could argue it is not accurateRead Moreâ€Å"Mexico’s Balance-of-Payments Problem†1567 Words   |  7 PagesMini Case â€Å"Mexico’s Balance-of-Payments Problem† In December of 1994 Mexico entered its second major financial crisis in as many decades, requiring painful economic adjustment similar to the debt crisis of 1982. After nearly a decade of stagnant economic activity and high inflation in Mexico, the Mexican government liberalized the trade sector in 1985, adopted an economic stabilization plan at the end of 1987, and gradually introduced market-oriented institutions. Those reforms led to the resumptionRead MoreThe Impact Of Japanese Great Recession On Foreign Investment And Relaxed Trade Barriers1393 Words   |  6 Pagesbringing about considerable economic changes in the earlier stages of industrialization. However after the increase in economic and educational levels, a civil society arose with people demanding more economic and political freedoms. However, many South Koreans are of the view that these conglomerates developed their dominance over unjust resources and this domination further poses challenges for the regulatory authorities. In the recent decades, the political situation has now changed significantlyRead MoreUkraine ´s Current National Debt1027 Words   |  4 PagesGovernmen ts debt as a percentage of GDP, otherwise called debt to-GDP ratio. This is the measure of national debt a nation has in rate of its Gross Domestic Product. Fundamentally, Government debt is the cash owed by the focal government to its leasers. There are two sorts of government debts: net and gross. Gross debt is the amassing of exceptional government debt which may be as government bonds, credit default swaps, coin swaps, unique drawing rights, credits, protection and benefits. Net debt is the