Real-Life Percent

Real-Life Percent Example 

In Math Class, we are researching real-life percent or ratio and proportion examples such as articles. I chose the "Falling Prices Boost Gold Demand in India" by the Times of India newspaper. It talks about the price of the gold in India reducing. People are buying a lot of the gold because the prices have fallen. Retail buyers are a part of this shopping spree. Due to this the value of rupees against US dollars are going down fast. The gold shops were a huge part of the Indian Economy and due to the lowering of the cost of gold, the Indian Economy is going down. The demand for gold was much lower last year because of the RBI(Reserve Bank of India)'s restrictions. They had clamped down on the gold dealing considering the high CAD[Current Account Deficit] (the high amount of trading) that was taking place. The RBI had initiated the 80:20 scheme in August last year. That means 80% of the gold could be bought by the local people and 20% would go to trade. Shah, as noted in the article, says that people should take a long-term view [atleast 3 years] on gold since awhile later the prices would go up again.

Percents, ratios and proportion are an extensive part of this regulation. The RBI has initiated the 80:20 scheme in August last year. It is a ratio. 80 to 20 or 80/20. The locals are getting the larger amount of this as shown in the ratio. The 20% shows that trade has 4 times less gold than the locals. The current population of India [updated on November 2nd, 2014] is 1,261,850,000 and is now 17.5% of the world population. It's a lot. Even if some people don't buy the gold, others are and most people would. And if all them want to buy gold, the prices are going to reduce quite a bit perhaps lower for over three years. If you visit the Gold Rate, then you'll see that the rate of Gold in certain cities of India. Today the Indian Economy is $1 to 61.59 Indian Rupees.

Article Link: Falling Prices Boost Gold Demand in India

2013 Indian Rupees to US Dollars