Thursday 30 April 2009

Economic homework.Swine and flu

Swine and flu effect more than 11 countries health, which is very bad.
But now I want to talk about the effect of economic by swine and flu:
Advantages:
1. It boost the demand for the hospital, including doctor, nurse, equipment, medicine and etc.
2. The demand of demerit goods decrease.
3. Decrease the pressure of a country which afraid of the economy of other countries develop a lot than them.
4. The demand of pork's substitute will be increase a lot.
5. The tourism of Asia will be increase, because Asia has the best health situation currently.
6. Increase the supply and demand of vegetables, some daily foods that we need, because some people now in Mexico start to stock food.
7. Increase the demand of flight
Disadvantages:
1. Government spending will increase a lot. Including avoid flu's, increase the security, a rise in hospital equipment, and doctors or nurse and etc.
2. Demand for complement of pork's will decrease.
3. Health standard decrease.
4. Low confidence for people
5. AD decrease.
6. Market failure
7. Waste time.
8. Stop to economic development in recession
9. The loss will be more in every countries.
10. Recession globally will sustain longer.
11. Affect macroeconomic performance
Anyway , I do not think people like the advantages that because when the swine and flu occur.
So I hope swine and flu please disappear, do not kill people again.
We need health,and our life.

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