Economics

1. What factors influence the demand for this product? What factors influence the supply of this product? 2.How have these changes in supply and demand affected the equilibrium price of this product? 3.Do you anticipate any changes to the demand and/or supply of this product in the near future? If so, what is driving these changes? My choice is celsius energy drink. Provides healthy energy, vitamins and minerals, speeds up metabolism, and burns fat.

Have you ever wondered how the health of the economy is determined without a thermometer? In this activity, you will select a country and explore the concepts of nominal and real GDP to measure the economic health of your country. As part of your research, you will also explore these key economic factors.

in this course, you will study topics such as opportunity costs, supply and demand, consumer behavior, elasticity of demand, market structures, factor markets, wages, labor, unions, government and product market, anti-trust and regulations, international finance, and trade. As part of this course, you will demonstrate the application of microeconomics theory (as presented in your textbook) to a current topic, issue, or event and write a formal paper. Your paper will show how the theory you’ve learned from the course and presented in your textbook applies to or explains a current situation. The paper provides you with an opportunity to realize, reflect, and explain the economics that exists all around us. Your paper must include a graph used as an explanatory tool of the economic principles presented. After you have written your outline, you will initiate work on the first draft of your paper. While the draft is not expected to include all of the points that you will have in your final paper, it must provide enough detail so that the general scope and depth of the final paper is clear. Your final paper must be at least 1,800 words and include six or more credible sources. Two of the resources must be from academic journals. Your first draft must include the following four sections: An introduction that introduces the selected topic and discusses how the analysis was conducted. A literature review that provides a detailed summary of the economic circumstances and facts that serve as the foundation of the economic analysis. A narrative body that includes: An economic analysis that uses the tools developed in the course along with your graphical depiction of the economics applied to your topic. Provide an explanation of the graphical analysis. Don’t leave it to the reader to figure out your intention. The specific analysis will depend on your chosen topic. Statistics that support your topic and narrative. Conclusion and a brief summary. Use current APA formatting for your paper including these elements: Title page Page numbers Headings Source citations Reference list An abstract and table of contents are not required.

Criteria for Success: In this assignment, you will: Identify a relevant economic concept and describe how it applies to the scenario. Summarize the change in expenditures between budgets. Record the ways in which economic trends impacted personal income and consumer prices. Explain the rationale for budget decisions made in response to economic changes. Explain an additional economic trend or change from within the last year and how it has impacted your personal life and finances. What to submit/deliverables: A completed Assignment 1 template, in Word document form. What is the value of doing this assignment? Economic trends and events in the world have real impacts on your daily life. This could take the form of a new technology that increases the demand for workers in a certain field, the amount of economic growth for a country affecting the ability (or willingness) of employers to increase wages, or even trade decisions between two countries that cause price of some everyday goods to fluctuate. Economic impacts require you to make decisions on how to allocate resources and effectively budget, and use critical thinking strategies to help you navigate the world of finance and economics. Throughout the previous weeks of this course, you have learned foundational economic concepts, basic personal finance considerations, and problem solving strategies. In this assignment, you will apply all of these to help a friend communicate her budgeting decisions to her family. Your goal for this assignment is to: Build your problem solving skill by articulating how economics have real impacts on families and their budgets. You will apply decision making and critical thinking strategies to explain how economics impacts a friend’s personal budget decisions. Steps to complete: In Week 4, submit your assignment in BlackBoard by following these steps: STEP 1:Read the scenario in the Assignment 1 Template and preview the questions that follow. Scenario: A friend who knows that you are learning problem solving skills and economics has come to you for advice. At the beginning of this year, rent and the price of imported food rose. At the same time, prices for domestic food dropped. The family’s income stayed the same, but because of these economic changes, they had to make changes to their yearly budget. Your friend’s family is unhappy about the lifestyle changes that your friend has chosen. Your friend knows that you are studying personal finance and have asked you how to explain to her family what has happened to their spending. She has brought with her their family budget from last year, as well as their current budget for this year. STEP 2: Identify one relevant economic concept that applies to the scenario and describe how it applies. (Question 1) STEP 3: Summarize how expenditures changed between budgets. Make sure to address how expenditures changed (or did not change). (Question 2) STEP 4: Describe the economic trends that created the need for a change in expenditures. Make connections to the economic concepts you have learned. (Question 3) STEP 5: Explain the rationale for your friend’s budget decisions to her family. Address all changes (or non-changes) in expenditures and discuss long term effects. (Question 4) STEP 6: Reflect on how changes in economic variables may impact your personal life and finances. (Question 5) STEP 7: After completing all questions in the Assignment 1 Template, save your responses as a Word document titled: Your Name, ECO110_Assignment 1 Economic Impacts and upload to BlackBoard in Week 4. Make sure to also review the scoring rubric before submitting.   Assignment 1 Template: Impact of Economics on Daily Living Scenario:A friend who knows that you are learning problem solving skills and economics has come to you for advice. They have brought their family’s budget from last year, as well as their current budget for this year. At the beginning of this year, rent and the price of imported food rose. At the same time, prices for domestic food dropped. Your friend’s family’s income stayed the same, but because of these economic changes, they had to make changes to their yearly budget. Budget 1 on the left shows how their family used to spend their income of $25,000. Budget 2 on the right reflects changes your friend made to the family’s budget based on economic changes. Your friend’s family is unhappy about the lifestyle changes that your friend has chosen. They are having a difficult time explaining the reasons for some of the decisions they have had to made about family finances. Since they know that you are studying personal finance, they have asked you to help them come up with a way to explain to their family what has happened to their spending. Answer the following questions based on the scenario and Budget 1 and 2: 1. In the first four weeks of this class you have learned about several economic concepts and how they impact daily living. Choose one economic concept from this list and explain how it is relevant to your friends’ budget situation:   Supply and demand Scarcity Tradeoff decisions International trade Opportunity cost Compound growth 2. How did expenditures change between budgets? Which expenditures changed the most? Which expenditures changed the least? Which stayed the same? 3. What were the economic trends that created the need for your friend’s family to change their expenditures? What can you infer about the connection between prices and expenditures, based on the economic concepts you have learned? 4. Help your friend explain the rationale for their budget decisions to their family. For each expenditure change, describe why your friend made that decision and how it impacts the family overall. Also make sure to address expenditures that did not change. What are the long-term benefits/risks of these changes? Some questions you could help them answer are:   Why did your friend decide to buy less imported food, and more domestic food? Why did your friend decide to use the furnace and air conditioning less? Why did your friend decide to walk more? Why did your friend not change the amount spent of education and family care? Why did your friend decide to reduce savings, and what will the long-term effects of that be? 5. In our personal lives, we sometimes need to react to changes in our economic environment. Thinking about your own budget, describe how a change in an economic variable (such as a change in income, employment, interest rates, or prices) could impact your personal life and finances.

In the first part of the final paper, you overview the auction theory and matching theory. In particular, you must verbally discuss all of the following topics (you may add more, of course): Auctions Efficiency of auctions, including optimal auctions Revenue of auctions, including optimal auctions Strategy-proofness of auctions, including optimal auctions Winner’s curse and how to overcome/mitigate it Auctions with multiple items How the VCG mechanism is relevant to the auctions  Matching Stable mechanisms Stability as fairness Different efficiency concepts, and how these efficiency concepts differ from the one used for auctions Strategy-proofness of matching mechanisms How matching problems differ from auction problems I do not expect you to use any math. Indeed, I discourage any use of math. I see whether you can explain the theory of auctions and matching in your words. [Added 12/17] However, I do not penalize any moderate use of math, and it is understandable and natural to use some math when providing details of the theory. The grade for this part is based on how detailed your explanations are and how logically clearly you present your ideas. For example, merely listing facts without a clear logical organization may not earn a good score. Also, inaccurate or contradicting statements are to be ignored.   In the latter half, you find an example of allocation problems and discuss the applicability of auctions or matching. You must propose a new allocation mechanism (either an auction or matching) from the mechanisms that you learned in the latter half of this course. If necessary, you may propose a variant of them, after my approval. You explain why the introduction of the new mechanism may bring some benefit and why you did not choose other mechanisms. The field of market design is about constructing market mechanisms for problems that do not have well-functioning markets. In some problems, markets do not exist at all. For this nature, in this assignment, you may be very adventurous. For example, you may suggest to apply a matching mechanism to allocate CEOs to companies. However, do not propose any unethical applications of auction or matching mechanisms (such as efficient allocation of addictive and illegal substances and auctioning exam-cheating technologies). This part is quite open-ended, but your discussion must be mostly built upon the theories of auctions and matching you have learned. I appreciate your own thoughts, but the exposition of your thoughts must be, at least partly, supported by academic knowledge you acquired through this course. The grading for this part is based on the following factors: How detailed the description of the problem is How academically “convincingly” (see below) the student describe the benefit.  How academically “convincingly” the student distinguishes the chosen mechanism from other potential mechanisms.  How many such other potential mechanisms are discussed. (At least two, one from auctions and another from matching.) I understand that students may not come up with perfect examples so that they may not be able to provide perfectly convincing arguments. I thus do not grade whether the argument is realistic or not. I rather see how many findings presented in this course students try to apply to the problem. (For example, you may find a lot of realistic reasons not to do apply the deferred acceptance mechanism to the matching of CEOs and companies. However, you should ignore all the nay-saying ideas and just support your main idea by using the academic findings presented in this course.)

The Benefits and Costs of Free Trade, and its validity after the covid-19 pandemic era

One of the most fundamental concerns with corporations is that they focus on short-term profit rather than investing for the long-term. This is a particular concern in the 21st century, where innovation is particularly critical for competitive success. Moreover, allegations of shorttermism have serious social repercussions. Long-term investments, such as developing blockbuster drugs, or training workers, typically benefit stakeholders as well as shareholders, but short-term profit only goes to shareholders. Short-termism can reduce a firm’s growth opportunities and give rise to failure. Incentives shape top managers’ corporate decisions, including investment decisions. Poor incentives can worsen corporate short-termism while right incentives can drive top managers towards long term investments that expand the growth potential of the firm and increase its market value. Investment decisions are though risky and frequently fail, which can impact the firm’s market value negatively. An optimal incentive system should equally lower the chance of imprudent investment decisions. Given this background, you task in the coursework is to: 1) Explain the short-termism hypothesis, critically explain whether principal-agent issues may contribute to short-termism, and explore its consequences for firm performance; 2) Analyse how modern firms seek to deal with the principal-agent problem. Your analysis should explicitly distinguish between the level and structure of pay. 3) Explain how firms may design a compensation scheme to reduce short-termism by combining reward instruments such as stocks, stock options, restricted stocks and inside debt. Justify your proposal by referring to academic literature. 4) Explain how your proposal can strengthen firm resilience and enable firms to better deal with deep recessions such as the Covid-19 recession. A number of notes will be placed on the course webpage to guide you through your research and help you with the literature on the short-termism hypothesis and CEO’s pay. A note will specify marking guidelines in details. You should follow the guidelines.

During the Great Recession, like any other economic downturns, as unemployment rises, aggregate income declines causing a major decline in tax collections. On the other hand, with the rise in unemployment, spending on safety net programs rise. So, there are not too many good options available to resort the health of the national economy. It will be very difficult to defend cuts in the federal government programs and especially the programs geared to sustain the minimum of the standard of living for the recent “poor.” So, government needs to increase its borrowing. Deficit spending refers to government spending exceeding what it brings in federal income and corporate taxes during a certain period. Deficit spending hence increases government debt. Most economists accept that deficit spending is desirable and necessary as part of countercyclical fiscal policy. In such a case, government increases its borrowing and hence its deficit to compensate for the shortfall in aggregate demand. This is derived from Keynesian economics, and has been the mainstream economics view. Following John Maynard Keynes, many economists recommend deficit spending to moderate or end a recession, especially a severe one. When the economy has high unemployment, an increase in government purchases creates a market for business output, creating income and encouraging increases in consumer spending, which creates further increases in the demand for business output. (This is the multiplier effect). This raises the real gross domestic product (GDP) and the level of employment and lowers the unemployment rate. Government borrowing under such circumstances increases the demand for borrowing and thus pushes interest rates up. Rising interest rates can “crowd out” (discourage) fixed private investment spending, canceling out some of the demand stimulus arising from the deficit Write an essay analyzing the advantages and disadvantages of deficit spending and the effects of federal government borrowing on the economy i.e., the “crowding out” effect. Complete this essay in a Microsoft Word document, and in APA format. Note your submission will automatically be submitted through “TurnItIn” for plagiarism review. Please note that a minimum of 700 words for your essay is required. Your paper should be structured as follows 1. Cover page with a running head 2. Introduction: What is deficit spending and how does it work. 2.1. Advantages 2.2. Disadvantages 3. Crowding-out Effect 4. Conclusions: Do you believe that deficit spending helps or hinders short-term and long-term economic growth? 5. References

Effects of the Covid-19 Pandemic on Digitalization in Germany – A Qualitative Analysis based on Different Fields of Work

Uber is a ride-sharing service started in 2009. If you are not familiar with Uber, you can learn more about the services it provides at Uber.com.  Construct an eight-page analysis of Uber using the following criteria.  Analyze the market before Uber’s entry. Describe the inefficiency Uber exploited.  Explain Uber’s surge pricing in the context of shifts in supply and demand.  Evaluate Uber’s surge pricing in the context of price discrimination.  Apply the concepts of economies of scale and economies of scope to Uber’s business model.  Apply the concepts of game theory to Uber’s market.  Assess Uber’s potential for international expansion and potential trade policy issues.  Explain the incentive pay model Uber uses and how it affects the principal-agent problem.  Discuss any asymmetric information issues with Uber’s business model.  Your essay must be at least eight pages in length (not counting the title and references pages) and include at least five peer-reviewed resources. Adhere to APA Style when writing your analysis, including citations and references for sources used. Be sure to include an introduction. Please note that no abstract is needed.  If you wish to include a supply and demand graph in your paper, view the video How to Graph in Word for some guidance. Also, not that any graphs you include in your paper should be placed in the Appendix of your paper. How to Graph in Word video transcript If you need help identifying peer-reviewed publications, review the CSU Online Library resources Peer-Reviewed Resources and video How to Find Peer-Reviewed Resources (Transcript for Peer-Reviewed Resources video).