Financial Markets and Instruments Essay Example | Topics and Well Written Essays - 250 words

Financial Markets and Instruments - Essay Example ovides a liquid secondary market for illiquid assets like home mortgages and financial debt instruments, increases credit availability and offers low credit costs through low financing costs. Regulation has also played a role in the resurgence of securitization. With regulations that require stronger capital and liquidity positions for financial companies in the US, the consumer has been protected from the malpractices of investment bankers (Gaschler, 668). These regulations have led to consumer confidence and in turn led to the resurgence of securitization. Credit enhancement is a strategy used by companies to either improve the terms of their outstanding debt or credit worthiness, or both. Through credit enhancement, the credit worthiness of a borrower is increased while the lender is given reassurance that there will be no default. Investment banks have made use of both internal and external credit enhancement strategies to boost securitization (Powell and Rogers, 77). External credit enhancement can be done through letter of credit, wrapped securities, cash collateral account and surety bonds while internal credit rating can be done through excess spread, over collateralization, reserve account and credit

Global Warming Assignment Example | Topics and Well Written Essays - 500 words

Global Warming - Assignment Example dence on rising sea level that threatens to displace people along seashores and submerge cities and resources along the shores is an example because residents of the area fear for their stakes and the resources have massive significance on economies. Evidence on rising temperatures and have informed the public of the need for a solution because of effects of temperature on agriculture and health. High temperatures do not favour agriculture, a major source of food, and is therefore a threat to food security and increases susceptibility to some infections. In addition, evidence on effects of global warming on biodiversity has also influenced public opinion on needs for a solution. States and local politicians such as governors and state legislators have been active in efforts towards addressing global warming. In California and many other states, strong legislations have been enacted for cleaner air and climate change, some stronger that federal laws on environmental issues. Schwarzenegger’s California State is the leading and states enjoy support from local leaders for environmentally friendly policies (Davoudi, Crawford and Mehmood 125, 126). Corporations and environmentalists have assumed different perspectives in efforts to address global warming issue. With leading efforts from environmental scientists, environmental groups have advocated for efforts to manage global warming through addressing its major causes and they have used evidence to create awareness and campaign for policy changes by government agencies and social responsibility by the corporate sector. Corporations have however opposed efforts to control global warming because of the adverse economic effects that they are likely to suffer. This is because industrial activities into greenhouse gas emissions are some of the major identified causes of global warming. In response to evidence and advocacy of environmental groups and legislative measures, corporations have argued that scientific evidence