Economics Commentary †article on the Haitian Earthquake Essay

IN JANUARY last year, the quake ca works the 2004 Asian tsunami, which obliterate 250,000 people and 300,000 injured. People were living under sheeting strung across wooden poles. There were likewise many vulnerable homeless people that aid agency cant fit them in tens. People are trapped in supermarkets, debris and so on. I feel factuall(a)y pitiful for them and I hope casualtys family can be rest in peace.First of all, in that respect will be a change in Haitis economy because theres a huge effect of Haitis production. Haiti lost 250,000 people and 300,000 people were injured. They lost loads of labor and green light just because of this. Labor are human resources providing power to make goods and services Enterprise is a cockeyed is an owner of a factory or company e.g. Nike, Apple.Capitals much(prenominal) as Houses, hospitals and factories were destroyed. Capital is man do resources that use for production. Many animals got kill by this earthquake and tsunami and destr oyed timbers theres loss of land. bestow is natural resources that cant add by human. Clearly, Haitis production is decreasing. In this case, we can use a PPF to explain the situation. PPF is a curve that shows the combinations of 2 or more goods that can be produced employ all available resources. Heres the PPF of Haiti before tsunami.PFF1 is Haitis PPF before tsunami and PPF2 is Haitis PPF after tsunamiThe PPF moorage to the left means theres decrease at both actual and potential output. genuine output is what the country is currently producing and potential output is the maximum outputs you can produce will all currently resource. Because Haiti lost a lot of capitals, land, labor and enterprise, its production is running down. Therefore, its PPF shifts inward.Theres also economic decline and economic deterioration. Economic decline is the percent decrease in real GDP per annum and economic deterioration is decrease in living standard for everyone in the country. There is a sh ift of PPF because of the environment factors (earthquake and tsunami).There was a change of Haiti peoples demand because of the tsunami and earthquake. Demand is cadence of a good or service that consumer are will and able to buy at a given price over a period a time. Whats the change of Haiti peoples demand? Tsunami and earthquake destroyed a lot things, one of them is food. Haiti people are in starvation, theres no more flesh food for them so their demand of preserve food rose. It is because small goods demand if rise when theres war, natural disaster. Inferior good is a good that can replace another good as a substitute.The demand of Haiti peoples canned foodThis is a demand curve shows people in Haitis demand of canned food rise fromD1 to D2. Because the demand determinate is not price of the good of itself, its environment, theres a shift of demand curve to the right. Demand determinants are factors that can affect the demand such as price, consumer income, and low populati onsEvolutionHaitis earthquake and tsunami are lost and a pain we would neer wanted to happen and they took millions of peoples life away and destroyed thousands homes. Here are fewer solutions I think it might help to raise back the economy of Haiti. First of all is enquire UN for help. The United Nations (UN) is an international organization whose stated aims are facilitating cooperation in international law, international security, economic development, genial progress, human rights, and achievement of world peace. United nation will usually provided aid and food for refugees. secondment is building hospitals and factories. Recovering labor and capital is an important step to get the economy back on track. Education is more important in Haiti than other countries. They need new blood to contribute for the nightclub and thats where education is needed. Good people equal good country.