Data Results and Discussion Essay Example | Topics and Well Written Essays - 2000 words

Data Results and Discussion - Essay Example Aside from the net cash receipts from the sale of tickets, there are the peripheral gains that should be attained in commercial activity of Olympic tourists, and the spending by both participants and spectators that were to spur local businesses. After the Olympics, further gains are to be had by the benefits of urban regeneration, which is the choice and development of depressed urban areas, making them the site, close to the site, of the Olympic infrastructure, so that after the Games, the newly developed property could be productively used either as new residential housing or new sites for commercial activity, thereby spurring growth. The Gross Domestic Product (GDP) is comprised of household consumption, government spending, investment and net trade (exports less imports). Of all the components of GDP, household consumption is the largest which typically comprises 60% of the economy. Government usually takes up 23%, and investment 15%. The fourth quarter in 2012, the consumption rose by 0.2% in real terms compared to the third quarter 2012. According to the government Economic Outlook, this rate of growth has been the slowest for consumption since the fourth quarter 2011. The graph shows, however, that there is a spike in government consumption for the fourth quarter 2012, which amounts to a 0.6% rise over the previous quarter. During the same time, exports receded by 1.5%, as did imports by 1.2%. The next graph depicts the fluctuation in gross fixed capital formation (GFCF). This refers to the investment in buildings and machinery. The fourth quarter in 2012 saw GFCF fell by 0.4%, which is 1.7% higher than the preceding year. For the same quarter, business investment decreased by 1.2%, which is significant because this indicator (business investment) is a significant component of GFCF. The fact that the rate of decrease in business investment is three times the rate of decrease of GFCF means that capital formation