McDonald's & Economics Week 6
Robert Cohn
Regent University
Government spending has had a great impact on Mcdonald's on an international impact. It has affected revenue, profit, employment, and interest rates on individually owned and international Mcdonald's locations. If government spending from the federal reserve increases, so does the sales of products. Due to the increase in sales, this is a positive outcome of the federal reserve spending money. The spending can also affect Mcdonald's in more positive ways if they wish. If they focused on Mcdonald's as a company and helping them they could, “The government can involve all the spending on the macroeconomy by spending on education and proving training to the labor class to improve their productivity and performance (M.mcdonalds.co.uk, 2017). If the government takes initiatives they can train and educate the employees of McDonald’s for their betterment and improved work performance.”
By the government spending this money in certain ways, they benefit as well. The government spends money in the economy, that gets past from business to business, hand to hand, and ultimately helps control issues like inflation.
Sources:
https://circlebizz.com/economics/government-spending-impact-on-business/
Hey Robert,
Such interesting thoughts. Google tells me that Mcdonalds produces over 23 billion dollars annually for the economy. That is nothing to wink at!
However, I am not sure if Mcdonalds net effect on the economy is positive. When you think of the cost of Medicare, hospitalizations, and debatably underpaid work - Mcdonalds (and other fast food companies like them) might be hurting the American people more than helping. The founder once quipped that they were in the "real estate business" and not burgers - when you multiply the number of locations they have around the globe, you realize they are also leaving a pretty sizable carbon footprint. At least, this is what some critics would say. I wonder how you feel?
I enjoyed reading your post from this week's discussion. I agree spending definitely has a impact on McDonalds. When people where effected by loss of employment, we noticed that we saw less people spending money out. The economy is effected greatly in the fast food market when there is a drastic decrease in finances. the bible states that the wealth is laid up for the just and the unjust, which also tells me that sometimes we will fill the negative impact as a whole when things go wrong Nationally in our country.
Cited Source Bible Gateway, www.biblegateway.com/versions/New- International-Version-NIV-Bible/ Wright, N.T., translator. The Kingdom New Testament: A Contemporary Translation. 1st ed., Harper One, 2011.
Great job, I enjoy your post, Robert! Thank you for your post! I agree with you when you said that spending will help the economy (Khanna, 2018, p. 1). Immoral and unethical companies can mislead the buyer in an array of different ways such as misleading product information, unfair competition, mistreatment of employees, manipulating accounts, and bribery. “The Creation narrative teaches that, while God is the source of all material resources, he has condescended to entrust their preservation and development to humanity” (Mills, 2020, p. 1). It is our jobs as followers of Christ to determine where we will spend and or invest our money. It is our moral and ethical obligation to make sure any investments and spending take place in locations that mirror our Christian values, ethics, and morals. “And whatever you do, whether in word or deed, do it all in the name of the Lord Jesus, giving thanks to God the Father through him” (Colossians 3:17, NIV).
I thoroughly enjoyed reading your post this week. Thank you.
References
BibleGateway. (n.d.). Retrieved May 23, 2020, from https://www.biblegateway.com/passage/?
search=Colossians+3%3A17&versioNIV
Cowen, T., & Tabarrok, A. (2018). Modern Principles of Economics (Fourth). New York, NY:
Worth.
Khanna, M. (2018, July 25). 5 Extremely Common but Very Distasteful Unethical Business
Practices. Retrieved April 23, 2020, from
https://www.smallbusinessbonfire.com/unethical-business-practices/
Hello Robert! Thank you for your post! I do agree that spending definitely will help the economy. I know that if our country holds back on spending out of fear, it can ultimately damage the economy and possibly out right throw it into a recession. So, I guess one can say money is meant to be spent. This is why I believe the government is so eager to throw money our way to help 'stimulate' the economy. Without it, it can throw our country into chaos. I was fascinated to learn that the government really wants money to be circulating and loaned out. According to Cowen & Tabarrock (2021), banks want to be able to loan money rather than keep it in reserves so they can create a profit. (p. 736). It is almost as if our government has a built in wealth system. Those who 'tap in' can really benefit from it.
Reference:
Cowen, T., & Tabarrock, A. (2021). Modern Principles of Economics, 5th Ed. New York: Worth Publishers