Current Status of Gene Therapy Research

Current Status of Gene Therapy Research Genes, which are carried on chromosomes, are the basic physical and functional units of heredity. Genes are specific sequences of bases that encode instructions on how to make proteins. Although genes get a lot of attention, its the proteins that perform most life functions and even make up the majority of cellular structures. When genes are altered so that the encoded proteins are unable to carry out their normal functions, genetic disorders can result. Gene therapy is a technique for correcting defective genes responsible for disease development. Researchers may use one of several approaches for correcting faulty genes: A normal gene may be inserted into a nonspecific location within the genome to replace a nonfunctional gene. This approach is most common. An abnormal gene could be swapped for a normal gene through homologous recombination. The abnormal gene could be repaired through selective reverse mutation, which returns the gene to its normal function. The regulation (the degree to which a gene is turned on or off) of a particular gene could be altered. How does gene therapy work? In most gene therapy studies, a normal gene is inserted into the genome to replace an abnormal, disease-causing gene. A carrier molecule called a vector must be used to deliver the therapeutic gene to the patients target cells. Currently, the most common vector is a virus that has been genetically altered to carry normal human DNA. Viruses have evolved a way of encapsulating and delivering their genes to human cells in a pathogenic manner. Scientists have tried to take advantage of this capability and manipulate the virus genome to remove disease-causing genes and insert therapeutic genes. Target cells such as the patients liver or lung cells are infected with the viral vector. The vector then unloads its genetic material containing the therapeutic human gene into the target cell. The generation of a functional protein product from the therapeutic gene restores the target cell to a normal state. See adiagram  depicting this process. Some of the different types of viruses used as gene therapy vectors: Retroviruses   A class of viruses that can create double-stranded DNA copies of their RNA genomes. These copies of its genome can be integrated into the chromosomes of host cells. Human immunodeficiency virus (HIV) is a retrovirus. Adenoviruses   A class of viruses with double-stranded DNA genomes that cause respiratory, intestinal, and eye infections in humans. The virus that causes the common cold is an adenovirus. Adeno-associated viruses   A class of small, single-stranded DNA viruses that can insert their genetic material at a specific site on chromosome 19. Herpes simplex viruses   A class of double-stranded DNA viruses that infect a particular cell type, neurons. Herpes simplex virus type 1 is a common human pathogen that causes cold sores. Besides virus-mediated gene-delivery systems, there are several nonviral options for gene delivery. The simplest method is the direct introduction of therapeutic DNA into target cells. This approach is limited in its application because it can be used only with certain tissues and requires large amounts of DNA. Another nonviral approach involves the creation of an artificial lipid sphere with an aqueous core. This liposome, which carries the therapeutic DNA, is capable of passing the DNA through the target cells membrane. Therapeutic DNA also can get inside target cells by chemically linking the DNA to a molecule that will bind to special cell receptors. Once bound to these receptors, the therapeutic DNA constructs are engulfed by the cell membrane and passed into the interior of the target cell. This delivery system tends to be less effective than other options. Researchers also are experimenting with introducing a 47th (artificial human) chromosome into target cells. This chromosome would exist autonomously alongside the standard 46 not affecting their workings or causing any mutations. It would be a large vector capable of carrying substantial amounts of genetic code, and scientists anticipate that, because of its construction and autonomy, the bodys immune systems would not attack it. A problem with this potential method is the difficulty in delivering such a large molecule to the nucleus of a target cell. What is the current status of gene therapy research? The Food and Drug Administration (FDA) has not yet approved any human gene therapy product for sale. Current gene therapy is experimental and has not proven very successful in clinical trials. Little progress has been made since the first gene therapy clinical trial began in 1990. In 1999, gene therapy suffered a major setback with the death of 18-year-old Jesse Gelsinger. Jesse was participating in a gene therapy trial for ornithine transcarboxylase deficiency (OTCD). He died from multiple organ failures 4 days after starting the treatment. His death is believed to have been triggered by a severe immune response to the adenovirus carrier. Another major blow came in January 2003, when the FDA placed a temporary halt on all gene therapy trials using retroviral vectors in blood stem cells. FDA took this action after it learned that a second child treated in a French gene therapy trial had developed a leukemia-like condition. Both this child and another who had developed a similar condition in August 2002 had been successfully treated by gene therapy for X-linked severe combined immunodeficiency disease (X-SCID), also known as bubble baby syndrome. FDAs Biological Response Modifiers Advisory Committee (BRMAC) met at the end of February 2003 to discuss possible measures that could allow a number of retroviral gene therapy trials for treatment of life-threatening diseases to proceed with appropriate safeguards. In April of 2003 the FDA eased the ban on gene therapy trials using retroviral vectors in blood stem cells. What factors have kept gene therapy from becoming an effective treatment for genetic disease? Short-lived nature of gene therapy   Before gene therapy can become a permanent cure for any condition, the therapeutic DNA introduced into target cells must remain functional and the cells containing the therapeutic DNA must be long-lived and stable. Problems with integrating therapeutic DNA into the genome and the rapidly dividing nature of many cells prevent gene therapy from achieving any long-term benefits. Patients will have to undergo multiple rounds of gene therapy. Immune response   Anytime a foreign object is introduced into human tissues, the immune system is designed to attack the invader. The risk of stimulating the immune system in a way that reduces gene therapy effectiveness is always a potential risk. Furthermore, the immune systems enhanced response to invaders it has seen before makes it difficult for gene therapy to be repeated in patients. Problems with viral vectors   Viruses, while the carrier of choice in most gene therapy studies, present a variety of potential problems to the patient toxicity, immune and inflammatory responses, and gene control and targeting issues. In addition, there is always the fear that the viral vector, once inside the patient, may recover its ability to cause disease. Multigene disorders   Conditions or disorders that arise from mutations in a single gene are the best candidates for gene therapy. Unfortunately, some the most commonly occurring disorders, such as heart disease, high blood pressure, Alzheimers disease, arthritis, and diabetes, are caused by the combined effects of variations in many genes. Multigene or multifactorial disorders such as these would be especially difficult to treat effectively using gene therapy. For more information on different types of genetic disease, see  Genetic Disease Information. What are some recent developments in gene therapy research? Nanotechnology + gene therapy yields treatment to torpedo cancer. March, 2009. The School of Pharmacy in London is testing a treatment in mice, which delivers genes wrapped in nanoparticles to cancer cells to target and destroy hard-to-reach cancer cells. Read  BBC article. Results of worlds first gene therapy for inherited blindness show sight improvement. 28 April 2008. UK researchers from the UCL Institute of Ophthalmology and Moorfields Eye Hospital NIHR Biomedical Research Centre have announced results from the worlds first clinical trial to test a revolutionary gene therapy treatment for a type of inherited blindness. The results, published today in the New England Journal of Medicine, show that the experimental treatment is safe and can improve sight. The findings are a landmark for gene therapy technology and could have a significant impact on future treatments for eye disease. Read  Press Release. Previous information on this trial (May 1, 2007): A team of British doctors from Moorfields Eye Hospital and University College in London conduct first human gene therapy trials to treat Lebers congenital amaurosis, a type of inherited childhood blindness caused by a single abnormal gene. The procedure has already been successful at restoring vision for dogs. This is the first trial to use gene therapy in an operation to treat blindness in humans. See  Doctors Test Gene Therapy to Treat Blindness  at www.reuters.com.   A combination of two tumor suppressing genes delivered in lipid-based nanoparticles drastically reduces the number and size of human lung cancer tumors in mice during trials conducted by researchers from The University of Texas M. D. Anderson Cancer Center and the University of Texas Southwestern Medical Center. See  Dual Gene Therapy Suppresses Lung Cancer in Preclinical Test  at www.newswise.com (January 11, 2007). Researchers at the National Cancer Institute (NCI), part of the National Institutes of Health, successfully reengineer immune cells, called lymphocytes, to target and attack cancer cells in patients with advanced metastatic melanoma. This is the first time that gene therapy is used to successfully treat cancer in humans. See  New Method of Gene Therapy Alters Immune Cells for Treatment of Advanced Melanoma  at www.cancer.gov (August 30, 2006).   Gene therapy is effectively used to treat two adult patients for a disease affecting nonlymphocytic white blood cells called myeloid cells. Myeloid disorders are common and include a variety of bone marrow failure syndromes, such as acute myeloid leukemia. The study is the first to show that gene therapy can cure diseases of the myeloid system. See  Gene Therapy Appears to Cure Myeloid Blood Diseases In Groundbreaking International Studyat www.cincinnatichildrens.org (March 31, 2006).   Gene Therapy cures deafness in guinea pigs. Each animal had been deafened by destruction of the hair cells in the cochlea that translate sound vibrations into nerve signals. A gene, called  Atoh1,  which stimulates the hair cells growth, was delivered to the cochlea by an adenovirus. The genes triggered re-growth of the hair cells and many of the animals regained up to 80% of their original hearing thresholds. This study, which many pave the way to human trials of the gene, is the first to show that gene therapy can repair deafness in animals. See  Gene Therapy is First Deafness Cure  at NewScientist.com (February 11, 2005). University of California, Los Angeles, research team gets genes into the brain using liposomes coated in a polymer call polyethylene glycol (PEG). The transfer of genes into the brain is a significant achievement because viral vectors are too big to get across the blood-brain barrier. This method has potential for treating Parkinsons disease. See  Undercover Genes Slip into the Brain  at NewScientist.com (March 20, 2003). RNA interference or gene silencing may be a new way to treat Huntingtons. Short pieces of double-stranded RNA (short, interfering RNAs or siRNAs) are used by cells to degrade RNA of a particular sequence. If a siRNA is designed to match the RNA copied from a faulty gene, then the abnormal protein product of that gene will not be produced. See  Gene Therapy May Switch off Huntingtons  at NewScientist.com (March 13, 2003). New gene therapy approach repairs errors in messenger RNA derived from defective genes. Technique has potential to treat the blood disorder thalassaemia, cystic fibrosis, and some cancers. See  Subtle Gene Therapy Tackles Blood Disorder  at NewScientist.com (October 11, 2002). Gene therapy for treating children with X-SCID (sever combined immunodeficiency) or the bubble boy disease is stopped in France when the treatment causes leukemia in one of the patients. See  Miracle Gene Therapy Trial Halted  at NewScientist.com (October 3, 2002). Researchers at Case Western Reserve University and Copernicus Therapeutics are able to create tiny liposomes 25 nanometers across that can carry therapeutic DNA through pores in the nuclear membrane. See  DNA Nanoballs Boost Gene Therapy  at NewScientist.com (May 12, 2002).   Sickle cell is successfully treated in mice. See  Murine Gene Therapy Corrects Symptoms of Sickle Cell Disease  from March 18, 2002, issue of  The Scientist. What are some of the ethical considerations for using gene therapy? Some Questions to Consider What is normal and what is a disability or disorder, and who decides?   Are disabilities diseases? Do they need to be cured or prevented?   Does searching for a cure demean the lives of individuals presently affected by disabilities?   Is somatic gene therapy (which is done in the adult cells of persons known to have the disease) more or less ethical than germline gene therapy (which is done in egg and sperm cells and prevents the trait from being passed on to further generations)? In cases of somatic gene therapy, the procedure may have to be repeated in future generations.   Preliminary attempts at gene therapy are exorbitantly expensive. Who will have access to these therapies? Who will pay for their use?

My Decision :: Essays Papers

My Decision As the three o'clock bell rang, a sense of excitement filled the air. I ran with my friends through the cluttered hallways and scurried onto the bus. The seats were filled with bouncing children preparing to go home. Many waved to their teachers as the buses departed. I had anticipated this moment for so long--I was officially a second grader. The last day of first grade had arrived, and I had the remainder of summer to enjoy and have fun. I couldn't wait to get home and begin my vacation. The bus finally rolled quietly around a corner and stopped at my house--the last stop. My mother was standing at the door waiting for me. She smiled and causally took my bag. I didn't even have to ask for permission to go to a friends house, my mom simply said to be home by dark. I walked only a short distance to where my friend, Maggie, was waiting. It seemed odd that we were such good friends. She was pretty and popular, and I was simple and somewhat shy. The differences however made a perfect match. The times of fun and laughter between us were countless. A majority of my summer was guaranteed to be spent running around with this close friend. Soon, however, darkness was drawing in, and I reluctantly said good-bye to my friend and headed for home. The porch light was the first thing I could see of my house. The light was such a brilliant white. I loved how it illuminated its surroundings. A sense of security overwhelmed me when I saw this light, for my mother always turned it on until I had safely returned home. I walked up the steps to the front door. When I stepped inside, I was bombarded with the wonderful aroma of a home-made meal. I could see my mother working in the kitchen. She looked up from her masterpiece and welcomed me home. "Did you have fun?" "Of course", I replied. "We made a lot of plans for the summer." "That's good." "Don't you want to know what we're going to do?" "Not really, I feel that you are old enough to make good judgments. As long as you use your head, are reasonable, and are being safe, I don't mind what you do." I looked at my mother with a blank stare for a moment. I was totally confused. "Do you mean that I can do anything that I want to?

Scientology Scam :: essays research papers

So, can you say anything good about Scientologists? Well, they are snazzy dressers. Oh and Tom Cruise is one! And the person who started scientology also wrote that sci-fi classic "Battlefield Earth". What a great movie... :-| OK let me go on the offensive now... Scientology is rather young. Beginning in 1953, during a coincidentally timed slump in Layfaette Ronald Hubbard's book sales. Originally a few "help centers" sprung up, taking the places of bookstores where for a nominal fee and the purchase of a copy of Dianetics, you could soon be feeling the effects of a new way to look at religion. Of course the timing is all coincidental right? BZZZZZZZZZZZZZZZ Wrong-O-Laserbrain! Take a look at this quote from a Sci-Fi convention in Newark, New Jersey: "Writing for a penny a word is ridiculous. If a man really wanted to make a million dollars, the best way to do it would be to start his own religion."Guess who said that? OK that was an easy one... Guess when he said it? March 1949. Oddly enough he hasn't mentioned this directly to any of his cul-- I mean, his congregation. Scientology bases itself on a belief that we are simply the living vessels for an alien soul. That's right. The alien soul is called the thetan. A human being can get in touch with his inner E.T. by achieving a level of clear (Scientology plays like an RPG, you get XP, you raise levels) It takes a lot of money to become clear, for reasons I have yet to discern, but Juliette Lewis apparently was able to do so, which leads me to believe it was indeed money that spurs the alien to the surface, and not intelligence. Now, let's take this further.... As many of you know, I'm not a religious man, however I would be remiss to use one of the fundamental pillars of Christianity to lend credence to a new religion I was trying to set up. Yep, that's right, Jesus was a Scientologist. According to L. Ron Hubbard, Jesus was an ordinary man, who went a shade above clear. This allowed his mortal body to produce what looked like miracles, although according to L.R.H. any scientologist can do this with enough training in the way of the thetan. I'm wondering why Scientologists aren't trying to bring more credibility to their religion if this is the case, hell, one or two of them could damn near end world hunger! Oh right, the thetan needs money to perform.

Charles Dickens, The Old Curiosity Shop :: Free Essays Online

Charles Dickens, The Old Curiosity Shop Charles Dickens 1841 novel The Old Curiosity Shop, entering its third century, mesmerizes readers with either heartfelt sentimentality to the plight of a homeless thirteen year-old girl, Nell Trent, and her aged Grandfather, as they wander the countryside of England, keeping one step ahead of their horrible dwarf nemesis, Daniel Quilp; or as a "crude sentimental" (Harris 137) journey down the path of individual weakness that lead to the death of them both. In Dickens day, a curiosity shop was an establishment where individuals would go to purchase precious or antique gifts, and it is in one of these shops that thirteen year-old Nell lived with her Grandfather. A short summary of the story is that the Grandfather has an addictive gambling problem, and gambles the money needed to run the shop away, all the while borrowing money from Daniel Quilp, a nasty goblin type figure of a man. The losses amount to the shop being taken over by Quilp, leaving Nell and the Grandfather fleeing to avoid him. They wander the English countryside amongst the throng of carnivals, sideshows, philanthropic souls who try to help them, and downtrodden people who try to exploit them. Their deaths, Nell’s especially, whose Dickens wrote of in a lingering, sentimental tone, are where the discussion of the book has been centered on for over a century-and-a-half. The Old Curiosity Shop began as a series of short stories in a publication Dickens created in 1840 called Master Humphrey’s Clock. With a weekly circulation of over 70,000 readers, Dickens was able to finance the work of The Old Curiosity Shop with the income made from Master Humphrey’s Clock. Emotionally, working under a strenuous monthly deadline proved to be straining on Dickens. In July of 1840, Dickens was telling his friend Lord Jeffrey, editor of The Edinbergh Review, that The Old Curiosity Shop "demands my constant attention" (Page 22,23), and by December of that year Dickens seemed to be on the edge of a mental collapse, telling Lord Jeffrey that the "anguish" of writing under the pressure was "unspeakable, the difficulty tremendous" (Page 30). The story was completed in early 1841 and Dickens began the painstaking steps in putting the short stories into a complete novel. One of the immediate obstacles Dickens encountered (actually his printers, Dickens was busy completing his next novel, Barnaby) was marrying the chapters together in proper sequence.

The Social Penetration Theory & the Uncertain Reduction Theory

Uncertainty reduction theory This theory comes to explain the uncertainty among people who communicate with each other and how different types of communication will help to reduce the uncertainty. As a starting point, the developers of this theory (Charles Berger and Richard Calabrese) stated that uncertainty is an unpleasant feeling, which people prefer to avoid as much as they can. Every person has been confronted with the feeling of uncertainty, rather if it was when arriving to new a destination or more commonly when meeting a new person.In order to reduce the unpleasant feeling, people tend to seek information about the uncertain and by that creating more comfortable feelings, and more predictable relationships in case of communication with other people. â€Å"Coping with uncertainty is a central issue in any face-to-face encounter, whether interactants are conscious of this fact or not† (Uncertainty Reduction Theory Then and Now. Charles R. Berger), but when the uncertai nty is reducing automatically the feeling of attraction (not only physically) start to emerge.In the heart of this theory, Berger and Calabrese connected uncertainty with seven concepts that are in the base of communication: verbal output, nonverbal warmth, information seeking, self-disclosure, reciprocity of disclosure, similarity, and liking. On top of that, they stated that communication reduces uncertainty, and motivation to come over the unpleasant feeling of uncertainty will occur in three situations, and in those situations people will be more likely to reduce their uncertainty level: †¢There are incentives to one of the sides (What this person can do for me? . †¢Expecting future interaction (New unfamiliar roommate). †¢Unexpected / unusual behavior from the other side There is also three basic ways in which people seeking information about another person: †¢Passive strategies – observing the other person, without him knowing he being watched. †¢Active strategies – usually will be done through asking third parties for information about the person you are interested in. †¢Interactive strategies – direct contact and connection with the other person.Sales & the Uncertainty reduction theory â€Å"There are at least two ways uncertainty is relevant to interpersonal communication processes. First, in the broad sense, uncertainty reduction is a vital concern for the conduct of almost any communicative transaction. Second, uncertainty reduction’s impact on interpersonal relationships can be looked at in a more narrow sense; that is, the role-played by uncertainty reduction in the prediction of specific relationship outcomes.The broader role of uncertainty reduction concerns the interaction process itself, whereas the narrow sense concerns the outcomes of the interaction† (Charles Berger). The interpersonal communication process is crucial for any sales person in any kind of industry no matter what kind of products / services he or she trying to promote or sell. The essence of building relationship is the uncertainty reduction theory as the two sides (more important for the sales person) trying to discover the person who stands in front of him.Definitely being able to help to the other person to know more about yourself (the salesperson point of view), will help in the purpose of reducing his uncertainty and uncomfortable feelings he deals with, while developing relationship with the salesperson. Assuming I am a salesperson, first thing in the process of building relationship (before the first contact with a customer) is to use the passive and active strategies in order to gather as much information I can about my customer.Form the moment the first meeting was conducted, I will use the interactive strategy as I wish my customer will know everything he want to know about me (or about the product / service I wish to promote),and by that making him feel more comfortable and not vulnerable. The purpose of using this theory expressed best in the course book â€Å"SELL†, It was mentioned that â€Å"The more the sales person knows, the easier it is to build trust and gain the confidence of the buyer. Buyers have certain expectations of the salesperson and the knowledge that he or she brings to the table†.This quote reflects best why a salesperson must use the uncertainty reduction theory in order to achieve his goals. As a salesperson, I should adjust my content and tactic toward my customer habits; this is another reason why it is important to use the three ways for gathering information according to the uncertainty reduction theory (Active, Passive and Interpersonal). The Social Penetration Theory This theory takes the theory of Berger and Calabrese one step deeper, as it xamines more deeply the interpersonal relationship / communication between two or more parties. The theory developed by Irwin Altman and Dalmas Taylor (1973), in which they st ated that as relationship develop, it become deeper and deeper, from non-intimate levels through to more personal levels. This method also called ‘Onion analogy’, as the intimacy grows and time pass by, more layers of the personality revealed to the other side, that is also the way social penetration is being made, through self disclosure.According to this theory, the disclosure goes through few stages: Orientation stage, exploratory affective stage, affective stage, stable stage and de-penetration stage. Each stage reflects the level of intimacy / level of familiarity with another person. Number of studies examined this theory, all agreed that development of relationship between people come together with development from knowing peripherals aspects of personality into deeper aspects. The theory of social penetration provides a framework for describing the development of interpersonal relationship. These behaviors include exchange of information, exchange of expressions of positive and negative affect, and mutual activities† (The development of interpersonal relationship: social penetration processes). The salesperson should be aware both to his personality, together with the customer personality, and to understand to which level of intimacy the customer is willing to reach / or to which level he want to get with the customer. Sales & The Social Penetration TheorySalespersons should understand the implications of the social penetration theory on the best side in order to create long term relationship between them (or the company they are represent) and their consumers. These days any business, no matter how big it is, wishes to create base of loyal customers who had good experience with the business directly or through the business sales force. From that reason, the business sales force has to be skilled in the aspect of interpersonal relationship. For example, a salesperson who skips the levels / stages of disclosure (according to theory) w ill fail in his purpose of ‘capturing the customer’.On top of that, his self-disclosure should be done precisely as well and he should not give to much information about himself or the product / service in the early stages of the relationship. â€Å"Most service marketers today recognize the importance of keeping customers and making them into better customers (Berry 1983). In marketing whole life insurance (and, perhaps, similar services), the sales-person's ability to affect the customer's commitment and dependency on the provider may be determined largely by the interpersonal relationship he or she establishes with the customer.Likewise, in service contexts characterized by continuous exchange activity and considerable purchase uncertainty, the long-term interests of the customer may be best served by initiating and maintaining enduring relationships with salespeople† (Relationship Quality in Services Selling: An Interpersonal Influence Perspective). As mentio ned in the quote above, establishing good interpersonal relationship between the salesperson and the customer is crucial for any business these days.Moreover, in order to create good brand name for the business, the salesperson must have the ability to answer all the expectations of the customer, and to be trustworthy while doing so. The key issue for salesperson when he implicate the social penetration theory is not to hurry thing too much, for instance he can’t be intimate with the customer at the early stages of the relationship. He should be peaceful, and should have the ability to give the customer the opportunity to disclose himself and not to push him into the corner and by that scare him away.

Economics Assignment

ECONOMICS ASSIGNMENT For a market of your choice, keep track of the spot or share price fluctuations during a period of at least two years. Prepare a report of approximately 3000 words, for each market, discussing in detail the multiple forces (interesting developments) responsible for the trends. Tuesday 24 May 2011 Table of Contents Executive Summary Executive Summary In analysing the consumer market, we have chosen the share prices of two JSE listed companies, namely SABMiller and Rainbow Chicken which belong to the beverages and food producer’s sub-sectors respectively. Our two-year analysis is for the period March 2009 to May 2011. We will explore how Rainbow Chicken fared relative to its nearest competitor – Astral Foods. SABMiller allowed us to expand our thinking and methodology as the company also has a dual-listing on the London Stock Exchange. Its three closest competitors Heineken, Anheuser-Busch InBev and Carlsberg Breweries have foreign listings. It stands to reason, therefore, that we begin our assignment with an overview of the global context in which both companies operated in the period under review. The aftermath of the recession and changes in global economic indicators like the ZAR:USD exchange rate and the price of Brent crude oil will be examined. What we found particularly interesting was the resilience of both company’s share prices in the challenging global economic climate. We mention the factors that insulated each share from the global downturn. We then turn our attention to South Africa’s economic environment and examine the extent to which the foregoing global factors impacted on South Africa’s macroeconomic policy landscape. The two variables that we pay particular attention to are the local repo and CPI rates. We address the extent to which changes to these local variables impacted on the share prices of SABMiller and Rainbow Chicken. As mentioned in the first paragraph, our analyses consider the industries in which both companies operate by comparing their share prices with those of their nearest competitors. Our company analyses focus on internal considerations and the strategic objectives detailed in SABMiller’s and Rainbow’s annual reports for the 2009 and 2010 financial year ends. In our analyses of each company’s share price, we remain mindful of the fact that, although not directly responsible for the share’s daily performance, the objectives and calibre of management nevertheless impact on the share price. We conclude each analysis with a justifiable prediction of the expected trajectory of each company’s share price. The concentric eclipses in the diagram below depict the logical progression of our assignment’s structure, beginning with the outer-most eclipse. The diagram also shows the inter-relatedness of each eclipse relative to the other and how it is impossible to isolate the effects of one from the other. This reinforces the aphorism that: â€Å"in Economics everything is related to everything else; and usually in more ways than one. † The Global Environment [pic] Source: www. eia. doe. gov The price of Brent crude oil has been steady at an average level of $70 to $80 a barrel until November 2010. Since December 2010, the oil price has been rising, reaching a peak of $120 / barrel in April 2011. This has been partly due to uprisings in the Arab world, which holds the majority of global oil reserves. The oil price affects domestic inflation as fuel and energy are a major component of South Africa’s CPI basket. The price of petrol, which is based on oil prices, also raises logistical costs. SABMiller and Rainbow paid more to transport their products in the December 2010 to May 2011 period as a result of the spike in oil prices. It stands to reason that these higher transportation costs would be passed on to consumers as higher product prices by both companies. pic] Source: www. xe. com The graph above shows that the Rand has been strengthening relative to the US Dollar from 1USD:10ZAR to 1USD:6,3ZAR between March 2009 and May 2011. The strong rand has had a favourable impact on our terms of trade as can be seen from the self-explanatory graph below which depicts the Balance of Payments. The company analyses below reveal that SABMiller exports and imports a number of its brands across the world. Rainbow Chicken imports the soy component of its chicken feed wholly from Argentina. The rand’s strength impacts on both companies’ performances (and hence) their share prices favourably. [pic] [pic] Source: www. resbank. co. za The South African Environment Domestic interest rates [pic] Source: www. resbank. co. za The graph above shows that the Reserve Bank’s stance to monetary policy has been expansionary. This is shown by the gradual decline in the repo rate from 9,5% in March 2009 to its current level of 5,5% in May 2011. The Reserve Bank’s mandate is to keep the inflation rate within its target band of 3% to 6% and it uses the repo rate as the instrument with which to impact inflation. The Reserve Bank’s lowering of the repo rate is due to the CPI breaching its upper target limit of 6%. This is shown in the graph below. There is a positive relationship between the repo rate and CPI. It stands to reason, therefore, that the gradual lowering of the repo rate would be accompanied by a decline in the CPI rate. This is indeed the case. However, because of lags, the effect of a fall in the repo rate on the inflation rate is not reflected immediately and the CPI remains significantly above the upper limit. A fall in the repo rate eases pressure on consumers by raising their disposal incomes since they, theoretically, spend less on their credit commitments. All things being equal, this would raise the sales volumes of SABMiller’s and Rainbow’s products. Domestic Inflation [pic] Source: www. statssa. gov. za The graph above depicts the trend in inflation. It is clear that although the inflation rate has been on a downward trajectory (following the lowering of the repo rate) it was in breach of the upper limit of 6% from March 2009 to Oct 2009. It was within the target band in November 2009 but breached the upper limit again between December 2009 and February 2010. The latter breach is attributable to the market’s inflation expectations because of the steep increase in electricity tariffs during this period (www. eskom. co. za). As mentioned previously, the biggest components of South Africa’s CPI basket are food and fuel and the graphs below will be used to explain the impact of inflation on SABMiller’s and Rainbow’s performance specifically. CPI indicator relevant to SAB Miller pic] Source: www. statssa. gov. za This graph shows that inflation for alcoholic beverages has not only been consistently higher than the upper limit of the inflation target band, it has also been significantly higher than the country’s inflation rate. This is due to the fact that a major component of the price of alcohol is a â€Å"sin tax†, which is imposed by the finance ministry, because of the relative ly inelastic nature of the price elasticity of demand for alcohol as well as irresponsible and excessive consumption patterns. For some consumers, even a sharp increase in the price of alcoholic beverages does not result in a fall in the quantity demanded. There would, in all likelihood, be a shift away from the consumption of relatively more expensive alcoholic beverages towards relatively cheaper alcohol – not a complete cessation in the consumption of alcohol. This is one of the reasons that SABMiller’s share price has shown steady gains relative to the market. CPI indicator relevant to Rainbow Chicken [pic] Source: www. statssa. gov. za Consumer food price inflation decelerated sharply from December 2010. It is also interesting to note, that between January 2009 and January 2010, the prices of wheat fell by 24,58%, maize by 22,57% and sunflower seeds by 18,49% (www. finweek. co. za) Decreases in the prices of these staple foods has a positive impact on the poor as they spend 33,4% of their incomes on food; versus the rich who spend a mere 2,6% of their incomes on food. Poor people consume relatively more chicken than red meat because the latter is relatively more expensive. Chicken is the cheapest form of protein in South Africa and demand for it is high (www. astralfoods. com). Furthermore, the above staple foods are used as chicken feed which is a significant input cost for Rainbow Chicken, therefore the company has had cost savings because of bumper crops and the consequent price decreases in these commodities. The table on the following page clearly accounts for the nearly vertical decline in the graph above which shows food price inflation. [pic] Source: www. resbank. co. za GDP – South Africa [pic] [pic] Source: www. statssa. gov. za The graphs above show that South Africa was in a recession in 2009, as defined, because of the two consecutive quarters of negative GDP growth. Our recovery from the global recession was due to the fact that we had a low exposure to the sub-prime market crisis that was responsible for the global meltdown. Our banking and macroeconomic policies remain robust. The growth in the economy from the third quarter of 2009 is also due to infrastructural investments that were made for the 2010 Soccer World Cup as well as South Africa’s contributions to the BRIC emerging markets bloc – especially our trade with China. It is expected that our formal inclusion to the BRICS nations since April 2011 will maintain the upward trend in GDP (www. lobalsherpa. org). Positive GDP growth has a positive impact on the performance of SABMiller’s and Rainbow’s shares. In a boom everyone does well. SABMiller, in particular, has a presence in all five BRICS nations and is poised for growth as emerging market economies have overtaken developed economies in their contributions to global GDP. We now examine SABMiller’s s hare price in more detail and then turn our attention to Rainbow Chicken in light of the foregoing discussions on the global and local environments. Analysis of SABMiller pic] SABMiller is a global operation covering 75 countries on six continents and employing over 70 000 people. Its portfolio of businesses is divided into six regions and is well balanced between developed and emerging markets. Between them, the businesses produce over 200 different brands and sell 213 million hectoliters of lager a year. Since listing on the London Stock Exchange 10 years ago the company has grown substantially and has a market capitalisation of ZAR 419,837,700,000 on the JSE and GBP 36,099,310,000 on the LSE. The company’s markets range from developed economies such as the USA to the fast growing BRICS economies (SABMiller Annual Report, 2009). SABMiller is also the number one bottler of soft drinks for The Coca Cola Company. The breweries market can be seen as oligopolistic in nature since SABMiller and its three main competitors (Heineken, Anheuser-Busch InBev and Carlsberg) are the dominant players in the market and have significant market share amongst them. The oligopolistic market structure has a positive impact on the company’s operations and share price performance. In North America, SABMiller (through its strategic partners) is the second-largest brewer in the United States and owns nearly 30% of the US beer market. In Latin America, it is the number one brewer by market share. In the majority of the ten European countries in which it operates, the company is the number one or number two brewer by market share. The same holds for Africa and Asia. In the 2009 annual report Mayer Kahn, the Chairman of the Board, stated that the global brewing industry was expected to continue to consolidate and that participation in industry consolidation provides opportunities to enter growth markets and to create value from scale benefits. The graph below shows SABMiller’s share price relative to its three main competitors. It is clear that all four companies’ trajectories have moved in tandem but Carlsberg’s share price has significantly taken the lead with SABMiller in second place. At the turn of the century, the top 10 brewers accounted for just over one-third of global beer sales volumes. The past decade has seen a rapid consolidation, resulting in the top four brewers – Anheuser-Busch InBev, SABMiller, Heineken and Carlsberg – accounting for almost 50% of beer sales volumes and up to 75% of the global profit pool. (SABMiller Annual Report, 2010) [pic] Source: www. heineken. com Mr Kahn attributes the company’s good results (in both 2009 and 2010) to the operational strengths of the businesses and the power of their leading local brands. He concedes that even though SABMiller was not immune to the global crisis, beer is a fairly resilient product which placed the company in a better position than many to weather the storm. He goes on to say: â€Å"Thanks, partly, to our long experience of emerging markets, we are used to operating under difficult conditions. If we look back ten years to our London stock market listing, it is worth remembering that the Asian currency crisis at that time had shaken investor confidence in emerging markets and that the outlook was far from encouraging. Nevertheless, we prospered and grew and achieved the international expansion that our listing was intended to facilitate. Ten years on, our geographic spread is proving to be an advantage in that different countries are affected by the crisis at different rates and to differing degrees. So while demand in Europe has dropped sharply, countries in emerging markets such as Africa and Asia have fared relatively well despite falling back from the high – one might say unsustainable – rates of growth of recent years. † SABMiller Annual Report, 2009 In short, SABMiller’s diverse spread of businesses, strong market positions, and a portfolio of leading brands mitigated against the risks and negative consequences of the global downturn and contributed to the steady upward momentum in the share price. In response to the mismatch between the supply of, and demand for, certain brewing and packaging raw materials in Africa, the company is increasingly using locally grown crops such as sorghum and cassava to produce affordable brands. This is done to minimise supply shortages and the price volatility of key raw material inputs. Continued robust pricing and productivity enhancements offset increased commodity costs (SABMiller Annual Report, 2010). It comes as no surprise, therefore, that the combination of the above factors resulted in a steady upward trend in the company’s share prices on both the London and Johannesburg bourses in the period under review as seen in the graphs below. [pic][pic] Source: www. sabmiller. com In 2010, Mr Kahn had similar good news for investors, citing the same reasons as for 2009. However he mentions the company’s management team as being a key contributor to the positive results: This year, in addition, we have benefited from management’s ability to reduce costs and selectively increase prices in order to maximise revenues†¦Ã¢â‚¬  Source: SABMiller Annual Report, 2010 In the third paragraph of our Executive Summary, we mentioned that the management of any company is not responsible for the share price. However, in fulfilling its primary objective of maximising shareholder value, the credibility of and strategies employed by management invariably have an impact on the share price. It would appear that the management and directorship of SABMiller are market-friendly. The members of the executive team are representative of each of the continents in which the company operates; with Mr Cyril Ramaphosa and Dr Dambisa Moyo as the notable representatives for Africa. Other market-friendly strategies include the December 2009 announcement that 8. 45% of the shares in SABMiller’s South African subsidiary, The South African Breweries Ltd (SAB), would be placed under Black ownership as part of its commitment to Broad-Based Black Economic Empowerment in South Africa. This transaction created 40,000 new shareholders among SAB employees and qualifying retailers. The deal also created a charitable foundation that holds 18% of the shares that were issued under the transaction. The dividend income will be used for the benefit of the wider South African community (SABMiller Annual Report, 2010). The company also capitalised on the strength of emerging markets (particularly in China and Africa) by channeling its growth strategies to these markets. â€Å"Globally, the beer market grew by 1. 5% in 2010, led by a continuing strong performance in Asia, Africa and Latin America. China grew by 6. 5%, Africa by 3. 1% and Latin America by almost 3%. Western Europe continued the trend of declining beer volumes, driven by a shift in consumption to other beverages and the decline of on-premise consumption. † Source: SABMiller Annual Report, 2010 In the 2010 financial year the company acquired four new breweries in China, invested in new breweries in Tanzania, Mozambique, Angola and Southern Sudan and carried out expansions and upgrades in Uganda and Zambia. The trends in the graphs depicting SABMiller’s share price on both the London and Johannesburg Securities’ Exchanges (given above) require no further explanation. With good management being both a contributory factor to and a consequence of the share’s strong performance, it is reasonable to conclude that the positive momentum will continue. [pic] Analysis of Rainbow Chicken [pic] Rainbow Chicken Limited is the largest processor and marketer of chicken in South Africa. It is a fully integrated broiler producer that breeds and rears its own livestock which it feeds from its own feed mills. Rainbow processes, distributes and markets fresh, frozen, value-added and further-processed chicken. The company has a market capitalisation of ZAR 6 124 893 000 009 was a very challenging year for the South African poultry industry, both locally and globally. The local chicken industry was negatively impacted by the fall in demand due to the recession. An oversupply by local producers and increased imports due to the strong rand also added to the industry’s woes. These difficult market conditions were a further test of Rainbow’s differen tiated brand strategy, which through its foodservice and consumer brands, seeks more consistent, profitable and sustainable business (Rainbow Chicken Annual Report, 2009). Despite these challenges, Rainbow managed to deliver an acceptable overall performance. Positive performance, like a rally in the share price, is a function of several variables and while we can make inferences about the correlation between the two, we make no such inferences about their causality. Like SABMiller, Rainbow’s Black Economic Empowerment transaction (which was concluded in July 2008) was market-friendly and boosted the company’s share price. Rainbow provided vendor financing for a 15% equity stake that was issued to a consortium that was constituted by its employees, Imbewu Consortium, Ikamva Labantu, and Mrs M Nhlanhla, a non-executive director. The BBBEE transaction resulted in the share price rallying from R12. 0 to R16. 80 in the latter period of the second quarter of the 2009 financial year as shown in the graph on the following page. 2010 was an equally challenging year for Rainbow but its effects were mitigated by South Africa’s steady recovery from the recession, a lower interest rate and inflationary environment. Maize prices d eclined since their peak in July 2008. The global financial crisis caused a dramatic decrease in the demand for maize, improving the previously dangerously low US and global maize stock situations to such an extent that international prices fell sharply from their record levels. Rainbow Chicken, Annual Report, 2010). The fall in maize prices, which is a major component in chicken feed, resulted in a reduction in the company’s input costs which boosted the bottom line. Local producers added significant production capacity for wheat, grain and soy over the past five years. Rainbow imports the soya component of its chicken feed from Argentina and it has a significant FOREX exposure. The strong rand, however, in the period under review, has been in the company’s favour. The company’s 2010 annual report reflected acceptable profit margins. In both 2009 and during 2010, the company’s share price maintained its upward momentum as reflected in the graph below. [pic] |Key Features – Rainbow Chicken Share Price | |Year |Low |High | |2009 |11500 |16800 | |2010 |15900 |16900 | The graph and table above confirm the findings in the preceding paragraphs. Although the difference between the year’s highest share prices is negligible, South Africa’s economic recovery may be gleaned from the fact that the lowest share price for 2010 was 4400c above the 2009 low. Consumer’s disposable incomes were higher in 2010 because of falling interest and inflation rates. Falling input costs and increased consumer demand increased the appetite for the company’s shares as investors’ expectations of earning better returns were supported. Other events that led to sharp movements in the company’s share price include the market’s speculative expectations immediately prior to the announcement of the group’s 2009 results. After the results were announced, the share price dropped to R13. 90 because of the 39. 6% decline in headline earnings. The reason for this decline in earnings can be attributed to the company’s policy of buying feed products forward. The share price stabilised for the remainder of 2010 due to an increase in the multitude of families that joined the ranks of South Africa’s middle class. As the middle class grows in size, so the taste of chicken diversifies allowing entrepreneurs to come up with new ways of marketing chicken to end consumers. We now turn our attention to Rainbow’s competitor, Astral Foods, to get a better idea of the South African poultry industry before making conclusions about how justifiable a continued rally in Rainbow’s share price is. Astral Foods is Rainbow Chicken’s nearest competitor. The company holds investments in subsidiary and joint venture companies. Its primary activities are animal feed pre-mixes, the manufacturing of animal feeds, broiler genetics, the production and sale of day-old broiler chicks and hatching eggs, integrated breeder and broiler production operations, abattoirs and the sale and distribution of various key poultry brands. Its current market capitalisation is R5,5 bn (www. moneyweb. co. za) Despite a 5% drop in sales volumes, revenue for Astral Foods’ poultry division increased by 13% for the 2009 financial year. (Astral Foods Annual Report, 2009). The market was neutral about the appointment of Chris Schutte as the Chief Executive Officer, effective 1 May 2009. The share price was also not responsive to the appointment of Daan Ferreira as the Financial Director. This may be because it was not perceived to be mindful of BBBEE. The improvement in Astral Foods’ revenue for the 2010 period was largely attributable to a sustained growth in volume. The volume growth was on the back of improved production results supported by better poultry health status. Depressed consumer spending, together with higher levels of imports and high local stock levels, contributed to vigorous promotional activity with prices at levels below historical levels. Reduced feeding costs during the period countered the effects of lower poultry selling prices. A lengthy period of industrial action at Earlybird Standerton negatively impacted the company’s share performance. (Astral Foods Annual Report 2010) |[pic] | |The graph above shows the steadily upward trend in Astral Foods share price. Not surprisingly, it follows a similar pattern to Rainbow | |Chicken’s share price – with pronounced sell-offs in the first and second quarters of 2009 and improvements thereafter. This pattern | |provides comfort because of the consistency of both company’s responsiveness to events in the poultry industry. It would be concerning if | |the companies had different trajectories. The consensus amongst analysts is that the South African poultry industry is poised for | |significant growth given that the price of chicken has risen by 30 per cent year-on-year while the cost of feed has come down. We | |anticipate that Rainbow’s share price will maintain its upward trend. | | | BIBLIOGRAPHY 1. Astral Foods Limited Annual Report, 2009. www. astralfoods. com 2. EIA Independent Statistics and Analysis, US Energy Information Administration, www. eia. doe. gov 3. www. eskom. co. za 4. www. finweek. co. za/Economy/Food-inflation-still-a-concern-20100301 5. www. globalsherpa. org/china-africa-brics 6. www. heineken. com 7. www. moneyweb. o. za 8. Rainbow Chicken Limited Annual Report, 2009 and 2010, www. rainbowchicken. co. za 9. Reserve Bank Quarterly Bulletin March 2011,www. resbank. co. za 10. SABMiller PLC Annual Report, 2009, www. sabmiller. com 11. SABMiller PLC Annual Report, 2010, www. sabmiller. com 12. Statistics South Africa, Statistical release P0141, www. statssa. gov. za 13. www. xe. com [pic] ———————– Economics Assignment 2011 GLOBAL ENVIRONMENT LOCAL ENVIRONMENT INDUSTRY / COMPETITORS COMPANY SHARE PRICE

Discuss the Biological Approach in Psychology Essay

Discuss the biological approach in psychology. Refer to at least one other approach in your answer. (12 marks) The biological approach focuses on both the physiological and evolutionary aspects which explain human behaviour. The causal level of analysis incorporates physiological explanations, such as the effect of nerves and hormones on behaviour. According to biological psychologists, behaviour is controlled by the nervous system, which consists of the central nervous system (the brain and the spinal cord) and the peripheral nervous system (the surrounding nerves), which itself includes the autonomic nervous system that controls automatic processes such as heart rate and the fight or flight syndrome. Within the central nervous system, neurons communicate with each other via sending chemical impulses, neurotransmitters, across synapses. Biopsychologists believe that these chemical processes in the brain directly influence human behaviour. Too much or too little of these chemicals ca n result in over-activity or under-activity in various parts of the brain; this alters thoughts, emotions and behaviour. For example, a link has been made between excessive dopaminergic activity in the brain and the incidence of schizophrenia. Pearlson et al (1993) used Positron Emission Tomography (PET) scans and found a substantial increase in D2 receptors in patients with schizophrenia. Seeman et al (1993) also used PET scans, finding six times the density of D4 receptors in the brains of schizophrenic individuals. A limitation of such studies is the idea of cause and effect; for example, it is unclear whether the increase in dopamine receptors causes schizophrenia or is a result of the neuroleptic drugs taken. Yet, Pearlson’s study was carried out on individuals who had not been exposed to neuroleptic drugs, which therefore rules out cause and effect. Neuroimaging studies are able to study the structure and functioning of the brain, and have the advantage of being non-invasive. Researchers have shown how behaviour can be affected by different levels of sex hormones, for example increased tes tosterone has been linked to aggression and increased risk-taking. In forensic psychology, Eysenck’s theory of the criminal personality suggested that individuals who offend are high on the extroversion dimension and seek constant stimulation and autonomic arousal from their environment. These individuals are also said to be high on the neuroticism dimension, with high anxiety levels and an emotionally unstable central nervous system. Their nervous system reacts strongly to aversive stimuli and, as a result, these individuals cannot effectively learn socially appropriate behaviours. Eysenck’s theory is criticised for inconsistencies between criminal activity and extroversion. Zuckerman (1969) also argued that environmental stimulation may be sought as a result of boredom, where there is increased arousal. Behaviourists also emphasise the role of the environment as a determining factor of behaviour in the nature versus nurture debate. The behaviourist approach states that all individuals are born with ‘blank slates’ (tabula rasa), with behaviour being learnt through the process of conditioning, past experiences and the environment. With reference to the forensic psychology topic, neo-behaviourists argue that criminal behaviour is learnt by observing and imitating the behaviour of role models in the environment, e.g. peers, celebrities, novel characters. The imitation of aggressive behaviour is most clearly shown in studies conducted by Bandura et al (1963), in which children who observed models performing aggressive acts on a Bobo doll later displayed this same behaviour. However this experiment is criticised for being open to demand characteristics so the children knew what was expected of them, which confounded the results (Cumberbatch, 1992). In contrast, the functional level of analysis focuses on evolutionary and genetic theories of behaviour. In the 1800s, Charles Darwin postulated the evolutionary theory which put forward the idea of survival and reproduction as an important feature of behaviour in all species. In what he called the ‘survival of the fittest’, Darwin suggested that through th e process of natural selection animals with particular characteristics, as a result of possessing advantageous alleles, will survive. However, those with maladaptive genes cannot adapt to changes in environmental conditions, so will die or become extinct. Dowling (1994) stated that this process depends on three principles: species diversity, interaction and the spread of a species as a result of differential amplification. Sexual selection is another component of Darwin’s research, which explains the best strategies adopted for passing on genes to offspring. Moreover, there are problems with Darwin’s theory such as his attempts to generalise animal behaviour to the way in which humans interact in their environment. However, he has presented compelling evidence which is very scientific in its approach and methodology. Furthermore, contrary to Darwin’s evolutionary idea of survival of an individual, Dawkins (1976) suggested that the survival of the genes is more important. Schizophrenia twin studies have found a 46% concordance rate for monozygotic twins compared with a 14% concordance for dizygo tic twins. This high concordance suggests the contribution of genotype to the onset of schizophrenia, yet the 40% discordancy indicates that environment must play a role in the development of this condition. Moreover, localisation of function explains how different parts of the brain have particular functions; for example, the amygdala has been linked to aggression. A more famous example is the HM case study, in which an operation on his brain, in order to treat severe epilepsy, resulted in anterograde amnesia. The removal of HM’s hippocampus was therefore linked to his amnesia upon recovery, where he could not form new memories. Chromosomes are made up of genes which produce a phenotype, dominant or recessive. Abnormalities in chromosomes have been found through biological research. For example, Kleinfelter’s syndrome and Turner’s syndrome both comprise an atypical chromosomal pattern which, in turn, produces abnormal behaviour. Male individuals with Kleinfelter’s syndrome have the XXY chromosomal pattern, in which they possess an extra X chromosome; symptoms include broader hips and reduced fertility rates. Turner’s syndrome involves the absence of an X chromosome in females, resulting in webbed necks and memory deficits. Furthermore, criminal research has found an incidence rate of 0.1% XYY pattern in the ge neral population, with 1.5% XYY in the prison population, suggesting that atypical chromosomal patterns cause criminal behaviour. Yet, further studies have failed to confirm this link; Wilkin et al (1976) found that only 12 men in a large sample of 4500 males had the extra Y chromosome, with none being an offender. This theory was consequently refuted. The biological approach as provided a lot of evidence for the biological basis of behaviour, yet it tends to be deterministic, seeing free will as an illusion. The humanistic approach, however, believes that we are active agents and able to choose our behaviour. In addition, the biological approach is reductionist and dehumanising as it reduces all behaviour to biological processes, such as genes and neurochemicals. In contrast, both the humanistic and psychodynamic approaches are holistic to some extent. The humanistic approach emphasises the whole person and whole subjective experience, whilst the psychodynamic approach concentrates on the individual’s life. A method used in much of biological research is the use of laboratory studies. These are high in control, yet lack ecological validity as the findings cannot be generalised outside such a controlled environment. Similar to the biological approach, the behaviourist approach uses scientific methods which are falsifiable and objective. For example, operant conditioning was studied by Skinner in a series of experiments with rats who, when by chance, pressed a lever received a pellet of food. Through positive reinforcement, they continued to press the lever in order to increase the likelihood of the desired response being repeated (receiving food). However, the use of animal studies means that findings may lack generalisability to human behaviour; although, Darwin would disagree as human and animal anatomy and behaviour are seen as similar. Debates that arise in biological research include the concept of determinism. This is shown in biological research as free will is often ignored and consequences are seen as beyond human control. Biological theories are reductionist as they attempt to explain human behaviour by breaking complex processes down into fundamental biological ones. This approach is criticised for focusing only on the nature side of the nature vs. nurture debate; it is believed that behaviour is innate and therefore environmental factors and cognitive mediating processes are ignored. Furthermore, the biological approach is nomothetic as the features that people have in common are investigated and general laws of behaviour are applied to groups. Empirical studies are mainly objective as they observe phenomena rather than focusing on subjective experiences, like behaviourists tend to do. Yet this is also a limitation as it is argued that biopsychologists dehumanise and neglect the importance of experiences. Humanistic psychologists argue that the subjective experience is important as we are motivated to achieve self-actualisation (Maslow, 1987). Practical applications of the biological approach have been useful and effective in society. Drug therapy has been developed in order to treat illnesses and disorders, such as schizophrenia. Anti-psychotic drugs include risperidone, clozapine and chlorpromazine. Atypical drugs, clozapine and risperidone, also treat negative symptoms of schizophrenia. For depression, drugs include Selective Serotonin Reuptake Inhibitors (SSRIs), Monoamine Oxidase Inhibitors (MAOIs) and Tricyclic anti-depressants. Bipolar disorder can be treated with Lithium Carbonate, which is toxic but, unlike the drugs for unipolar depression, they treat the manic phases of the disorder also. Where drug therapy may not work in specific cases, electroconvulsive therapy (ECT) is used; as this involves inducing an electric shock on the patient’s brain this therapy can be seen as unethical, especially in cases where this treatment is given against a patient’s wishes. However, it is still used today and has proven to be effective. Drug therapy itself has been criticised for only prevention and not curing symptoms. Side effects, such as clozapine lowering the white blood count, and the long period it takes for an effect can both result in a lower adherence to this particular treatment so relapse is common. A problem arises when schizophrenic patients may discontinue use due to the side effects and long time to feel any effect. Invasive and non-invasive techniques are used to identify which brain areas may responsible for types of behaviour. Using invasive techniques, such as lesions and abrasions in brain surgery, biological psychologists have identified Broca’s area which controls the production of speech. In contrast, behaviourists tend to use cognitive-behavioural therapy for illnesses and disorders, such as depression, which has been found to be more effective than medication (Elkin et al, 1985). In conclusion, the biological approach has contributed a huge amount to how we explain human behaviour. There has been much empirical research and the applications have enabled individuals to live normal lives that they had previously not been able to. However it is more advisable to take an interactionist approach as the role of nurture must be considered where behaviour is concerned.