Economics Pa

  In the world of economics, debt plays a pivotal role in shaping the development trajectory of nations. However, not all debts are created equal. A glaring contrast exists between the debt burdens of developed nations like the United States and those of the Global South. This contrast not only reflects economic inequality but also serves as a significant factor contributing to underdevelopment in many regions. In this article, we delve into the disparities between the United States' debt and that of the Global South, exploring why it perpetuates underdevelopment and the role of international financial institutions like the World Bank and the International Monetary Fund (IMF) in perpetuating this cycle. The United States Debt: A Different League The United States boasts one of the highest national debt levels globally, currently exceeding USD 28 trillion [1]. However, the nature and implications of this debt significantly differ from those faced by countries in the Global South. Th

  Unemployment remains a pressing concern globally, impacting communities and economies alike. In Rwanda's Eastern Province, particularly in Nyagatare District, addressing unemployment is a multifaceted challenge with varied opportunities for improvement. This article delves into the comprehensive data from the 5th Rwanda Population and Housing Census (5RPHC) in 2022, shedding light on the intricacies of the employed population, gender disparities, youth unemployment, and the underlying causes of unemployment. Additionally, it explores strategic responses to mitigate this issue, providing a roadmap for policymakers and stakeholders.   In Nyagatare District, the employment-to-population ratio (EPR) stands at 51.5%, revealing significant labor force participation among individuals aged 16 and above. However, urban-rural disparities are evident, with urban areas boasting a higher EPR of 54.0% compared to 47.9% in rural regions. This data emphasizes the need for nuanced regional st

  In an exclusive interview, we had the opportunity to sit down with Shema Jean Claude, a 26-year-old forex trader and economics graduate from Kigali Independent University (ULK), to delve into the intricacies of the foreign exchange market and gain insights into the world of forex trading. Shema shared his expertise on various aspects of forex trading, including its mechanics, the importance of staying informed, and the potential profitability of this dynamic financial market.                                                     Exploring the Forex Market: When asked about forex trading, Shema described the foreign exchange market as a global platform for exchanging different currencies. He explained that forex trading involves speculating on price movements within this market, primarily based on the principles of supply and demand. Traders around the world analyze market trends and perform technical analysis to make informed predictions about future currency movements.            

                                  In Rwanda as well as in most global south countries especially those on the African continent, the Dunning-Kruger effect is mostly found among entrepreneurs which leads most of them to close their business activities poorer than when they had started doing their businesses. This phenomenon where people over-estimate their capabilities is mostly found in new and emerging entrepreneurs and it is what leads businesses into failure as the owners of the businesses make decisions that they were not supposed to be making due to lack of counsel and expertise in their field of operations.  Companies and SMEs often face management issues caused by their managing directors who unilaterally takes decisions that are fatal to the businesses, this is due to that these companies are run like hood shops where the managing director is everything in the business.       It’s not surprising that in Rwanda to this date, you can find a company where the managing director doe

The part of financial system focused on raising capital by dealing in bonds, shares and other long-term investments is called capital market as the buyers and sellers engage in this market to trade financial securities. This market plays a critical role in mobilizing funds and channels them into productive investments for the development of industry and commerce thus saving and investing in capital market is very important as it is vital for the growth of an economy. Investing and saving in capital market at an early age is very benefiting for the youth as well as for the economy as assessed in the paragraphs below.   It is worth to state from the outset that by investing and saving at an early stage of life, you learn a pattern of financial independence and discipline. An early investment teaches the real difference between investments and saving. Never think young age is a barrier to making an investment, as you are never too young to invest. The Little amount of money invested

Generally speaking, investment clubs which are groups of people who collect and pool their money for investment, play a very important role in boosting the saving culture in capital market by youth, as they help them to exactly know where and when to save their money by issuing stock and bonds in which there is a return in a form of interest and dividends thus attracting them more in saving a part of their disposable income to be able to buy more in future. In this essay we will look at how the investment clubs impact the youth saving culture in capital market.   It is worth stating from the outset that saving in the capital market requires no much money, where individuals with low income can still save by issuing stocks at the capital market, the youth who in most cases are considered to be low income earners, with no jobs or being allocated pocket money they can still save by issuing stocks at the capital market which will have returns as dividends. But though they can invest in