The portfolio optimization theory by Markowitz

Table of Contents Introduction Boom and bust economy Normal economy Markowitz’s portfolio optimization theory Conclusion References Introduction A boom economy cycle refers to the period within which consumers have a high demand for products and those who provide the products make large sales that have high profit margins (Goldstein and Lardy 2004). A bust economy on the other hand refers to duration during which there is reduced levels of demand and supply and slow economic growth (Goldstein and Lardy 2004). A normal economy is one in which there is no marked acute market spirals. There is stability and economic activities are slower than they are in a boom economy.Advertising We will write a custom essay sample on The portfolio optimization theory by Markowitz specifically for you for only $16.05 $11/page Learn More According to Gibson (2008), asset allocation policy refers to manner in which investors place value on assets in long-term mix so as to show balance between returns and risk taken. This is of great importance to investors who seek to increase potential for returns while reducing chances of loses. Markowitz portfolio optimization theory indicates a method of allocating wealth in a way that incorporates the expectations on returns as well as preferences of investors for the amount of risk they want to take (Bai et al. 2007). Through the use of different alternatives in investment, investors can attain higher levels of profits while at the same time, distributing their investment risk and thus maintaining minimum risk for anticipated returns. The concepts for this are expressed in mathematical formulations. Markowitz modern theory has been in practice for over half a century guiding the principles of asset investment (Bai et al. 2007). Boom and bust economy The boom and bust economies are similar in some aspects. One of the effects of boom economy is that this type of economy does not necessarily stay stagnant and is liable to changes that might not be explained by normal market movement (Alpanda 2007). Booms increase the returns on investment because of a flourishing economy. By using Markowitz’s optimization theory an investor may increase the return and yet take a short minimal risk. However, in long-term investment, the risk would increase as the boom period turns to be bust. According Bai et al. (2007), investors do not necessarily invest according to the logic of mathematical calculations. Some times investors trust their feelings about stock or bonds and may choose to ignore the use of tools to indicate safer investments or investment that may yield greater returns. A bust economy like a boom economy does not necessarily stay stagnant and is liable to changes that might also not be explained by normal market movement. In a bust economy therefore investors would be led to make investment that may yield very little margin of returns. The prices of stock reduce during this per iod which is also marked by unemployment and less market confidence. As a result, less investment is made and investors often try to avoid losses by withdrawing their investment.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More As a consequence, this worsens the economic bust. Still, even during this time investment can be made. With greater risk, returns are usually higher. Markowitz’s optimization theory treats risk in upward volatility as negative. However, that may not be viewed the same by investors since it is only a marker of risk taken and not loss which investors try to avoid. Greater risk in any case may yet yield greater profits. According to Bai et al. (2007), Markowitz’s optimization theory model in most cases is not intuitive. As a result, its estimates do not reflect the reality in the market. This may both lead to unexpected returns or to higher risk taken than had been desired. Although this can turn out to be favorable (greater returns with the increased risk), it can also lead to less returns with less risk taken that had been anticipated. For this reason, Michaud (1989) cites markowitz’s optimization theory as having potential to mislead. According to Michaud (1989), Markowitz’s optimization theory in addition does not factor in asset valuation. This hampers its ability to effectively predict market reactions and the real value of an investment. For that reason, it is hard to predict the movements in the market which are not always effective. During a bust or boom economy, this is important as it leads to better choices of the investments to be included in the portfolio. According to Gibson (2008), an efficient portfolio is the one that maximizes the returns paired with regards to a certain volatility degree. During a boom economy, returns are high as stock prices rise and the confidence is also high. It is during this ti me that asset investment should be increased in order to maximize returns. There is less risk during a boom period when it is at its peak or early stages. However, as the boom economy progresses, it is marked by inflation, reduction in stock prices and greater risk in investment. Unemployment and lower confidence marks this period as it slowly unwinds. Another important part of investment is the ability to use macroeconomics factors in order to anticipate returns. There is more to a market than just the assets and their investment potential. People’s reactions can greatly affect the outcome of investment over time. Markowitz’s optimization theory additionally takes the duration of an investment singularly whereas in reality, returns tend to be correlated. This can make it a weak determinant of market movement and as such as an indicator of returns and risk. Nonetheless, as a consequence, risk is often minimized than it should be if correlation is depended upon. It is f or this reason that Markowitz’s optimization theory can be helpful in measuring risk irrespective of correlation between past investment periods and new investment period.Advertising We will write a custom essay sample on The portfolio optimization theory by Markowitz specifically for you for only $16.05 $11/page Learn More During a boom economy, economists encourage investment and asset allocation to be reviewed. According to Goldstein and Lardy (2004), during a boom economy there is a forward momentum that propels people to invest as they feel certain that the current situation will prevail, at least in time for them to receive returns. As a result, the economy is accelerated which in turn brings about an end to the boom after some time (Goldstein and Lardy 2004). In an examination of China economy that has been moving towards a boom period in late 1990s and early 2000, Goldstein and lardy (2004), state that the economists call for a slowing do wn of the economy to avoid the sharp turn in economy. The slowing is particularly targeted at banks and investment institutions (Goldstein and lardy 2004). The result of a boom economy is often the case as has been seen in China according to Goldstein and Lardy (2004), where investment becomes unstable. In order to avoid a collapse of the investment, measures have to be taken through macroeconomics to ensure that investment and economy pace is well maintained and adequately balanced. An examination of China’s asset allocation indicate that every time the boom in China rises above 30% it falls again in about four years to lower than 30% (Goldstein and lardy 2004). Despite theories used, these trends persist and have come to be associated with China’s economic history. Michaud (1989) states that in cases like these, Markowitz’s optimization theory does not offer optimum portfolios but is instead inadequate to offer meaningful portfolios that will survive the bust economy following a boom economy. The failure of Markowitz’s optimization theory to correspond to its theory according to Bau, Liu and Wong (2007) has been largely attributed to indicate that optimum returns are as a result of large returns from a numerous stocks. This is contrary to what Markowitz’s optimum theory proposes. It is this stocks that provide optimum returns and not smaller portfolios. According to Michaud (1989), the bases for Markowitz’s optimization theory which is returns and risk are prone to errors in estimation. This lead to Markowitz’s optimization theory to favor investment that presents bigger returns while indicating little variance (Michaud 1989). In essence, however, the covariance matrix is complex and changes may exceed expectation due to margin of error. In a study by Weiwei (2007), Chinese investment by firms was examined between 1993 and 2004. The results found were that during the bust economy, companies reduced their capit al so as to secure assets investment. Still there was considerable similarity between the sensitivity to sales and to asset investment. A somehow similar study was conducted by Alpanda (2007) on Japanese market and the effect of macroeconomics on asset prices.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Alpanda (2007) noted that there were crashes in stock and land prices for the period of 1980-1990. Alpanda (2007), study revealed how assets prices were determined by government policy and productivity growth. The government policies led to cycles that maintained the fall in asset prices due to taxation. However as the economy continued to slow down, the prices stabilized and people were once more able to invest despite the macroeconomics variables witnessed. Normal economy A normal economy is regarded as falling between a boom and bust economy. This economy is marked by moderate prices in stock without surges as witnessed during a boom economy or drops as witnessed during a bust economy. A normal economy can change at any time with economic growth and give way to a boom economy. Asset allocation at this time correlates more with Markowitz’s optimization theory and it is during this time that Markowitz’s optimization theory calculations could be most dependable. This i s because according to Michaud (1989), at its peak, this period presents stability in market without sharp changes in market confidence. Growth indicated by a growing gross domestic product (GDP) is generally steady and as a result, it is easier to calculate the expected returns and risks. However, as the normal economy progresses to a boom economy, there is marked growth and asset allocation can be adjusted to reflect the market changes in investment potential. Markowitz’s portfolio optimization theory According to Gibson (2008), asset allocation is determined by client’s individual tolerance of risk. The efficient frontier although ideal may still not present levels of volatility than all clients can handle despite the maximization of returns (Gibson 2007). As a result, Markowitz’s optimization theory can be used to calculate the returns particular to a client. According to Gibson (2008), however, historical data does not always help to make proper estimations for making returns and reducing risk. This is because variations occur and become part of the input that is computed in the calculations during asset allocation. Past returns can be adequately used to make sound expectation of returns in the future for an investment (Gibson 2008). Gibson (2008) states that the returns from stock though unexpected may sometimes exceed those of safer options like government treasury bills. This is what happened in the period 1978-1987 in America. The stocks which had showed limited returns out performed the treasury bills that had been expected to lead in returns (Gibson 2008). Thus, it is advocated that for Markowitz’s optimization theory to really make better estimates, longer historical relationships should be drawn upon (Gibson 2008). According to Choi (2006), it is important in asset allocation to invest in non-related assets. This offers a much better opportunity to subsidize risk while maintaining returns. Investment that readily show t heir performance like mutual funds are also ideal as investors can gauge them and make better investment that will satisfy their level of desired returns and risk tolerance (Choi 2006). Choi (2006), states that diversification remains important in asset investment as in every quarter, asset allocation speaks to around 93% total variations. In addition, between 75% to 98% total variation can be explained by it (Choi 2006). It is because of this impact that diversification of portfolio is important in ensuring that asset allocation is well primed. According to Goldstein and Lardy, as has been noticed in China, a boom unwinding can last longer in large economies. As a result, there is an extended period in the last stages of a boom. This increases the time period within which returns can still be high. However, since investment is already on a downward spiral it increase risk in new investments. According to Markowitz’s optimization theory, this time may be harder to predict as the market movements are unpredictable. In this kind of economic situation, Markowitz’s optimization theory model has received criticism as it does not make use of factors which could increase its accuracy in predicting returns and risks that will be actualized in the market. According to Michaud (1989), Markowitz’s optimization theory needs to be modernized to minimize its limitations. There has been a push towards improving Markowitz’s optimization theory by the use of what is now called modern Markowitz’s optimization theory. According to Goldstein and Lardy (2004), this can give better estimates that will relate to the market trends witnessed in the global business. Conclusion Markowitz’s optimization theory model has been in use and has guided the way asset allocation was conducted since 1950s. However, there have been increased efforts to make it more reliable in the current economy which have been less predictable. Global business and invest ment further complicates the use of Markowitz’ optimization theory as there are factors which make the market different in different markets. The tools used in one market may prove unreliable in another foreign market. In addition, emerging markets may not behave as might be expected. It is for this reason that more diligence has to be used in accurately determining the level of risks and expected returns. References Alpanda, S., 2007. The boom-bust cycle in Japanese asset prices. Web. Available At: https://mpra.ub.uni-muenchen.de/5895/1/MPRA_paper_5895.pdf  . Bai, Z. Liu, H and Wong, W., 2007. Making Markowitz’s portfolio optimization theory  practically useful. Web. Web. Choi, D., 2006. Cases for asset allocation. Journal of Business and Economics  Research, 4 (9), pp. 17-24. Gibson, R. C., 2008. Asset allocation: balancing financial risk. New York, NY: McGraw-Hill, Inc. Goldstein, M and Lardy, N. R., 2004. What kind of landing for Chinese economy?  Institute for International Economics, 4 (7), pp. 1-10. Michaud, R. O. 1989. The Markowitz optimization enigma: is ‘optimized’ optional?  Financial Analysts Journal, 45 (1), pp. 31-42. Weiwei, Y., 2007. Does macro economy have any effect on firm investment cash flow sensitivity? Frontiers of Economics in China, 2 (3), pp. 388-403. This essay on The portfolio optimization theory by Markowitz was written and submitted by user Prism to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Manson Family Member Lynette Squeaky Fromme

Manson Family Member Lynette Squeaky Fromme Lynette Squeaky Fromme Lynette Squeaky Fromme became the voice of the  cult leader, Charlie Manson when he was sent to prison. After Manson was sentenced to life in prison, Fromme continued to devote her life to him. To prove her devotion to Charlie, she aimed a gun at President Ford, for which she is now serving a life sentence. In 2009, she was released on parole. Unlike most other former Manson family members, it is said that she has remained loyal to Charlie. Frommes Childhood Years Lynette Alice Squeaky Fromme was born in Santa Monica, California on October 22, 1948, to Helen and William Fromme. Her mother was a homemaker and her father worked as an aeronautical engineer. Lynette was the oldest of three children and was one of the star performers in a childrens dance troop called the Westchester Lariats. The troop was so talented that they performed around the country and appeared on the Lawrence Welk show and at the White House. Fromme Leaves Home During Lyns junior high school years she was a member of the Athenian Honor Society and the Girls Athletic Club. Her home life, however, was miserable. Her tyrannical father often berated her for minor things. In high school, Lyn became rebellious and began drinking and taking drugs. After barely graduating, she left home and moved in and out with different people. Her father put a halt to her gypsy lifestyle and insisted that she return home. She moved back and attended El Camino Junior College. Fromme Meets Charlie Manson After a ferocious argument with her father over the definition of a word, Lyn packed her bags and left home for the final time. She ended up at Venice Beach where she soon met Charlie Manson. The two talked at length and Lyn found Charlie captivating as he spoke of his beliefs and his feelings about life. The intellectual connection between the two was strong and when Manson invited Lyn to join him and Mary Brunner to travel the country, Lyn quickly agreed. Fromme and George Spahn As the Manson family grew, Lyn seemed to hold an elite spot in the Manson hierarchy. When the family moved onto the Spahn ranch, Charlie assigned Lyn to the job of caring for 80-year-old, George Spahn who was blind and also the caretaker of the property. Lyns name eventually changed to Squeaky because of the sound she would make when George Spahn would run his fingers up her legs. It was rumored that Squeaky took care of all of Spahns needs including those of a sexual nature. Squeaky Becomes The Head of the Family In October 1969, the Manson family was arrested for auto theft and Squeaky was rounded up with the rest of the gang. By this time, some of the group members had participated in the infamous murders at the home of actress Sharon Tate and the murders of the LaBianca couple. Squeaky had no direct involvement in the murders and was released from prison. With Manson in jail, Squeaky became the head of the family. She remained dedicated to Manson, branding her forehead with the infamous X. Squeaky is Arrested Numerous Times The authorities did not like Squeaky or any of the Manson family for that matter. Squeaky and others she directed were placed under arrest numerous times, often because of their actions during the Tate-LaBianca trial. Fromme was arrested on charges including contempt of court, trespassing, loitering, attempted murder, and lacing a hamburger given to ex-family member Barbara Hoyt with an overdose of LSD. The Ever Devout Squeaky In March of 1971, Manson and his co-defendants were sentenced to death, later changed to a life sentence. Squeaky moved to San Francisco when Manson was transferred to San Quentin, but prison officials never allowed her to visit him. When Manson was moved to Folsom Prison, Squeaky followed and lived in a home in Stockton, CA with Nancy Pitman, two ex-cons, and James and Lauren Willett. Prosecutor Bugliosi believed the Willetts were responsible for the death of defense lawyer, Ronald Hughes. International Peoples Court of Retribution On Nov. 1972, James and Lauren Willett were found dead and Squeaky and four others were arrested for the murders. After the four confessed to the crime, Squeaky was released and she moved to Sacramento. She and family member Sandra Good moved in together and began the International Peoples Court of Retribution, a fictitious organization used to scare corporate executives into believing that they were on a large terrorist organizations hit list because they polluted the environment. Order of the Rainbow Manson recruited the girls as nuns for his new religion called the Order of the Rainbow. As nuns, Squeaky and Good were forbidden to have sex, watch violent movies, or smoke and were required to dress in long hooded robes. Manson renamed Squeaky Red and her job was to save the Redwoods. Good was renamed Blue because of her blue eyes. Assassination Attempt Red was committed to making Manson proud of her environmental work, and when she found out that President Gerald Ford was coming to town, she stuck a .45 Colt automatic into a leg holster and headed out to Capital Park. As Ford came through the crowd, Squeaky Red Lynette Fromme pointed the gun at Ford and was immediately taken down by the Secret Service. She was charged with attempting to assassinate the President, although it was later disclosed that the gun she carried did not have bullets in the firing chamber. Sentenced to Life in Prison As was the Manson way, Fromme represented herself at her trial but refused to present testimony that was relevant to the case and instead used it as a platform to speak about the environment. Judge Thomas McBride ultimately removed her from the courtroom. At the end of the trial, Fromme hurled an apple at U.S. Attorney Dwayne Keyes head because he had not turned over exculpatory evidence. Lynette Fromme was found guilty and sentenced to life in prison. A Less Than Model Prisoner Frommes prison days have not been without incident. At a prison in Pleasanton California, it was reported that she brought the claw end of a hammer down on the head of Julienne Busic, a Croatian Nationalist who was imprisoned for her involvement in a 1976 airline hijacking. In December 1987, she escaped from prison in order to see Manson who she heard was dying of cancer. She was quickly caught and returned to prison. She served until 2009 when she was released on parole. See Also: The Manson Family Photo Album Source:Desert Shadows by Bob MurphyHelter Skelter by Vincent Bugliosi and Curt GentryThe Trial of Charles Manson by Bradley Steffens

Leadership & the Role of Managers Essay Example | Topics and Well Written Essays - 500 words

Leadership & the Role of Managers - Essay Example 4. She is an innovator. I have observed, on more than one occasion a creative and innovative solution is required to solve day to day issues. It is not just application of technology or application of mind but more than that. Innovate in her own small but effective way. 5. She is an entrepreneur. The ideas and opinions innovated or solutions worked out for the day to day issues are implemented boldly. This requires an entrepreneurial skill that comprises of boldness in action and clarity in thought. 1. She delays or procrastinates decisions. Where she is not sure instead hunting around and finding a solution immediately, she invariably drags the decision until it is clear to her by itself or somebody else clears it. 2. She has no time for new technologies happening else where in the world. There are developments happening else where and better methods adopted by various people all over the place. This she is not able to identify and apply since she finds time a rare specimen to study and gather the knowledge required. This would weaken her further with passage of time. 3. Her approach towards people management is one of intuition and personal.

Neil v. Biggers Essay Example | Topics and Well Written Essays - 500 words

Neil v. Biggers - Essay Example This ruling based on the show up identification brought about the precedence of making a ruling. The other precedence brought about by this case was due to the fact that the writ for habeas corpus in such a case cannot be cannot be accepted by a federal court. This is because of the affirmance according to the U.S.C 2244 (c). This therefore means that even if the case is appealed, the judgment of made by the lower courts still stands and no further action can be taken (Ingram 2011). This was the case when Biggers appealed the ruling of the case in the Supreme Court. Even though the Neil v. Biggers was ruled in favor of the show up identification process even though it was done over seven months after the assault had taken place, conflict of ideas were raised. This has led to development of more criteria which should be considered before judging an individual based on merely identification by an eyewitness. These criteria are proved by a psychologist employed to do so by the court. They look at several things like the time that has elapsed between the time the assault takes place and the identification process. This is meant to ensure that the memory of the plaintiff is still fresh and hence no wrong identification. Another guideline involves the accuracy of the description made earlier. This is done to ensure that there is no discrepancy whatsoever that may lead to the wrong person being incriminated and the assailant to walk free. All this is done before any ruling on the case is done and it ensures that the witness is really sure of what they are reporting before the court or in front of a jury. The other guideline criteria are on opportunity to view the assailant. This will include the physical features of the assailant like height, weight, skin complexion among other physical traits that will make it easy to identify the individual whether in a line up or

Evaluation of E-Learning Program

Evaluation of E-Learning Program Chapter one Introduction Nowadays, higher education is experiencing big challenges driven by many emerging trends, among which is the introduction of the means of online learning. Accordingly, many universities all over the world are taking different moves to cope with the new requirements; some universities were established as purely online learning providers, other conventional universities launched new online programs, and some introduced online learning programmes to enhance some of their already existing programs. E-Learning redefines the teaching/learning processes and the overall learning environment. It changed the old university system to a new set of practices by introducing significant changes in the roles of its main key players; learners, faculty members, and the institution as an entity (Mendenhall, 2001). The change which e-learning brings to higher education, accompanied by its vast spreading as an accepted learning delivery mode, has been always questioned by its components who tie this type of learning to poor quality. Therefore, studying the different aspects of evaluating the quality of e-learning has been rising as an issue that is worth researching and enhancing (Kistan, 2005; Wirth, 2005). A big range of perspectives on what factors to address when evaluating the quality of e-learning has been developed. Nevertheless; most of those studies either addressed a few factors pertaining to a single aspect or dimension (Ally, 2004) or addressed multiple aspects but without looking at the e-learning institution comprehensively (Cohen and Ellis, 2004). In view of the lack of a holistic framework of factors to evaluate the quality of e-learning programs, the aim of this study is to hopefully contribute to the body of knowledge in this area, by developing a framework for the evaluation of quality in e-learning programs. Research objective: The main purpose of this study is to evaluate the quality of e-learning programs through investigating the related critical factors that have been identified by researchers and practitioners of this field. It also intends to examine the relevancy and importance of such frameworks within e-learning practise in Saudi Arabia. The study aims also at understanding how the key learners and faculty members differ in perceiving the importance of such factors on impacting on the quality of an e-learning program? Research Question: The research intends to answer in broad perspective the following questions as well: What are the factors which affect the quality of e-learning? In this question the researchers are trying to address the quality factors which affect the success of E-learning in Saudi Arabia based on 12 factors that have been addressed from the literature. How can we increase e-learning practice in Saudi Arabia? The second question to know is whats the best way to increase the number of E-learning practise in Saudi Arabia and what do learners think based on their experience. Dissertation structure: This dissertation includes six chapters in addition to its introduction. Below is a brief description of each: Chapter two; outlining the background information of the research to put the reader into the perspective of this study. The chapter includes a discussion of the emerging trends in higher education that have pushed for the introduction of e-learning and discusses broadly the quality issue in this type of learning. Chapter three; covers the literature review of e-learning, i.e. critical factors for evaluating the quality of e-learning programs. The chapter starts with identifying the distinctions between e-learning and traditional education, discusses in detail the definition of the Quality concept in higher education generally, and in specific e-learning. Chapter four; Cover the research methodology such as the process of data collection and analysis which will be used. Chapter Five; we will be describing and analysing the data and present the data gathered. Results of the analysis are then discussed. Chapter six; this chapter summarizes the study, lay out the conclusion and ends up with recommendations for future research. Bibliography Research Methodology: In this study the researcher will to collect his data by the quantitative method where a questionnaire will be designed based on the factors which have been discovered from the literature review and then will be sent to random group in Saudi Arabia. The Data later on will be analysed to show the result and the findings. Saudi Arabia Background: Saudi Arabia which is the birth place of Islam and home to Islams two holiest places, Mecca, and Medina, is located in the Middle East bordering the Arabian Gulf and the Red Sea. The kings official title is the Custodian of the Two Holy Mosques. The modern Saudi State was founded in 1932. It is a large Middle Eastern nation that ranks as one of the worlds leading producers of petroleum, and exports more oil than any other nation. The government is of a monarchy type and the monarch is both the chief of state and head of government, and administratively it is divided into 13 provinces, with the constitution governed according to Islamic Law. The countrys legal system is based on Sharia law and several secular codes have been introduced. Commercial disputes are handled by special committee. Saudi Arabia has an oil based economy with strong government controls over major economic activities. It possesses more than 20% of the worlds proven petroleum reserves. It not only ranks as the largest exporter of petroleum, but also plays a leading role in OPEC. The petroleum sector accounts for roughly 75% of budget revenues, 45% of GDP, and 90% of export earnings. It is believed that about 40% of GDP comes from the private sector and roughly 5.5 million foreign employees play an important role in the Saudi economy, particularly in the oil and service sectors. The researcher carried out this research in Saudi for the following reasons which are described in detail. The access: as the researcher is a Saudi national and has good access to the people in Saudi Arabia where he can collect more information and find a better response rate than carrying out research in any other place. The Language: The researcher is multi lingual as he can speak Arabic and English fluently, therefore he will not face any problem in collecting the data The Information: The researcher understands the situation in Saudi Arabia which enables good research as he will not spend too much time understanding the situation and its cultural factors. The Organisation of the Education System in KSA The education system in Saudi Arabia has five divisions. They are: kindergarten for children from three to six years old, elementary (6-11), intermediate (12-14), secondary level (15-18), and university level (typically 19-24, depending on the subjects studied, and the form of higher education). The secondary stage is the final phase of general education in the Kingdom. It is a three-year period, following on from the intermediate stage. Students are admitted to this stage if they have obtained the intermediate stage certificate. Normally students follow secondary stage education between the ages of 16 and 18 years. This stage is considered the most important period in the general education ladder because students who successfully complete this stage are eligible to join any higher education institution. The administration of the education system in the Kingdom of Saudi Arabia is highly centralised. All educational policies are subject to government control and supervision by the Supreme Council of Education. Textbooks and teaching tools are uniform throughout the Kingdom. The four principal authorities responsible for education in the Kingdom of Saudi Arabia are: the Ministry of Education; the General Presidency for Girls Education; the Ministry of Higher Education; and the General Organisation of Technical Education and Vocational Training. Conclusion In this chapter we gave a sample overview about the research and the reasons for carrying out this research such as the lack of understanding in the practice of the E-learning program in Saudi Arabia. The research is trying to develop a good understanding of this and the information of other studies carried out in similar fields of the success factors of the quality of E-learning in Saudi Arabia. Also in this chapter we have described the dissertation structure and the research questions which are going to measure the main factors for the success of learning Quality. Finally the Saudi Background has been analysed to give the reader the information to understand where the study has been carried out and why. Chapter Two Introduction: The main objective of this chapter is to put forward the point of view of this study by laying out its background information. The chapter starts with presenting the emerging trends in higher education that have lead to the introduction of e-learning. It then continues by explaining the quality issue that is associated with this type of learning. The chapter also includes an overview of the background information about e-learning in Saudi Arabia. Education An overview: According to a recent publication by UNESCO, the education sector in general comprised of all of its components including higher education is experiencing new trends that exert on it new pressures and challenges (Hernes, 2003). Those trends are either classified under demography, such as the continuing growth and increase of population, particularly young populations, migration between countries, and increase of life expectancy, or are due to globalization where nations in general and learners in particular flow across borders without limits, allowing learners to have easy access to the best universities in the developed countries. Finally, perhaps the most important trend is knowledge growth accompanied by advanced information and communication technologies which have changed forever the way information is obtained, stored, used and displayed. Despite the divide between one country and another, or within the same country, more knowledge development opportunities have been created. Information technologies offer the possibility of modularization and customization of education through the use and re-use of learning objects focusing on learners, the possibility of engaging learners more than ever and therefore changing the role of the faculty from a teacher to a facilitator. In response to the challenges described above, the growth of the e-learning programme with its different modes in higher education is apparent and best reflected by the increasing number of e-colleges and e-universities, or the increasing number of higher education institutions that introduced e-learning programs and definitely by the growth of enrolment rate among learners. A study of e-learning in the United States in 2005, suggested that e-learning is penetrating the higher education institutions both in size and breadth and that e-learning is part of the mainstream of higher education. Figures of the study showed that sixty-five percent of schools offering graduate face-to-face courses also offer graduate courses online. Sixty-three percent of schools offering undergraduate face-to-face courses also offer undergraduate courses online. Among all schools offering face-to-face Masters degree programs, 44% also offer Masters programs online. Among all schools offering face-to-face Business degree programs, 43% also offer online Business programs. The same study showed an increase of around 20% of learners enrolment rate compared to the previous year (Allen and Seaman 2005). For different reasons, those statistics do not seem to be applicable to other countries. The USA is certainly the worlds largest provider of e-learning; however the market for e-learning and lifelong learning is also growing in Europe. Moreover, the Arab world, which represents 5 per cent of the worlds overall population, has entered the 21st century with a striking statistic, which shows that it has only 0.5 per cent of the worlds Internet users. This obviously impacts on the number of its e-learning initiatives and enrolled learners in such type of learning systems (UNDP, 2002). Using Computers in Learning: These days, computers have become an important educational tool kit. Many educational organizations and training centres rely on them to deliver information and learning knowledge. However, using computers in education has a long history and is deep-rooted in the field. The idea of using computers in training first appeared during World War 2, when the US military trained farmers to use weapons and other equipment via this systematic approach (Horton, 2000). The first real use of the computer in educational organizations was seen in the 1960s, when the University of Illinois together with the Data Corporation developed the PLATO system. PLATO is a system which enabled the learning and understanding of complex subjects. Apples Macintosh and Microsoft Windows operating system have since provided a standard platform on which programmers can develop training programs (Horton, 2000) Definition of E-learning: E-Learning refers to the employment of information and communication technologies to support the development and delivery of learning in academic and professional development institutions. E-Learning is used widely with other terms such as online learning, technology-mediated learning, web-based learning, computer-based learning, etc. Several definitions of e-learning have been developed reflecting the diversity in its application, used tools, and associated technologies. Whatever definition was used, the meaning of e-learning always contains two fundamental terms; Learning and Technology. In one way or another, all definitions of e-learning indicate the learning that takes place with the support of multimedia objects, the internet and technological applications as a delivery mode. One of the highly used definitions of e-learning is: â€Å"Education via the Internet, network or standalone computer; it refers to using electronic applications and processes to learn, where communication and content is delivered via the Internet, intranet/extranet, audio or videotape, TV and CD-ROM etc as appropriate (LTSN Generic Centre, 2004). A recent definition that uses the terminology of higher education institutions was laid out by Ally (2004) who defines e-learning as: The use of the Internet to access learning material; to interact with the content, instructor, and other learners; and to obtain support during the learning process, in order to acquire knowledge, to construct personal meaning, and to grow from the learning experience. According to Horton (2000) E-learning is a general phrase that has several definitions. However, the comprehensive definition that covers all aspects of e-learning is what Ruth and Richard offer: â€Å"E-learning is defined as instruction delivered on a computer by way of CD-ROM, Internet, or intranet with the following features: Includes content relevant to the learning objective. Uses instructional methods such as examples and practice to help learning. Uses media elements such as words and pictures to deliver the content and methods. Builds new knowledge and skills linked to individual learning goals or to improve organizational performance† Feature of E-learning: Eaton (2001) outlines that e-learning is characterized with the following features: Computer-mediated classrooms: faculty members and learners communicate through the computer, making face to face interaction less frequent. Separation in time between communications: communication between faculty members and learners can also be in asynchronous modes. Availability of services online: learners are not only provided with online learning experience but also with online services such as advising, registration, and library services. Distinction between e-Learning and Conventional Education: To understand the quality of e-learning requires a full understanding of how this type of learning differs from the conventional style of education and the changes it brings to higher education institutions. This section presents in a broad perspective the distinctions between e-learning and traditional education which shape higher education nowadays. Such distinctions will be taken into consideration when materializing a definition for quality in e-learning, and deciding what to be taken into consideration for evaluating the quality of this type of learning. The following areas were highly repeated in the literature as key distinctions between e-learning and traditional education: Educational Changes: McLaughlin and Oliver (2000) believe however that new technologies have a positive impact on the learning environment where more choices for forms of learning are provided to the faculty and learners. This includes the delivery and presentation of content in more flexible way and a variety of modes, the provision of interactivity, engagement, communication, feedback, and communication and collaboration tools. Weller (2000) sees that those types of new choices will facilitate the quick use of courses for easier customization and individualization resulting in more satisfied learners. Change in Faculty Roles: With the growing amount of knowledge and information every day, and the availability of a huge amount of content over the internet, faculty members will not continue to be seen as the source of knowledge, instead, according to Cashion and Palmieri (2002), faculty members are expected to direct learners where to find the most relevant knowledge and provide them with tools that teach them how to learn. Different Types of Learners: Oblinger and Oblinger (2005) have referred to young learners of today as the â€Å"Net Generation† who grew up being familiar with technological products and facilities. Internet access, computer and electronic games have been a daily activity of learners lives. Learners today have different expectations with respect to their learning styles; they prefer to experience things instead of reading or hearing about them, they expect immediate response to questions or actions, they appreciate interactivity and dialogue (Pashuk, 2005). Learners of today consider themselves as customers who demand to be served high quality services. They have consumers attitudes towards their academic program and any of its services (Wager, 2005). E-Learning institutions should be arranged to different types of learners, not only in their preferences and expectations but also in their level of variety. Change in Administrators Role: Administrators of an academic institution are usually referred to as staffs who are not participating in direct teaching or research work, their role is usually to assure that the institutions systems are running properly. Administrators are responsible to create, maintain and improve an environment that helps learners and faculty achieve their academic goals. Administrators of an e-learning institution can be involved in selecting, orienting, and preparing qualified faculty for courses, administer and manage the technological facilities at the institution, provide different types of faculty and learners support from the technical helpdesk; library services, financial aid, etc. Administrators can also be involved in the planning, quality assurance, and performance management of an activity to help the institution serve its learners better (Williams, 2003). Reliance on Infrastructure: Although e-Learning is basically about learning rather than about technology, the technological infrastructure of e-learning programs is still the critical and primary component of the education systems. E-Learning is characterized by its high independence on the validity, and reliability of its infrastructure, which has the role of facilitating and providing accessibility of the learning/teaching process and its support services between faculty members and learners (Pashuk, 2005). Institutional Demands: E-Learning institutions must set up their systems, policies and procedures to deal with issues like data security from both internal and external threats as well as copyrights from the learners, faculty and the institutional perspectives. Developing a high quality online course will not only require the intellectual contribution of faculty members, it rather involves other key team members from the same institution or from partnered institutions. Copyright issues are usually linked to revenue sharing models, especially when the course developers are contracted or granted any incentives (Mendenhall, 2001). Advantages of using E-learning Methods: As we know, traditional education requires effort, time and money that can lead to some difficulties in achieving the goals of learning. On the other hand, e-learning contributes to the spread of knowledge among people around the globe by easy, fast, and comfortable means, that helps people to attain their personal learning objectives. As a result, several educational organisations have proceeded along the e-learning approach to facilitate and improve the process of learning. In this section, several advantages of using an e-learning approach will be discussed. The author has divided the advantages into two main categories, advantages for learners, and advantages for instructors. Advantages for learners: According to Mayer (2003) he has concluded the common advantages that learners can gain from e-learning. The following list illustrates the main advantages for learners: â€Å"Learners can get the best instruction available â€Å" The wide popularity of the e-learning programme makes learning more flexible and gives freedom to learners to choose the best course available which fits their needs. â€Å"Training occurs just in time†. Web-based training is available 24 hours a day and 7 days a week which allows learners to study when they need it without any conditions or constraints. They do not need to wait for training sessions or a specified time to attend. â€Å"Learners set the pace and the schedule†. Learners can study at their own time; learners can take as many lessons as they need depending on their time and their plans. For example, some of them may wish to study full-time while others prefer to study a few hours a week. â€Å"Learners get better access to the instructor†. Communication with the instructor(s) through web based e-learning systems can be more effective than the traditional classroom approach. â€Å"Training adapts to the learners style† Many different learning styles can be incorporated within an e-learning environment, and the learner is able to adapt to a style or series of styles which they prefer and in the way they feel is most efficient. â€Å"Learners get immediate feedback† There is no need to wait while for the results of the exams, or games. The results can be obtained immediately. â€Å"Learners are treated more equally† A degree of anonymity is ensured, therefore personal characteristics are not considered. â€Å"Saves money and time for learners† Hidden costs are eliminated in that here are no travelling expenses, parking fees, etc. It is also efficient for time in that almost all the time is spent on learning and no time is wasted on travelling. â€Å" Produces positive side effects† Learners are constantly improving their other skills, such as general computer skills, various internet technologies and how they apply them in their jobs. Advantages for Instructors According to Mayer (2003) the most common advantages for instructors can gain from e-learning are: â€Å"Instructor can teach from anywhere† Instructors are able to teach the course from any location in the world. All they need is connection to the internet. â€Å"Instructors travel less† Almost all the time is spent on planning, producing and publishing courses with no time wasted on travelling to attend. â€Å"Course content can be dynamic† Instructors have the opportunity to deal with course matter at any time and in any place such as home, office etc. â€Å"Instructors save time† Time consumed in preparing the course document such as handouts, having course paper printed etc., are eliminated. Conclusion In this chapter we have covered a wide range on academic study in order to understand this subject, starting with the definition of E-learning and what do we mean by E-learning, followed by another important part which is what is the difference between E-learning and Conventional education. Also the researcher has included a brief explanation concerning the history of E-Learning and the feature of E-stand and its practise. Moreover, we can see that based on the literature there are many advantage of E-learning for the learner. For example, he can study from anywhere and at any time which is the flexibility of E-learning and also there is an advantage for the instructor as he can also teach from any place and with a flexible time schedule. Chapter three Introduction: In order to understand what constitutes quality of e-learning and the critical factors that should be addressed when evaluating this type of learning, an understanding of the distinctions between e-learning and traditional education needs to be attained. Therefore the first section of this chapter is dedicated to exploring what changes have been brought to higher education by e-learning. This chapter includes a literature review for to explore what has been recognized by the researchers and practitioners of this field as key factors that affect the quality of e-learning programs and institutions, and therefore should be used to evaluate this type of learning. A list of highly rated and most repeated factors was then generated and categorized to form the basis for a comprehensive framework intended for evaluating quality of e-learning programs which will be used later in the empirical research. Quality in E-learning: A range of perspectives on what defines quality in e-learning, and what should be considered when evaluating the quality of e-learning has been developed. Some studies have addressed few factors pertaining to a single aspect or dimension, and some have developed frameworks for evaluating the quality of e-learning addressing many aspects. During those studies many different approaches were adopted ranging from surveying learners, faculty members, designers and policy makers for their views, building models for effective e-learning, and constructing camps that contextualize and debate the e-learning environment (Brennan, 2001). Despite the important contribution of each of those studies, a complete framework for evaluating the quality of e-learning couldnt be found. Developed frameworks either addressed the quality of the e-learning program with an emphasis on the classroom environment only, or overlooked some important aspects, such as the impact of the institution on the quality of e-learning programs (Cashion and Palmieri, 2002). E-Learning has been addressed by governing or accrediting bodies which developed quality standards, principles or frameworks. Such standards however, were developed to help institutions plan for their e-learning programs (Cashion and Palmieri, 2002) or as a self assessment tool, therefore they usually address in general perspective quality standards, academic standards, standards of competence, service standards and organizational standards (Harvey, 1999). According to Vlasceanu et al (2004), the definition of quality in a higher education institution differs with the changes in: The interests and needs of various types of stakeholders The institutions own inputs, processes, outputs, purpose, mission and set of objectives The characteristics and attributes of the academic world The historical evolvement and development of higher education Revisiting the changes that e-learning brought to higher education especially to the role of its fundamental stakeholders, learners, educators and administrators, it perhaps becomes logical when we look for a definition of quality as a concept, to consider these stakeholders first. For this reason, a growing literature in the field of e-learning tends to define quality of e-learning programs as the degree to which principal stakeholdersà ¢Ã¢â€š ¬Ã… ¸ needs and expectations are consistently satisfied, referring to the learners and educators (Kistan, 2005). Success factors: Critical success factors (CSFs) are key areas of performance that are essential for the organisation to accomplish its mission (Rockart, 1979). Managers implicitly know and consider these key areas when they set goals and as they direct operational activities and tasks that are important to achieving goals. However, when these key areas of performance are made explicit, they provide a common point of reference for the entire organisation. Thus, any activity or initiative that the organisation undertakes must ensure consistently high performance in these key areas, otherwise the organisation may not be able to achieve its goals and consequently may fail to accomplish its mission. The term â€Å"critical success factor† has been adapted for many different uses. Familiarity with the term is often presented in the context of a project or an initiative. In this context, CSFs describe the underlying or guiding principles of an effort that must be regarded to ensure that it is succes sful. Clarity of course goals: Not surprisingly, there has been consensus in the literature that in order to assure the quality of the teaching/learning process, designing a course should start with explicit outcomes that identify the expectations from learners and the faculty from the very beginning. Learning outcomes which usually drive the effectiveness assessment process of courses should be also challenging and linked directly to the institutions overall goals and objectives. (Mayer et al 2000) faculty members have to adjust course content by selecting appropriate learning styles to achieve course goals and learners needs. Learner Interaction: Interaction is one of the most widely mentioned factors in the literature in relation to its impact on the quality of e-learning programs. (Moore, 2002) Interaction in the e-learning environment compensates for the loss of direct and face to face contact between learners and their faculty member or colleagues. Moore (1989) has identified three types of interaction: Interaction between faculty and learners, which is considered to be the most vital component that creates an effective learning environment upo

Conventionality vs Instinct in Daisy Miller and The Awakening Essay

Henry James's Daisy Miller and Kate Chopin's The Awakening were first published twenty-one years apart, the former in 1878 and the latter in 1899. Despite the gap of more than two decades, however, the two works evince a similarity of thought and intent that is immediately evident in their main themes. Both works display characters whose lives have been governed almost solely by the conventions of their respective societies. Furthermore, both works also attempt to demonstrate to the reader what happens when these conventions are challenged by individual instincts, which more often than not are in direct contradiction to the dictates of convention. The theme of conventionality versus instinct predominates both works. In Daisy Miller the theme is embodied in the character of Frederick Winterbourne, an ex-patriot American living in Europe. The Awakening's Edna Pontellier serves as the means through which Kate Chopin examines her version of this theme. Both Winterbourne and Edna are trapped in conventional worlds, and both are affected by a deep, instinctive need to break free of the bonds that restrain them so absolutely. The portrayal of this theme, however, is accomplished in different ways by Henry James and Kate Chopin. The main reason for this is that although the theme is common to both works, the protagonists' experience of it are not. Conventionality has entrapped them in different ways, and their instinctive reactions arise out of differing circumstances. Frederick Winterbourne, for example, comes to a realization of his internal struggle between conventionality and instinct not in and of himself, but because of Miss Daisy Miller. Winterbourne meets the young Miss Miller in Vevay, Switzerland, while v... ...life, a life where her instincts hold ultimate sway. Yet the theme in both works is similar in one way. For, while the weight of judgement does fall against the ex-patriots in Daisy Miller, we realize that they are not wholly in the wrong, for they do recognize Giovanelli for what he is. And although we praise Daisy for her refusal to submit to their conventions, we realize that she was not necessarily perfectly correct in ignoring all of the conventions. Similarly, we praise Edna for breaking free from the conventions that a patriarchal society forced upon her. In the end, however, she is forced to leave that world, since she cannot accept any of its conventions. The true theme in both Daisy Miller and The Awakening, then, is not that it is better to flout convention and live by instinct, but that life must necessarily be a synthesis of convention and instinct.

Innocent Bystander

Innocent Bystander In the novel â€Å"The Tortilla Curtain†, by T. C Boyle, it tells a story about two completely different families; one family who is quite wealthy and the other who had illegally crossed the border and is barely making ends meet. In the story, a young lady by the name of America is taken to California by her husband, only to be victimized. Although she may not be the only victim in the book, she has been through a great ordeal of pain and suffering. America is a victim of immigration, racism, the American dream, and bad luck.America has left Mexico, with her husband Candido, to start a better life for not only themselves, but there unborn child as well. Immigration and racism has been a big issue for them throughout the story, even more so with America. Within the first few days upon arrival they both find themselves cornered by a couple of boys. These boys find whatever belongings both America and Candido had and when they realize there is a female present they say â€Å"fucking beaners, rip it up, man. Destroy it† (Boyle 62).Migrating to California illegally was difficult because in a situation like this, there could have been nothing done to stop them. All America wanted was to find work to help support her family. The struggle bore on from â€Å"dawn till noon and she didn't get work† (Boyle 57). America has risked it all mad no matter how hard she tries she cannot seem to find work. America had left everything behind in search of this American dream she had played over and over in her head. She had been told, by her husband Candido, she was going to live a wonderful life and he had promised her nothing but the best.America didn't need the finer things in life, all she desired was â€Å"a house, a yard, maybe a TV and a car too† (Boyle 29). She didn't need too much to satisfy her, but being that America and Candido started from the bottom, it was more than what he had to offer. As they walk further into the lan d which they call their home America can't help but gaze â€Å"out on the grounded constellation on the valley floor, grid upon grid of lights and every one house, an apartment†¦ everyone the promise if a life that would never again be this hard† (Boyle 206).America is again dreaming about the life she hopes to live in California and can only hope for the best outcome unto which she plans to bring a baby into place she knows so little about. She hopes that this is the America had gone through so much from the beginning of the novel. Candido had â€Å"taken America from her father so they could have a better life†¦ -and now he couldn't out food in her mouth† (Boyle 26). She had left the family she had ever known to risk it all to start a new life, and only to go day by day wondering how long she will have to go until her next meal.She had been victimized of racism and immigration from the first few days upon arrival and then she had to suffer statvation? It ca me down to where America told Candido she could not live like that. America had finally found a job, working for Jose Navidad, cleaning statues that he had imported. Just when things were starting to turn around, she is violated and raped by the man who had hired her. She tries to put the past behind her and think positive for her unborn child. After the baby is born America realizes she must have caught something from being raped because her baby cannot see.Candido was left with a â€Å"violated wife and a blind baby† (Boyle 353), and at the end Americas first born child is taken away by the current of the water. From the beginning things are not looking too good for America. She had been hurt emotionally and physically with hardly any sign of their life getting better. She had given in to so many promises, none of which were ever kept. The impact that immigration, racism, the American dream, and back luck, had left America with nothing. She was just an innocent bystander tr ying to better her life.