INTRODUCTION TO BUSINESS, Third Edition 
Gaspar/Bierman/Kolari/Hise/Smith/Arreola-Risa

Video Labs: Chapter #1-What Is Business?

What is Good Business?

 

The primary objective of conducting business in a capitalist, free market system is to maximize shareholder wealth, i.e., to maximize profits that would trickle down as high returns to investors/shareholders. A more sophisticated approach to managing business calls for conducting business in an ethical and sustainable manner.  This implies managing business for the long term rather than just focusing on short-term wealth maximization.  Businesses that focus on short-term wealth maximization will have a tendency to cut corners and act unethically.  Hence, it’s become easy to feel that all businesses are somehow bad and corrupt. Far from it. As long as entrepreneurs follow the five principles indicated in the video, any business can be sustainable. Run Time: 8:37

Gross Domestic Product – The Economic Lowdown Video Series #7

 

This video clip from the Federal Reserve Bank of St. Louis is an excellent piece that clearly explains the concept of Gross Domestic Product (GDP) and its relation to the Gross National Income (GNI).  The video, with the help of simple examples explains the difference between nominal and real GDP and how per capita real GDP is the right measure of country’s wellbeing for comparative analysis. Run Time: 7:51

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Coronavirus Capitalism

The corona-virus, Covid-19 or the Wuhan virus or whatever you may call it, is a pandemic that led to seizing of the world economy in early 2020.  After a late start, the U.S. economic policy response was to infuse massive liquidity (cash) and bailout of corporations - big and small - as well as short-term injection of cash transfers to the unemployed, and employed workers with annual incomes of up to some $100,000.  Critics argue that this is not “capitalism,” which is the foundation of the U.S. economy but it is a clear case of crony capitalism peppered with socialism on steroids. Run Time: 9:51

Source: Viacheslav Lopatin/Shutterstock.

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Source: Viacheslav Lopatin/Shutterstock.

Who will pay for the financial fallout of the coronavirus pandemic?

Most serious economists believe that the Covid-19 induced global recession is likely to be the worst since the great depression of almost a century ago.  Relatively mild recessions are generally caused by business cycles of prolonged unsustainable economic growth that lead to the bursting of economic bubbles and return to the normal rate of growth in economies.  However, the Covid-19 event is an external pandemic that originated in Wuhan, China and spread globally thereby pushing the world economy into a recession by totally disrupting both the supply and demand side of economies worldwide. Run Time: 25:10