Economics And The Real World He Has Achieved An Impressive Understanding Of The Key Economic Models And Concepts

ECON 2301 Principles of Macroeconomics Time: Th 7:05 pm – 9:45 pm Synonym: 40512 Section: 023 Room: NRG2 2120

Author Wheelan writes, "Life is about trade-offs, and so is economics." Indeed, so is Naked Economics. This book promises to be a good introduction to economics for the layman. Throughout the book, the author uses easy-to-understand language and vivid examples to illustrate his points in strategic places maintaining a sense of lightness with the readers in reading the material. Here is a summary of each of the 12 Chapters of the book Naked Economics: Undressing the Dismal Science by Charles Wheelan.

1. The first chapter in the book is about the market and its inner workings. The book briefly explains the idea of supply and demand, in which the price of a certain good or service will reach the point where all the demand is equivalent to the supply. However, the value of something is not determined by its necessity, but its desire within society, as seen by the difference in cost between a diamond and life giving water. Markets operate as they do because people try to maximize the amount of utility for themselves. Nevertheless, a strict rationalism model cannot be used for predicting all the occurrences of a market because of the ever changing behavior of people; thus economists must take precautions against

READ: Naked Economics: Undressing the Dismal Science, Charles Wheeland, W.W. Norton, 2003. Completely- cover to cover.

Chapter 1, the Lesson: One of the greatest fallacies associated with economics is that there is an abundance of economists selfish interests involved. Because are selfish nature men tend to see only the immediate effects of decisions. This is especially true when it comes to economics. Every group has it’s own interests and because of this certain policies that may benefit one group, may not benefit another group. Because of self-interest, groups will banter back and fourth persistently until a solution is reached. This is one of the first causes of

READ: Naked Economics: Undressing the Dismal Science, Charles Wheeland, W.W. Norton, 2003. Completely- cover to cover.

This research is being submitted on June 14, 2010, for Mr. Bergeen’s Microeconomics course at Rasmen College by John Divler.

The economic discourse community can be loosely identified as a set of shared values and knowledge in the field of economics. Different from other writings, economic discourse community usually include some technical economic terms and visual information, i.e. diagrams, tables and charts, etc. Each writing piece has its intended audience, and economists’ writing is no exception. Economists’ writing is usually targeted at economic majors or practitioners in the field of economics. Economic discourse community helps its intended readers to pick up information efficiently and effectively.

In this essay, I am going to investigate, provide evidence and analyse this exact issue using my own economic awareness and the data I found while researching this matter.

* In the first paragraph, discuss the relevant economic theory of your topic (your textbook is a good source for this paragraph).

This assessment will be an analysis of graphed data and changes in supply and demand for three economic problems. Problem A involves production possibilities for consumer and capital goods, problem B is an evaluation of changes in supply and demand equilibrium, and finally, problem C involves pricing with relevance to supply and demand. Successful completion of this assessment demonstrates proficiency in; applying theories, models, and practices of economic theory, analyzing solutions with support from relevant data, resources, references, and economic principles, analyzing graphed and circular

M. E. Drew and J. D. Stanford School of Economics and Finance, Queensland University of Technology; and School of Economics, The University of Queensland, respectively

Nobel, Media AB. (1994). The Prize in Economics 1994 - Presentation Speech. [Online] Available from: http://www.nobelprize.org/nobel_prizes/economic-sciences/laureates/1994/press.html [Accessed: 15th August

Answer ALL the questions, as listed below, following the instructions provided in the Course Outline (Assessment #3 - Take Home Examination, pages 9-10).

This is a team-based writing assignment. My strongly preferred team size is four, but I will consider team sizes of three or five on a case-by-case basis. Your assignment is to