Your Assignment: Grow the Global Economy

January 24, 2013  |  85 comments

“It is entrepreneurs who represent the best hope of creating sustained economic growth around the world. Students who can develop the entrepreneurial mindset early on are going to have a distinct advantage, whether economic conditions are weak or strong.”– MARIA PINELLI, GLOBAL VICE CHAIR,STRATEGIC GROWTH MARKETS, ERNST & YOUNG GLOBAL LTD. & CHAIRMAN, NFTE BOARD OF DIRECTORS

NFTE released a new white paper, “Your Assignment: Grow the Global Economy,” at the World Economic Forum 2013 annual meeting in Davos today. It outlines the rationale for expanding the outreach of entrepreneurship education to combat the trend of youth unemployment.

With this new paper, NFTE makes and important contribution to the growing global conversation, with ideas you can use to make a difference.

Visit the landing page for this paper, and read why entrepreneurship education for all youth can change the future.

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It is common to limit

It is common to limit questions of the world economy exclusively to human economic activity, and the world economy is typically judged in monetary terms, even in cases in which there is no efficient market to help valuate certain goods or services, or in cases in which a lack of independent research or government cooperation makes establishing figures difficult. Typical examples are illegal drugs and other black market goods, which by any standard are a part of the world economy, but for which there is by definition no legal market of any kind.
However, even in cases in which there is a clear and efficient market to establish a monetary value, economists do not typically use the current or official exchange rate to translate the monetary units of this market into a single unit for the world economy, since exchange rates typically do not closely reflect worldwide value, for example in cases where the volume or price of transactions is closely regulated by the government.
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I really like what Maria Pinelli has said “It is entrepreneurs who represent the best hope of creating sustained economic growth around the world. Students who can develop the entrepreneurial mindset early on are going to have a distinct advantage, whether economic conditions are weak or strong.” I hope everyone gets to read this and believe in it.

Economists distinguish

Economists distinguish between short-run economic changes in production and long-run economic growth. Short-run variation in economic growth is termed the business cycle. The business cycle is made up of booms and drops in production that occur over a period of months or years. Generally, economists attribute the ups and downs in the business cycle to fluctuations in aggregate demand. In contrast, the topic of economic growth is concerned with the long-run trend in production due to structural causes such as technological growth and factor accumulation. The business cycle moves up and down, creating fluctuations around the long-run trend in economic growth.

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