Cost Accounting Essay Example | Topics and Well Written Essays - 2500 words

Cost Accounting - Essay Example Absorption cost (also known as full costing) is costing systems which includes direct materials, direct labour and variable and fixed manufacturing overhead as product cost (Duruy, 2011).This costing method is normally required for external reporting purposes under GAAP since accountants believe that fixed overhead is a crucial component in the manufacturing process (Deo, 2009).. A reason for this is that stock valuation include all production cost under UK SAAP9 so that when profit increases the stock also increase (Pong, & Mitchell, 2004) On the other hand, Marginal or variable costing is costing system which includes all manufacturing cost that vary according to the number of units produced, which includes direct materials, direct labour and variable manufacturing overhead (Bhimani, 2011). Economists favour the use of marginal costing since it enhances profit maximisation (Deo, 2009) since stock increases lower the profit (Pong, & Mitchell, 2004). Theoretically, it is easy to iden tify the effects of the costing method used by an organization on profit. The costing method used in stock valuation therefore has an implication on profit as shown in the table below: Movement increase decrease Valuation method used Full costing Variable costing High profit Low profit Lower profit Higher profit Several principles were put forward in attempts of supporting either of these costing methods. For instance, the matching principle, which holds that during profit calculation, revenues, must be matched with the costs incurred in generating the revenue (Pong and Mitchell, 2004). Assuming prices are constant, the variable costing method results in a time series of profits that is in synch with the sales. This is considered an advantage of variable costing. The profit generated in this case is not subjected to any movements influence by changes in the stock level as the fixed costs are written off. This is found to concur with the realization principle that recognises profits as they occur (Pong and Mitchell, 2004). On the other hand, carrying forward fixed costs in the full costing method can boost profits in the case of rising stock. It is acknowledged that production activities can affect profitability via the levels of stock. However, this claim has been on the spotlight as it encourages managers to increase profitability by increasing stock which may be dysfunctional to the firm (Pong and Mitchell, 2004). The main difference between absorption costing and managerial costing is the treatment of the fixed manufacturing overhead cost, which are treated as a period cost in variable costing (Durury, 2011, p.195). The two costing methods will be compared using the given data below. Year 1 Year 2 Sales Price 50 52 Direct Materials 10 10 Direct Labour 7 8 Variable Production overhead 5 5 Fixed Production overheads 4800 5700 Administration costs 4000 5000 Sales Volume 900 1400 Production 1100 1300 The unit cost for the absorption costing method was higher at ?26.36 than the ?22.00 for the marginal costing due to the addition of ?4.36 per unit in the first year. The unit cost for the second year was also high for the absorption costing at ?27.38 when compared to the ?23.00 for the marginal costing. This comparison discovered that the unit cost for absorption costing was higher than the marginal costing because of the addition of the fixed manufacturing cost. The benefit of a two year comparisons is that it reveals how manufacturing cost are transferred in the absorption and managerial costing (Lere, 2000, p.29). The benefit of marginal costing is that fixed manufacturing overhead is already incurred even if there is no production for the period. (Durury,

Figure in Humanities Essay Example | Topics and Well Written Essays - 2000 words

Figure in Humanities - Essay Example ssues such as temperance, abolition, education, and health care are all issues that have been impacted by Anthonys work in gaining the womens right to vote. Throughout the 20th century women would bring issues of social importance to women into the public discourse. The issues of civil rights, divorce law, and reproductive rights would manifest in the landmark decisions of Brown v. Board of Education and Roe v. Wade. The work of Susan B Anthony would forever alter the size, shape, and texture of government in America. The name of Susan B Anthony is indelibly connected with the feminist movement and the womens right to vote, and though her campaign for womens rights was relatively short, her singular intensity gave the movement its power. By some accounts, Anthony was no more than a minor character in the womans movement of the 19th and 20th centuries. She was not present at the Seneca Falls Convention of 1848 that is credited with bringing the plight of the oppressed woman into the national spotlight, and died 14 years before the passing of the 19th Amendment that gave women the right to vote (Chapman and Mills 3). Yet, because of her oratory skills at moving an audience, Anthony is still regarded as the "mother of all of us" (Chapman and Mills 3). In 1871 she toured the Northwest, and during a three month period gave speeches that would solidify the support needed for the right to vote in the Western states. During this tour she traveled 2000 miles and gave 60 lectures, while being dismissed by local newspapers as "being ugly, old (aged fifty one), and a spinster" (Blair 687). Yet, her work would have a monumental impact on the future of America. Humm writes that Anthony, "could not have imagined the radical transformation of the place and role of women in society wrought through the womens movement of the 1970s and beyond – perhaps the most radical change of the millennium and all within the past few years" (2). Anthonys dedication to the rights of women has

Chapter 2 - research methodology Essay Example for Free

Chapter 2 research methodology Essay Aim and Objectives. The aim of the research is to undertake an analysis of the Chinese banking industry systems, processes and products through a case study of Bank of China and HSBC, London. Objectives. The research objectives are as follows :- 1. Assess the overall state of the Chinese banking systems, processes and products. 2. Evaluate implementation of systems, practices and processes of the modern banking industry. 3. Evaluate areas for further growth and development by Chinese banks. This chapter aims to illustrate the methodology of the research. It describes; common research philosophies, research approaches and the research strategy. Veal (2000) has described research as â€Å"systematic and careful inquiry and search for the truth† or an investigation into a subject to discover facts. What is Research? Research is a well defined area of study of a particular problem or issue in its totality or in specific to a particular area of concern. (Veal, 2000). Research should entail the following characteristics, which will be kept in mind by the author while evaluating the subject (Morgan, 2000):- (a) Systematic collection of data. (b) Analytical interpretation of data. (c) Developing a theory and conclusion. The Research Philosophy Modern research has three models; these are positivism, realism and interpretivism. (Cantrell, D. C. (n. d. )). Positivism Positivism entails a scientific stance for research and interpretation of data. Thus only those phenomenon which are observable and measurable are regarded as knowledge. Positivists maintain an independent and objective stance. (Cantrell, D. C. (n. d. )). Phenomenology (Interpretivism) This is opposite of the positivistic approach and is known as interpretivism or phenomenology. (Cantrell, D. C. (n. d. )). Though positivistic and interpretivism paradigm are two extremes, most researchers use elements of both practices, which is implied in realism. This approach is considered the most appropriate for the project as the writer will be carrying out a comparative analysis of the Chinese and the British Banking system with a case study of the Bank of China vis a vis HSBC, London. Since banking systems are not just financial and economic systems but involve social issues in the context of a broader socio-political environment, a realistic approach to research is considered the most suitable. Research Approach There are two strands, which can be adopted, deductive and inductive. The deductive approach is used when a hypothesis is developed and the research design has to test that hypothesis. The deductive approach is amplified by means of a diagram at Figure 1 (Trochim, 2000). Figure 1 On the other hand the inductive approach is related to qualitative data, as a sample used in a case study as contrasting to the large quantum of data which is used in the deductive approach. A theory is said to be developed from data collection in this approach. A diagram showing the inductive approach is at Figure 2 below (Trochim, 2000):-Figure 2 The dynamic nature of the research will entail application of both approaches by the author as in practice almost all the research projects have elements of both the approaches in view of the importance of including both qualitative and quantitative findings. Research Data In general data contains information collected and recorded in note books, questionnaires, audiotapes, videotapes, models, photographs, films and test responses. (Veal, 2000). Research data in this case will be the response of selected customers and managers of Bank of China and HSBC, London. based on a questionnaire.

Analysis and evaluation of the NHS

Analysis and evaluation of the NHS The National Health Service (NHS) provides healthcare for all UK citizens based on their need for healthcare rather than their ability to pay for it. NHS is funded by taxes. This report identifies the problem with NHS with problem solving tools and techniques. For finding this problem Casual Loop and BOT methodologies has been used. NATIONAL HEALTH SERVICE (NHS): On 5 July 1948, NHS was launched by Health Secretary Aneurin Bevan and for the first time health care became free to all UK citizen. In 1952, Patients started being charged for prescription. First mass vaccination programme for polio and diphtheria started in 1958. Before this, there were 8000 cases of polio and 70000 of diphtheria each year. In 1961, contraceptive pills were launched which gives women control over how many children they have. In 1962, Health Minister Enoch Powell put forward The Hospital Plan which set out a 10 year vision for hospital building. Every population of 125,000 was to get a hospital or district general hospital as they become known. In 1967 Abortion Act was passed by a free vote of MPs and introduced by Liberal MP David Steel which made abortion legal up to 28 weeks if a womans mental or physical health was at risk and further limit reduced to 24 weeks in 1990. In 1968, UKs first heart transplant surgery was carried out in the National Heart Hospital in London with 18 doctors and nurses operating a 45 year old man for seven hours. CT scanners were used for first time in 1972. CT scanners started to be used on patients through the development of the previous five years. CT scan machines take pictures of the body to develop 3D images, revolutionising investigations of the body. Worlds first test tube baby was born on 25 July 1978 before midnight in Oldham District General Hospital. To reduce breast cancer deaths in women over 50, breast screening was introduced in 1988 and along with improved drug treatment screening was estimated to have cut deaths by a fifth. In 1990 NHS and Community Care Act was introduced by the legislation which was known as the NHS internal market with health authorities given their own budgets to buy care for local populations from hospitals. In 1994 organ donor register created to co-ordinate supply and demand. It was the result of a five year campaign by John and Rosemary Cox whose son Peter died in 1989 and he had asked for his organs to be used to help others. In 2006, patients were given the choice of four or five hospitals, ending the long held tradition of going where GPs decides. The scheme has now been extended to include all hospitals in England but not adopted elsewhere in UK. PEST ANALYSIS: A review of the political, economic, social and technical (PEST) environment involves analysing the environment for any organisation. UK based healthcare provider for the public, NHS funded by contributions made from taxes distributed by the government to each of the trusts. NHS operates within a politically stable economy with funds pledged by both previous and current governments to the service for improvements in healthcare and salaries for staff. NHS facing the economic environment is a growing economy with a rising elderly population and less working people to support them. It has become increasingly difficult to recruit medical staff and shortages have often been counteracted by employing staff from other European Union countries which in turn increases the population within the UK. The social environment shapes beliefs, values and norms (Kotler). Belief is the core values of the health service and the services it offers was high on the publics list of concerns during the last general election as if NHS is an internal part of the UK and its culture. The technological environment is moving fast within the health care sector with continually development of drugs, advancement of techniques for operations and the use of technologies for both medical and administrative procedures. SWOT ANALYSIS: Strengths: There is no real competitor for the NHS although it doesnt have monopoly in the market. Accident and Emergency service is unique to the NHS though private hospitals are available throughout the UK. The NHS has continued to grow and expand upon its services since it was established in 1948. NHS maintains good relationship with health community partners. Weaknesses: Due to increasing population NHS is unable to cope with the demand. High waiting time for the patients. Bad behaviours and attitudes of some staff. Opportunities: Uses of marketing strategies to raise the profile of the NHS. Partnerships and joint ventures with private and voluntary sector. Threats: Work of contractors affects image of NHS. High turnover of staff. Shift of services to primary care. CAUSAL LOOP DIAGRAM: Causal Loop Diagrams contain several components: One or more feedback loops that are either reinforcing or balancing processes. Cause and effect relationships among the variables. Delays. Where feedback reduces the impact of change, it is a Balancing loop. Balancing loops try to bring things to a desired state and keep them there. Where feedback increases the impact of change, it is a Reinforcing loop. Reinforcing loops compound changes in one direction with even more changes in that direction. Causal Loop Diagram has two kinds of relationships between variables: When variable A changes, variable B changes in the same(S) direction. It is indicated by (S) in the diagram. When variable A changes, variable B changes in the opposite (O) direction. It is indicated by (O) in the diagram. The Causal Loop Diagram for NHS contains variables which are as follow: Number of Doctors, Nurses and other medical staff: The number of doctors, Nurses and other medical staff working in the NHS is inversely related to the waiting time for patients. This implies that when the number of staff increases, the waiting time for patients decreases because of added capacity. The number of staff working with NHS depends on softer variables such as their morale and work environment. Number of Patients on the Waiting List: This refers to the number of patients on NHS waiting list. The waiting list becomes short when a large number of patients shift from NHS to private health care and becomes particularly long due to seasonal peaks. Waiting time: This is time a patient has to wait before he/she can be treated by NHS. Number of hospitals, beds, medical equipment: The number of hospitals, beds and medical equipment are dependent on the annual NHS budget and funding. If there is a lack of these resources than it would increase tension in the system and it would take longer to treat patients. Perceived quality of Health Services (Waiting time, Treatment and After Care): -This varies from patient to patient, if the waiting time is too long, the perceived quality of the service is low and this in turn causes more people to complain against the NHS. Number of Complaints: Dissatisfaction of the patients due to increase in waiting times leads to an increase in complaints against the NHS. This increases pressure on the government and the Department of Health by acts of the National Audit Office. Number of Patients shifting to private Health care: The patients dissatisfied by the long waiting times of NHS, started complaining and shifting to private health care. Government action: Longer waiting lists increased media pressure causing the Government to increase its annual NHS budget which relaxes the system temporarily as new funds increases the NHS capacity. Investment in facilities, Medical equipment and information technology: An increase in the NHS budget allows the NHS to hire more medical staff and improve the capacities in hospitals. More patients can be treated within short time and the waiting lists can become shorter as the budget increases. Partnership with Private Health Care: NHS cannot cope with the excessive demand when the waiting lists become too long. So it tends to outsource its service to private health care e.g. BUPA, NHS express surgery units in partnership with state run German and French health care firms. This is quick and short way to fix the problem and tends to bring down the waiting time in the short run. Morale of doctors and other medical staff: This is a soft variable that depends on factors like the quality of the work environment in the NHS hospitals, the work pressure and employee satisfaction. The morale of doctors and other medical staff has a positive effect on the quality of service provided to patients. It also determines the number of doctors and medical staff that stay with NHS or join NHS. Number of patients coming back to the NHS: The waiting list tends to decrease when a large number of patients shift to private health care or/and when the NHS budget is increased to support improved health care. The waiting time for the treatment becomes short and due to this some of the patients who had previously shifted to private health care return to NHS. This once again increases the waiting list of the patients. All the actions and movements of these variables are shown in the Causal Loop Diagram of NHS (figure 1) Figure : Causal Loop Diagram for NHS Key: = Loop 1(Balancing Loop) = Loop 5(Reinforcing Loop) S = Augmenting Relationship O = Inhibiting Relationship The causal loop diagram suggests that a deeper set of forces is at work and the problem situation to be modelled is complex and dynamic. It is necessary to consider both hard variable (number of beds and hospitals) and soft variables (morale of staff). There are 6 loops in the system. There are 2 positive loops or reinforcing loops and 4 loops are negative or balancing loops. In loop 1, increasing number of patients on waiting list increases the waiting time which leads to dissatisfaction and complaints against the NHS. This also switches some patients to private health care. Increasing pressure from public and media forces the government to increase the NHS budget. This tends to have positive effect on the system by increasing NHS capacity and reducing the waiting list. Loop 1 is affected by loop 5 which is positive and reinforcing loop. Some patients decide to return to NHS from private health care as waiting list is decline. This increases the waiting list once again. Hence, there are no proper solutions to the problem or solution is difficult to achieve. Many obvious solutions to the problem like increasing the NHS budget failed in the past. The causal loop diagram contains more negative loops than positive loops. Hence the system appears to be a negative system that tends to counter uncontrolled deviation and stabilise if the waiting list increases significantly. CONCLUSION: NHS is the UK health care service run by the government funded through the taxes. This report shows environmental condition of NHS through PEST analysis and Strengths, weaknesses, opportunities and threats of NHS through the SWOT analysis. The causal loop diagram for NHS point out the main problem of NHS which is increasing waiting time for patients and a temporary increase in resources (NHS budget) gave short run solution for the problem. RECOMMENDATION: Collaboration with private health service to decline waiting time. NHS should maintain good relationship with private health service. NHS should overcome its weakness through its strength and reduce its threats through appropriate use of its opportunities. Increase its work force and equipment. NHS should stop the contract based employee and there should be better coordination between doctors, nurses and other employees.

Sport Utility Vehicle Essay -- Vehicles, Cars and Trucks

For as long as there have been roads to drive on, Americans have had a love affair with their cars and trucks. Ever since consumers became interested in car design and styling in the 1920s, the car manufactures have invested in innovation to quench the thirst of the American car buyer (Pauwels, Silva-Risso, Srinivasan, and Hassens, 2004, p. 143). When I was young, September was the time of year when the car manufactures showcased the new models, generating excitement and of course new sales. In the 1990s and 2000s, a new breed of vehicle was introduced, the sport utility vehicle (SUV). This was a marketing term for vehicles similar to the station wagons of the 70s but built on a truck chassis. These vehicles were perceived as rugged and capable of being used off road. Since they were considered trucks, they were less regulated as cars and had poor fuel economy. Nevertheless, these vehicles grew in popularity due to their versatility and low gas prices at the time. However, gas prices in the United States increased in the summer of 2003 before declining in the fall of the year to levels that prevailed in the spring of 2003. Gas prices began another increasing trend in January 2004, which lasted through May of that year before beginning to moderate once again. The average per gallon price reached in May 2004 was 39.1 percent higher than the May 2003 average, and the May 2004 average was 22.5 percent higher than the average price reached in September 2003 (United States Department of Energy, 2011) A reasonable expectation is that increases of this magnitude in gas prices would motivate consumers to purchase more fuel-efficient vehicle for their transportation needs. The trend during the 1990s in the United States had been char... ...data reported year over year sales decreases for full size SUVs. Examples of their reporting includes a decrease of sales for Ford Expedition of 33.6%, Cadillac Escalade down 16.3%, and Chevrolet Tahoe down 11.9% (Healey, & Eldridge, 2004, pp. 10). Today, with gas prices hovering between $3 and $4 per gallon, the customer demand for SUVs has moved from full-sized SUVs to the more fuel midsized and crossover economical models where miles per gallon is significantly higher than models sold in 2003, generally offsetting the increases of gas prices. In general, this hypothesis test along with the supporting data validated that there was a correlation between the price of gas and the sales of full-size SUVs by way of increased manufacture price incentives. This correlation could have been used to direct corporate strategies for future models in the SUV market class. Sport Utility Vehicle Essay -- Vehicles, Cars and Trucks For as long as there have been roads to drive on, Americans have had a love affair with their cars and trucks. Ever since consumers became interested in car design and styling in the 1920s, the car manufactures have invested in innovation to quench the thirst of the American car buyer (Pauwels, Silva-Risso, Srinivasan, and Hassens, 2004, p. 143). When I was young, September was the time of year when the car manufactures showcased the new models, generating excitement and of course new sales. In the 1990s and 2000s, a new breed of vehicle was introduced, the sport utility vehicle (SUV). This was a marketing term for vehicles similar to the station wagons of the 70s but built on a truck chassis. These vehicles were perceived as rugged and capable of being used off road. Since they were considered trucks, they were less regulated as cars and had poor fuel economy. Nevertheless, these vehicles grew in popularity due to their versatility and low gas prices at the time. However, gas prices in the United States increased in the summer of 2003 before declining in the fall of the year to levels that prevailed in the spring of 2003. Gas prices began another increasing trend in January 2004, which lasted through May of that year before beginning to moderate once again. The average per gallon price reached in May 2004 was 39.1 percent higher than the May 2003 average, and the May 2004 average was 22.5 percent higher than the average price reached in September 2003 (United States Department of Energy, 2011) A reasonable expectation is that increases of this magnitude in gas prices would motivate consumers to purchase more fuel-efficient vehicle for their transportation needs. The trend during the 1990s in the United States had been char... ...data reported year over year sales decreases for full size SUVs. Examples of their reporting includes a decrease of sales for Ford Expedition of 33.6%, Cadillac Escalade down 16.3%, and Chevrolet Tahoe down 11.9% (Healey, & Eldridge, 2004, pp. 10). Today, with gas prices hovering between $3 and $4 per gallon, the customer demand for SUVs has moved from full-sized SUVs to the more fuel midsized and crossover economical models where miles per gallon is significantly higher than models sold in 2003, generally offsetting the increases of gas prices. In general, this hypothesis test along with the supporting data validated that there was a correlation between the price of gas and the sales of full-size SUVs by way of increased manufacture price incentives. This correlation could have been used to direct corporate strategies for future models in the SUV market class.

Gay Marriage: A Modern Soddom and Gomorra Essay -- Against Gay Marriag

  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Gay parenting and marriage has become publicly accepted by some and rejected by others. Many have come to believe this topic to be immoral and impossible. Society has also realized that the average family has developed into many different forms in the last few years. Gay families have developed and are perceived today that raising kids without both a Mom and Dad, deprives the child from being introduced to both worlds. The approach to this debated topic will be to analyze and to defend the â€Å"cons† of gay parenting and marriage.   Ã‚  Ã‚  Ã‚  Ã‚  Ever since the beginning of creation, God made man and woman to reproduce and create humanity. God never in between allowed or said that same sex marriage was permissible or was the natural way to create a generation. For example in Genesis chapter 19 the story of Sodom and Gomorrah explained the wickedness of the city that mainly strived from homosexuality. Genesis 19:5- And they called unto Lot, and said unto him, Where are the men which came in to thee this night? Bring them out unto us that we may know them. The city’s perverseness made God infuriated and led to the destruction of that city turning it into fire and brimstone. This gives evidence that homosexuality is a religious sin, which is analogous to many other Biblical prohibitions, like committing adultery which transgresses ethics.   Ã‚  Ã‚  Ã‚  Ã‚  According to the Bible, Deuteronomy 32:46- And he said unto them, Set your hearts unto all the words which I testify among you this day, which ye shall command your children to observe to do, all the words of this law. It is impossible to raise children when both parents are the same sex because it isn’t natural and goes against biblical standards. In addition, children won’t have the example from their parents to do different than they do and make better decisions that please God.   Ã‚  Ã‚  Ã‚  Ã‚  Some issues that are argued on the topic of gay parenting is that gay parenting is no different from heterosexual parenting." Many studies have stated this, but, according to University of Chicago's professor of ethics and social sciences Don Browning, none of these studies were absolute. Other studies show that children raised by homosexuals were more unhappy with their own gender, had more frequent homosexual experiences , and endured a greater rate of molestation by family members (CT). Societies, both gay and straight, view gay paren... ... children   Ã‚  Ã‚  Ã‚  Ã‚  A. Unnatural way of same-sex parents   Ã‚  Ã‚  Ã‚  Ã‚  B. Children have the influence IIII. Issues Argued   Ã‚  Ã‚  Ã‚  Ã‚  A. Gay parenting is no different from heterosexual parenting   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  1. Greater rate of molestation   Ã‚  Ã‚  Ã‚  Ã‚  B. Bonding is only for heterosexuals   Ã‚  Ã‚  Ã‚  Ã‚  C. Going against society V. Children and Parents   Ã‚  Ã‚  Ã‚  Ã‚  A. Same-sex marriage deprives children   Ã‚  Ã‚  Ã‚  Ã‚  B. Trouble with sexual identity VI. Child Harassment   Ã‚  Ã‚  Ã‚  Ã‚  A. Preparing the child   Ã‚  Ã‚  Ã‚  Ã‚  B. Conflict between best interest   Ã‚  Ã‚  Ã‚  Ã‚  C. Damaging self esteem VII. Gay marriage and legal rights   Ã‚  Ã‚  Ã‚  Ã‚  A. States approving gay marriage   Ã‚  Ã‚  Ã‚  Ã‚  B. Legal marriage in Denmark VIII. Society and Gay rights   Ã‚  Ã‚  Ã‚  Ã‚  A. Owning children   Ã‚  Ã‚  Ã‚  Ã‚  B. Divorce in court   Ã‚  Ã‚  Ã‚  Ã‚  C. Government opposing gay marriage VIIII. Real reasons for opposing gay marriage   Ã‚  Ã‚  Ã‚  Ã‚  A. Aren’t comfortable with the idea   Ã‚  Ã‚  Ã‚  Ã‚  B. Goes against religion   Ã‚  Ã‚  Ã‚  Ã‚  C. Marriage is sacred   Ã‚  Ã‚  Ã‚  Ã‚  D. Gay sex is unnatural   Ã‚  Ã‚  Ã‚  Ã‚  E. They could recruit X. Conclusion   Ã‚  Ã‚  Ã‚  Ã‚  A. Negative influence on children   Ã‚  Ã‚  Ã‚  Ã‚  B. Soddom and Gomorra   Ã‚  Ã‚  Ã‚  Ã‚  C. Set Boundaries Works Cited  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Christian Science Moniter. 2004. Staff of Christian Science Moniter. 10 October 2004

Consumerism and the Environment Essay

Consumerism is a concept that was created before the Great Depression, which, by definition, means â€Å"the concept that an ever-expanding consumption of goods is advantageous to the economy; the fact or practice of an increasing consumption of goods†. In other words, consumerism has meant the transformation of citizens into shoppers. In fact, after the tragedy of 9/11, we were not asked to sacrifice or work hard in order to defeat terrorism, we were asked to go shopping. (Barber, 2008) Buying more products may help the economy but it is not good for the environment. Statistics show that the act of consumerism has negatively affected the environment and made a sustainable future very difficult. With the threat of overpopulation and the increased consumption of food and natural resources, our environment may not be able to sustain future generations. In looking at the statistics of consumption in America over the years, we have doubled or tripled our consumption of food and natural resources in the last 50 years. One of the root causes of our environmental problems is hyper-consumption. We simply buy too much of what we don’t need and often even what we really don’t want. According to Globalissues. org â€Å"half of the world lives on less that $2 a day† and WorldWatch. org or World Watch Institute states â€Å"12% of the world’s population lives in North America and Western Europe and accounts for 60% of private consumption spending†. The statistics of consumption in America is disturbing. Putting the consumption of food aside, global oil production is currently about 81 million barrels a day and is predicted to fall to 39 million barrels a day by 2030 due to diminishing resources. Seager, 2007) In 50 years and as these resources doubled in consumption, carbon dioxide levels increased over 20%, which is very harmful to our environment and the ozone. The world’s population needs to realize that consumerism is affecting the environment in very bad ways and people need to start changing the way they live and buy in order to help save the environment. The effect of consumerism to the environment has been well documented over the years. From fuel consumption to polluted air, a damaged ozone and massive waste and garbage dumped, our environment has taken a lot of hits. The increase of natural fuel over the last few decades has many people wondering what the world will do if we run out. The answer is simple. We need to transform the way we use fuel into re-usable, environmentally friendly fuel. That is easier said than done, but massive change is never easy. We also have to look at what damage this consumption is doing to the air and the ozone layer. The effect of ozone layer depletion often seems as if it is a far away problem. In reality, the weakening of the Earth’s protection from radiation has implications that spread across the planet. The Environmental issues caused by ozone layer depletion will ultimately affect everyone. (Ozone Layer Depletion, 2012) According to statistics, the holes in the ozone layer are getting bigger year by year. There may not be a way to reverse the damage that has been done, but we can prevent more damage just by making simple changes. The US produces nearly 230 million tons of trash per year and less than one fourth of it is recycled and the remaining garbage is burned. If we put a proper plan in place, we could recycle 70% of this waste and dramatically decrease the demand virgin resources. There are several environmental agencies that actively seek to make a change for the better. There is no one person or group able to make decisions that are binding upon all or even most of the participants in a movement. This makes negotiation and settlement difficult, if not impossible. Getting more people involved in environmental activism does not mean they need or have to picket or protest environmentally unfriendly businesses, just to be aware and work on their own consumption. (Arquilla & Ronfeldt, 2001) With the massive increase in consumption and the negative effect on the environment, the American government and corporations are putting plans into place to protect our environment. For example, according to thewhitehouse. gov, â€Å"The Obama Administration is committed to protecting the air we breathe, water we drink, and the land that supports and sustains us†. The Recover Act Investments in our Environment is finding for programs and projects that will protect the environment. The National Ocean Policy helps preserve our oceans. The government is also working to reduce air pollution by setting ambitious new fuel economy standards for cars and trucks that will raise the miles per gallon usage and decrease carbon emissions. The government has also proposed national standards for mercury, arsenic and other toxic air pollution from power plants. There is also the proposal for the development of clean energy, which, should slow down if not stop the usage of natural fuel and also have a positive effect on the environment. None of these proposals or policies has been put into place as of yet, but it is good to know that the government is at least working on a solution. Not only is the government working on a solution but also several of the leading corporations in America have â€Å"gone green† to help protect our environment. Companies like Bank of America, McDonald’s, Home Depot, Wal-Mart, and many others have decided to look at the big picture and give our environment a little help. Most of these big companies were big environmentally unfriendly companies and either chose to go green or had to go green because of falling profits. They had to go green because when the public got wind of the waste the company’s business suffered quite a bit. There are several things that we, as a nation, can do to help our environment and to ensure that we have a sustainable future. First thing that we need to do is to try and reverse as much damage that has been done to our environment as possible. In order to do that, some major changes have to be made. According to science. howstuffworks. com, doing the following things could help the environment in tremendous ways: Leave your car at home at least 2 days a week; it could reduce greenhouse gas emissions by an average of 1,590 pounds per year. Recycle all paper and plastic. If an office building of 7,000 workers recycled all of its office paper waste for a year, it would be like taking about 400 cars off the road. Compost your waste. Composting will reduce the amount of waste that is put into landfills or burned and polluting the air. With regards to preserving sustainable resources, that problem is a little tougher to solve. Fossil fuels are a finite resource, which means it has a limit and when it is gone there is no replacing it. We have to find environmentally friendly fuels to replace fossil fuels. We also have to be careful with our food, water, and soil. Several studies have shown that even if rely on renewable resources like rainwater, we have to make sure that rate of consumption does not exceed how much can be produced. We have the knowledge to help save and sustain our environment and population. Ever since the inception of Earth Day in 1970, activists have lobbied to get governments, corporations, and regular people to see the damage that is being done to our environment. These activists are and have been working ever vigilantly to get the word out that the environment is in trouble. We are seeing it now with the holes in the ozone and the depletion of the natural resources. Our society has been built on consumption and the idea that more is better. In order to reverse this way of thinking we have to change the way we do things. It is a long and hard process but if everyone, including governments and corporations, would do their small part we will have a more sustained and healthy environment.