02 Jun Question GB540 Unit 1 Case Study (2 pages maximum).
Question
GB540 Unit 1 Case Study (2 pages maximum).
Economist Joseph Schumpeter, who taught at Harvard from 1932 until his death in 1950, popularized the term “creative destruction” to describe the capitalist process in which entrepreneurs introduce new goods and services to economic markets that displace existing goods and services. Though this innovative process results in increased wealth and better standards of living overall, not everybody benefits equally. The opportunity cost of buying a newly available product is the use of the old one that has been given up, so those in the camp of the new, different, and desirable do very well, while those camped out with the old and no longer desirable products see their prospects decline.
Provide an example of creative destruction you have witnessed during your lifetime and describe what the benefits and costs to the economy have been. Who was enriched and whose fortunes declined? Construct thoughtful, detailed responses to the cases contributed by at least three of your classmates.
All problems below are to be completed and submitted to the Unit 1 Dropbox by the end of Unit 1.
Problem #1:Using either a graph or table (Refer to pages 11-15 for help with graphs and tables) use two goods to construct a production possibilities curve. Clearly explain what a variety of different points on the curve mean. What would make the curve expand or contract? Why is efficiency lost at the extremes, as when substantially more of one good and very little of another is produced?
Problem #2 Part A:Go to the internet auction site eBay® at www.ebay.comand select the category Jewelry and Watches, followed by Loose Diamonds and Gemstones, and then Diamonds, Natural. How many natural diamonds are for sale at the moment? Note the wide array of sizes and prices of the diamonds. In what sense is there competition among the sellers in this market? How does that competition influence prices? In what sense is there competition among buyers? How does that competition influence prices?
Problem #2: Part B)Describe what would happen if an outside agency determined the prices eBay could charge.
Problem #3:Read the “LAST word” feature on markets for human organs on Pages 98–99 of your text. Next, select a social problem where free markets are not allowed to function and describe how free market features could be introduced to help alleviate the problem. As part of your answer also include a discussion of the risks of introducing market mechanisms in situations where ethical issues are present. Your answer should be approximately two pages long and in APA format.
(Note: You can write about social problems where the free markets are not allowed to function, which includes the market for a particular illegal good or service, a regulated market, etc.).
GB540 Unit 1 Assignment Rubric
Content and Analysis
Points Possible
Points Earned
Problem # 1 · Graph or table to illustrate a production possibilities curve · Meaningful description of a variety of different points on the curve. · Explanation of what would make the curve expand or contract. · Explanation of why efficiency is lost at the extremes, (i.e., substantially more of one good and very little of another is produced).
12
Problem # 2 · Comprehensive discussion of the availability of natural diamonds as a component of supply in a competitive market and how it influences price. · Comprehensive discussion the demand for natural diamonds in a competitive market and how it influences the price. · Description of what would happen if an outside agency determined the prices eBay could charge.
12
Problem # 3 · Introduction and Conclusion
4
· Social problem identified where free markets are not allowed to function.
4
· Description of how free market features could be introduced to help alleviate the problem.
12
· Two pages in length
4
Writing Style, Grammar, APA Format
12
Total
60
Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Ask A Question and we will direct you to our Order Page at WriteDemy. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Fill in all the assignment paper details that are required in the order form with the standard information being the page count, deadline, academic level and type of paper. It is advisable to have this information at hand so that you can quickly fill in the necessary information needed in the form for the essay writer to be immediately assigned to your writing project. Make payment for the custom essay order to enable us to assign a suitable writer to your order. Payments are made through Paypal on a secured billing page. Finally, sit back and relax.
About Writedemy
We are a professional paper writing website. If you have searched a question and bumped into our website just know you are in the right place to get help in your coursework. We offer HIGH QUALITY & PLAGIARISM FREE Papers.
How It Works
To make an Order you only need to click on “Order Now” and we will direct you to our Order Page. Fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Are there Discounts?
All new clients are eligible for 20% off in their first Order. Our payment method is safe and secure.