Discussion Board Assignment Example | Topics and Well Written Essays - 500 words - 3

Discussion Board - Assignment Example Therefore instead of looking at their own interests, they should be looking at the interest and welfare of those that they serve. In this case, they are able to be examples just as the number one leader in Jesus Christ was (Maxwell, 2007). In this sense, leaders must purport to serve others first in order to be able to accomplish the goal as a whole group and not just as an individual person. They should forget about the leadership. This form of leadership is important in the sense that it encourages team effort. It makes those in the position to be led. It means that if one person was in a position to do the task alone, it could have been done. Thus being in a leadership position to gain all the praise rather than to serve the people is being in the leadership position for a gain and not to help others. If Jesus provided this example by washing the feet of his disciples, then other leaders should follow the same. Servant leadership helps others to lead by example. For this reason, it is important to rely on Jesus will and ways in relation to leadership as it is only through this way that leaders can become the best leaders. They will be able to do things for others and not think of themselves. The Bible shows people serving others eagerly and not just for their gain (1 Peter 5:2-4). Thus following Jesus means following the humble manner. Jesus was able to lead in humility, love, compassion and in fellowship with others. It is important to note that leadership is not a single sill but the collective teaching of what is in the Bible. Thus, for a leader to be effective, he must emulate good qualities to the best of their abilities. This can be done by copying Jesus (Iwuala,

Financial crisis 2007-2012 Essay Example | Topics and Well Written Essays - 1000 words

Financial crisis 2007-2012 - Essay Example The investments in the mortgage market in US were very lucrative as it offered high returns in short interval of time. More and more numbers of people considered the investments in US mortgage market as an instrument of short term gains. According to efficient market theory, the information flow from the market was such that it influenced not only the borrowers but also the lenders for purchase of housing properties (Harder, 2010, p.59). The policies of the US government also contributed to the flow of market information to the investors suggesting that the investments in the real estate and housing markets of US is likely to produce easy profits in a short span of time. The US government also made the ownership of houses for US citizens as a fundamental right. All these information flow from the markets influenced the investment decisions in the housing markets. Thus investments in the mortgage markets increased with instances of bank lending with open hands. On one hand when the ma rket information influenced the financial decisions, the underlying bubble of crisis was not noticed. Due to assumptions of the efficient market theory, the valuation of the underlying mortgages got overvalued. The banks provided finances for housing loans without adequate check on the credit parameters which led to the entry of huge borrowers who were not creditworthy (Carey and Stulz, 2007, p.44). The weight of bad loans started to increase when the borrowers defaulted in repayment of loans.... The US government also made the ownership of houses for US citizens as a fundamental right. All these information flow from the markets influenced the investment decisions in the housing markets. Thus investments in the mortgage markets increased with instances of bank lending with open hands. On one hand when the market information influenced the financial decisions, the underlying bubble of crisis was not noticed. Due to assumptions of the efficient market theory, the valuation of the underlying mortgages got overvalued. The banks provided finances for housing loans without adequate check on the credit parameters which led to the entry of huge borrowers who were not creditworthy (Carey and  Stulz, 2007, p.44). The weight of bad loans started to increase when the borrowers defaulted in repayment of loans. The valuation of the mortgages fell which were accepted as underlying securities at the time of financing the loans. This led to erosion of value of the company and the sharehold ers which eventually led to financial crisis of 2007-2012. The underlying causes of financial crisis were not reflected in the information flow to the investors that led to bad investments (Palan, 2007, p.25). This establishes the redundancy of efficient markets in explaining the financial decisions. Financial theories and models This part of the study will evaluate several aspects of Efficient Market Hypothesis and Random market Hypothesis. Efficient Market Hypothesis Efficient Market hypothesis is also known as joint hypothesis problem. It declares that the financial market is efficient. According to this hypothesis, an individual cannot