Here is what I found out about economic bubbles.

To begin with, the idea of a bubble is a rapid economic expansion (Boom) followed by an economic explosion (burst). You cannot talk about bubbles without coming across three major ideas or themes. Banks, Markets and people (investors). 

Globalization and Regionalism (1)

When you study or combine all this with the idea of globalization, you can see how complex or interested the problem of economic bubbles becomes. Under the subject of Globalization, you will find three primary institutions the World Bank, International Monetary Fund and the World Trade Organization. These groups usually can have an effect on the local economy by bringing in in unexpected change in the economic structure of the government. A loan for example can bring about the illusion of growth and expansion at a time when the reality Is that the economy is slowing down. This perception amongst locals can then be exploited by those who may be partners say in Construction or roads. As a result cement, steel, tar (by products of petroleum) may increase in price. So here you see the banks (International) having an effect on the markets which also cause an effect with people. 

The effects described above all take place on the global level. On the other hand though, there can be effects that take place on a Regional Level. The dynamics are the same in this case, governments almost everywhere have to deal with the results of agreements under which these deals or loans or bail outs are administered. Secondly, many of these agreements are signed in the interests of larger groups as opposed to individuals or the grass roots if you like. In current affairs you can see how tension is beginning to build between the Americans on one hand and the Chinese on another. In this example the Americans would like to benefit from selling certain chicken products to their Asian counterparts. The Chinese on the other hand have responded using subsidies for their local produce. What this does is make it almost impossible for the American Business people to thrive in the Chinese Environment. You could argue that the Americans have been fed some of their own medicine given some of their practices in Island Nations suck as Haiti which receive Rice from America at almost no cost at the detriment of their own local markets. 

The Rise of new Powers (Colonialism and Hegemony) (2)

The British were making their mark on the world and were rapidly expanding. Naturally there was a need to grow and extend territory. Those who owned ships were therefore able to exert an unequal effect on the markets for timber, cotton, men, sugar, spices. Naturally promises could therefore be made and speculation based on the forecasts of growth. Because certain members of the monarchy maintained rights over the major companies back in the day, these small groups were able to concentrate vast amounts of wealth around them. These ideas mirror some of the developments in modern days. The transfer of power from one economic power to another and changes in shipping that favor large companies that can transport good as well as oils and naturally those who can control these routes using military means. A study of the U.S and China and other giants of shipping and trade can provide more useful information.  In addition to this the effect of a transfer of labor and the monies that are recovered and sent back to poor nations can also have a skewed effect on the economy. 

The U.S (Black Friday and Black Tuesday) (3)

The U.S had two major events the first in Friday 24th September 1869 was brought about by speculation on the price of Gold. A small group (James Fisk and Jay Gould) of investors bought so much Gold and then made the attempt to corner the market on the same. In the current day you could equate this to the current effect that we have seen with the price of oil and the influence of a specific group (OPEC) on this price. The Saudi for example were producing so much of it that they would sit by for years with a knowledge that no matter how low the price of the commodity got, they would still have a substantial amount of money in their reserves. You can expect to see much more activity in this regard especially as new power rise and attempt to join the exclusive club of oil producers. 

The second event (Black Tuesday)(4) was caused when high tariffs on imported goods were combined with foreign loans and the attempt to export goods. This could not be sustained because the countries that were trading with the Americans could not afford to pay off the loans while at the same time struggling to deal with the challenge of exporting goods to the U.S under such high tariffs. The effect of these initial practices was the growth a wealthy class. The trouble with this rise that it was based on loans that could not be sustained. In a sense the Americans though their loans were financing their own local markets and depending on the the foreign governments to pay for these practices. 

A large amount of people began to believe in the illusion of wealth that had been created by few 'wealthy' people. The result was investment in over-valued stocks. The crash that followed had effects on interrelated areas of the economy where wealth was unevenly distributed, where agriculture has been 'abandoned in favor of other industries and in banks that had been under supervised. 

The U.S-The effect of war on an Economy (5)

The effects of war can be internal or external. 

The first effect if not watched can be the un-natural push for one means or method of generating revenue for the economy at the expense of all the others. Maybe this is part of the warning that was given by the Head of State (David Dwight Eisenhower) at the time when he warned the American to beware of the military industrial complex.

On the external front South Vietnam benefitted from the kind of growth that can be generated in a time of war. Industries driven by the need for weaponry and related sub-economies like transportation, infrastructure, communications. As a result one group of the populace benefitted and was able to achieve a high standard of living. Those closely related to the same group also benefitted but on the whole the country was struggling. 

These issues can be extended in peace time to countries that thrive in dictatorships where small groups of well connected individuals enjoy the limited resources in a given country while many others in the periphery suffer. 

The Asian Tigers. (6)

A few economies (Hong Kong, Taiwan, Singapore, South Korea) opened up by adopting market friendly practices. This caused a rise in investment by foreign investors. Massive drives toward construction and infrastructure then followed. But because many of these practices were not driven internally by policies aimed at arming people with knowledge and skills, growth and was soon followed by a collapse. Many of these major projects were not built for locals but for the foreigners and few locals who had had the benefit of an international Education sufficient enough to prepare them to run these institutions on behalf of the 

Larger foreign corporations to which they were subservient. 

The other effect was mentioned before under the subject of regional effects where one economy by virtue of its size influences the workings of other smaller economies in the area. This is the case with Japan and could be the case with China. Closer home bastions of stability such as Kenya could have detrimental effects in the region were they to suffer economically. It is no wander that there have been attempts to move new developments towards the restorations of the standard Gauge Railway have been moved in favor of a more stable looking Tanzanian route as opposed to the Kenyan one. 

The Technology Bubble. (7)

The most interesting note about this technology bubble is that the notable survivors of the fall are our current giants even of some of them are now floundering. On the local scene we wonder how long the talk about application development and mobile technology will last in Uganda as it begins to wane in the U.S and as many innovators throng into Europe. In addition to this, we can see how many economies (France) are beginning to question Foreign practices of tax evasion and clamping down on companies such as google. Perhaps one of the tools that will be responsible for part of this decline will be International law and international trading agreements which in a large part have managed to constrict the likes of Microsoft and Apple and have continued to mitigate between various other groups struggling to drive innovation while protecting trade marks and patents.  

(1) Microsoft Student 2008 Edition DVD and the specific section mentioned above was developed from the work of Tabb William K. 

(2) Microsoft Student 2008 DVD and are part of the contribution given by Weisser, Henry G. And Kashlansky, Mark. 

(3) "Black Friday" Microsoft Student 2008 DVD Redmond WA Microsoft Corporation.  

(4) "Black Tuesday" Microsoft Student 2008 DVD Redmond WA Microsoft Corporation.  McElvaine, Robert 'Great Depression of the United States'.

(5) Microsoft Corporation 2008. Encarta DVD. 

(6) Microsoft Corporation 2008. Encarta DVD. 

(7) Microsoft Corporation 2008. Encarta DVD. 

State of Play or State at Play:Politics and governance in present day Uganda-an overview.

The value of tribal groupings in the presence of fear.

The recent elections in Kenya demonstrate several things but one thing stood out. When various groups are allowed to act under fear, they will invariably vote or cluster around their own ethnicities. And so large swathes gathered and formed coalitions and won based on shear numbers. The few who chose to think beyond the lines of tribe were drowned out by the massive crowds and were forced instead to ponder and philosophize. 

The role of religion (main stream) in politics. 

We will continue to nurse our wounds from the precolonial period and perhaps even question our monarchs on the role of religion in their fall. Veiled in under the cloak of truth, we will continue to ponder how best to march into the future without essential military muscle or trade to back our claims to leadership. The marriage between state and religion had long stabilized and what was left for the western powers to take advantage of our natural inclination towards all things religious. For those in the west, there was a realization that their monarchs needed to yield some of the religious power that was already entrenched in the lives of their subjects. Without this type of union governance would be impossible. Rome expanded as a force militarily but was also growing religiously. In a sense the feet of clay were functioning fully with those of iron. 

The role of religion (non main stream) in politics.

Other groups that have remained rather silent but nonetheless relatively effective are those which are historical and regionally effective in the attempt to redefine religion and western-African influence. We speak here of the revival movement which is commonly referred to as bazikufu. An offshoot of the Catholic and Anglican movements which commands quite a following and has emerged with a sense of vigor and an ability to influence leadership in an overt manner. 

Geo-politics and governance.

Even if there are certain aspects of this description in the tribal discussion, geography too will plays an important role-especially when you factor in recent discoveries in minerals. But to larger extent though, regions that sit at the border also tend to present great challenges especially because there are often complex relationships that need management with other states and that must be played out at the borders. 

Local monarchs and their function in leadership. 

In the current game, most of the power seems to rest in western parts of Uganda and those who have emerged as challengers to the authority of the Kingdoms. This has not stopped or impeded the progress of other groups with similar interests in kingdom politics. To a larger extent many have fallen victim to the loyalties that often force families to coalesce around one another and to from mini-monarchies around themselves. 

The military and it's role. 

Recent operations in the military have resulted in a force that now to a great extent is closer to our most important resource and on the surface of it, can help manage monies,produce and implements. Uganda is rather strange because it presents very little difficulty in logistics especially the function that has to do with feeding large military groups and dealing with military rations. Moving machinery and men is a challenge, feeding them presents an even greater difficulty. Not here though, there is plenty of food from which wondering militias can benefit from. 

Managing foreign relationships.

Very few people can manage a rise to power without some form of support. Our neighbors here have had a role to play in the politics of our governance. Some tended to feel only a limited need to be involved until they were led to do so by acts of aggression. The man who seeks or govern must therefore identify these groups and seek to endear himself or herself to these groups. He must then find ways and resources (locally) to help feed the appetites for resources that fuel much of their operation. 

Behind every successful man....

Then there is the emotional side of politics. The hand the rocks the cradle. Managing a group of people who forget nothing and harbor a great deal of resentment can be challenge. How you deal with these issues will determine a lot about how you govern. Much of the frustration that is harbored by men stems from usurpations of their power that took place in households. Most men did not read the memo that was circulating amongst the women whose central call was that of liberation. Traditional male dominated (and culturally supported roles) structures were found wanting in an age when their counterparts (or subordinates) began to rake in hundreds of times more than than before.