While riding a bike is fun, there is also a high chance of getting in to an accident. On a wet rainy day, there are chances that your bike might skid. Even the most skilled bikers sometimes loose control and give in to the friction. This is the reason why you should get insurance for yourself first and then your bike. You should get your bike insured as soon as possible because it is needless to say that bikes which are of any decent motor company, come out to be pretty expensive. God forbid, but if you face any kind of an accident, your bike’s safety comes right next to your safety. First you buy the bike and on top of that repairing charges will burn a hole in your pocket. Thus as you can see, it is not only safe but also highly important to get bike insurance, as soon as you get the bike itself.

Before you go ahead to get with your bike insurance, you should educate yourself about the concerned insurance company. Many companies will be offering insurance for both you and your bike. It is always a good option to choose such companies. It will save you a lot of money, time and energy also. To know how an insurance company will rate you, read on-

-if your bike is of the latest fashion and is expensive the insurance too will cost more than what a normal, basic motorcycle’s insurance will cost.

-the older you are the cheaper will be your insurance costing as with bikes, this is the usual norm.

-if you live in an area where crime rate is high or a very accident prone area, then also your bike insurance costs will be higher. So it matters where you live.

-if you have a clean driving history, your insurance company will charge you less, depending upon your past driving records.

-where you work also matters. If you are going to work and have to park your bike in a site where construction is going on, some companies charge more.

Check through the internet and read the comments and reviews of other customers. Consider all the possible insurance companies before you go ahead. It is highly necessary that you choose a reputed and trusted company. After all you are going to give your life and bike in their hands.

So once you have come to a decision, go through their norms, and if you fit in to the necessary categories, you are ready to get your insurance and drive once again on the streets with a much lesser burden on your shoulders.

Currently, there is a mushrooming of online bookkeeping organisations which confer financial bookkeeping outsourcing and accounting features to attain competitive advantages over the other competent rivals. Bookkeeping features are important to keep a track of different business finances, which include transactions, which are done on daily basis. After all, one of the key tools for ensuring the success of the business is keeping an updated track of the financial businesses. Furthermore, the clients also have the independence to select the mode of outsourcing which is suitable to their needs.

Necessity of Bookkeeping outsourcing

Bookkeeping outsourcing is necessary to calculate the profits and losses made by the various business organisations. At the same time, it also aids in the finalising whether trouble has started lurking in the financial grounds or not. Furthermore, it makes the accurate assumption between the sales and the expenditure. Thus, dynamic and potential bookkeeping services are the foundations of outsourcing business companies.

Significance of bookkeeping outsourcing

Some of the primary functions of the bookkeeping outsourcing services are the auditing, preparation and presentation of financial statements, bank reconciliation,  ledgers preparation, accounts payables and receivables and finally data entry into the accounts.The various technologies are utilised for the purpose of bookkeeping and protection are meant for flawless protection of the data of the client. Along with it, these incorporated tools also add to the rigid and strict legalities which safeguard the client’s details from being misused.

Software used for bookkeeping outsourcing

Some of the software which is used for bookkeeping outsourcing are Sales force, La Certe, Iris, MYOB, Quicken, Peachtree, QuickBooks and Sage Line 50. These software help in the accounting and bookkeeping function, production of the managed accounts on the quarterly basis, calculating the VAT returns, submissions to various Inland Values, availing the expert advice, minimizing of the tax liability, submission of accounts to the Company Houses.

Areas of Bookkeeping outsourcing

Some of the areas in which the concept of bookkeeping outsourcing can be used are VAT calculation, Cash Flow management, general ledger maintenance, sales ledger control, sales invoicing and credit control, trial balance, payroll administration and month end closing.

Advantage of bookkeeping outsourcing

There are innumerable advantages conferred by bookkeeping outsourcing and some of them are competitive pricing, unique approach, fast turnaround and important customer service. With this outsourcing feature, the clients are saved from unnecessary expenditure and finance and accounting operations costs. It also aids in improvement of efficiency, availing of specialised skills, free up resources, reduction in capital costs.

At the same time, the solutions which are offered by the bookkeeping outsourcing operations are reliable, flexible and accurate. You can run your business with no hassles and clutter on desk.

Dr.R.Murali

Head, Department of Philosophy & Centre for Philosophical Research

The Madura College (Autonomous), Madurai -625011.

“Never doubt that a small group of thoughtful, committed citizens can

change the world. Indeed, it is the only thing that ever has.”- Margaret Mead

I

Social justice refers to conceptions of justice applied to an entire society. It is based on the idea of a just society, which gives individuals and groups fair treatment and a just share of the benefits of society. Hence, Ethics has many spheres to operate. Economics is one of the major spheres of ethics. According to Aristotle, Economics is a practical expression of ethics- a basic virtue rooted in justice. This concept of justice has been variously described as distributive justice or a fair share for all. In other words, the concept of social justice was accepted as being rooted in an ethical base or simply common sense and economics cannot be divorced from this. Similarly economics and politics are inseparable. Social justice is both a philosophical problem and an important issue in political economy.

It can be argued that everyone wishes to live in a just society, but different political ideologies have different conceptions of what a ‘just society’ actually is. The term “social justice” itself tends to be used by those ideologies who believe that present day society is highly unjust – and these are usually left wing ideologies, advocating a more extensive use of democracy and income redistribution, a more egalitarian society and either a mixed economy or a non-market-based economic model. The right wing has its own conception of social justice, but generally believes that it is best achieved through embracing meritocracy, the operation of a free market , and the promotion of philoanthropy and charity. Both right and left tend to agree on the importance of rule of law human rights, and some form of a welfare safety net (though the left supports this to a greater extent than the right).

Social justice is also a concept that some use to describe the movement towards a socially just world. In this context, social justice is based on the concepts of human rights and equality. So a very broad definition of social justice is that “social justice reflects the way in which human rights are manifested in the everyday lives of people at every level of society”. It can be further defined as working towards the realization of a world where all members of a society, regardless of background, have basic human rights and an equal oppurtunity  to access the benefits of their society.

Many philosophers like Aquinas, Locke, Bentham , Mill, Kant and others have discussed the problem of social justice in their works. In the latter part of the twentieth century, the concept of Social Justice has largely been associated with the political philosopher John Rawls (1921-2002) who draws on the utilitarian insights of Bentham and Mill, the social contract ideas of Locke, and the categorical imperative ideas of Kant. His first statement of principle was made in A Theory of Justice (1971) where he proposed that, “Each person possesses an inviolability founded on justice that even the welfare of society as a whole cannot override. For this reason justice denies that the loss of freedom for some is made right by a greater good shared by others”, a deontological proposition that echoes Kant in framing the moral good of justice in absolutist terms. His views are definitively restated in Political Liberalism (1993), where society is seen, “as a fair system of co-operation over time, from one generation to the next.” (at p.14).

Along with these philosophers some others hold that social justice is nothing but the redistribution of wealth, power and status for the individual, community and societal good. Some others hold that it is government’s (or those who hold significant power) responsibility to ensure a basic quality of life for all its citizens.

Hence, it’s very clear that economic policies of the society are very much connected with social justice. It is also true that all around in the world today many advocates of social justice are in some state of despair. Some of them fear that social justice is a lost cause in a global economy.

II

Liberalism: Social Justice as Economic Freedom

Liberal capitalism, the super economic, all pervasive model which is promoted and practiced all over the globe today has been subject to severe critical examination by economists, not only due to economic recession but also mainly for destabilizing value systems in countries and becomes responsible for social injustice across the globe.

Friedrich Hayek, Nobel laureate in Economics and a principal twentieth century defender of liberal capitalism, once stated that “…nothing has done so much to destroy the juridical safeguards of individual freedom as the striving after this mirage of social justice.” We do not have to spend a great deal of time on his jaundiced reading of the history of struggles for social justice. What is, however, worth noting is his unequivocal presumption that social justice and the freedoms we have under modern capitalism are not only distinct from each other, but mutually antagonistic.

Sam Gindin in his article on ‘Anti-Capitalism and the Terrain of Social Justice’ severely criticizes Hayek’s position. He says that what so many others have obscured and what Hayek to his credit confronts directly, is that inequality is not an unfortunate aberration under capitalism, but an inescapable outcome and an essential condition of its successful economic functioning. Capitalism is—and this is surely as clear today as it ever was—a social system based on class and competition. Such a society guarantees not just inequality of result, but insofar as the results of inequality are passed on through the institution of the family and the spatial divisions of uneven capitalist development, the inequality is reproduced inter-generationally and inter-regionally. This leads to a decisive inequality of opportunity.

It is not surprising therefore that the most clear-minded defenders of capitalism consequently seek to displace the terrain of debate over the legitimacy of capitalism from distributive or equal-opportunity notions of social justice, to notions of individual freedom and especially market freedoms. Gindin observes that the individual is placed at the center of a world in which the concept of the community or the collective is confined to the state—liberalism’s old nemesis. Liberalism then seeks to limit the power of the state not only by the rule of law, freedom of expression and association, and elected legislatures, but also and especially by the rights of property, the inviolability of contract in market exchanges, and the protection of private-family spaces to enjoy the fruits of property and labor.

There is no denying the powerful practical appeal of this structure. Both civil and political rights and the historically unprecedented economic dynamism and possibility of rising standards of living rested on it. Yet the reality of class inequality behind this structure could not so easily be set aside. The contradictions of liberal justice rest on the fact that a market economy creates a market society, and that private property is not and never was a relationship between people and things, but a relationship between people. Historically, the creation of markets and private property were not, as liberal mythology tends to present it, a matter of getting the state to stand aside so natural human propensities could unfold. Private property in particular emerged with the support of an absolutist state controlled by landed interests who asserted unconditional rights over property which had previously been constrained by traditional obligations. Those interests, backed by the state, forcibly expropriated the commons—lands formerly accessible to the community—for their exclusively private use. The need to reproduce these kinds of private property rights and the privileges they imply necessitated a permanently strong, active, and class-biased state. Today, the drive to deepen and expand such rights takes the form of neo liberal globalization.

Capitalism’s inequalities, it is crucial to emphasize, are not simply about some getting more and others less, but rather that the economic freedom capitalism embodies involves guaranteeing different kinds of freedoms for different people. For a minority, economic freedom revolves around the power to organize production and accumulate; for the rest, freedom to sell one’s productive potential in a labor market and, on the basis of that, to exercise some personal choice in consumer markets. What the minority is accumulating as part of its freedom includes power over the labor of others and therefore over their “individuality.” The freedom/power to sell one’s productive potential and to exercise some choice in consumer markets, in contrast, is founded on a dependency on those who provide the jobs and the commodities available for consumption.

The neo liberal response set out to undo the historically-acquired social limits that had redefined liberalism in practice in the postwar era. Neo liberalism named a strategy that sought to place capitalism clearly back on the track of its still incomplete development by accelerating the drive to commodify, and therefore open every aspect of life to profits and the social discipline imposed by profits. This was not just a matter of the extension of markets spatially (“globalization”), but of deepening the domestic penetration of markets into any social, personal, or cultural space that had previously managed to escape subordination to a capitalistic calculus. Since democracy tends to recreate protections against the anti-social logic of markets, the implementation of neo liberalism also necessitated a decline, one way or the other, in effective democracy.

It is relevant to take note of certain important criticisms against neo liberalism by its own supporters. Joseph Stiglitz former economist in the World Bank and the Noble Prize winner in Economics in 2001, who is the staunch supporter of the Globalization himself, declares that “Globalization today is not working for many of the world’s poor. It is not working for much of the environment. It is not working for stability of the global economy”. He writes on the basis of this close observation: “what I saw radically changed my view of both globalization and development… I saw first hand the devastating effect that globalization can have on developing countries”. Stiglitz accuses that the West “acting through the IMF and the WTO – has seriously mismanaged the process of privatization, liberalization and stabilization, and that by following its advice Third World countries and former Communist states are actually worse off than before.

George Soros, another architect of Globalization observes that ‘we have global markets but we cannot build a global society without taking into account moral considerations’ He says that US is the major obstacle to international cooperation today. It is resolutely opposed to any international arrangement that would infringe on its sovereignty. The list is long including the International Criminal Court, the Landmines Treaty, the Kyoto Protocol, many of the ILO conventions and many more arcane conventions like the Law of Sea Convention and convention of Biological Diversity. Hence he says that the pursuit of hegemony comes into direct conflict with the vision of a global open society. United States wants to be an unmoved mover.

So it is not simply eliminating poverty but rather reducing inequality. The first is impossible to resolve without solving the second. The real problem, again, is not absolute resources but the social distance and different degrees of control over one’s own resources. And this holds true in every society.

In this context, Habermas’s view adds a socio-cultural dimension to the political economy. Habermas does tie economic globalization and global terrorism, but does not believe that the latter is ultimately a manifestation of a clash of cultures. Instead Habermas regards global terrorism as an economically based reaction to the gross inequities perpetrated by globalization. Accordingly, Habermas regards global terrorism as arising from a breakdown of communication and as only amounting to an external threat to modernism.

This gives the liberal sociologist Richard Munch reason to fear that we will be faced with the depletion of non-renewable resources, cultural alienation on a mass scale, and social explosions unless we succeed in politically fencing-in markets which are, as it were, running away from enfeebled and overburdened nation-states.

As Habermas wrote in 1997, globalization ‘threatens to dissolve the social glue that holds together already fragmented national societies.’ In Germany, questions of nation, national identity and culture, along with the search for a binding ‘social glue’, have arisen just as globalization challenges the possibility of the national unification process. Anti-globalization there, as elsewhere, seeks to protect local identity, economies and culture from both the European Union and the more powerful American ‘empire’.

For Amartya Sen, the central issue of contention is not globalization itself, nor is it the use of the market as an institution, but the inequity in the overall balance of institutional arrangements–which produces very unequal sharing of the benefits of globalization. He says that the question is not just whether the poor, too, gain something from globalization, but whether they get a fair share and a fair opportunity. There is an urgent need for reforming institutional arrangements–in addition to national ones–in order to overcome both the errors of omission and those of commission that tend to give the poor across the world such limited opportunities. Globalization deserves a reasoned defense, but it also needs reform.

III

Globalization : Road to injustice

Globalization has not only affected all aspects of human life but also influenced the social institutions to a great extent. It operates in an uneven and unequal manner. The neo-liberal economy, i.e., liberalization, privatization and globalization, has further compounded the unevenness and inequality in society. The small minority of world’s population holds maximum resources and majority of people are grappled in poverty.

Before the melt down, there were 1.3 billion desperately poor people in the world who survived on less than $1 per day. There were an additional 1.5 billion very poor who lived on $2 each day. This means that 2.8 billion, almost half of the global family were living on $2 a day or less (Sider, 2002). But today things would have gone even worse.

Many do not have access to safe water (1 bil.) and they do not have access to improved sanitation (2 bil.). These poor public health conditions cause approximately 34,000 children to die every day of diarrhea and other easily preventable diseases (Sider, 2002).

In answer to the question “What is globalization?” Susan George, president of the Observatory on Globalization in Paris, associate director of the Transnational Institute of Amsterdam, and author of nine books, stated that there is already a world government – which is not democratic; one set of people can change the future of others who are not involved in decision-making. Its objective is to put all human activity in the market, including education, culture, and health. Globalization is responsible for pushing wealth upward both between countries and within countries. Since 1980 every country has experienced increasing inequalities. 85% of people live in countries where inequalities are increasing and this includes China, Russia, E. Europe and West Europe and the US, and at the same time inequalities are increasing between North and South.

She gave the illustration of the upturned champagne glass, showing the top 20% of humanity capturing 82% of the wealth, while the bottom 80% of the graph must get along with 1.3% of the world’s wealth. These inequalities are becoming more extreme. There are now 485 billionaires in the world, who control the equivalent of the wealth of half the world. And only three of those billionaires control wealth equaling the national production of 48 countries.

These inequalities have drastic consequences. The recently series of financial crises was caused by the institutional investors of the world. The ‘electronic herd’ all act at the same time e.g. someone says Thailand is not doing very well or Mexico and all run for the door at the same time. Then the financial crisis occurs and the IF steps in to say what the country must do. She emphasized  “the rules that the IF sets KILL ordinary people”. For example in Mexico after the 1995 financial crisis 28,000 small firms failed because they could not keep up with the interest rates imposed upon them. Half of Mexico is now living below the poverty line. In Indonesia, after the financial crisis, 20 million people who thought they were becoming middle class were pushed violently into poverty. In Russia 4% of people used to be classed as really poor, but now because there are no rules as the ‘market’ is supposed to do everything 50% are living in poverty. Everywhere health, social and educational structures have been cut because of structural adjustments. Now there is only one ideology left in the world after the collapse of communism.

Who are the managers of the global system? The power behind the throne is the large multinational corporations. They do not want to govern directly so they do so through the WB, IMF and WTO. These corporations support even the UN. Kofi Annan has signed the Global Contract with 50 multinationals, many of whom have terrible human rights and environmental damage records.

The system works well for the top 10% of the world’s population, but not for anyone else. The central political question of our time is changing. It used to be one of hierarchy, where you are on the hierarchical ladder – a king or a beggar; that was the main organizing principle of politics. For the past 100 years or so the central political question has been – Who is going to get the biggest piece of the pie? Elements of both of these – hierarchy and share of the pie – remain today. But the new question is ‘Who has a right to survive?’ and ‘Who has not?’ Now there are hundreds of millions of people in the world who do not contribute to the market as producers or consumers. Do they have the right to survive?

The first thing people have to understand is that the present system is not the only choice. God never said to Moses that globalization must dominate the world. There are many possibilities.

IV

Melt down: Lessons

The sudden set back in the economic scenario of the world shook every one. It is mind boggling that till the other day, country after whether hailing from North America or Europe or Africa or Asia was celebrating its perpetual increased economic growth rate, enhanced access to information technology and rising amongst its population suddenly getting traumatized by the possibility of getting swept away under the current of regression and depression deeper than 1930s brought out in and by the financial melt down initially in the US and Europe. “The global financial system is in deep and unprecedented crisis. Central Banks and governments the world over are facing several complex and compelling challenges. There have been serious disruptions in money markets. Stock markets across the world have been in a free fall and there has been extreme risk aversion in all financial markets. Policy makers across the globe are responding with aggressive, radical and unconventional measures to restore confidence and impart stability to the system”. (The Hindu October 27,2008 Editorial).

One major impact of this financial crisis in Krugman’s assessment is that advanced countries are likely to hit near zero growth next year with the world economy expanding only 3 percent. He fears that this down turn will be deep and prolonged as it was during 1930s.

As the financial turmoil continues to batter economies across the globe, the bailout packages from different governments globally is nearing the US dollar 3 trillion mark- about three times the size of the Indian economy. The UK administration in the first week of October came up with a mammoth 500 billion pounds bailout package primarily to shore up the fortunes of the nation’s banking sector. Russia too has approved a host measures estimated to be worth US dollars 86 billion to salvage the country’s banks hit by the credit squeeze. European Union pumped in 1.7 trillion Euros for underwriting of banks. Besides, a handful of European countries have also, already announced packages worth a similar amount in efforts to have their troubled financial institutions. In fact most of the world central banks moved to flood the system with money lest there should no occur total collapse.

Describing the situation Krugman observed: “all signs point to an economic slump that will be nasty, brutish and long”.

Japan’s Prime Minister Tar also announced as 27 trillion Yen stimulus package on October 30 for the world’s second largest economy including credits and loans to help small businesses, a reduction in highway tolls and cash pay back to households. He said that the financial outlook is severe and that he global financial crisis is almost certain to affect Japan’s real economy.

The burdens and impact of this so called financial tsunami is not only cutting across the globe but more significantly it is cutting across every aspect of life and in particular of poor and depressed sections of society in all most every part of the world that includes even richer nations like US and Europe. According to Director General of International Labour Organisation(ILO),Juan Somavia in an article he wrote for Times of India (October 25,2008)” the impact of the crisis on the lives, working conditions and hopes of millions of people will be strong and systemic. Arresting the crisis would require reaching beyond the financial system. This is not simply a crisis on Wall Street; it is a crisis on all streets”.

While talking of burdens, let us note the findings of a recent estimate of the impact made by the ILO. In its estimate the world unemployment could increase by 20 million marks of global unemployed for the first time. People working in such sectors as construction, automotive, tourism, finance, services and real estate will be hit hardest first. What is more disturbing that according to this ILO estimate as quoted by Juan Somavia, the number of working poor living on less than a dollar a day could rise by some 40 million and those living on tow dollars could rise by more than 100 million. It may be of crucial importance to note that job cuts are happening not only in towns, industry or elite services alone rather shocks from Wall Street are traveling even to rural India and even to small scale cottage and handloom industries and other small occupations. According to reports (Times of India Oct 24, 2008) thousands of skilled workers in two small towns, 100000 in Moradabad( UP) and 25000 in Panipat (Haryana) have been laid off after orders from their global markets mostly from the US and Europe dried up this month. In Moradabad, artisan adept at centuries- old art of crafting brassware of European and American show rooms are pulling cycle rickshaws and selling fruits. Panipat, from where rugs, bed sheets and other textiles wind up in US stores like Wal-Mart has weavers migrating or working at jobs that now pay 1/18th what they did. According to K. Subrahmanyam in The times of India 0ctober 28, 2008 a large number of workers in toys factories in China have not only been thrown out of the jobs but have been denied payment of arrears because of economic slow down in the West. Again according to various estimates including byu the US government’s own agency the job cuts and increase in unemployment level has aroused great sense of insecurity amongst common Americans. Thus the voice is loud and clear that the crisis is not simply financial or one country centric, it is global as well as one that has the potential to devastate life and livelihood of even an average member of humankind in many parts of globe.

Today a global food crisis coexists with unprecedented financial collapse and a recession which may well turn into a depression. Utsa Patnaik says,” The domination of finance over industry and the pursuit of economic policies favouring finance capital, at the expense of growth of the real economy particularly the out put of basic necessities required by the masses. The domination of finance in the modern world and its ideology known as neo liberalism and has been evident since 1970s. We might as well call it neo- deflationism, for the ideology of finance capital always involves policies deflating the level of mass demand”.(People’s Democracy-03 November 2008)

· Whether it is development or the economic recession, common people of the world are being terribly affected by globalization.

· When Capitalisms in crisis, it immediately seek for Social Intervention by the state. eg. Bail out packages that are in vogue now in US, UK, Germany and other places. Whereas when it is on the monstrous growth based on social injustice, it insists the state to keep away from its control and interference. Crisis-control measures are taken to suit the seekers of the supernormal profits in this high capitalist set up.

From the foregoing it becomes clear that the process of globalization that was initiated by the US and its likes since the beginning of 1990 or may be little earlier is a misnomer. The process has failed to make globe as one. It remains divided between developed, rich , powerful and haves on one side and have-nots on the other with US and its allies representing the unipolarity and monopoly of economic power, trade, commerce and market. THE idea that process of globalization would ensure global prosperity, progress, peace and security leading to a global family or what we during our ancient period termed as ‘vasudeva kutumbakam’ is missing. The process of globalization has no doubt yielded into global oneness but only oneness of the kind and one kind only namely ‘a global economy’- a economy whose centre of gravity of fulcrum- its controlling mechanism and draining out its fruits resides only at one place. It is this kind of global economy with its global interconnectivity largely founded on fundamental capitalist ideas and absolute free market that resulted into financial meltdown in one place and that is place of monopoly over global market, namely the US which ultimately and due to its interconnectivity encircled almost every nation. This no doubt affected the richer nations but it brought with it tremendous potential to pierce even the livelihoods of poor nations and also of poor even in richer societies.

It is too late at this hour of the day to reverse the cycle of globalization. But equally the kind of globalization and free market philosophy practiced and professed could prove dangerous not only for the poor nations but also for the super power itself. The anger and civil unrest kind of situation prevailing in US resulting from meltdown is the testimony to it. The kind of globalization followed today that for some time brought deceptive prosperity is largely the outcome of culture of consumerism, egotism, excessivism, greed, lust and total loss of ethics and values – it is not simple failure of financial policy. Fighting these menaces of currently practiced globalization and turning it to serve the cause of humanity and human welfare is a complex and multi dimensional agenda. It requires substituting voice of monopoly, isolating and subjugating other with global consensus, global co-operation and global concerns for humanity. Of course, it would demand devising new kinds of regulatory framework monitoring mechanism, institutional structures ensuring that they represent collective wisdom and collective consensus, unlike the Bretton Woods Institutions* (IMF, WB, etc.)Of today which can be manipulated of arm twisted. We are reminded of what Dr.Manmohan sigh while addressing the ASEM said, “the sad truth is that in this age of globalization we have a global economy of sorts, but it is not supported by a global polity to provide effective government”. Speaking in the same vein European Commission President Jose Barroso said,’ we are in a moment where we need global team work, we either stick together or sink together”. Thus in short, what we are pleading is a case for global co-operation for an International economic order inspired by global consensus that works on the principles of equity, fairness and distributive justice and serves the cause of bringing welfare, peace and security to every single member of the global community.

V

What to do?

The state, as an institution, supposes to guarantee social welfare and social justice to the marginalized groups. Globalization has not only threatened it but also made it weak. State has now retreated back from its welfare role. In the contemporary context, social justice agenda is taken over by non-state organizations that are critical. The older theories of social justice, which are either inadequate or inapplicable, today cannot cover the new developments that have taken place in the era of globalization and therefore they have to be reviewed. Whether or not you see globalization as a positive or negative trend, it has given rise to increased interdependence of world economic markets leading to increasing economic disparities between the rich and the poor of all nations. While the wealthy develop more wealth at an increasingly rapid pace, the desperate poor are barely surviving.

Evolving global consensus as to the nature of process of globalization desiring and effective regulatory mechanism, evolving an institutional structure which is transparent and democratic unlike the present Bretton Woods Institutions where the decision making remains opaque and controlled by few powerful nations and thus ensuring that market behave responsible to society is so simple. It is a complex affair requiring engagement not only of states alone of course which is most fundamental essential , but in addition it also demands engagement of political experiences, social and economic expectations of different societies; and evolving a sensitive and reflective opinion of public and citizenry at global as well as local level. In short evolving such consensus would demand building common understanding and a common approach to new International economy order amongst every stake holder. In fact it is this kind of engagement right from political leadership to professionals, universities and voluntary groups that ultimately resulted into institutionalization of EU which initially did not look like a reality. In fact it is through this kind of engagement that the consensuses on matters like: common currency, common passport, common market, common human rights adjudicating mechanism could be arrived at.

No doubt it would demand new base of knowledge; different kind of professional approach to dealing with issues political, social, legal and economic in nature, and evolving more vibrant and sensitive public opinion at global as well as local level.

Some proposals to safeguard social justice:

· Equal and fair commerce and not free trade

· Education, medical care, social welfare must not be in the market.

· We need to make transnational companies responsible for their actions all over the world.

· It is very much required to cancel 3rd World Debt, and reduce the power of the WB and IMF.

· Already there have been substantial victories defeating multilateral agreement on investments. The value of Monsanto’s agricultural division has been reduced to zero dollars, because people won’t accept genetically modified foods and products. National coalitions are growing.

· The economic and political spheres of society are to be subordinated human development.

· The consumption patterns and the life styles of the people must be changed towards the sane consumption. This cannot happen overnight or by decree, but will require a slow educational process, and in this the government must play an important role. The function of the state is to establish norms for healthy consumption as against pathological and indifferent consumption. There fore we need a humanistic science of Man as the basis for the applied science and Art of Social Reconstruction.

· The production shall be directed for the sake of sane production.

· A concerted effort to stimulate the appetite for sane consumption is likely to change the pattern of consumption.

· Production for use instead for profit must be slogan of the Government.

· Militant consumer movement that will use the threat of consumer strikes

as a weapon. 20% of consumers can do wonders. The great advantage of consumer strike is that they do not require government action. Realization of their power is essential. It could be a manifestation of genuine democracy.

· Bureaucratic control that would forcibly block consumption would only make people all the more consumption hungry.

· The value of other commodities and services can be determined by panel of psychologists, anthropologists, sociologists, philosophers, theologians, and representatives of various social and consumer groups.

· Industrial democracy implies that each member of a large industrial or other organization plays an active role and participates in decision making.

· The Government can greatly facilitate the educational process by subsidizing the production of desirable commodities and services, until these can be profitably produced. A large educational campaign in favour of same consumption would have to accompany these efforts.

· Passive spectator democracy must be changed into active participatory democracy. Political life requires maximum decentralization through out industry and politics.

· Active and responsible participation further requires that humanistic management replace bureaucratic management. The realization of the new society and new man is possible only if old motivations of profit and power are replaced by new ones. Being, sharing, understanding; if the marketing character is replaced by the productive, loving character; If cybernetic religion is replaced by anew radical humanistic spirit.

· All brain washing methods in industrial and political advertising must be prohibited.

· There is an urgent need for reforming institutional arrangements–in addition to national ones–in order to overcome both the errors of omission and those of commission that tend to give the poor across the world such limited opportunities.

VI

How to do?

Strong political movements that must be built upon the process of class struggle should take place in each country. As Hugo Chavez said, “it cannot be mere movement of protest and celebration like Woodstock.. It is an enormous struggle, an endeavor in which organization and coordination are keys”. This is the challenge to international intellects and activists.

References:

Amartya Sen, “How to Judge Globalism,” The American Prospect, Vol. 13 no. 1, January 14, 2002.

Erich Fromm, (1981) ‘To have or To be’, Bantham Books, New York.

Friedrich Hayek, Economic Freedom and Representative Government (Chicago: University of Chicago Press, 1976).

George Soros “ On Globalization” Public Affairs, New York,2002.

Giddens, A. (1990) ‘The Consequences of Modernity’. Stanford: Stanford University Press.

Habermas, (2001) ‘The Postnational Constellation: Political Essays’, translated and edited by Max Pensky. MIT Press.

Held, D., McGrew, A., Goldblatt, D. and Perraton, J. (1999) ‘Global Transformations – politics, economics and culture’, Cambridge: Polity Press.

Joseph E.Stiglitz.(2003) Globalization and its Discontents, W.W. Norton Company,New York,.

_______________. (2007) Making Globalization Work, W.W. Norton Company,New York,2007.

Klein, N. (2001) ‘No Logo’, London: Flamingo.

Kellner, D. (1997) ‘Globalization and the Postmodern Turn’, UCLA , http://www.gseis.ucla.edu/courses/ed253a/dk/GLOBPM.htm
Sam Gindin, ‘Anti-Capitalism and the Terrain of Social Justice’ Monthly Review, Feb 2002.

Smith, M. K. and Smith, M. (2002) ‘Globalization: The Encyclopedia of Informal Education’, www.infed.org/biblio/globalization.htm.

Strange, Susan. (1996) ‘The Retreat of the State: The Diffusion of Power in the World Economy’, Cambridge University Press.

· The Bretton Woods Institutions are the World Bank, and the International Monetary Fund (IMF). They were set up at a meeting of 43 countries in Bretton Woods, New Hampshire, USA in July 1944. Their aims were to help rebuild the shattered postwar economy and to promote international economic cooperation. The original Bretton Woods agreement also included plans for an International Trade Organisation (ITO) but these lay dormant until the World Trade Organisation (WTO) was created in the early 1990s.

Safety is important too, and most accidents are not due to unskilled and careless street racers. Road mishaps exist due to poor road visibility. Riding at insane speeds at prolonged periods of time are both exhilarating and strenuous. Road visibility shows great importance. Your ordinary lights cannot serve its purpose; to see the road better, you need better lights. Phrased simply, you need to buy a HID kit.

This breed of lighting technology is relatively new. Quite different from ordinary halogen bulbs that rely on a heated tungsten filament, High Intensity Discharge lights or HID lights don’t use a filament. In fact, lamps in a HID kit don’t even have a filament. Light is manufactured through the use of two electrodes, with the light produced in-between. Light from this kind of source produces a blue-white light, perfect for dark driving where visibility is as important as keeping you alive and racing.

The experience with this kind of lighting is described by most drivers as almost similar to daytime driving. Also, the increased light output is estimated to be 80% more. Having installed a HID kit on your car would also consume less electricity as compared to conventional halogen lamps. Thus, your car’s battery is not that drained, reserving more of its power for your driving needs and whims.

Road safety is affected by a lot of factors, including road construction, lighting conditions and the drivers’ skills and abilities. All these things are stretched to their extremes when driving is done not just for travel but for racing. Advice from many automotive supply owners consist of making you buy safety apparel and equipment for your car, always anticipating the happening of danger. But the best protection against any accident is not just preparation through accessories.

Why insure against the happening of danger when you can completely avoid it? Getting yourself a HID kit would ensure that your street racing is only affected by you and the road. See the road clearly as you leave your competition behind.

In Detroit, the automotive industry is on life support and hoping for mouth-to-mouth resuscitation from everybody’s favorite Uncle or Big Brother – depending on their perspective.

Elsewhere, from Main Street to some of the lesser-known boardrooms across this great land, Americans from all backgrounds and political persuasions have one thing in common: they’re all circling their collective wagons, convinced that life as we know it has either come to an end – or soon will.

So where do you fit in?

Are you inclined to join the crowd or are you willing to harness a once-in-a-lifetime opportunity and hitch your wagon to real estate and grab your piece of the American Dream?

It’s really no secret that people everywhere are fearful for the future. They’ve watched their life’s savings evaporate in a few months time, seen some of the biggest financial giants in the world topple like dominos, and in some cases have learned first-hand what it’s like to be handed a pink slip.

With all this bad news, one of the soundest pieces of advice known to man has been relegated to junk bond status by almost everyone. As a result, most people have little hope for the future.

You have a chance to be different

Now is a very special opportunity for you to secure a future free from financial worry. When everyone else is cashing in their chips and going home, savvy investors are taking some initiative and buying all the real estate they can get their hands on while prices are low.

It’s true that real estate prices have hit distressing lows and billions of dollars of equity has disappeared from the real estate market. That’s all the more reason to buy real estate now – before prices shoot back up.

Economics 101 tells us that the Law of Supply and Demand dictates that the best time to buy something is when nobody else wants it. The fact is, right now nobody wants real estate. That means demand is low. Which means that prices are even better.

Nobody ever got rich overnight by buying an asset that is expensive and in demand. The best time to buy real estate is now, while prices are low. There’s no competition and many of these properties can be purchased for as little as 40 or 50 cents on the dollar.

I know that the average person would rather shoot themselves in the foot than buy something that may or may not go up in value. Before you take aim on your big toe, think about this: real estate values will go back up. When they do, equity will appear out of nowhere and millionaires will be made.

You can be one of those millionaires.

During the Great Depression, millionaires were created when people with a little bit of money or credit bought as many low-priced investments as they could reasonably get their hands on, with the firm belief that times would eventually get much better. When that happened, they would become overnight millionaires or multimillionaires.

Conventional wisdom says that you run from danger whenever possible. But these aren’t conventional times. Now is the time to scoop up as many bargain properties as you can. You can guarantee a winning transaction by making sure you’ll have positive cash flow.

Instant equity will be yours with a few signatures when you buy properties in this fashion. Then you’ll have the added bonus of monthly, on-going cash flow. Ultimately, property values will skyrocket. When they do, your net worth will grow with meteoric speed.

You’ll become an almost overnight success story.

All because you had the nerve to defy the flawed logic of the rest of the crowd.

Now is the time for you to harness your future. The wealthiest people in the world can’t all be wrong. They’re buying as much real estate as they can.

Shouldn’t you be doing the same?

How big is your American Dream?

How many horses will you need to pull your wagon?

Now is the time for you to break camp and get started.

Isn’t life wonderful?

Before you start looking for a Phoenix Arizona loan, take the time to find out your credit score. This can be done through a number of online websites, and can also be requested once per year through the government’s free annual credit report program. You should also do your best to start paying down or paying off debts months in advance of applying for your loan or mortgage, since this reduction in debt will increase your chances of being able to get a good interest rate and flexible loan terms on the money that you borrow.

You should also take the time to figure out exactly how much you will need to borrow. Figure out exactly what the least amount that you can borrow is while still meeting your financial need, making sure that you allow for unexpected expenses so that you don’t end up having too little money because you didn’t anticipate one or two extra costs. If you’re in the market to buy a house in Phoenix and are looking for a mortgage loan, figure out what the most you’ll be able to pay is and seek a pre-approval for a loan of that amount.

When you are ready to begin shopping for your loan or mortgage, start visiting banks and other lenders in the Phoenix area. Consult your telephone directory or an internet search in order to find the location of a number of lenders, since this will give you more options to help ensure that you get the best deal on the money that you borrow. Visit as many of the lenders that you find as possible, asking each for loan quotes so that you’ll have a number of options to consider.

After you’ve collected a number of mortgage or loan quotes, sit down and read through them all before you begin organizing them from most appealing to least appealing. Look at the estimated interest rate that each offers, the amount of time that you’ll have to repay the borrowed money, and the estimated monthly payment that each loan will feature. Choose the top three loan quotes and follow up on them, keeping in mind that actual interest rates may differ somewhat from the estimated rates. When you find out which of the three best offers will give you the absolute best rates and terms, that will be the loan or mortgage for you.

Electronic components distributors [E.C.D]

Manufacturers can produce over 200,000 parts per day in special lengths and sizes. With 25 years of experience in custom manufacturing of screw machine {E.C.D} offers original products at great prices and offers same day shipping services besides that [E.C.D] has solutions to Hard-to-find stand-offs and spacers.

The safety of your machines is also guaranteed because they are made from the highest quality SAE No.4130 Chromium Steel Alloy. Whether their tools are used in conjunction with turret terminals or Standoffs, you can be assured of a smooth even roll, or flare — with a minimum of splitting or cracking.

Their tools are case hardened and their working surfaces are highly polished to assure long and dependable service. Therefore, it is an industry you can advice a friend or two to visit.

Timely

Stocking 10 million stands-offs & spacers and over 100,000 handles are just some of the ways to go the extra distance of delivering on a shorter time than other manufacturers.
 
Efficient staff

Their knowledgeable sales staff can help you fill your hardware needs in a timely fashion. They have a legendary reputation for delivering customer satisfaction. They go an extra mile for their customers by working with their customer’s to improve their original design, at a low price. Individual attention to each and every customer is their key to success.

Most used machine parts include:

• NAS Spacers
• Custom Manufactured Parts
• Terminal Blocks
• Connectors
• Wire Form Products
• Terminals
• Handles

Online trading

You are able to order by phone, by literature form for catalog, e-mail or through the Web site .Their staff is always ready to assist you in price delivery or technical assistance.

Challenges

The European commission intends to make new decisions on new legislations that will impose design criteria. Measures that will place requirements on products which will require on-going improvements in ecodesign will be implemented. The requirements for each type of product will be different and most requirements are not yet known. However guidance to new product designs is given:
 
* The equipment will be required to switch itself into standby mode if it is not in use. A variety of products are left switched on permanently and unnecessarily, such as computers, printers to save power.
* Product life and other information may be required for certain new products to determine their durability.
* Restriction on hazardous materials.

Typical examples of products that could be affected:

* Any mains powered product that has a standby mode – e.g. printers, scanners, etc.
* Any mains powered product that does not have an off-switch that disconnects the mains power.
* Electric motors 1-150kW
* Some external power supplies and battery chargers
* Printers
* Air compressors
* Vacuum cleaners
When buying new products it is advisable to look at how the products are built to deal with the following:
* Minimize power consumption
* Make recycling easier
* Avoid hazardous substances
* Improve reliability and life expectancy

When a self storage unit renter fails to pay his rent for two or three months, he is considered in default. A renter who is in default is usually given legal notice that their property will be sold at some form of auction if they cannot catch up on his payments. Once this legal notice is given, the self storage facility becomes the owner of the renter’s belongings. The economy is in bad shape at this time and many people all over the country simply cannot afford their rent. This is due to the belt-tightening that must happen during any financial crisis. Rising food costs, utility costs, and gas prices are also expenses that are contributing to the higher levels of default and subsequent self storage auctions.

Once the content of a self storage unit is sold at auction, the highest bidder can do as they wish with the belongings that they’ve purchased. Most entrepreneurs will take these belongings that they have acquired at steep discounts and they will sell them at flea markets and online auctions such as eBay. Many of these same entrepreneurs will also resell these belongings for a nice profit to consignment shops and at rummage sales. There is obviously a high return on investment if you can get a good deal by purchasing belongings from a self storage auction in your area.

Expensive items are often the types of belongings that are placed in self storage units. Items such as antiques, furniture, and electronics can be found in self storage units and in subsequent self storage auctions when the owners to fall behind on their monthly rent. Oftentimes, these expensive items can be purchased for very little cost. Old jewelry, books, and furniture can usually be had for just pennies on the dollar and this provides a massive opportunity to profit from self storage auctions.

Self storage auctions are generally over quickly as they are open to the general public and advertised ahead of time. When the auction begins, the lock is cut off of the door. Bidders may arrive a bit early so they can view the items from the door. Then they place bids on what they can see but some items in a self storage unit may not be viewable so there is a bit of guessing involved. Most self storage auctions are over within 30 minutes and some people can walk away with a small fortune while spending just a few dollars, relatively speaking.

The best part of a self storage auction is the thrill of the hunt, so to speak. Just as people are excited when they find a treasure on an auction site such as eBay, savvy people can find themselves overly excited when they find the same type of treasure at a self storage auction. There is no telling what you’ll find at a self storage auction but you can be pretty sure that you’ll find some fantastic deals anytime you attend one of these self storage auctions.

Some of the items you find at self storage auctions will surprise you. Business equipment, automotive repair equipment and tools, and many other business-to-business items can be found at self storage auctions. If you plan to try and earn money from self storage auctions you need to be consistent and you need to attend as many auctions as you can to have a good chance of scoring highly profitable treasures. You need to have a solid plan and know how to market the items you are bidding on. My personal suggestion is eBay. People are always looking for rare and unique items on eBay so if you find a hidden treasure in one of your self storage auctions, you can probably turn a nice profit by listing it on an auction site such as eBay.

The best way to determine when these self storage auctions are held is to check your local paper or to call the local self storage providers in your area and simply ask them. They will be more than happy to assist you as their primary goal is to collect enough money to cover the rent that has been unpaid by those in default. I hope you like this article on self storage auctions and that you follow the advice given. Happy hunting!

Start by getting acquainted with the various parts and components of a speaker system. Tweeters, subwoofers and amplifiers are the main components that you will find. Tweeters are great for perfecting the higher sounds while amps and subwoofers are designed to improve the quality of the bass. Not every car will need all of these parts just to have a nice sound. Larger vehicles may require more speakers than a small one. Determine what you need based on the size and shape of your car as well as your personal preference. Getting the right system may require professional assistance. Do not be afraid to ask for help.

Comparing prices and quality is very essential when purchasing any electronic equipment. Do not go for either the cheapest or the most expensive speakers right off the bat. That is not enough to make a decision to buy. You need to know how the product works, if it suits your needs and what others think of it. Look up brands and styles on consumer review websites to discover if others find it to be a worthy spend. People are brutally honest online because they have nothing to hide. It’s a great way to get the inside scoop on various products.

Some people make the mistake of loading their vehicle up with speakers, thinking that more is better. However, that is rarely the case. Having too many speakers can actually dirty up your sound so that it is distorted and not at all what you want. Likewise, a misplaced subwoofer or amplifier will likely get you a noise complaint rather than impress the neighborhood. This is yet another great reason to seek out some advice from a professional in the audio industry. Clarity and quality has got to be the bottom line. For music of all types and even talk radio, the best speakers are the ones suited to your car.

The majority of people require basic speakers though there are speakers designed for competition purposes. This is a whole other category of car speakers. Choosing wisely is what makes the difference between good speakers and fantastic speakers. Check over all warranty and return information to ensure that you don’t buy into something that you will be stuck with in the event it is damaged or deficient. Having the right car audio system can make all the difference in the quality sound of your favorite music.

Platinum and prognoses in the short and long term.
South African platinum mining industry is expanding rapidly, making it likely that platinum and rhodium would go into “significant oversupply” in the medium to long term, and negatively impacting prices of these metals.

The oversupply driving forces are projected growth of South African mines, lower global vehicle production and increased auto catalyst recycling.

The analysts estimate that South Africa will produce 5.9 million ounces of platinum by 2010. Then continue increasing to 6.4 million ounces by 2012 and 7.6 million ounces by 2015.

The forecast takes into account expected production from an additional 19 projects that were due to be commissioned in South Africa between 2008 and 2015, as well as power-shortage and project-delay constraints.

This will lower prices, shorten the company margins, minimize cash flows and earnings.

The 2010-to-2014 platinum oversupply would potentially reduce platinum prices with 30% and the 2009-2011 rhodium over supply could make the rhodium price to be half.

In 2008 there was already expected that the platinum price would drop to between $1,200/oz and $2,000/oz and the rhodium price to between $4,600/oz and $8,000/oz.
If we look at the statistics for the period from 1999 up till today, we can see that this prediction was not far off, it was even too optimistic. In 2008, the price of Platinum stabilized on a level of around 8-900 USD/Oz., see figure below.

Figure 1; the trend for Platinum in 2008, with the downfall in June 2008 down to a base level at the end of the year, and the slowly upward trend in the first quarter of 2009.
Platinum and palladium prices were down on demand concerns after the top three auto manufacturers in the United States, General Motors, Toyota and Ford Motor all reported that sales were down in June already that year.
Both platinum and palladium are used in the manufacture of pollution control devices for motor vehicles.
U.S. auto sales remained at the lowest annual rate in 15 years, in July 2008. That fueled concerns that demand will decline for platinum and palladium for auto-emissions control parts. Production in South Africa is the source of 78 % of the world’s supply.
General Motors, Ford Motor and Toyota Motor Corp.’s U.S. reported declined sales, record gasoline prices depressed demand, for trucks and large vehicles, and a slowing economy kept consumers away from dealer lots. Ford Motor reported a 15 % drop from a year earlier, Toyota’s sales fell 12 %, and GM posted a 27 % decline.

Figure 2; Palladium price development from 1992 to 2009. Both platinum and palladium are used in both diesel and gas catalytic converters. Rhodium is often a third component. And gold might come into use in some diesel catalytic converters. Throughout most of the mid 1990s palladium was trading in the $150 per ounce range. Beginning in 1997, a rise in palladium’s price was seen, no doubt due to rising demand stemming from use in auto catalysts. In 1998, some spikes occurred to above $350 per ounce. In 1999, it continued to trade in the $350 range, but began rising at year’s end.
As the year 2000 began, palladium was trading at $433. By February 24, it had shot up to $1080, due in part to delivery interruptions from Russia causing a shortage. Automakers, whose manufacturing of catalytic converters depended on reliable stocks of PGMs, had concerns of their own. After reaching the peak in February 2000, palladium retreated during the March to May period, perhaps raising hopes that the Russian metal would be available the rest of the year.

A significant 2010-2014 platinum-rhodium price downturn will “shock” the industry as it can slash industry earnings by between 40% and 90% by 2012.

If mining inflation were not checked, the impact of lower prices would be compounded.

There is expected a cost increases compared to previous years, which will be a price driving factor as well.

The investment case for the South African platinum industry would, however, remain strong in the immediate term, as calculations show both platinum and rhodium in short-term deficit.

The 2008 platinum deficit would be 600,000 oz and 2008 rhodium deficit 80,000 oz, putting upward short-term pressure on prices.

The automobile manufacturer’s reports and a brighter supply outlook out of South Africa continue to present a hurdle to price advances.
The Platinum group metals have been hit the strongest as investors believe they have hit their top and want to be in the more liquid gold, where they can get in and get out quickly. With platinum below $1,200 an ounce, it is expected that good industrial buying in South American countries will occur.
Platinum reached a record $2,308.80 on March 4, 2008 partly because of output cuts in South Africa. But, by May 2008, precious metal output, except for gold, rose at a 2.6 % annual pace, according to Statistics in South Africa.
Platinum fell as the dollar rose against the Euro.
Over the past year, platinum prices have fallen from a high around $2,250/ounce to about $955/ounce.
The gold prices development is not good news for the platinum miners.
Platinum deposits are primarily located in a small handful of countries: South Africa, Russia, Canada, and, just barely, the US. Stillwater Mining Company closed one of its two Montana platinum/palladium mines in November. Stillwater attributed the closure to the severe drop in platinum and palladium prices.

Prognosis for Palladium and Platinum
The prices of Platinum and Palladium have also been climbing in anticipation for the possible demand for fuel cell use. Cheaper alternatives for platinum for both catalytic converters and for fuel cells are being developed and may soon reduce that demand also.

It is about the most useful metal in chemistry and jewelry and should have a relatively high intrinsic value. But now the metals values mainly as a safe haven investment, but not a quite so speculatively useful metal as f.inst Gold.
Hedge funds are still unwinding selling assets like platinum which lowers the price. Also industrial demand is drying up as deflation sets in with people buying less and companies producing less. At least that’s one reason for the drop in prices of platinum.

Not saying it’s not good to hold platinum or that platinum will continue it’s downward slide into the abyss. When commodities start to climb due to inflation – after this deflation bit – platinum will climb with them.
Another reason for uncertainty to pricing of Palladium is a product recently developed by Litex, Inc., which is currently being exhibited this week at the Society of Automotive Engineers (SAE) World Congress, could help auto manufacturers save hundreds of millions of dollars by reducing the amount of palladium needed in a car’s catalytic converter.
The Corona Discharge Device is a low-cost, low-power (25 W) product, which boosts the performance of a catalytic converter. It alters the chemical composition of exhaust gases, enabling the converter to operate more efficiently and making it more fuel sulfur tolerant. In addition, the CDD provides auto manufacturers the ability to meet increasingly more stringent emission standards, such as Tier 2 and Euro IV, with less precious metal. This is particularly important given the skyrocketing price of palladium, platinum and rhodium prices, potentially providing net savings of up to $150 per vehicle!

Gold and its future for the investors and why
Gold has fluctuated the last months between about $1,000/ounce to just below $900/ounce. That’s not good news for platinum miners.
Farm bill passing in June of 2008 which tightened the rules regarding speculation in several markets at the same time is responsible.
The reason for platinum near-parity with gold is that gold is holding up better, with its history as a store of wealth during economic hardships.

Look at any stock or commodity and their recent declines (due to deleveraging) and compare their losses to gold’s.

Gold is not really a commodity – where as in Switzerland you are able to go to any one of the local banks and trade Euros, Dollars, etc by gold bullion and vice versa.

Gold has shown continued strength at present day price levels amid the volatility in the economy around us.

Figure 3; Gold prices have risen steadily during the last few years. However in th end of 2008 we saw a dip in this trend, as Gold price went down. Since that moment, the prices have fluctuated between the max price and a price around 900 USD/Oz. Predictions from various experts are a price level of 2000 USD/Oz within 24 months time. This would make Gold a very healthy investment.

Gold has experienced a shift in fundamentals when compared to 1980’s speculative high.

Five fundamentals that drive the gold prices
- Supply and demand,
- Dollar weakness,
- Institutional buying,
- The price relationship between gold and oil, and global economic uncertainty

Donald W. Doyle, Jr. Chairman and CEO of Blanchard said early in 2008 that we should expect some gold price consolidations, which would be healthy for the market, and view these as buying opportunities, because we see the price ultimately going significantly higher than levels at that time in the long-term. This tip came through as we see price has consolidated in early start of 2009.

The demand for gold is driven by several factors
- Global supply shrinks,
- Emerging markets begin to play a more significant role in the world’s economy,
- Former sellers of gold – notably central banks and hedge books – reverse their selling trends and become buyers again themselves.

We would expect these conditions to be present at least during 2009, as there are no signals of the opposite.
Present day economic situation and why it makes sense to invest in Gold
The Global economy is slowing to a crawl, and the U.S. Fed is continuing to infuse liquidity through rate cuts that further weaken the dollar. Large institutions and central banks continue to move out of dollar-based assets and into quality alternative tangible assets such as gold.

Differences between today’s economic collapse and that of 1987 where a near global implosion featured a U.S. economy that was in solid shape. Today the underlying cause of the crisis is the U.S. economy and domestic housing deflation. Real consumer spending is declining, unemployment raising, and industrial production in the U.S. is losing traction, triggering a flight to quality alternative investments.

Gold is not just a luxury item – it was the foundation of the global currency system for eons and, as the current global economic crisis continues to unwind, the precious metal has reasserted itself as the fourth currency. There is a belief that widespread increased investment demand will offset any decline in luxury goods manufactured with gold as investors seek to secure assets that will retain their value.