Blowing that “Bubble” Review of Yoshikawa’s Japan’s Lost Decade Essay Example

Blowing that â€Å"Bubble†: Review of Yoshikawa’s Japan’s Lost Decade Essay With his onerous yet insightful analysis, Tokyo University Economics Professor Hiroshi Yoshikawa comprehensively explains in his book Japan’s Lost Decade (2001) how the worlds second largest economy has stagnated in the 1990s and the difficult choices Japan confronted at this crucial moment of transition. After the collapse of the bubble economy of the late 1980s, the 1990’s ushered in with a bleary phenomenon tagged as the Japan’s â€Å"lost decade†. Since this has been one of the most extraordinary economic phenomena, no other country has moved so quickly from the top to the bottom of the worlds economic growth league. What could be the possible causes of the long stagnation of Japan during the 1990s? Since the bubbles burst, economists have focused on the financial problems. A fall in asset prices allegedly had the negative wealth effect on household consumption. Through deterioration of collateral, it also hurt investment of small firms. And banks suffering from bad loans became reluctant to make new loans (kashi-shiburi), and further depressed investment. Three factors have been pointed out to be the main causes of the â€Å"lost decade†, namely, the structural decline in labor input growth (Yoshikawa described the labor market in the â€Å"ice age†), slowdown of the total factor productivity (TFP) growth and the scarcity of demand. We will write a custom essay sample on Blowing that â€Å"Bubble†: Review of Yoshikawa’s Japan’s Lost Decade specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Blowing that â€Å"Bubble†: Review of Yoshikawa’s Japan’s Lost Decade specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Blowing that â€Å"Bubble†: Review of Yoshikawa’s Japan’s Lost Decade specifically for you FOR ONLY $16.38 $13.9/page Hire Writer In addition, the characteristics of the early stages of Japan’s â€Å"bubble economy† saw the rise in land prices, the rates of increases differed greatly depending upon the land use (commercial, residential or industrial) and the location (major population centers such as Tokyo, or elsewhere). In other words, land prices were driven up because of increasingly brisk investment in land by companies, particularly by medium-sized and small non-manufacturing firms, due to rises in expected rates of returns from land in commercial areas in Tokyo, and partly because of erroneous measures implemented by the government, and were not closely related to interest rates. These companies bought up land using funds borrowed from banks, so after the collapse of the bubble economy, their financial state deteriorated drastically and the loans became bad debts. By providing an overview of the Japanese economy, Yoshikawa elaborated the extremely poor performance of corporate investment is the most important factor to explain the long stagnation of the Japanese economy during the 1990’s. Another question that we could draw out in the book is why investment stagnated during that time. The popular answer is a credit crunch caused by bad loans banks hold. There is a good consensus that the effect of credit crunch is much more serious on investment of small firms than that of large firms because large firms have better access to capital markets. On the other hand, much controversy is bared as two groups have differing views on the real causes of the â€Å"lost decade.† A group of scholars attributes the disappointing performance to a lack of effective demand and a liquidity trap caused by deflation, while another group points out that there are several important supply-side factors, which reduced Japan’s economic growth. For example, Japan’s aging population and a gradual reduction in the statutory work-week have contributed to a slowdown in the growth of labor input. Japan also experienced a decline in total factor productivity (TFP), which has important effects on economic growth not only because it reduces output growth by itself but also because it diminishes the rate of return to capital and discourages private investment (Motonishi and Yoshikawa, 1991). Although there are as many different estimates for Japan’s recent TFP growth as there are studies on this issue, most economists seem to agree that Japan’s TFP growth substantially declined in the 1990s. Probably the most popular explanation of Japan’s TFP growth slowdown is the â€Å"zombie† hypothesis. This states that in order to conceal their bad loans, Japanese banks have been keeping alive money-losing large borrowers by â€Å"evergreening† loans and discounting lending rates, although the chance that these borrowers will recover is slim (Caballero, Hoshi and Kashyap 2004). Because of the existence of zombie firms, the entry and growth of more productive firms are impeded and TFP growth slows down in industries infested by zombies (Ahearne and Shinada 2004). Japanese banks’ bad loans are concentrated in non-manufacturing sectors, such as real estate, construction, commerce, and services, since a major cause of the bad loans is the burst of the land price bubble in the early 1990s. The effects of the real factor on investment are much more significant than those of the financial factor. In particular, a fall of investment during 1992 to 1994 was basically caused by worsening real profitability; during the same period, financial factor was supportive. However, beginning 1997 amid recession, the credit crunch finally occurred. Based on Yoshikawa’s investment equations, the estimates of the effects of the credit crunch on investment as a whole. If the circumstances in Japan’s â€Å"lost decade† are viewed from the aspect of the macroeconomics, the parties selling land to companies at inflated prices during the bubble economy were households. Therefore, households realized huge capital gains by selling land to companies at high prices. A more detailed investigation into the capital gains made by households revealed that during the bubble economy a very limited number of households with high income realized huge capital gains, while most households saw little rise in their assets. The enormous gains realized by very few households were deposited and did not lead to effective demand. Overall, Yoshikawa showed in his book on how Japans financial bureaucrats blindly ignored the obvious collapse of the bubble for well over a year, simply because they had already decided to pursue fiscal austerity. Yoshikawa used a strict facts-based approach to convincingly demonstrate that the stagnation of the Japanese economy is due to an exceptionally long-term shortage of aggregate demand. This makes his book an indicator of the lessons learned during the time of Japan’s lost decade as their mistakes should be taken into perspective. As Japanese firms strive to sustain their competitive advantage in their superior ability, the lost decade must just be a thing of the past.

Free Essays on Analyze Harper, ‘Bury Me In A Free Land’

France Harper was never a slave herself. However, been born in Baltimore, Maryland, a well-known â€Å"slave state† then, she was hugely influenced by the leftover impact from slavery, the continuously discrimination regarding the racism, sexism and political issues and luckily, by her well-educated uncle, William Watkins. So that she was able to express her interest in radical politics and religions freely and devote to lofty ideas. â€Å"Bury Me in a Free Land† was published in 1864 the same year when Harper’s husband, Fenton Harper died. I can’t be sure if this poem was directly written for him, but it was indeed a sentiment from all the black people at that time. I believe the title â€Å"Free Land† doesn’t necessarily refer to a geographical location, but a place where is slavery-free, racism-free and sexism-equally treated, and definitely not a place like Baltimore where black men and woman could never spiritually get away from what had taken place in the past. The freedom Harper was longing for through this poem was represented both as a physical condition and spiritual achievement. These sentences such as â€Å"†¦the tread of a coffle-gang to the shambles led†¦Ã¢â‚¬  â€Å" †¦The lash drinking her blood at each fearful gash†¦Ã¢â‚¬  â€Å"†¦the bay of a bloodhound seizing his human prey; †¦the captive plead in vain, as they bound, afresh, his galling chain†¦Ã¢â‚¬  as well as â€Å"†¦the young girl girls from their mother’s arms, bartered and sold for their youthful charms†¦Ã¢â‚¬  strongly suggested the hard evidence from physical abuses which were against humane system. And to me, it also implied to those unbearable, and horrified pains that black people had been suffered centuries ago till then. In addition to that, from this sentence said â€Å" I would sleep†¦ where bloated Might can rob no man of his dearest right†¦Ã¢â‚¬  I feel like she wasn’t only referri ng to the â€Å"slavery† itself in the past, but also a present situation in... Free Essays on Analyze Harper, ‘Bury Me In A Free Land’ Free Essays on Analyze Harper, ‘Bury Me In A Free Land’ France Harper was never a slave herself. However, been born in Baltimore, Maryland, a well-known â€Å"slave state† then, she was hugely influenced by the leftover impact from slavery, the continuously discrimination regarding the racism, sexism and political issues and luckily, by her well-educated uncle, William Watkins. So that she was able to express her interest in radical politics and religions freely and devote to lofty ideas. â€Å"Bury Me in a Free Land† was published in 1864 the same year when Harper’s husband, Fenton Harper died. I can’t be sure if this poem was directly written for him, but it was indeed a sentiment from all the black people at that time. I believe the title â€Å"Free Land† doesn’t necessarily refer to a geographical location, but a place where is slavery-free, racism-free and sexism-equally treated, and definitely not a place like Baltimore where black men and woman could never spiritually get away from what had taken place in the past. The freedom Harper was longing for through this poem was represented both as a physical condition and spiritual achievement. These sentences such as â€Å"†¦the tread of a coffle-gang to the shambles led†¦Ã¢â‚¬  â€Å" †¦The lash drinking her blood at each fearful gash†¦Ã¢â‚¬  â€Å"†¦the bay of a bloodhound seizing his human prey; †¦the captive plead in vain, as they bound, afresh, his galling chain†¦Ã¢â‚¬  as well as â€Å"†¦the young girl girls from their mother’s arms, bartered and sold for their youthful charms†¦Ã¢â‚¬  strongly suggested the hard evidence from physical abuses which were against humane system. And to me, it also implied to those unbearable, and horrified pains that black people had been suffered centuries ago till then. In addition to that, from this sentence said â€Å" I would sleep†¦ where bloated Might can rob no man of his dearest right†¦Ã¢â‚¬  I feel like she wasn’t only referri ng to the â€Å"slavery† itself in the past, but also a present situation in...

Contemporary Social Policy for Young Children in the UK Research Paper

Contemporary Social Policy for Young Children in the UK - Research Paper Example Some of the policies are fashioned specifically for groups in the society: the elderly, the children, the adults, the disabled, and similar other social and age groupings in terms of services like social housing, education, health, and social works (Alcock, Payne, and Sullivan, 2004). Social policies for children experiencing poor, abusive, or abandoned conditions have also been conceptualized. Most of these policies have been planned or set-up as a means to protect and secure the welfare of these children. These policies shall now be analyzed and evaluated in this paper. Particular focus shall be given to policies which relate to child poverty, child abuse, and looked after children. This paper is being conducted in the hope of establishing a clear and comprehensive understanding of the condition of children and the policies being set forth to protect and secure their welfare. Discussion In general, the UK has adopted the following international policies as set forth by the UN Conve ntion on the Rights of the Child to care for the welfare of children. Article 27 sets forth that states have the responsibility of supporting the right of each child to â€Å"a standard of living adequate for the child’s physical, mental, spiritual, moral, and social development† (UNCRC, 1990).   Article 26 also sets forth that the government must protect the child’s right to benefit from social security, social insurance, and it should take the necessary precautions to achieve the full realization of such right (UNCRC, 1990).  

Course work 3 ( how the Marketing Communications Mix ) Essay

Course work 3 ( how the Marketing Communications Mix ) - Essay Example Moreover, Versace use their website as the advertising medium. They run separate advertising campaign on their website for fashion accessories and clothing, for both men and women. Versace also brings out its own magazine which keeps their customers informed of the latest trends in the fashion industry. They use their social responsibility efforts in advertising the brand. However, they do not spend money on advertising through the television. Understanding the importance of marketing, the owner tied up with a photographer to bring out the essence of his clothing in all advertisements (GLBTQ, 2002). Direct sales They reach out to the fashion conscious customer directly through Twitter where discussions on fabric, its quality and performance are openly discussed and suggestions/feedback invited. They have already segmented their target customers and know how to reach them. They have also created a string visible profile on the social networking sites and they have also ensured people know where and how to find them on the various networks. As people get connected they exchange view/opinions about the Versace products and this is how they achieve direct sales. The purpose of social media itself is to connect with people and not people connecting with brands. Sales promotions To build confidence among the customers, they offer 30-day money back guarantee (FragranceX, 2011).

Where Fashion Inspiration Comes From Cultural Studies Essay

Where Fashion Inspiration Comes From Cultural Studies Essay In the words of Coco Chanel, Fashion is about what is happening. Fashion designers always use the idea of inspiration is on the street. Consumers themselves especially the young ones, are very inventive and inquisitive about clothing and designers look to this for inspiration and innovation when creating new ideas. One typical fashion initiated many years ago by the young and ordinary people off the street, are jeans, now every designer has their own signature version. Trends and the latest looks follow todays shifting society. Sports events like the Olympics and what is happening in the media, movies and music also reflect fashion. Famous celebrities are an excellent opportunity to promote new looks and influence ideas. The runways mirror what is happening in the world and fashion designers use this to create their work. In the fashion world they call it the bubble-up-effect, which could be another reason to why fashion appears to have a similar look or theme, especially if all designers are tuning into the spirit of the current times for inspiration. Carl Jungs theory about the collective unconscious which studied peoples minds and showed that it is inevitable in todays ever growing society for individuals to reflect and think the same ideas, at the same time. Is this not a consideration to designers when accusing other people of copying and plagiarising their work, that instead these designs, are original in their own right, especially when all designers are looking at the world around them, to influence their work. Clothes are about dressing a human being and the proportions of the human body are split into three blocks. The head, the trunk, which runs from the shoulders to the pubis and finally the extremities, which include two arms and two legs (Martin,2009,pg73). Apparel has to fit around this shape, so it could be argued that designs will take on similar looks to others, as no dress would be made to fit a three armed person. Fashion forcasting within the industry has become big business and plays a huge part when informing designers and their team, of what is deemed to be the newest fashion themes and colours for the following season. Agencies such as Nelly Rodi based in Paris have over 30 trend forecasters who travel all over the world gathering photographs, illustrations and fabric swatches for inspiration for their trend-books. Each season this agency produces separate trend books incuding knitwear, colours, prints and ready-to-wear to be sent to their clients which include Mango, HM, Givenchy amongst other high profiled prà ªt a porter designers (Seivewright, 2007,pg 82/83). There are lots of these agencies around including Style-Vision, Trendspotter, Informat who all do exactly the same job. However, an online service called Worth Global Style Network created in 1998 is the leading online trend-analysis and research service, which in a click of the mouse provides creative and business intelligence for the apparel, style, design and retail industries. (wgsn,online). This appears to be the quickest means to get the latest information to designers quotes Roger Tredre, the WGSNs editor-in-chief especially with the ever changing nature of fashion, speed is of the essence (Seivewright, 2007,pg 86). It is extremly difficult to speak to a designer and ask them were they get their inspiration from, as nobody wants to give away their sources and of course, nobody would ever admit to using other peoples ideas. However, according to a New York based fashion designer designers do look to other designers for inspiration (see appendix 1). However the word homage always appears to be an influential tool in designing. This could be either an old iconic fashion designer, such as the late Christian Dior who inspired collections for Vivienne Westwood, with his new look of the late 1940s and also paintings from French Rococo artist Jean-Antoine Watteau. Vivienne Westwood, in an interview for the Victoria and Albert Museum, spoke about how Christian Dior had inspired her through his designs, one being the long black fitted wool new look dress. This is a form of tribute and homage to a designer, as instead of stealing his original ideas and innovation, she has celebrated him for influencing her work, as she was a teenager growing up when this magical look was around and women were starting to dress more glamorous. Today Vivienne Westwood finds her inspiration from the past especially in the VAs collections of fashion, furniture and paintings. (vam,2004,online) However, in the case of Muiccia Prada homage and inspiration is purchasing a jacket in an expensive Paris vintage store called Didier Ludot and the next season this identical Dior jacket is in the new Prada collection. No different in design to the one bought previously from Paris. This surely is not homage rather design theft. Topshop or any other high street store would not get away with this stolen innovation, especially if it was a near identical to a influential top end designer such as Prada or Chloe. Fashion designers have always looked back through the archives of history for inspiration. (learcenter,2005,online) From a recent email from a designer who works for Ralph Lauren in New York and who has previously worked for Abercrombie and Fitch, spoke not only about designers looking to other designers for inspiration, but the importance of vintage garments. They also try to copy these vintage designs in more modern fabrics and put their own spin on them. Another idea was looking again at what had previously sold well in the past and updating this in new fabrics and different colours. Another creative and fun idea is using snippets from bought and vintage samples, and merging different ideas together a collar from one style with a pocket of another (Appendix 1). In a Marc Jacobs documentary filmed in 2006,for his 2007 shows, Marc Jacobs who designs for Louis Vuitton as well as under his own label, shows where he gets his inspiration from. He uses walls covered in vintage fashion magazines, posters, flowers and old tortured fabrics to gather new innovation, using snippets from all these sources to enthuse new ideas. Again he looks through the archives of their successful designs and updates previous lines. Bricolage, is a french term used in the creative process of fashion and according to many is one of the primary dynamics. This term simply means reinventing something new by changing elements, mixing and bringing the clothing back to life by inputting new fabrics and stitch ideas. This is evident amongst all designers including Marc Jacobs An old mauve jumper becomes a lovely updated cashmere jumper (youtube,2006,online). With so much dress history available today shown in costume museums and vintage Vogues, as well as other influential magazines, it comes as no surprise that designers will always look to the past or other cultures for inspiration. Vivienne Westwood has in many collections used direct references to historical silhouettes and styles, such as famous paintings. Here is a picture of the Watteau evening dress created by Vivienne Westwood for a collection in 1996. This style is influenced from a Watteau painting of his cousins captured in image 1. It is very obvious in the shape and fullness of this dress that this artist, has inspired her with this creation. Victorian interpretations have always been a source of inspiration for other designers including DG who used the Victorian sleeves to inspire him, when creating a different look to a contemporary denim jacket. Fashion frequently looks to shape and materials of the past, as a form inspiration for new styles, as the workmanship and attention to detail is rarely achievable nowadays. According to Sue Jenkyn Jones who wrote the book Fashion Design, it also triggers a nostalgia for bygone lifestyles and the emotional aspect of clothing is an important element of design (Jones,2005,pg24). New technologies in fabrics and prints have always been seen as a form of inspiration. Designers will often select materials, gaining and enthusing ideas from its look, feel and aesthetics,  before designing a garment. This will then generate ideas from the silhouette and shape the fabric forms. Moodboards and visuals of a theme or idea will then start to be created selecting colours, historical references, lace, trims and eventually, ideas will start to present themselves. Fabric trade shows have a huge impact on the fashion world, however Premiere Vision which is held in Paris, every September, is the largest and the most influential of these events. Over 800 fabric manufacturers, as well as a huge host of designers and buyers attend these shows. Apparently it is not unusual to see designers like Christian Lacroix at these events, looking for inspiration as well as new specialized weaves (Tungate,2005,pg81/82). It is easy to see now were inspiration comes from, however when inspiration gets mistaken for imitation, how fair is this. Resources are put at risk. Designers invest time as well as huge amounts of money sourcing inspiration, testing fabrics, drafting dress patterns and checking that their creations are fresh, innovative and of a quality for there discerning customer. Who pays the price or is it only fair that every fashionista gets a chance to own a piece of luxury.

The Status of Women in the Work Force After the Fall of Communism in Ea

The Status of Women in the Work Force After the Fall of Communism in Eastern Europe The fall of communism in Eastern Europe and the former Soviet Union marked the end of an era in which official ideology and state policy often masked the reality of citizens' lives. This contradiction was particularly acute for women, a group that the Soviet model of communism was intended to emancipate (Basu, 1995; Bystydzienski, 1992; Corrin, 1992; Einhorn, 1993; Millarand and Wolchik, 1994; Nelson and Chowdhury, 1994; Rueshchemeyer, 1994). Under the guise of Marxist-Leninist ideology, women were accorded an equal right to work and to participate in the building of socialism. The Soviet model, which was imposed to a greater or lesser extent on all of the Eastern European countries, was meant to embody this precept. In order to mobilize women into the work force, the party-state provided numerous social programs--free day care, subsidized school supplies and clothing, guaranteed maternity leave, and nearly full employment. Women, however, were hardly emancipated through these programs. They were concentrated, with a few notable exceptions, in a "pink collar ghetto" of low wage and low prestige jobs and often given employment well below their educational qualifications. Moreover, the "emancipation" accorded them by state officials resulted in an extreme "double burden" (Basu, 1995; Bystydzienski, 1992; Corrin, 1992; Einhorn, 1993; Millarand and Wolchik, 1994; Nelson and Chowdhury, 1994; Rueschemeyer, 1994). They were expected to perform both paid and domestic labor, fulfilling most (or all) of the household and parenting duties without modern conveniences. These superwomen worked full-time jobs and then came home to prepare meals and clean... ... Lijphart, Arend. "Comparative Politics and the Comparative Method." American Political Science Review. 65 (1971): 682-693. Millarand, James and Wolchik, Sharon, eds. The Social Legacy of Communism. Cambridge: Cambridge University Press, 1994. Nelson, Barbara and Chowdhury, Najma, eds. Women and Politics Worldwide. New Haven: Yale University Press, 1994. Przeworski, Adam and (?) Teune. The Logic of Comparative Social Inquiry. New York: John Wiley Sons, 1970. Rueschemeyer, Marilyn, ed. Women in the Politics of Post-communist Eastern Europe. New York: M.E. Sharpe, Inc.,1994 Scheppele, Kim Lane. "Women's Rights in Eastern Europe." East European Constitutional Review. Winter 1995. Slay, Ben. "Rapid versus Gradual Economic Transition" Economics. August 1994. United Nations Statistical Yearbook, 39th Edition. 1994. "Statistical Abstract" 1994.

Property, Plant And Equipment Essay

Items of property, plant, and equipment should be recognised as assets when it is probable that: [IAS 16.7] it is probable that the future economic benefits associated with the asset will flow to the entity, and the cost of the asset can be measured reliably. This recognition principle is applied to all property, plant, and equipment costs at the time they are incurred. These costs include costs incurred initially to acquire or construct an item of property, plant and equipment and costs incurred subsequently to add to, replace part of, or service it. IAS 16 does not prescribe the unit of measure for recognition – what constitutes an item of property, plant, and equipment. [IAS 16.9] Note, however, that if the cost model is used (see below) each part of an item of property, plant, and equipment with a cost that is significant in relation to the total cost of the item must be depreciated separately. [IAS 16.43] IAS 16 recognises that parts of some items of property, plant, and equipment may require replacement at regular intervals. The carrying amount of an item of property, plant, and equipment will include the cost of replacing the  part of such an item when that cost is incurred if the recognition criteria (future benefits and measurement reliability) are met. The carrying amount of those parts that are replaced is derecognised in accordance with the derecognition provisions of IAS 16.67-72. [IAS 16.13] Also, continued operation of an item of property, plant, and equipment (for example, an aircraft) may require regular major inspections for faults regardless of whether parts of the item are replaced. When each major inspection is performed, its cost is recognised in the carrying amount of the item of property, plant, and equipment as a replacement if the recognition criteria are satisfied. If necessary, the estimated cost of a future similar inspection may be used as an indication of what the cost of the existing inspection component was when the item was acquired or constructed. [IAS 16.14] Initial Measurement An item of property, plant and equipment should initially be recorded at cost. [IAS 16.15] Cost includes all costs necessary to bring the asset to working condition for its intended use. This would include not only its original purchase price but also costs of site preparation, delivery and handling, installation, related professional fees for architects and engineers, and the estimated cost of dismantling and removing the asset and restoring the site (see IAS 37, Provisions, Contingent Liabilities and Contingent Assets). [IAS 16.16-17] If payment for an item of property, plant, and equipment is deferred, interest at a market rate must be recognised or imputed. [IAS 16.23] If an asset is acquired in exchange for another asset (whether similar or dissimilar in nature), the cost will be measured at the fair value unless (a) the exchange transaction lacks commercial substance or (b) the fair value of neither the asset received nor the asset given up is reliably measurable. If the acquired item is not measured at fair value, its cost is measured at the carrying amount of the asset given up. [IAS 16.24] Measurement Subsequent to Initial Recognition IAS 16 permits two accounting models: Cost Model. The asset is carried at cost less accumulated depreciation and impairment. [IAS 16.30] Revaluation Model. The asset is carried at a revalued amount, being its fair value at the date of revaluation less  subsequent depreciation and impairment, provided that fair value can be measured reliably. [IAS 16.31] The Revaluation Model Under the revaluation model, revaluations should be carried out regularly, so that the carrying amount of an asset does not differ materially from its fair value at the balance sheet date. [IAS 16.31] If an item is revalued, the entire class of assets to which that asset belongs should be revalued. [IAS 16.36] Revalued assets are depreciated in the same way as under the cost model (see below). If a revaluation results in an increase in value, it should be credited to other comprehensive income and accumulated in equity under the heading â€Å"revaluation surplus† unless it represents the reversal of a revaluation decrease of the same asset previously recognised as an expense, in which case it should be recognised as income. [IAS 16.39] A decrease arising as a result of a revaluation should be recognised as an expense to the extent that it exceeds any amount previously credited to the revaluation surplus relating to the same asset. [IAS 16.40] When a revalued asset is disposed of, any revaluation surplus may be transferred directly to retained earnings, or it may be left in equity under the heading revaluation surplus. The transfer to retained earnings should not be made through the income statement (that is, no â€Å"recycling† through profit or loss). [IAS 16.41] Depreciation (Cost and Revaluation Models) For all depreciable assets: The depreciable amount (cost less residual value) should be allocated on a systematic basis over the asset’s useful life [IAS 16.50]. The residual value and the useful life of an asset should be reviewed at least at each financial year-end and, if expectations differ from previous estimates, any change is accounted for prospectively as a change in estimate under IAS 8. [IAS 16.51] The depreciation method used should reflect the pattern in which the asset’s economic benefits are consumed by the entity [IAS 16.60]; The depreciation method should be reviewed at least annually and, if the pattern of consumption of benefits has changed, the depreciation method should be changed prospectively as a change in estimate under IAS 8. [IAS 16.61] Depreciation should be charged to the income statement, unless it is included in the carrying amount of another asset [IAS 16.48]. Depreciation  begins when the asset is available for use and continues until the asset is derecognised, even if it is idle. [IAS 16.55] Recoverability of the Carrying Amount IAS 36 requires impairment testing and, if necessary, recognition for property, plant, and equipment. An item of property, plant, or equipment shall not be carried at more than recoverable amount. Recoverable amount is the higher of an asset’s fair value less costs to sell and its value in use. Any claim for compensation from third parties for impairment is included in profit or loss when the claim becomes receivable. [IAS 16.65] Derecogniton (Retirements and Disposals) An asset should be removed from the balance sheet on disposal or when it is withdrawn from use and no future economic benefits are expected from its disposal. The gain or loss on disposal is the difference between the proceeds and the carrying amount and should be recognised in the income statement. [IAS 16.67-71] If an entity rents some assets and then ceases to rent them, the assets should be transferred to inventories at their carrying amounts as they become held for sale in the ordinary course of business. [IAS 16.68A] Disclosure For each class of property, plant, and equipment, disclose: [IAS 16.73] basis for measuring carrying amount   depreciation method(s) used useful lives or depreciation rates gross carrying amount and accumulated depreciation and impairment losses reconciliation of the carrying amount at the beginning and the end of the period, showing: additions disposals acquisitions through business combinations revaluation increases or decreases impairment losses reversals of impairment losses depreciation net foreign exchange differences on translation other movements Also disclose: [IAS 16.74] restrictions on title expenditures to construct property, plant, and equipment during the period contractual commitments to acquire property, plant, and equipment compensation from third parties for items of property, plant, and equipment that were impaired, lost or given up that is included in profit or loss If property, plant, and equipment is stated at revalued amounts, certain additional disclosures are required: [IAS 16.77] the effective date of the revaluation whether an independent valuer was involved the methods and significant assumptions used in estimating fair values the extent to which fair values were determined directly by reference to observable prices in an active market or recent market transactions on arm’s length terms or were estimated using other valuation techniques for each revalued class of property, the carrying amount that would have been recognised had the assets been carried under the cost model the revaluation surplus, including changes during the period and any restrictions on the distribution of the balance to shareholders