Economy of Singapore: Unemployment, Inflation and GDP Analysis

ECONOMY OF SINGAPORE 0
Economics Assignment
Student name
7/30/2019

DISCUSSION ON UNEMPLOYMENT, INFLATION AND GDP
1
Contents
Introduction:...............................................................................................................................2
Performance Analysis:...............................................................................................................3
Labour Market Analysis:............................................................................................................4
Price level analysis:....................................................................................................................6
Conclusion:................................................................................................................................8
Bibliography.............................................................................................................................10

DISCUSSION ON UNEMPLOYMENT, INFLATION AND GDP
2
Introduction:
Singapore is considered as one of the finest economies as its GDP is increased at the
time of independence. Its area is small but, it is a developed country where trade flows freely
without any barriers. So, that’s why it is considered as good for doing businesses. Its example
can be seen when the global crisis hit the nation.
It is recognized as the third-largest country in the world so it takes, no time to become
the first country in the world. Political conditions existing are also favourable and mainly it
exports its goods to other countries for manufacturing purpose because its resources are
limited but, it has a good amount of skilful labour force. These labours are also supplied to
other countries so that they can also benefit their infrastructure.
It extends the concept of trade, in which it buys raw materials from outside and also
sells them, by converting them into finished goods. It is also a member of the Association of
Southeast Asian Nations that is known as ASEAN countries in which China, Japan, Korea,
and India are included along with collaboration with Australia and New Zealand (Euston,
2015).
Main sources of its income comes from exporting electronics and chemical-based
products and it imports various types of goods such as crude oil, machinery which are used in
industries, food & beverages as well as selling metals such as iron and steel. It is a well-
known fact that it is free from the evils of corruption, stability in prices and moreover, having
a low tax-rate which attracts the new enterprises.
Foreign Direct Investment which is known as FDI in short-form. It is done for gaining
that much sum of interest, which is feasible according to the enterprise as well as economy
together. It is comprised of equity shares, retained earnings, short-term as well as long-term
capital. It is of two types, one is inwards and another is outwards and while calculating this in
national income, its outcome can be positive or negative. Industries which generate this in
Singapore are telecommunications, media, engineering, accounting and in banking services.

DISCUSSION ON UNEMPLOYMENT, INFLATION AND GDP
3
Performance Analysis:
GDP:
Its full form is Gross Domestic Production and it is accessed to measure the value of
goods and services which are produced by a nation over a particular life span. But, it is not
appropriate as it is calculated after the subtraction of inflation which is currently operating.
So, it can be said that when inflation is not deducted from the GDP, it is not relevant.
In the case of calculating per capita analysis of GDP, population factor is given consideration
in this regard. It is found out by dividing the GDP from the number of people living in the
country (Hoekstra, 2019).
It is an indicator to measure the standard of living inculcates in the countries whose
currencies are similar. GDP in the year 2008 is 1.868 but it falls down in the year 2009 and
this year is shown as 0.121 lowest 14.526 are highest in the year 2010 and again it shows
downfall in the year 2011 and 2012. In the year 2013, it gains rise but not in a continuous
way as it increases after 2017 but in 2018 it again falls down as in this 3.139.
GDP Rate: