Business Investment & Infrastructure

Holidays Implications to the Kenyan Economy – Christmas Special

A Traveling Season – Roads leading to the villages and other Holiday destinations.
Holiday period is a season where we witness booming of various activities. Despite the hard economic times faced by the consumer, the Christmas season is a season of celebration, a time of coming and uniting with the family members in the rural and other areas. It’s in a such a time that the each and everyone makes effort despite the earnings to travel to their locations of choice.
A season where we witness a deviation from the norm of saving into increased spending. Now, considering the aggregate demand equation (Y=C+I+G+X-M), I can deductively conclude that in such a time we are gonna see massive economic booming. C, which is the consumer expenditure and is also the largest component of the equation increases at an increasing rate through out this period. We have most a times witnessed financial institutions placing adverts in the media to woo people into borrowing holiday funds. Therefore, this is the season of money in circulation, a period of increased transacting and as a result economic booming. Due to increases in the value of C, then the economy stands to grow as a result

Munene Erick
Munene is a top-notch and passionate economist who is confident in his ability to derive clarity, insights, and knowledge from data. He has a vast interest in the economics field. The courses he cares about include: Economic empowerment, poverty alleviation, Education, Environment and Community service. He holds a Bachelor of Economics and statistics of Kenyatta University with an on-going Master of Economics (Policy and Management) in the same institution.

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