Influence of Baroque Music to Classical Music free essay sample

Music of any period reflects, in its own way, some of the same influences, tendencies, and generative impulses that are found in the other arts of that time (Donna, 2005). Thus the word baroque, usually used despairingly by eighteenth-century art critics to describe the art and architecture of the seventeenth and early eighteenth centuries, came to be applied also to the music of the seventeenth and early eighteenth centuries. After some years after the death of Johann Sebastian Bach, the ornate, formal and strict form of the High Baroque became old-fashion and lost its favor.Music slowly began to change form the style and forms of the High Baroque to a simpler yet tuneful form around 1750. The period following the Baroque is called the Classical period. The transition to the new styles and forms of Classical music was, like all transitions, rather complicated. The use of the baroque bass figure lost Its taste and became obsolete. We will write a custom essay sample on Influence of Baroque Music to Classical Music or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The preference of a simple structure rather than polyphonic constructions became dominant most especially in secular music. There was also a preference for one clear melodic line without melting with many others.Although arouse music differs greatly from classical music, they have striking similarities as evident in specific styles and forms. Though Classical composers tend to avoid the antiquated Baroque, one cannot fully abandon the styles and forms of the immediate predecessors. Instead, these styles were further developed to form a new meaning and use on the new musical structure. Forms Like the opera and orchestra revolutionized-?the former branching out from serious to variety, and the latter have a complete upheaval. Moreover, on the late Classical period, great composers such s Beethoven and Mozart studied the works of Baroque composers Bach and Handel. The later works of the classical composers were characterized of having Innovative yet powerful polyphony inspired by Bachs masterpieces, and contrapuntal melodic lines imbued with the oratorios and suites of Handel. CHAPTER II DISCUSSION General characteristics of baroque music Baroque composers were united in a common goal: to express or represent a wide range of feelings vividly and vigorously.They sought musical means to express or arouse the affections. Rather than they express their personal feelings, composers anted to represent human emotions in a generic sense (Norton, 2010). The music is regarded for its distinct, formal compositional styles and forms. Style Various styles laid the foundation of baroque music. Expressive and expansive In melody yet deeply rooted In choral harmonies, baroque music is typically highly rhythmical and quite easy to listen to.The comfortable regularity and lively rhythmic qualities of much of baroque music have made it appealing to many modern OFF and stirring melodies, engaging conversation-like dialogues in sound, and rich harmonies and textures (Daniels Wagner, 1975). Modality was replaced by analogy which gave a strong feeling of Joy or lament. In 2008, Ferris explains that composers developed and theoreticians articulated the tonal system, in which every note of the major or minor scale bears a specific relationship to every other note, and all of the pitches are more or less similar to the tonic.Composers at that time recognized and utilized triad chords as an entity, which resulted to meaningful and consonant units of sound. The use of triads most especially the three principle chords (tonic, dominant, and subdivision) paved a stable and harmonic direc tion to tonal music (The Baroque Period). Thus, the tonal system of harmony was wholly adopted during the seventeenth century. In addition, the continuous use of the polyphonic texture during the Early Baroque was revolutionized to form a new texture-?the homophony.Imitative polyphony (more than one melodic line) was an extremely important factor in writing and playing music (The Baroque Era, Examine, 2008). New forms of polyphonic music were developing because baroque composers felt that the art of counterpoint was essential to their artistry. On the other hand, the homophobic method (a musical technique that displays a vast separation amongst he melody line and the accompaniment) was gaining acceptance and use quite rapidly (The Baroque Era).The homophobic musical style played a significant role in opera and solo vocal music because it focused the listeners concentration in the poetic melody of the singer. Most pieces in baroque music have the basso continuo Inch gave way to uniformity and unity. Basso continuo, or figured bass, is an accompaniment which consists of a bass part with numbers which specify the chords to be played above it. Musical works containing a continuo part helped to convey harmonic support of chords under the melodic line (The Baroque Era).Examine (2008) states that basso continuo is usually played by at least two instruments: an organ or harpsichord and low melodic instrument like the cello or bassoon. Examine (2008) also adds that the organist of harpsichordist plays the bass part with the left hand which is also played by the cellist or bassoonist. With the right hand, the keyboard player improvises chords or melodic line by following the numbers. Because the numbers only indicate a basic chord, the performer has a wide field of freedom. With continuity of rhythm and melody, baroque music also features continuity of dynamic bevel.This means that the volume stays the same for a period of time, and then there is a sudden shift to a different dynamic level. There are no gradual changes in dynamics (such as a crescendo or decrescendo). Terraced dynamics were used as the main keyboard instrument was the harpsichord, which could only be played in two modes, either forte (loud) or piano (soft), precluding the ability to accomplish crescendos or decrescendos (Examine, 2008). Moreover, baroque composers fashion their work with different kinds of ornamentation.For Baroque musicians, ornamentation is not merely decoration that as no intrinsic value but rather the chief way of moving affections. One should, therefore, try in his ornamentation, as in all other aspects of his interpretation, to effectively communicate the sense of the music. In a lyrical movement, baroque performers intensify the expressiveness through the use of smooth melodic ornaments, and in a movement that seems complete, add almost nothing besides essential accidental trills (www. Masquerade. FRR). Eventually, both vocalists and instrumentalists recognized the principal ways of ornamenting a melodic line.First, brief formulas called ornaments-?such as trills, turns, postgraduate, and rodents-?were added to certain notes to emphasize accents, cadences, and other significant points in the melody (Norton, 2010). Second, more extended embellishments-?such as scale and arpeggio passages, and other types of flourishes-?were added to create a free and elaborate paraphrase of the written line (Norton, 2010). Forms In 1 573, a group of musicians and intellectuals came together to discuss various subjects, especially the desire to revive Greek drama.This group of individuals is known as the Florentine Cameras, they wanted lines to be sung instead of simply being spoken (Styles of the Baroque Period). The group developed a new vocal style based on the music of the ancient Greek tragedy. This new style followed the rhythms and pitch fluctuations of speech. It was sung by a soloist with only a simple choral accompaniment and was, thus, homophobic; the Cameras rejected polyphony because it would obscure the all-important text (Examine, 2008). Together with the opera, the oratorio stands as a major development in baroque local music.Like opera, the oratorio is a large-scale composition for chorus, vocal soloists, and orchestra usually performed during the Lenten season in the oratory, room which its name was derived; it is usually set to a narrative text. Oratorio differs from opera in that it has no acting, scenery, or costumes. Most oratorios are based on biblical stories, but usually they are not intended for religious services (Devote, 1956) The genre reached its heights in the late baroque period in the works of George Frederic Handel such as the Messiah with its well-known chorus of continuous praise of Hallelujah.Likewise, the baroque mass is an instrumentally a ccompanied vocal music tended to be a conservative musical form. As the seventeenth century progressed, masses Egan to incorporate concerto style and to have instrumental accompaniments. These developments led to the five masses of J. S. Bach, whose B Minor Mass is one of the towering monuments of Western music (Daniels ; Wagner, 1975). One of the most significant aspects of the Baroque period was the emergence of independent instrumental music. Its development was not entirely what the Florentine composers had intended; the new forms, Kittens (1966) stated, were by-products of reform. He use of the modal system was broken down, and establishment of the major- minor tonality were considered. But, the old contrapuntal style was not abolished entirely. The known form of during the Baroque is the fugue. According to Examine (2008), a fugue, written for a group of instruments or voices, or for a single instrument, is a polyphonic composition which is based on one theme called subject. Composers rote fugues both as independent pieces and as sections within preludes or toccatas Norton 2010). Throughout a fugue, different melodic lines, or voices, imitate the subject.Fugue subjects usually have a clearly defined character and a lively rhythm. And became a type of independent instrumental music. The baroque suite is a set of dance-inspired movements, all in the same key but different in tempo, meter and character. It is performed by a solo instrument, a small group of instruments, or an orchestra (Wright, 2008). The movements of a suite are usually in BABY form. The section A, which starts from the tonic key then shifts to the dominant, is balanced by the section B, which starts from dominant then shifts to the tonic (Examine, 2008, p. 03). Moreover, the orchestra during the baroque period was a performing group on instruments of the violin family. The baroque orchestra was consisted of ten to thirty r forty players. At its core were the basso continuo and upper strings. The use of Nodding, brass and percussion instruments are variable depending on the demand of the piece to be played. An aria (in English works sometimes called an air) signifies melody apart from the harmony, but especially a musical composition for single vice or instrument, with an accompaniment of other voices or instruments.The aria n Bachs suites is a short binary movement in a flowing rhythm in not very slow common or duple meter (Devote, 1956). Influence of baroque music to classical music In the middle of the 18th century, Europe began to move toward a new style in architecture, literature, and the arts, generally known as Classicism, which sought to emulate the ideals of Classical antiquity and especially those of Classical Greece. Changes in musical perception on style and form are likely caused by a sum of economic, religious, sociological and political factors.It is interesting to examine the music created within the hazy boundaries between the periods. Style Norton (2010) believes that at its best, Classical music reached a consistently high tankard and possessed the qualities of a noble simplicity, balance, perfection of form, diversity within unity, seriousness of purpose, and use of ornamentation. The transition to the new style was rather complicated. There was a general relaxation of formality, and for a while nothing much to take its place (Daniels ; Wagner, 1975).The relaxation in the court life favored the Rococo (derived from the French word Rockville referring to the artificial rework), a reaction to the formalism, rigidity, and seriousness that had become characteristics of the Baroque, and a decorative style hat was lighter, smaller in scale, and wittier than the Baroque (Daniels ; nagger, 1975, Kittens, 1966). The melody most typically consisted of a series of a series of short motives, repeated several times and cast in four or eight measure phrases.The melody is also generously supplied with a variety of trills, mo rdents, and the like. Classical music is basically homophobic. It seemed a proper alternative to the heavy polyphonic textures of the High Baroque. However, texture is treated as flexibly as rhythm. Pieces shift smoothly or suddenly from one texture to another. A work may begin myopically with a melody and simple accompaniment but then change to a more complex polyphonic texture that features two simultaneous melodies or melodic fragments imitated among the various instruments.In addition, polyphony Nas piously maintained when it came to church music. It was used for intensification, contrast, and development in the late works of Haydn and Beethoven part dance form of the Baroque, through a gradual enlargement and refinement, to the sonata-form of the Classical period. The end result was a form that remained in a dominant position in the field of instrumental music for almost two hundred years Exists, 1966). Indeed, it is a marvel of structural flexibility, capable of the greatest conceivable variety of expressive content.By the beginning of the eighteenth century, it was generally cast in a form consisting of three movements arranged in fast-slow- fast sequence. In sonatas and other pieces for violin, gradual increases and decreases of dynamics had long been employed; a theorist addressed the problem of crescendo and decrescendo receiving considerable attention. The Italian opera orchestra, too, had been familiar with swelling of tone. The solution is the borrowing baroque style. Terraced dynamics had provided composers with one means of achieving contrast.Operas employing this device were widely performed throughout Europe. Form ere practice of the baroque era was the standard against which new forms was measured, and there came to be a division between sacred works, which held more closely to the Baroque style from secular works, which were in the new style. A new orchestra developed during the classical period. It was a standard group of four sections: strings, woodwinds, brass, and percussion unlike the baroque which could Larry from piece to piece.The number of musicians in a classical orchestra was greater than in a baroque group. Classical composers exploited timbres of each instruments. Unlike baroque composers, they did not treat instruments interchangeably. The Classical composers were the first to orchestrate for instruments like clarinet, trombone, and piccolo (Daniels, Wagner, et al, 1975). According to Examine (2008), the classical orchestra had developed into a flexible and colorful instrument to which composers could entrust their most powerful and dramatic musical conceptions. The mass continued to be an important form for Mozart, Haydn, and Beethoven. During the Classical period, masses involved orchestra, soloists, and choir in a fully integrated work, using organizational principles derived from instrumental forms (The Classical Period). The majority of Mozart masses were in Missal bribes type, the simultaneous setting of several lines of text, or the omission of certain sections of the mass, because the Archbishop Colored of Syllabus had no patience with long Masses.Effects of the influences of baroque music Long after the Baroque era ended, and their music was all but forgotten, both Handel ND Bach were rediscovered in the Classical era. All great Classical composers like Mozart and Beethoven, after Bach and Handel, studied their works and learned from them in grasping and further developing Bachs and Handels science of baroque composition in such a way, that something entirely new emerged, pointing into the future.Proficient Knolling Amadeus Mozart ere works of Bach, such as the a-minor Mass and the six motets, and Handel, for example, the Messiah had deeply influenced the works of Mozart in his last years of Meriting music. Mozart was thoroughly familiar with the music of Handel. During his never lost his taste for it. One can hear Handels influence in some of Mozart early Narks, such as The Solemn Vespers, and in later works such as the Great Mass and the Requiem Mass in D minor.In fact, the opening page of Mozart Requiem, beautiful as it is, is merely a reworking of the opening choral movement of Handels funeral music for Queen Caroline (Longish, 2008). At the age of thirty, Mozart, visiting the SST. Thomas Church in Leipzig, upon hearing a Bach motet for the first time, exclaimed Now there is music from which a man can learn something. Then, the harbormaster at Leipzig gave Mozart a copy of the score to all six of the Bach motets. They were a profound influence on his late style.In the last two years of his life, Mozart counterpoint became even more exquisite and complex than before Longish, 2008). Moreover, Mozart was attracted to the main genres in which Bach excelled-?keyboard sonatas, keyboard concertos, symphonies and operas. Bachs singing-style themes, tasteful use of expressive motives, suspenseful harmonic ambiguities, and consistent thematic contrasts became permanent features of Mozart writing (Portraits). Ludwig van Beethoven Having Mozart as his model for his compositional styles, Beethoven had been familiar to the styles of the works of Bach and Handel.He continuously borrowed ideas, techniques and texture of the music of the baroque in his latter musical career. In his later years, wanting to compose certain pieces in a more contrapuntal style, thieving worked hard at mastering counterpoint. He studied the music of Bach, Handel, and even of Palestinian. In his late music, he developed a style of counterpoint that is more reminiscent of Handel than Bach. His fugues in his late period are very Hitachi in nature and quite unique in the history of music (Longish, 2008). Beethoven showed his constant concern with the work of J.S. Bach. He constantly requested copies of newly published editions, for example, a copy of the a-minor Mass, from the well-known publishers in Leipzig and Z;rich. In Beethovens sketchbooks, interspersed among work on his own compositions, there are numerous entries of short or long passages from Bachs works, among them, the Chromatic Fantasy, and fugues from The Well-Tempered Clavier and The Art of the Fugue Cramer, 2001). For Beethoven, the sense and aim of the study of his predecessors, Nas indeed his own further development, toward new ideas.Beethoven described this very clearly in a letter to the Archbishop Rudolph, in which he clearly names each and Handel as the only true geniuses, among his predecessors: The aim of the Normal of art, as indeed in the whole creation, is freedom, progress; if we moderns have not the same firmness as our ancestors, yet the refinement of our manners has in many ways enlarged our sphere of action. Pieces Great Mass in C Minor (K. 427) by Mozart Mozart wrote his Mass soon after his friend Baron Gottfried van Sweeten loaned him the works of Bach and Handel.These had a profound effect on the young composer, a nd his own Mass setting shows the influence of his baroque predecessors peppered, 2006). Mozart has been actually moved to create this Mass in reaction to his first exposure to Bach and Handel. He imitated Handels dotted rhythms (the Kings. The Mass draws considerably on Mozart study of the Baroque masters the influence of Bach and Hneed are evident in the great choral movements and the Domino Dues and Quondam recall Alexandra Scarlatti and Pergolas respectively.In 1959, Burk mentions, for only the second time in his life, and profiting by the example of Handel, he used a double chorus. Furthermore, London (1990) adds, the Influence of J. S. Bach and Handel has been noticed in its choral writing, especially that of the highly chromatic Quiz tolls, and in the double fugue of the Hosanna; the lavish, Italianize Et incarnates est. is a coloratura aria with showy cadenza. According to Paul Massacres, The C minor Mass is Mozart at his most baroque.He is clearly looking backwards, at least in the choral movements, sever of which might have been written 20 or 30 years earlier. So you get this fascinating Juxtaposition: on the one hand, the flexibility, the eave sensuality of the solo vocal passages, with, for the sopranos, that fresh, agile, quasi-instrumental writing that Mozart loved so much; and on the other, the colossal, almost baroque choral movements with their static chords and often quite slow moving harmonies. String Quartet No. 15, pop. 32 by Beethoven each (1738) wrote, The original cause of finish and end of all music, also of the thorough-bass (basso continuo), should be nothing other than to be for the worship of God and recreation of the spirit. Where this is not taken into consideration, is not music, but rather a diabolical bawling and mindless singsong. Perhaps, Beethovens embodiment of this idea is most apparent in the third movement of his String Quartet No. 15, pop. 132, entitled Hillier Danknesss nines Geneses an die tithe, in deer latencies Tonal (Holy Song of Thanksgiving, by a convalescent to the Divinity, in Lydia Mode).The Hillier Danknesss introduces a simple, four-voice Chorale, with a short introduction and short contrapuntal interludes, redefined in the further development purely inspired by the fugal works of Bach. After the first strophe of the chorale, a new element, a second subject, is introduced into the imposition, a part in D-major: Nine Kraft if;Helen (Feeling new strength), which makes it a double fugue and which initially appears to be in great contrast to the Chorale (Cramer, 2001). Indeed, Beethoven had constructed a clash of tonalities by combining various scales which exceeded beyond the Classical tradition.In a period in which his compositions show his deepest levels of self-pondering, Beethoven turned to the Baroque, and particularly to Bach, for support and insight. And in these thoughts, he shows a bold adherence to the Baroque tradition, with its forms and practices close to his heart and mind (Examine, 2008). Perhaps, more than any other Norm of Beethoven, the Healing Danknesss shows an appreciation and reverence for the past. CHAPTER Ill CONCLUSION This study has presented that the Late Baroque characteristics, indeed, had greatly influenced the musical styles and forms used by composers of the Classical Period.Though the main reception to the Baroque period was away from it, Classical music uncanny similarity of both classical and baroque music. The tonality was the basic foundation which was utterly the same. The freely ornamented trills and mordents of melodic lines, the entity of the contrapuntal polyphony in church masses, the great entrant of the terraced dynamics, and the dramatic movements of the sonata-form are all but a few influences of the High Baroque. Classical forms such as the orchestra, oratorio, and the mass are merely rev olutionized and developed of the forms of those of baroque. The oratorio became a versatile form; the orchestra was elaborated into a bigger yet systematical group of instruments, and the mass extended its variety to different forms. Classical composers such as Mozart and Beethoven had a turning point of their traditional Classical styles in the later period of their compositional styles. They were feely influenced by the baroque composers contrapuntal and fugal works for they studied extensively the works of the well-known baroque composers Bach and Handel.One can deduce that Classical musicians had different ways of reacting towards the end of the baroque: others seem to incorporate new medium while others retained yet innovated some baroque entities. However, we can say that the predecessor had certainly been a major influence amongst all Classical musicians. Future researchers who would research further the influences of the Baroque can be aided by this paper. Researchers who would focus on musical styles and forms must now advanced music theory for them to completely understand the concept that Mould be discussed.

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buy custom The Leader Followers essay I always thought that being a leader is both enjoyable and simple. I dreamt of being a leader so that I could attain fame and secure recognition. My case happened in the university during the just completed summer semester. One of the classes that I attended last semester required us to participate in a group project. I found this as an exciting opportunity to demonstrate my leadership skills since I wanted my group to attain the best grades in the project. I readily accepted the role of the group leader where I was expected to control the whole group and ensure that the work was done properly. My followers included five girls who came from different colleges. The fact that the five female students came from different colleges confirmed the diversity that existed between them. However, I was able to control the group by applying effective leadership skills, and I was very optimistic that the same would continue throughout the project. However, the one-month period coincided with Ramadan. It was the worst scenario in the whole process. The attention of the group was diverted to Ramadan, and it became very hard to control them. We first met with the five girls after the end of a lecture, when the lecturer had just suggested that the whole project was to be completed in group work. We engaged in a face-to-face conversation, and we all decided to combine our efforts and work together. Everyone longed for good marks and thus they vowed to work hard to attain the same. We appointed one of the girls to become a leader, but she hesitated. She claimed to have no prior experience in leading people, and that was it. They offered me to lead the group, and since I wanted to see my group progress well, I readily took the position. This time, I vowed to take co-opting antagonistic as my tactic (DuBrin, 2013). I was determined to engage all the students in the whole process so that they could easily make their contributions and recommendations. We had one more month to go, and we were expected to complete the work urgently. During the first week, the group was very committed. We had a superb relationship, and no one coul d have imagined that it would change. We remained optimistic that we would work together till the end of the assignment. I believed that a good relationship that prevailed at that time was due to the dedicated attention that everyone gave to the project. The group members followed me because they had a lot of trust in me (DuBrin, 2013).The saw my commitment to see the group work done within the shortest time possible and I ,in turn, strongly influenced them in one way or another. I was a team player, and I did my best to ensure that I completed my tasks earlier than the other group members (DuBrin, 2013). I reserved time and commitment for this group since I felt that I had interest in its success. I adopted the habit of collecting the group work earlier, and I had a check of it prior to presenting the same to the lecturer. No significant change occurred in the initial stages of the project. Everyone was up to the task; they completed their assignments on time, and they made their submission in advance. I was very impressed, and I maintained my optimism that my group would receive good grades in the end. However, the group lost track at the end of the third week (DuBrin, 2013). Three girls started behaving in an awkward way. They could not attend the group meetings as it was the case before. Our group faced a lot of challenges during this time. We missed important presentations and, as a consequence, we lost a lot of marks. We never submitted our reports as it was the case in the previous weeks. The other group members were overworked since we could not have continued missing presentations. I was optimistic that this would not last for long. However, the trend continued, and I decided to take an action. I decided to contact the girls. I called and texted them several times, and I received no response. I thought that this was the most justified way, since reporting them to the teacher could have cost them a lot. Some of the girls responded and clarified that the month of Ramadan was a very crucial event, and they vowed to catch up with us as soon as possible. I had to work with two girls who were complaining because of the heavy workload. I always made a personal appeal to the two girls so that they could remain motivated and active. I was very kind to these girls. We enjoyed a superb relationship, where respect and discipline prevailed. I played the role of an inspiring leader who was always ready to help (Van Vliet, 2014). I assisted them whenever they needed any assistance and at no one point did I let them down. According to Vincent van Vliet, the main source of power is the referent (Van Vliet, 2014). The girls had already developed some trust in me and many termed me as their role model. I used this power to persuade them to act responsibly and submit their assigned parts at the right time (Van Vliet, 2014). I also helped them to complete their tasks whenever they had issues. Furthermore, I influenced them positively and I constantly used polite words so as to ensure that they remained on the right track (Van Vliet, 2014). I avoided arguments and confrontations even with the members who were not participating. My main tactic of influence was adopting the tactic of leading by example (DuBrin, 2013). I always ensured that I shared the tasks equally, and I was the first one to complete the task. The style had some benefits and setbacks that hurtled me. While the members remained committed to the process, some of them did not work as expected. The same seriously hurt the whole group. For example, some members lost commitment. However, despite the setback, at the end of the project, the group members marveled at my positive attitude that I displayed during the whole process; my positive attitude inspired and moved them (DuBrin, 2013). The members confessed that they had acquired leadership skills from the experience. At the end of it all, we all agreed to retain the same group in the coming semester. To my amazement, I discovered that even the three girls who had lost the commitment to the group were delighted. I was successful influencing my group members. The key factors leading to success was the strong commitment that I maintained throughout the whole process (DuBrin, 2013). A positive attitude and the good etiquette that prevailed throughout the whole process explain the reasons for success. Leading by example is another factor that led to my success. My success was measured by the comments of the group members who commented positively on how I influenced them. The end results of the project are also a good indicator that I succeeded in influencing my group. 800x600 Normal 0 false false false RU X-NONE X-NONE ![endif]> /* Style Definitions */ table.MsoNormalTable {mso-style-name:"ОÐ ±Ã'‹Ã'‡Ð ½Ã °Ã'  Ã'‚Ð °Ã ±Ã »Ã ¸Ã'†Ð °"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-parent:""; mso-padding-alt:0cm 5.4pt 0cm 5.4pt; mso-para-margin:0cm; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:10.0pt; font-family:"Calibri","sans-serif"; mso-bidi-font-family:"Times New Roman";} Buy custom The Leader & Followers essay

Wired Equivalent Privacy Essay Example | Topics and Well Written Essays - 1000 words

Wired Equivalent Privacy - Essay Example Wired Equivalent Privacy, WEP is one of the options of providing security in such circumstances. WEP is the oldest security protocol specified by IEEE under the IEEE Wireless Fidelity Standard, 802.11b (Arbaugh, Shankar, Wan, & Zhang, 2002). The protocol is designed to give a level of privacy and security in a wireless local area network (WLAN), which is comparable to that available in the wired Local Area Networks. Generally, a wired local area network is protected from intrusion through physical barriers such as limited access to buildings or server rooms. Although these protection mechanisms are effective for physically controlled environment, the case is not the same for WLANs since the radio waves are not necessarily constrained by physical walls surrounding the network. WEP seeks to solve this concern by providing a similar protection as that in the wired networks through encryption of data transmitted in the WLAN. The encryption algorithm in WEP entails the use of security cod e selected at the network configuration phase. This code is usually referred to as WEP key and it uses defined hexadecimal digits such as 99D767BAC38EA23B0C0176D152 and1A648C9FE2. In order to allow for the transfer of information, the digital sequence should match in all the gadgets seeking to connect in a wireless network. Depending on the form of WEP encryption being used, WEP keys can be generated in different lengths. The overall functionality of WEP depends of the philosophy that data encryption shields the susceptible wireless links between access points and ‘client’. Once this protection is in place, other common mechanisms such as, end-to-end encryption, password protection, authentication, and virtual private networks (VPNs) come in handy to bolster privacy. How it Works The functionality of WEP security entails two parts being Authentication and Encryption. Whereas authentication is carried out at the introduction of a device in a network, encryption alters th e nature of data once they are available in the network. Authentication The process of authentication in a wireless network uses WEP to prevent a new gadget or station from joining a network if the WEP key is not known. The two authentication methods used in WEP are the Open System authentication and Shared Key authentication. In the Open System authentication, WLAN clients are not required to give any credentials at the network access point. This scenario would allow any user to authenticate themselves at the access point after which association may be established. In essence, there is no authentication taking place here. For the Shared Key authentication, the predetermined WEP key must be produced to authenticate a user and allow access to a network. This type of authentication comprises of a 4-way request and response mechanism. At the first stage of authentication, the client station, or device sends a request for authentication at the access point. The access point responds by replying a clear-text challenge. At the third stage, the client encrypts the text with the automatically configured WEP key and sends to the access point as a unique authentication request. Lastly, the access point decrypts the requested items and compares it against the clear-text sent previously. Depending on the outcome of the comparison, the access point initiates a negative response by denying access or positive response by granting the access. Encryption In WEP, RC4 stream cipher is used to encode the data in to a form that cannot be understood by third parties through a process called encryption. The data is encrypted at the transition phase between access

Individual Essay Example | Topics and Well Written Essays - 500 words

Individual - Essay Example There are several issues associated with the speech. Consequently, analysis of the agent, agency, and overall purpose of the act indicates strengths and weakness and strengths of speech and covers all the issues in speech presentation. The agent Hillary Clinton at the time of the presentation was the first lady, the wife of serving president of America. The analysis of her personality indicates that she was outspoken, and in the speech she presented her beliefs and issues that she wanted addressed (Keyton). By use of facial appearance and voice intonation, she was able to impact the audience positively. She focused on areas that needed change and that could be addressed to achieve women freedom by enlisting the challenges faced by women in different countries. However, in the speech she indicated only the challenges faced by women and not the achievement already obtained in the process. Through limiting coverage of the successes achieved, she created a fallacy that women are totally oppressed. This notion is not true because women hav e achieved success in some issues. For instance, the women liberation movement of 1900 was able to ensure that women obtain the right to vote and own property. Therefore, despite the existing oppression of women, the freedom to vote and own property was achieved. Then, the fallacy of generalization exhibited in the speech creates a wrong picture of the whole situation (Kampf 112). The presentation of the arguments followed a specified plot, which includes the creation of awareness by illustrating the current situation and developing the objectives and visions in the process. The counter arguments were not presented fully but highlighted as, by the way, issues rather than issues to be pondered. The development of then problem was concise by following an emotive plan which was effective because it captured the attention of the audience. The focus on the issues ensured that the audience was with the presented on

Relationship Between Asset Price and Monetary Policy

Relationship Between Asset Price and Monetary Policy With the development of capital market and the innovation of finance, asset prices have taken a more prominent role in financial economy. Meanwhile, financial crisis and economy turbulences arouse by abnormal assets price fluctuation appear in many countries. Currently, China is confronted with the reality of asset prices inflation. Asset prices rapidly fluctuation bought gigantic impact to monetary policy, therefore, study the relationship between asset price and monetary policy according to Chinas economy is significant. This dissertation applies correlation analysis, unit root test, cointegration test and Granger causality test in the empirical analysis of the relationship between asset price and monetary policy, from the data analysis, we could conclude that asset prices and monetary policy have a long-term relationship. The central bank should focus on the role of asset price on the transmit mechanism of monetary policy. 1. Introduction Motivation With the development of modern capital market and financial innovation, the world economy has into the financial economy era, and disappears increasingly capitalization, virtualization trends. It is no doubt that modern capital market has provided a powerful lever for economic growth, but its instability also cause macroeconomic fluctuations , and in particular the asset price bubbles, which is becoming a key factor for financial crisis and economic fluctuations. So far, the most developed Western countries have experienced a long period of rapid growth, concern is that global asset price has increased sharply in recent years. In the late 1980s, the stock market and real estate in Japan as the representative of asset prices have greatly increased ,which also caused Japanese economy into the bubble economy, the credit crunch and economic recession arising from the bubble economy have serious negative effects so far. In 2006, the Dow Jones industrial average index in USA was beyond the highest point of network technology bubble expansion from 2000, the stock market of many other developed and emerging market countries generally strongly increased and was beyond history records. In addition to the security market , the global real estate, gold and oil market are also very active. In 2001-2005, real estate prices have nearly doubled in many developed countries, meanwhile, real estate price in many developing countries has also generally increased . In May 2006, the international spot gold price reached USD per ounce 718 score in New York City market since 1980. In mid-July 2006, the International crude oil futures price GE exceeded the highest record to reach 75 USD/barrel. But, inevitably brought the more serious financial crisis in 2007, which has caused huge economic fluctuations to the economy from 2007. In China, securities market have established for ten years, the shares of negotiable securities in the structure of residents capital portfolios continued to be increasing, in 1992, the total value of Chinese stock market is 1048 billion yuan, accounting for only 3.9% of gross domestic product (GDP) ratio . But in 2007, the stock market value is 327141 billion yuan, the ratio of market value in GDP has being greatly rising to 130% , which is 312 times growth compared with the total stock market value in 1992 . Not only a huge amount, but also the fluctuations of asset prices have become more frequent and intense. In 2006-2007, Chinese economy under the driven of stock market and real estate market has a certain degree of asset price bubbles. While in the same time , Chinese economy is actually facing the reality of asset price falling from the top digit, shanghai security market falls rapidly from the peak position in 2007, the stock market bubbles receive the extrusion, the real est ate market similarly is also facing the similar situation, house price of major cities has falls obviously, the turnover falls into the valley. All of these financial crisis constantly are reminding people that the worldwide economic fluctuations are characterized by the financial instability , and economic cyclical fluctuations, instead of disappearing, and to be getting worse, cause considerable economic depression, frequent asset price volatility and financial crisis and economic recession arising from the asset market collapse, hence , the government should focus on the asset prices on the role of macroeconomic fluctuations and the central bank in the world have to consider the information from asset price fluctuations. The Fed Chairman Alan Greenspan and Bernanke concern much about monetary policy and asset price volatility. Alan Greenspan proposed central banks should be more concerned about the issue of asset price bubbles in the anniversary meeting celebrating the establishment of the Bank of England in 1994 . Chairman Bernanke is an internationally recognized as the founder of monetary policy and asset price researc h. At their encouragement , the international academic community and the national central banks have recent research and debate whether the monetary authorities should intervene directly in asset price fluctuations. These research and debates are from the different backgrounds in different countries, in accordance with their different assumptions and premises, provide some significance policy advice. Financial markets in particular capital market deepening and broad-based, and financial innovation enables financial institutions have diversity features. The boundaries of currency and other financial assets is blurring, money supply and real economic variables lost stability, the monetary policy impact on the real economy is no longer limited to traditional approaches, according to the traditional Keynesian theory, this impact on consumption and investment mainly through interest rate variable . But as the improvement of financial system and increase of financial assets stock , monetary policy can also use the wealth effect of asset prices and Tobin q to affect the consumption and investment, causing the changes of total demand, in stick price, the aggregate demand led to a change in the output , and cause the effect of the output changes on demand, if the aggregate demand exceeds the aggregate supply ,it can lead to inflation pressures. This series of transmission mechanism make t he role of asset market on the real economy become more prominent, asset price has become a major transmission channel of monetary policy . From the reality in China, the rapidly development of asset markets have a key role in our national economy, the impact of real estate market and stock market on economic and monetary policy are becoming increasingly apparent. In fact, the Chinese monetary authorities have also already begin to pay attention to the relationship of asset price and monetary policy . Xiaochuan, Zhou , as the Governor of Chinese central bank ,says that the central bank concerns about changes in asset prices and gives full attention to information from asset price when formulating and implementing monetary policy. Therefore, study the relationship between asset price and monetary policy in Chinese economy is significant. This dissertation analyze the relationship of asset price and monetary policy systematically, and will use econometric methodology to seek to explore the relationship between asset price and monetary policy in China by using quarterly statistics from 1998 to 2008. I will estimate the relationship between monetary policy variables and asset price variables , through correlation analysis, unit root test, cointergration test Granger Causality test to get the conclusion. This dissertation conclude the results that ¼Ã… ¡monetary policy and asset price have a long-term relationship, in a short time, the monetary policy aggravated the asset price fluctuations to some degree, the asset market appeared to be rapidly soared and shirked in a short period of time. The central bank should focus on the role of asset price on the transmit mechanism of monetary policy. 2. Literature Review 2.1 Empirical Studies from Western Economists The research from western economists on relationship of asset price fluctuations and monetary policy mainly reflects the two views. First, asset price and monetary policy do not exist the causal relationship on behavior , and the only relationship is on the information that reflects the present and future output growth. Another view on research of asset price fluctuation and monetary policy is that asset price can affect consumption and investment through wealth effects , the change of capital cost and asset price fluctuations affect consumption and investment respectively through wealth effects and Tobin q, thus affect the financial institutions status of assets and liabilities , further affect the stability of the financial system. It is evidently that asset price has become the transmission mechanism of monetary policy. Frank Smets (1997) is one of the economist who systematically analysis the optimal monetary policy that Central Bank should response on asset price change. He has proposed the following important viewpoint: how the central bank should respond to monetary policy reflecting the unexpected change of asset price, how this change affect the central banks inflation forecast. There are two factors affecting the central bank forecast inflation. First is that the effect of asset price on transmitting mechanism of monetary policy. Second is that the unique information on asset price. He established a simple macro-economic model that contains equation of Phillips curve, aggregate demand on financial asset prices (as represented by the stock price) , arbitrage and dividend , he uses this model to examine the variety of ways that change of financial assets price affect the real economy, and analysis the optimal monetary policy of central bank response to financial asset price movements. He demons trate that the optimal monetary policy of central bank response to financial asset price movements, that is, according to the structure of established model , weighted average of the short-term interest rate ( traditional intermediary target of monetary policy) and asset price as price index — monetary conditions index (MCI) , and regard this index as the target of monetary policy operations, therefore it can properly guide central bank make effectively response on monetary policy to change of financial assets price. Gunnarsson and Lindqvist (1997) have discussed the role of asset price on monetary policy from the wealth effect on change of asset price and the effect of inflation. They conclude that the monetary policy should be given more attention on the change of asset price, although it is very difficult to explain. They believe that the change of asset price affect monetary policy as long as this change is long-term change, and in recent years, the impact of this change of asset prices on the economic has been more and more important, so the central bank should spend more energy to analyze the relationship of asset prices and monetary policy, although this relationship is hard to explain but indeed existing. They believe that asset price as an indicator for monetary policy might contribute to the inflation forecast. B.Bemanke and M.Gcrtler (2000,2001) have provided that :In an particular assigned situation , the monetary policy respond to the change of asset price is determined by if existing of the inflation or the deflation pressure on real economy or not, if this change of asset price do not bring the inflation or the deflation pressure on the real economy, then the monetary policy does not need to respond to this kind change of asset price, but If this change of asset price indicates that it indeed brings the inflation or the deflation pressure on the real economy, then the monetary policy should make some response to alleviates this pressure. They propose the above policy seriously under the system frame of flexible currency inflation goal. Cecchetti, Genberg, Lipsky and Wadhwani (2000) have noted that how the central bank respond to asset price fluctuation mainly depends on the nature of the asset price fluctuation. When only have the shock of financial aspect on macro-economy, the central banks exchange rate policy should make an appropriate response, because doing so will avoid the financial shock on the stability of real economy . When the central banks target is to minimize the fluctuations of Inflation ratio and economic output gap to their target value , the central bank take possible action to eliminate the negative effects of financial volatility is a very good thing. 2.2 Empirical Studies from Chinese Scholars After the Asian financial crisis in 1997, the scholars in China have began to research the relationship between asset price and monetary policy. From a theoretical viewpoint, on the one hand, monetary policy have an impact on asset prices through the adopted operation tool, on the other hand, as a virtual asset relatively to physical asset , asset price fluctuations can also have some impact on peoples consumption and investment behaviour, hence, affect economic development through consumer and investment , further transmit monetary policy purpose to the real economy. Xiaoan Qian (1998) finds that change of asset price make a difficulty in monetary policy transmission mechanism, this will cause the certain effects on monetary quantity management, inflation control and financial risk avoidance. The increase of asset price has been made transmission role of the monetary policy in the currency market change and become a source of funds in the asset markets, causing short-term funds long-term occupation , so that the transmission mechanism of monetary policy to occur difficulty. Part of funds seperated from the bank system, directly to the virtual asset markets. Wenjun Xun (2000) believes that the development of capital market increase the number of the emerging non-bank organization such as superannuation fund, the mutual fund, the Insurance company and so on, the bank also participates in the competition of capital market , the effect of the capital market on the real economy gradually highlight, the transmitted mechanism of monetary policy increases, economic subject and its behavior are diversity, uncertainty about the economical movement increases, therefore the transmitted mechanism of monetary policy is more complex. They thinks that Central Banks monetary policy should control official interest rate through the market , thus indirectly influence the bond and the stock market price in capital market, further influence real economy, achieves the monetary policy goal. Qiang Qu (2001) has found that it is difficult to put asset prices as the goal of direct control of monetary policy in the monetary policy operations, the possibilities and accuracy of establishment of general asset price index is very small, asset prices can only be used as an indirect reference, in short, to concern on it , but not target on it. Gang Yi and Zhao Wang (2002) have considered that monetary policy have impact on financial asset prices (in particular the stock price), the relationship of currency quantity and inflation not only depends on the price of goods and services, and in a certain degree depends on the stock market. Tianyong Guo(2006) has affirmed the role of asset price fluctuation on real economy , financial stability and monetary policy through analysis, at the same time, he also points out that the asset price as regulatory targets exist difficulties. Chang Cui (2007) analysis the role of asset price on monetary policy through the model , in asset price inflation period, the central bank can take the measure of interest rate for a given period too control asset price fluctuation, and control the money supply when asset price bubbles exist will receive immediate effect. While in asset price downturn period , interest rate adjust asset price have obvious and relatively durable effect. Yuanquan Yu (2008) obtains through the empirical analysis: the asset price has a certain influence on macroeconomic , particularly the effect of house price is more obvious. Therefore, the Central Bank must give the appropriate attention and control on asset price in the implement of monetary policy . In an conclusion, the asset price fluctuations have an certain impact on the ultimate objective of monetary policy, we can not ignore the unique role of asset price on the transmission mechanism of monetary policy and the macro-economic activities. The central bank should concentrate on the effect of asset prices on monetary policy, particularly in asset prices fluctuations periods, the vast majority of economists believe that the central bank should take an certain monetary policy to address and reduce the negative effect of the economy. For most of research focuses on the study of asset price fluctuation and its relationship with monetary policy, the role of asset prices in the transmission mechanism of monetary policy , as well as the effect size issues ,this dissertation based on the domestic and foreign scholar research results , deeply analyzes the transmitted mechanism of monetary policy in asset price through the impact of monetary policy on asset price . 3. Data Description This dissertation focus on the relationship between asset price and monetary policy in China according to the quarterly statistics during the year of 1998 to 2008. This dissertation mainly use the stock price (index) and house price(hsp) as indicators of asset price , and use boarder money supply (m2), financial institution loan (loan), real rate (rate) as indicators of monetary policy for simplicity. Due to the amount of the data of these variables are really great, we take log of these variables to analyze. This dissertation get all needed data from China Economic Information Network, which is a professionals institution engage in the development of economic data resources and services, provide data support, data integration, and other business data analysis for government and research institutions. All the quarterly data we need from 1998 to 2008 is recorded in the China Economic Information Network. à £Ã¢â€š ¬Ã¢â€š ¬ 3.1 Indicators for asset price in China Asset prices generally including stock prices, bonds, prices, and even exchange rate, and other financial assets and house prices. However, the stock price and house price have a significant effect on real economy, and its fluctuations can have a key role in monetary policy decision-making, hence, in this dissertation , we will use the stock price and house price refer to the asset price. In particular, the Shanghai securities composite index is on behave of the stock price for data limitations, Shanghai securities composite index is established by the Shanghai stock market to reflect the Shanghai securities trading market overall trend. House price is on behave of the average house price in China. We can easily get these data from the China Economic Information Network. 3.2 Indicators for monetary policy in China Monetary policy refers to the Government or the Central Bank influence economic activity, especially by money supply control and regulation of interest rates. To achieve a specific goal or maintain target — for example, curbing inflation ,achieving full employment and economic growth, directly or indirectly through open market operations and setting the minimum reserve rate. There are many factors needed to be consider in implementing monetary policy, for data restrictions, in this dissertation ,we mainly consider the variable of boarder money supply, financial institution loan and real rate. First, boarder money supply (lnm2) indicates the change of aggregate supply and pressure condition of inflation in the future. In china, boarder money supply is narrow money supply plus the saving, foreign currency and fiduciary deposits of government, organizations, services, businesses and institutions in financial institution. Boarder money supply can be used as a medium and long-term equilibrium target to regulate of financial markets .It is usually the rate of boarder money supply increasing should be controlled at the sum rate of economic growth and price inflation, monetary movement. Second, financial institution loan have some disadvantage as a indicators of monetary policy. First, it is closely associated with the monetary policy objective. Currency circulation and deposit currency caused by loan, the Central Bank control the size of the loan, which also mean to control the money supply. Second, financial institution loan is an accuracy an endogenous variable , loan size is positive correlation with loan demand. As a policy variables, loan size and the demand also have a positive correlation. Furthermore, data of financial institution loan is easily accessible . Third, real rate refers to the real rate of interest return that the depositors and investors can get after eliminating of inflation rate, it is calculate as nominate rate minus CPI. Real rate can be used as the indicator of Central Banks monetary policy due to following reasons : (1) real rate reflect the supply of money and credit, and able to show the relative supply and demand, it is correlation with nominal interest rate ,High level of interest rate is thought to be a tight, low interest rate level of convergence are considered monetary relaxation. (2) real rate belongs to the Central Bank , the Central Bank can use this tools to increase or decrease in interest rates. Table 1: denotation for Variables denotation Variables Implication Lnindex Shanghai securities composite index Shanghai securities trading market overall trend Lnhsp House price Real estate price Lnloan Loan financial institution aggregation loan domestic Lnm2 M2 boarder money supply: M2+M1 Rate Real rate nominate rate minus CPI. 4. Economic Theory and Econometric Model The effectiveness of monetary policy depends not only on the sensitivity of economic subjects on policy signal , but also on numerous external factors of financial system. According to the traditional Keynesian theory, when implementing expansionary monetary policy, increase of money supply will lead to rate decline, i.e. capital costs decreasing, further increasing investment expenditure, hence increasing aggregate demand and aggregate output. Meanwhile, increase of money supply will lead to the bank reserve and deposit increase, thus enhanced bank to increase the loan quantity, the fund that the borrower attains increase, then the total quantity investment will increase, which also lead to the quantity of aggregate demand increase, hence, the total output also rise. We will use following econometric model to analyze the relationship of asset price and monetary policy. 4.1. Analyzing correlation coefficient The correlation coefficient is a measure of two variables relate to each other and their close degree of effective tools. Its absolute value is close to 1 description of relevance, the stronger between variables, the more its relevance with 0. If the correlation coefficient is positive, then the variables presented to changes in the relationship, with one variable with another variable changes. But if the correlation coefficient is negative, then the variables are changes in the relationship in the opposite direction. Using correlation coefficient can be better measured variables and between monetary policy and asset price correlation between Extent its positive and negative symbol can indicate the variable ask changes direction. Generally used to be associated matrix said. 4.2. Testing for Nonstationary In time series, stationary is a key concept, as it allows powerful techniques for modelling and forecasting to be developed. Stationary is generally regarded as some pattern of data stable or equilibrium. Stationary time series have constant mean and variance, but its covariance only determined by the time distance. However, when time series could not analyze as stationary, this types of time series always have a strong upwards or downward trend over time, we call it as nonstationary, and we can use differencing as an effective tool to transform a nonstationary time series into a stationary time series. Sometimes, Transforming a nonstationary time series into a stationary one needs more than once differencing operation. Generally speaking, if the differencing needs to be operated at least d times to achieve a stationary time series where d is the order of integration, then the time series is said to be integrated of order d, denoted by I(d). Hence, the I(1) time series also referred to have a unit root, while the I(0) time series are stationary. Dickey and Fuller (1979) provided an effective method to test a time series is stationary or nonstationy time series, which is also called as Dickey-Fuller (DF) test. The elementary object is to test the null hypothesis that the time series have a unit root or not. The model the Dickey-Fuller (DF) test involves bellows In this dissertation , indicates the variables on monetary policy and asset price at time t. ÃŽ ± denotes unknown parameter and denotes the trend. denotes the first difference which . Also, the t-statistic for testing the null hypothesis that H0: =0 against the alternative hypothesis H1: While the index and real rate variable we consider under the model H0: against H1: We also can identify the fittest lag k by running the ADF(k) test, choosing the fitted order k that gives the minimum AIC and BIC. 4.3 Cointegration Formally, Engle and Granger (1987) defined the cointegration as if there exists a linear combination of two or more I(d) time series which is I(d) with d In practice, we usually use cointegration test to exam the long-run relationship among variables in economics. If times series have relationship between variables, and the trend of the two time series has been common, and thus there will be a linear combination of these time series give us an stationary time series. In this dissertation , we test the long-run relationship between monetary policy variable and asset price variable by cointegration test .First, we consider the regression of two I (1) time series. The model is To test { } and { } are cointegrated, we need to exam that the residuals term { } is stationary .If the residuals term is I (1), then this two times series do not have a cointegration, otherwise , if the residuals term is I (o), then this two times series are cointegrated. Under this case, to test the residuals for unit root ,we can conduct DF/ADF-statistic test. In this paper, we denote that monetary policy variables as and we regress on a constant and one of the asset price variables as . 4.4. Causality Test Granger (1969) provided that Granger causality test can apply generally for testing the causal relationship on two time series.Granger causality means that if { } Granger causes{ } then { } have a predict power of { } , given any other variables. More formally, it is said that { } Granger causes { }; when the forecast of given data on { } and { } outperforms the forecast of given data on { }only. Granger causality is only related to the predictability of { } using { } and is not concerned as to whether{ }causes { }, it could be that { } Granger causes { } but { } is not causal for { },and vice versa. To test for Granger causality, we could estimate the regression by OLS In this dissertation , denotes an indicator of asset price, i.e. Shanghai composite index (lnindex) , house price ( lnhsp) , Also,denotes the indicator of monetary policy, i.e. financial institutions aggregate loan (lnloan), broad money (lnm2), real interest rate (rate) . Then conduct an F test on the null hypothesis against the alternative at least one of the is not zero. If we reject the null hypothesis, then { } has predictive power for { } and therefore, { } Granger causes { }, on the other hand, if we fail to reject the null hypothesis, then { } has no predictive power for { }, therefore, { } does not Granger causes { }.We usually test the two times series for Granger causality in pairs, that is, first test whether { } Granger causes { } and then test whether { } Granger causes { }.If two variables have Grange causality relationship in both directions, i.e. { } Granger causes { } and { } Granger causes { }, then we could regard these two varibles have causality relationship in both directions, that means these two variables are related. If two variables have Granger causality in one direction, e.g. { } Granger causes { } but { } does not Granger cause { }, then we can conclude that these two variable just have a one way causality relationship. 5. Presentation and Interpretation of Results 5.1. correlation coefficient between monetary policy variables and asset prices variables We analysis the correlation between monetary policy variables and stock prices variable according to the data provided by China Economic Information Network, and the correlation coefficients are presented in Table 2 and Table 3. Table 2 Correlation coefficient between lnindex and lnloan,lnm2,rate in 1998-2008 Lnindex Lnloan Lnm2 Rate Lnindex 1.000000 Lnloan 0.4829 1.000000 Lnm2 0.4867 0.9980 1.000000 Rate -0.4717 -0.9013 -0.9067 1.000000 As we can see, stock price (Lnindex) has correlation relationship with all monetary policy variables. With a higher stock price, loan and money supply will be increased, while real rate will be decreased. For monetary variables, loan and M2 have a strong positive correlation, and M2 have a strong negative correlaton with real rate. In conclusion , for the stock price variable, it has basically the positive correlation with the loan and money supply variables , and has negatively correlation with the real rate. Table 3 Correlation coefficient between lnhsp and lnloan,lnm2,rate in 1998-2008 Lnhsp Lnloan Lnm2 Rate Lnhsp 1.000000 Lnloan 0.9667 1.000000 Lnm2 0.9633 0.9980 1.000000 Rate -0.8453 -0.9013 -0.9067 1.000000 From table 3, we can see house price (Lnhsp) has correlation relationship with all monetary policy variables. With a higher house price, loan and money supply will be increased, while real rate still will be decreased. In conclusion ,for the house price variable, it has basically the strong positive correlation with the loan and money supply variables , and has strong negatively correlation with the real rate. 5.2.Results for unit root test We exam monetary policy variables and asset prices variables by Augmented Dickey-Fuller (ADF) to test the stationary of time series. First ,we choose the AIC and BIC to determine the fitted lag it suggest that the optimal lag for time series is lag k =1,Then we run ADF to test stationary of time series. Results are below: Table 4 ¼Ã… ¡Augmented Dickey-Fuller Unit Root Test for Variables Series ADF Test critical values Results 5% 1% Lnhsp -1.685 -3.41 -3.96 have a unit root Lnindex -2.085 -2.86 -3.43 have a unit root Lnm2

Ralph Vs Jack Leader Essay

There are always people who prove to have better leadership skills than others. The strongest of these people can often influence the weaker people into following them. However, the strongest person is not necessarily the best leader as it is proven in William Golding’s novel, The Lord of the Flies. Although Ralph is the weaker person, he is still able to demonstrate a better understanding of people than Jack who is stronger. Ralph demonstrates his excellent leadership skills throughout the novel by keeping order among the group, treating everyone with respect, and having the sense to keep his focus on getting rescued. While the boys are under Jack’s control, they quickly turn into uncivilized savages. However, Ralph manages to keep the boys under control by holding meetings. At the meetings, a sense of order is brought on to the boys because the boys are not allowed to speak unless they have the conch. â€Å"l will give the conch to the next person to speak. He can hold it when he’s speaking.† (p. 31) By enforcing this sense of order, he gains respect from the boys and becomes more confident as a leader. Ralph uses his power to make the boys feel more comfortable on the island.

First Opium War Essay

In 1899, right after the First Opium War, China was under the control of European powers and Japan, Qing Dynasty was so weak that hardly could defeat these powers. Each of these powers found out that China was a country which owned variety of resource. Therefore, all of them wanted to trade with China to earn more benefit and robbed various parts of coastal places, unfold Chinese territorial and Administrative integrity and would not interfere with the free use of the treaty ports within their spheres of inference in China. John Hay, the private secretary to Abraham Lincoln, the person who proposed the Open Door Policy. At that time, the United States was just finished the invasion of Philippine with Spanish and turned to China. They also had great interest in China and found out that China was the biggest market in the whole world. The Open Door Policy was declared base on this situation. Hay said,â€Å"Earnestly desirous to remove any cause of irritation and to ensure at the same time to the commerce of all nations in China†¦shall enjoy perfect equality of treatment for their commerce and navigation within such spheres.† The purpose of writing the document was to reduce the power countries had gained from their spheres of influence. The United States had no spheres of influence in China because it had just recently taken interest in Asia. Therefore, John Hay sought to prevent other countries from having more power than the United States. Each power claimed exclusive privileges of investment, and other powers seek to monopolize the trade as well. As the Open Door Policy took into action, each power should have to follow the rule 1. Each great power should maintain free access to a treaty port or to any other vested interest within its sphere. 2. Only the Chinese government should collect taxes on trade. 3. No great power having a sphere should be granted exemptions from paying harbor dues or railroad charges. This policy which showed above has obviously changed both China and the United States. From the United States, they found the biggest market in the whole world which is China. Before America was unable to trade with China and didn’t have time to care about China. No later than they defeated Spain in Philippine. They turned their sight to China, a huge market for trade which had been untapped and allowed America to gain a financial foothold in China. This decision can give them earn the most benefit. United States became China’s largest partner. Therefore, although the tax they need to pay was as the same as all the other powers, they occupied the most market of China, which means they were the largest earner between China and European power. By the way, it was the first time for the United States to expend their market to Asia. It has laid a good foundation for the commercial intercourse between America and China several decades later. On the other hand, this policy has changed China a lot, even much more than America. During that period China was nominally controlled by Qing Dynasty, but actually almost half land of China was invaded by foreign country and divided by France, German, British, Italy, Russia, Japan, and the United States, we call these eight countries as Eight-Power Alliance. Anyway, China was a country with half colonization and half feudalism. Each power was interested in the huge benefit in China. But they all had a fear with others. None of them dared to become the first. As the Open Door Policy proposed by America, the entire problem has been solved. Everyone got the same right to trade with China and had to pay the tax. It looks like everyone received what they want except China. However, just the opposite, China has occupied a huge change during this period. First, it has increased the trade of China and help to develop the economics of China. After the First Opium War, that was the weakest period of China. Drug has poisoned this huge country suffer from paining. Open Door Policy gave China a chance to develop them. Second, this policy gave China to advocate an impartial system of taxation set up a system of equal trading rights, which also helped to prevent European Power and Japan divided China into separate colonies, also intended to lower taxes and gave America an equal chance to trade with China. Third, the United States was the biggest partner effectively stopped countries from colonizing China; this helped to keep China a united, sovereign nation. In recent years, China has developed much faster than before. In 1978, the president Deng Xiaoping took office, China formally cooperated with America. It can be said as America helped to increase China’s economic. The development of trade gives both China and America pretty much benefit. Finally, the Open Door Policy is the most important policy during the whole that period. Without that policy, maybe China would be divided into several parts. Open Door Policy give America more benefit, but actually the biggest earner is China.