Essay about Buddhist Religion Experience Personal Narrative

I was always fascinated in the Buddhist religion and this class assignment was a great opportunity for me to take advantage of my curiosity. I decided I would visit a Buddhist center. With the company of my mother, I went to the Diamond Way Buddhist Center in Miami. According to my interview with the Buddhist that instructed the meditation service, every Monday and Friday they have a meditation service for the 16th Karmapa meditation from 8:00pm to 8:30pm. This center is part of the Karma Kagyu lineage of Tibetan Buddhism (Anonymous). Upon arriving, I realized that it was in someone’s home. Many Buddhist offer their homes for Buddhist centers and are unpaid for their services. However, they do accept donations. Before entering the house,†¦show more content†¦The Buddhist instructor informed us that Buddha was just a title given to those that reached enlightenment. He also clarified that the statue in the center was of Chenrezig Buddha. Chenrezig Buddha is known as the Buddha of compassion. Under that statue was the Vajrapani statue, which is the protector of Buddha. This statue looks very fierce in nature in order to show the strength and power of Buddha. To the right was the picture of the founder of Diamond Way Buddhism centers, Lama Ole Nydahl, and the founder’s wife who had passed away. The instructor explained to us that Nydahl was a very inspirational and motivational Buddhist who was currently on tour all over the world for Buddhist teaching purposes (Anonymous). We waited a little while to see if others would arrive to the service since it had just been me and my mother present at this service. The instructor explained to us that Monday nights were not as popular as Friday nights. After 15 minutes where no one arrived, the instructor decided to commence the service. Being the only two at the service was quite beneficial because we got one on one attention from the Buddhist instructors, which gave us more time for questions. Before we began our meditation, I informed the Buddhist teacher that I was there for a religious studies course assignment. He then gave me a quick review on Buddhism and Buddhist practices. He explained to me that Buddhist don’t find Buddhism to be a religion because they doShow MoreRelatedBuddhism and the seven dimensions2538 Words   |  11 Pagesinstitutionalised religions. In order to gain an understanding of the word religion, we need to fully analyse and compare the components of religions in order to gain a more cultivated understanding of this enigmatic term. An extremely valuable way of classifying religion and its many aspects is through the Seven Dimensions, developed by Ninian Smart. (See Appendix 1) These dimensions explore the many aspects of religion in a systematic and logical way. 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Assess Contribution of Ngos to the Community Free Essays

string(210) " the major problem facing the societies that means they are characterized with endless lack of the resources, choices, security and power necessary for the enjoyment of the living standard \(Maccihato, 2009\)\." Introduction This chapter introduces the background of the problem, objective of the study, statement of the problem, research questions and significant of the study. 1. 0 Background of the Studies According to World bank, NGO’s are defined as private organizations that pursue activities to relieves suffering, promote the interest of the poor, protect the environment, provides basic social services, or undertake community developments( World Bank criteria defining NGO,2007). We will write a custom essay sample on Assess Contribution of Ngos to the Community or any similar topic only for you Order Now Historically, Non-Governmental Organization at international level have a history dating back to at least 1839. It have been estimated that by 1914 there were 1098 NGO’s. The international Ngo’s were important in the anti slavery movement and the movement of women suffrage, and reached peak at the time of world disarmament conference. Non Governmental Organization only comes into popular use with the establishment of United Nation Organization in 1994 with the provisions in the article 71 of chapter 10 of the United Nations chapter for consultative role of organizations which are neither government nor member state. Davis, 2007). The vital role of NGOs in sustainable development was recognized in the chapter 27 of agenda 21 in the UN conference, In the 20th century during the establishment of globalization the importance of NGO’s was recognized, where many problems could not be solved within a nation, Hence NGO’s have developed to emphasize Humanitarian issues, development aids and sustainable development (Howell, 2000). According to World Bank, There two purposes o f NGO are operational and advocacy . Operational is the primary purpose of NGO’s . Primary purpose of NGO’s to design the implementation of development related projects, Example Community Based Organization. The primary purpose of Advocacy NGO’s is to defend or promote a specific cause. As opposed to operational project management, these organizations typically try to raise awareness, acceptance and knowledge by lobbying press work and activist event (Wikipedia, 2011). Non Government Organization has been an engine towards improving the living standard of the people, since not all the problem could be solved within the nation tracing back the Tanzanian history, since 1961, Tanzania has been at war against three development enemies such as ignorance, poverty and diseases. However in 1996 the overall policy has included special forms of poverty reduction in additions to measures to sustain sound macro economic levels (URT, 2007). The progress of minimizing three enemies is mixed, towards achieving development of the community. Indicators in measuring development are range, others show sign of improvement, and others remain the same while others get worse. Many disparities still exist such as gap between the poor and rich, the bridge between urban and rural, female and male, able and disabled. It is also clear that children, youth, and the elderly and people with disabilities have their own problem especially poverty that all problems are felt at different extent in different parts of the country, Hence Low living standard is inevitable (chambers, 1983). One of the indicators of the standard of living is health. In 1990, the health situation in Tanzania was mixed. Diseases like tuberculosis among elderly, youth, youth and children increased, The availability of drugs were scarce, many people in rural areas were have to travel to distance for the health facilities and get many drugs were very expensive for the poor to afford. For stance 90% of the children’s’ deaths in local communities and some urban areas are due to preventable causes (National Strategy of Growth and Reduction of Poverty, 2005). Education is also among the major aspect of living standard of the community. Several tactics, programs, have been enrolled in the improvement of education situation in Tanzania. Despite the improvement of enrollment in education considerably in the last five years in 2004, as the results of primary education development Program(PESP), still many problems and challenges are inevitable, such as shortage of text books desks, chairs, teachers, latrines holes and teachers houses remarkably wanted in primary schools, especially in rural areas. Moreover the edges of poverty torn the education situation in Tanzania. in most student in Rural areas passes primary education but there were no room to accommodate them. Also, others lack school uniforms and tuition fees due to hardship of the economy that parents are facing. NSGRP, 2005). Living standard of Tanzanian and African at large depends on agriculture as the economy backborn. 45% of Agriculture contributes in the GDP and 60% of the of the export earnings in the year. Still the living standard of many people are low, since they produce for consumption and practice poor farming methods that result to low harvest (N SGRP,2005). Non Government Organizations play vital remarkable roles in improving the living standard of people among the local communities in Tanzania. NGO’s are involved in a very diverse range of human activities and human influence on the environment. These strata of societies they are involved at, children and youth, conflict resolution, education, health and nutrition, human rights and relief services. (Wikipedia, 2011). The effectiveness of Non government Organization in improving the living standard of people has been achieved at some extent. In a case of Moshono, in Arusha, the international organization called World Vision, Intervene in that society with efforts to eradicate poverty and bring about good living standard among the people in the society The intervention of WV in the Moshono ADP has brought positive impact toward the society. Through ADP many project such as water projects, education projects, environmental projects and agriculture projects(including livestock arming and beekeeping) are undertaken so as to solve socio-economic problems in Moshono, and hence improve their living standards at large extent. Before intervention World vision as any NGO, observe the political admistration of the area, population size, poverty, socio-economic available, commitment of the local leaders . World vision use sustainable livelihood approach ( Moshono ADP, 2007). 2. 0 Statement of the problem The effectiveness of NGOs in improving the living standard of local communities has brought a significance results to various communities towards poverty alleviation. Poverty is the major problem facing the societies that means they are characterized with endless lack of the resources, choices, security and power necessary for the enjoyment of the living standard (Maccihato, 2009). You read "Assess Contribution of Ngos to the Community" in category "Papers" The World Bank notes that â€Å"the incidence of poverty in the world is higher than past estimates have suggested that 1. 4 billion people live under poverty line. In Sub Saharan African Growth and Economic performances over the past two decade have been described in recent scholarly writings as â€Å"tragic† (The World Bank Economic review, 2000). There are various ways which will help to reduce and eradicate poverty improve the living standard of the people such as support provision of social services, example education, water, infrastructure mobilization of people for collective action such as development projects, provision of soft loans to individuals through Non Government Organizations, Particularly in the case of Moshono ADP under World Vision is concerned with the improvement f local community living standard through its various projects such as water supply project, primary school classrooms construction, health care projects, have been established to eradicate poverty in the area and the life of many have been improved (Moshono ADP, 2010). In this context there are various things which will be examined to measure effectiveness of NGO’s in improving the living standard of people. The crucial aspect will be identifying how NGO are supporting local community, where there are various measures done by NGO to contribute towards alleviation of poverty such as reduced illiteracy rate, improved farm fertility, improved supply of safe and clean water, improved health services, increased individual and household income. ( Moshono ADP, 2007). 3. 0 Objectives of Studies 3. 1 General Objective To assess the contribution of NGO in improving the living standard of the local communities. 3. 2 Specific Objectives 1. To identify how NGO’s are supporting community welfare. 2. To find out how the assistance provided to the local communities has positively affected their living condition. 3. Challenges that NGO’s face in improving the living standard of the people. 4. 0 Research Question 1. What support does NGO provided Moshono ADP? 2. To what extent does the Moshono ADP contributes in changing the living standard of local communities? 3. What are the problems faced by the NGO in improving the living standard of Moshono people at Moshono ADP? 5. Significance of the Study 1. The study will be resourcefully to the areas of development program as it will provide data and various relevant information and improving social and economic activities for sustainable development and effective intervention. 2. Also, the study will be instrumental to policy maker’s institution, economic planners and other NGOs with mission of improving the economic and social status of the local communities because it will act as a self evaluation instrument. CHAPTER TWO 6. 0 Literature review Introduction This chapter shows contribution of different authors and documents on the research topic. It emphasizes the views, theories principles and polices given out by individuals’ organizations, agencies, the government and group on the research topic. 6. 1 Theoretical Review Non Government Organization play a vital role to promote the living standard of the local communities, the major important of the NGO’s increases â€Å"social capital† by providing people with opportunities to build trust in each other and capacity to work together towards common goal. NGO’s promote pluralism, diversity, and tolerance in society while protecting and strengthening cultural ethics, religious, linguistic and other identities. Moreover, NGO’s advances science and thought develop culture and arts develop culture and arts, protect environment and support activities concerning civil societies, NGO’s is a facilitator of citizen through it advocacy and operational mission as classified with World Bank (ICE, 2002). NGO’s mainly are doing to encourage socio-economic development and the community at large in less developed countries particularly in Tanzania (UN human Development report, 2000). There are various indicators that an organization may be labeled an NGO if it ha four characteristics identified by the commonwealth foundation, a London based NGO group. These characteristics are the guidelines for the good practices of NGO’s. These characteristics includes Voluntary membership, independent and autonomy where NGO’s are independent within the laws of society and owned by the members and controlled by board elected from members, Non-for-profit, NGO’s are not for private personal gains, but NGO’s may involve in income generating activities for pursuing organization mission. Another indicator for the good performance NGO’s should not self-serving in aims and related value, The aims of NGO’s is to improve the circumstances and prospects of people and to act on concern on issues detrimental to wellbeing and peoples prosperity (Commonwealth Foundation, 1995). NGO’s have indirect and direct relationship in the content of poverty. This is because of the purposes of the NGO’s and their nature to fight against poverty. According to the president of the Egypt where he rgue that NGO’s have rendered a great efforts in poverty eradication not only in Egypt but also in sub Saharan nations, He further stated â€Å"There can be hope only for society which act as one big family and not as many separate one† ( Sadat 1981). NGO’s provides humanitarian aids example food during natural calamities all over the world, protects children and youth, conflict resolution, education, environmental, human rights, relief services (Wik ipedia,2010). In the context of poverty an NGO, example World Vision a case of Moshono ADP, this organization has rendered great significant efforts in improving the living standard of Moshono people through the provision of clean and safe water, improve health situation, cars for orphans, Build classrooms and hospitals, this contributes a lot to poverty alleviation. (Moshono ADP). Standard of Living is a level of material comfort that an individual or group aspires to or may achieve. Standard of living is measured by various indicators, Example life expectance, access to nutrition foods, safe and clean water supply, and availability of medical assistances. (Britannica Concise Encyclopedia, 2000). 6. 2 Empirical Review According to Anup (2001) in his research on â€Å"poverty facts and stats on Global issues†22,000 children die each day die to poverty and they die quietly in some of the poorest villages on earth, far removed from the scrutiny and the concise of the world. Being weak and weak in life make this dying multitudes even more invisible in death. Around 27-28 percent of all children in developing countries are estimated to be underweight or stunned. The two regions that accounts for deficit are South Asia and Sub –Saharan African. If the current trends continue the millennium Development Goals (MDG’s) target having the proportional of underweight children will be mused by 30 million children. Largely because or low progress in Southern Asia and Sub-Saharan Africa. According to Sachs(2005) ,UN project on the research â€Å"Ending African’s poverty trap†, The thirty three Sub- Saharan countries on which this study focuses had a combine population of 617 million in 2001 with the population heightened average annual income of $271 per person or a mere 74 percent a day. Every county in Sub-Saharan is a low income country according to world bank country classification, At least only four countries (Angola, Cameroon, and Congo) with income per capital $500 because their oil exporters and only cote d’ ivory which is currently vertiginous political nd economic crisis, is a non oil exporter. Sub-Sahara countries have a life expectancy at birth below 60 years and in all but Ghana. Madagascar and Sudan life expectancy at birth is below 55 years. Child mortality rates (Death before the age of five (5) per 1000 live births) are above in every Sub-Saharan countries. According to (Mbelle, 2003) in their research on poverty alleviation (sc hool enrollment performances and access to education in Tanzania) the decision to invest in education is guided by cost benefit consideration. At the Micro level the question whether education contributes to economic growth and how this contribution of physical capital becomes a paramount importance. Demand fof education by individual and household needs to be sustained at high level if access is to improve. This can be achieved through empowering individuals and households economically. Maintaining macro economic stability and perusing pro-poor expenditure are keys in reducing the general level of raising the level of demand for education at both individual and household level. The gap is identified on where the NGO’s operating in local communities found to face various problems that can possibly hinder their efficiency and effectiveness in supporting local development. It is doubtful, however other studies shows that the NGO’s have a lot to contributes in eradicating poverty, in local communities. Basing on such theoretical contradiction makes the need to go through findings and analyzing the facts on the extent to which NGO’s have been supportive agent to the local are as development and eradicating poverty in the area they operates. CHAPTER THREE 7. Research methodology 7. 1 Research Design Is the logic that link the data to be collected (and the conclusion to be drawn) to the initial question of a study. Research design addresses the planning of scientific enquiry that is, designing a strategy for finding out something (Kothari, 2004). The descriptive study will be employed to portray accurate information since the research is conce rned with issues related to social development studies. 2. Description of the Study Area. This study will be done in Arusha Region with a case study of Moshono ADP in Arumeru district council. The economic activities in Moshono ADP are mainly farming and livestock. This is the sample for the Non governmental Organizations in assessing their effectiveness in improving the living standard of the local communities in Tanzania. Therefore, From Moshono ADP enough information can be accumulated which will represent the whole population.. 7. 3 Data Collection The data will be collected by using different instrument/methods. There will be both primary and secondary data collection (document review) primary information shall be collected by using interviews, questionnaires and observations. 1. Type of Data. Both primary and secondary data will be collected from the field. Where by the primary data will be obtained from respondent directly though questionnaire and interviews as well as observation while Secondary data will be obtained from documents that contains relevant information about the study. 2. Sources of Data. Both primary and secondary data will be used as sources of data in this study. 7. 3. 2. 1 Primary Data These are new data which will be gathered to help solving the problem at hand the researcher will collect primary data from selected respondents from different groups in the entire community. Interviews, questionnaire and observation will be used to obtain primary data at Moshono ADP. 7. 3. 2. 2 Secondary Data These are data that has already existed some where; this involves reviewing of literature and documentation, document such as livelihood, gender, poverty, and social services journals and reports for the purpose of findings tangible information about the issues of living standard of local community in Tanzania and suggests possible solution for that problem. 3. Techniques of Data Collection The following techniques will be applied in this study 7. 3. 3. 1 Interview, This method will involve the prepared questions that a researcher administers through face to face interrogations with respondents. The researcher shall record all conversation in the interview. 7. 3. 3. 2 Questionnaire This popular method will be employed for data collection. Questionnaire will be open and closed. The researcher should use this tool to the key respondents like Moshono ADP Staffs, Community Leader and Community Member. 7. 3. 3. 3 Observation The resercher will use this technique of data collection. The researcher shall directly ask questions to the respondents and make physical observation of the environment. Through observation the researcher will be able to observe some of the causes, effects and measures taken by different stakeholders towards solving this problem in the study areas. 3. Sampling. Sampling is a part of statistical practice concerned with the selection of an unbiased or random subset of individual intended to yield some knowledge about population. Sample type which will be used is descriptive random sampling in order to give an equal chance to every selected sample element. Under this sampling both probability and non-probability method will be used. 1. Sampling Frame/Population Sampling frame is a list which consists of all sample units. Sample frame consist of a list of items from which sample is drown (Kothari. R, 2003) generally sample frame consist of name of respondents, total number of respondents and the sample size in percentage. Sample frame, therefore the total sample size will be 50 respondents from this units sample size will be (6) Moshono ADP staff, (2) WEOs (4) VEOs, (20) Community members (6) Teachers (6) Health worker (6) P/school student 2. Sample Size The sample will be drawn from 14 wards of Moshono division in which Moshono ADP operate the researcher select three ward randomly namely Moshono, Mlangarini and Bwawani. The sample size will be 50 respondents from different level on the community. The category and numbers of respondents who will be interviewed in this research is shown in the table 1, below. Table 1. Sample Size Distribution NO |CATEGORY |NUMBEROF RESPONDENTS |PARCENTAGES (%) | | |OF RESPONDENTS | | | |1 |WEOs |2 |4 | |2 |VEOs |4 |8 | |3 |Community Members |20 |40 | |4 |Teachers |6 |12 | |5 |Health worker |6 |12 | |6 |ADP staff |6 |12 | |6 |P/School students |6 |12 | | |TOTAL |50 |100 | Source: Researcher’s own manipulation 7. 4. 3 Sampling Techniques In order to collect and acquire enough data and information from different respondents the researcher will use various techniques to capture enough information from the respondents. The researcher will use a purposive technique of sampling though random sampling technique. 5. Data Analysis Techniques The researcher will use the different techniques to analysis and manage the data such as quantitative and qualitative analysis techniques . Also the data will be presented by using of matrices, percentages, and flow diagrams. Reference: Anidah Maccahato (2001) Book in Research Relevance Poverty. )University of Mandanao. Chamber (1983) Rural Development Putting the last first, Longman Inc. New york Chronic Poverty Report (2005) [http://www. chronicpoverty. rg/page/vulnerability-cprc-s-work] Commonwealth foundation (1995), Non Governmental Organization, Guidelines for Good policy and practice [www. peacecorpsvolonteers. org. com] Community Development Journal an Inter. Form VOL. 31 (2002) [www. undp. org] Davies, Thomas Richard (2007). The Possibilities of Transnational Activism: the Campaign for Disarmament between the Two World Wars. ISBN  978 9004162 58 7, [Http://enwikipedia. org/wiki/non-governmentorgarnization. au] Jude, Howell and Jenny Peace (2000) new roles and relevance; Develop NGO’s and the challenges. Kumarian Press Kothari C. R (2004), Research Methodology, Methods and techniques 2nd edition, New Age International publication. Moshono ADP, Annual Reports, 2006. NSRGP, (July, 2005)Growing out of poverty By Haki Kazi and Catalyst, Tanzania. Nepal National Development Report on poverty alleviation (2004) [www. nepal. gvt. nd] Research on poverty Alleviation. Amon Mbelle and Jovieter Katoboro (2003) [www. repoa. or. tz] Shah Anup(2001) Poverty Facts and Study on Global Issues. UN, Human Development Report (2000) www. undp. org UN Project Research on Ending African Poverty Trap. Jeffrey . D. Sachs (2005) URT 2002, Tanzania Census Report World Bank Economic Review (2000). Volume 14, Number 3. World Bank Report on Poverty (1997) [www. wb. org] World vision (2004), Evaluation report of Moshono ADP [www. world vision. org] How to cite Assess Contribution of Ngos to the Community, Papers

Treasury and Management Asia Marketing

Question: Discuss about the Treasury and Management for Asia Marketing. Answer: 1- Futures Hedging In this section/ assignment, the futures hedging concept is discussed and understood with the help of an example. Given, Liquid X is an alternative energy source used by a company. The prices of Liquid X fluctuates with the changes in the prices of oil and change in price of Liquid X will incur huge losses to the company @ $500,000 for each 1 cent increase in the price per gallon of Liquid X. As a hedging strategy, the company uses gasolines futures to hedge its exposure to Liquid X which maintains 0.7 correlations with gasoline futures. Given, Liquid X has a standard deviation of 50% higher than gasoline futures price changes, each future contract to have 40000 gallons, increase in Liquid X is at 2% from $2.5 per gallon, and the following questions answers are as below: What should be the hedge ratio in the use of gasoline futures to hedge its exposure? Hedge ratio is defined as the size of future contracts in relative to the spot price elements. It is formulated as: where, is the correlation coefficient between the spot price element and the future contract element ; s is the standard deviation of spot price element; and F is the standard deviation of future contract. (DAHL, NA) Given standard deviation of Liquid X is 50% greater than the gasoline futures, Thus, correlation noted to be at 0.7, the hedge ratio is computed as below: h = 0.7 x 1.5 = 1.05 Thus the hedge ratio is computed to be 1.05 with the given details to hedge the risk involved with Liquid X with the help of gasoline futures. This hedge ratio helps in determining the optimal number of future contracts to be purchased to hedge the companys exposure to Liquid X and further related questions are discussed below. What is the company's exposure measured in gallons of Liquid X? Given, companys exposure to risk is the loss of $ 500,000 per 1 cent increase in Liquid X per gallon of Liquid X. This implies, per 1 cent increase in the price of 1 gallon of Liquid X, the loss is $ 500,000. Thus no of gallons of Liquid X exposed for 1$ increase at the cost of 1$ per gallon is 500,000x100 = 50,000,000 gallons. What position measured in gallons, what is the type of position should the company take in gasoline futures to hedge its exposure? As the prices are subject to rise, the company should take long position to buy Liquid X at predetermined price. (NYU, NA) (Montana, NA) The position company should enter with gasoline futures to hedge its exposure is equivalent to product of Hedge Ratio and the no of gallons of Liquid X. That is, 1.05 x 50,000,000 = 52,500,000 gallons of Gasoline futures. How many gasoline futures contracts should be traded in this hedging strategy? As mentioned above, optimal number of futures contracts equal to optimal hedge ratio multiplied by the no of future contracts corresponding to the risk of no of gallons of Liquid X exposed. Also, given each future contract has 40000 gallons, the optimal future contracts are computed as: Optimal # of future contracts = Hedge Ratio x (no of gallons of Liquid X no of gallons per contract) = 1.05 x 50,000,000/40000 = 1.05x1250 = 1312.5 Thus rounding off, 1313 number of 40000 gallon each future contract to be traded for hedging. After two months, what are the gain/loss in the spot market and the trading gain/loss on the futures contracts in part d? The trading gain/ loss on futures contract is calculated by checking the difference between the costs incurred at spot price and the future contract price. If the spot price is higher than the future contracted price in long position, then the company gains from the trading contract else it loses. That is, when the spot price is higher than the future contract price in long position, the company is able to buy at a lesser price than market spot price leading to gains while if the spot price is lesser than the future contract price, the company does not execute the future price and hence buys at market at smaller price thus hedging the risk involved. (Giddy, NA) Given, after two month the spot price of Liquid X has gone up by 2% from $ 2.5 per gallon, The spot price of Liquid X after two months = 2.5 x (1+2%) = $ 2.55 If the company buys from spot market the cost of position of 52,500,000 gallons taken is = 52500000 x 2.55 = $ 133,875,000 As the spot price in market has increased, it is advised to execute the future contracts. Executing the futures, the company would be able to purchase @ $ 2.5 per gallon and hence incur only cost of = 52500000 x 2.5 = $ 131,250,000 Thus the loss saved by the company or the profit gained by the company is = 133,875,000 131,250,000 = $ 2,625,000 In long position that is to buy shares, a future contract is only executed if the spot price is higher than the contract price (Chris Hurt, 2002) and thus in this case executing the contract would save a profit of $ 2.625 million. 2. This section of the report discusses about the interest rates fluctuations in United States and their impact on capital movements, Asian currencies and global economic growth. Asian and emerging economies are generally affected adverse during a tightening cycle in the United States monetary policy as they reduce the aggregate demand in these nations in different means. This adverse impact on the emerging economies has been observed historically. Increase in interest rates in the United States would increase the yields on the assets of the United States and thus would have negative impact on the other international cash flows. Along with affecting the cash flows, they also increase the cost of capital on domestic products as well leading to reduction in consumption. With the increase in interest rate, the dollar will continue to pump up and thus decreasing the values of currencies of other emerging economies leading to fall of international liquidity position resulting in market volatility especially in emerging markets. Thus overall increase in interest rate in the United States would lead to higher risk premiums and thus higher cost of capitals causing re duction in the GDP growth and decrease in the economic growth. (Warnock, 2006) It is observed and understood that the Asian economies have been under high foreign direct investments as shown below. The data above corresponds to 2012 and 2013. The data represents Foreign Direct Investment (FDI) cash flows of Chinese, Japanese, Singaporean and Indian economies. They are the top Asian nations which are noted to have high foreign direct investment flows. The Asian major, China has got the highest Foreign Direct Investment (FDI) noted at 120 billion USD above as on 2012-13 followed by Hong Kong at 78 billion USD. The Singaporean economy has been recorded to have 50 billion USD. Rest of the economies like India, Indonesia, Thailand, Malaysia, Korea, Vietnam and Taiwan are on the smaller exposure with the range varying from 5 billion to 30 billion USD under Foreign Direct Investment. Having such high exposure to the foreign investments, a smaller fluctuation in interest rate via cost of capital will have adverse impact on the growing economies of Asia as their cash flows are affected indirectly leading to financial crunches and strains. If the United states increase the interest rates these investments would strongly affect the Asian economies as these international capital flows would seek higher yields as they would be making better returns on lesser risky assets in United states with increased interest rate and thus would increase the cost of capital adversely affecting the domestic business. Thus, emerging economies like Asia and Middle East which actually do not form any homogenous groups has random affects due to increase in interest rates of the United States. These economies which are dependent on the foreign capital / investment are more vulnerable as compared to other economies. (Hwang, 2015) Along with affecting the foreign capital flows, increase in interest rates in the United States has been observed to be transmitted over the domestic interest rates as well. The trend has been studied internationally and is observed that higher interest rates of United States lead to exert downward pressure on the investments and consumptions, thus leading increase in domestic interest rates especially in developing economies. Raised interest rates increase the borrowing cost which would lead to increased debt service burden on the public and government sectors thus affecting all related services.(Acumen, NA) Asian economy also gets affected with its currency depreciation followed by increase in United States interest rates. The increase in interest rate would increase the potential for the United States assets and thus appreciates the United States Dollar (USD) and thus outflow from any local currency to USD would get affected at a higher exchange rate leading to local currency depreciation. The resultant increase in interest rates would affect the global consumptions as well due to increased costs and thus would lead to fall in demand for Asian exports. As has been discussed above, the increase in interest rate gets transmitted to domestic rates thus increasing the cost of products in these economies leading to decrease in demand of Asian exports. (Alpha Commentary, 2015) All these factors discussed above which include increased cost of capital, higher risk premium and volatility in the finances affect the economies of Asian nations especially those relied on foreign investments. This leads to loss of real income in these economies which result in reduction in the real GDP growth of the economies. Thus, Asian economies with nations having substantial budget with deficit in current account and high foreign investment flows, gets hit adversely with the change in interest rates as has been observed historically and thus having a prudential fiscal management would become the utmost important aspect to safeguard financial stability during the tightening cycle. (Park, 2014) Bibliography Acumen, NA. 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