Question module 1 case study

05 Jun Question module 1 case study

Question
module 1 case study
Assignment: Write a 4-5 page paper that addresses the following questions. Be sure to use references within the paper to support your answers.
1.The production possibilities curve is an important model of how much an economy can produce given resources and technology.

a. What characteristic of the economy causes the production possibilities curve to bow outward. Explain.

b. Using the graph on page 7 on the online text (Bouman), what is the opportunity cost of producing more roses when the country moves from point B to point A? In other words, if the country wants to produce 80 more roses, how many guns does it have to give up? (numerical answer required)

2. The Circular Flow diagram is model of how the economy works. Explain how the model would change if the following events ocurred:

a. Households increase savings.

b. Drastic spending cuts are implemented by the government.

3. The online textbook identifies three types of economic systems, which one closely resembles the US economy. Explain and support your answer.

Case assignment expectations:

Use information from the modular background readings as well as any good quality resource you can find. Make sure you cite all resources you use and provide a reference list at the end of your paper.

LENGTH: 3-4 typed and double-spaced pages.

In addition to the overall quality, depth, grammar, and organization of the paper, the following will, in particular, be assessed:

1. The level of your understanding of the key concepts of the major economic models.

2. Some in-text references to modular background readings (APA formatting not required).

module 1 SLP

Choosing a Reference Organization
For the Session-Long projects, you will be asked to select an organizationto use as a focus for your application of economic ideas. You must use the same organization for all 5 SLP’s.

Just below is a link to a listing of 27 companies, all have common stock that has been issued to the public (called a public corporation), and all are on the most widely used index of how well or poorly the general stock market is doing, the S&P500 Index.

In the left column is the trading symbol of the company, if you have seen a stock ticker these are the symbols that crawl by. The next column is the company name, and the third is a brief identification of the industry the company is a part of. I have provided companies from several different industries so that you have a good variety from which to choose.

See company choices by clicking HERE

Using google will be an excellent way of finding out more details of what the main business is of the chosen company, and other general information that will be useful for the assignment. If you know how to use a financial data base you can use the trading symbol to access information, but this will not be necessary so do not worry if you do not know how to do this, the use of google should be more than sufficient.

For the Module 1 component of the Project, please address the following questions in a 2 to 3-page MS Word document:

1. Identify and briefly describe the organization you are going to use. Why do you think it will be an interesting focus for your application of economic ideas?

2. Pick two of the Big Ideas referred to in the Powerpoint presentation below. Discuss how they apply to your organization.

(link here)

3. Think about your firm in terms of the circular flow diagram. Explain the two roles of the firm and how it applies to your franchise.

Think about the financial situation for your reference organization. If you’re using an unconventional organization, you may have to get a little creative here.

4. Assess the overall financial health of your organization? What are good and bad signs, if any, in your assessment? Measures of financial health may include sales and/or profit increases or decreases, if employees are being hired or laid off, major new orders being placed or orders being cancelled. These are some but not all measures that could be looked at but if you are using an unconventional organization, you may have to get a little creative here.

SLP assignment expectations:

LENGTH : 2-3 typed and double-spaced pages.

In addition to the overall quality, depth, grammar, and organization of the paper, the following will, in particular, be assessed:

1. Your ability to apply economic concepts to a given single organization.

Macro-economic choices, particularly in the areas of fiscal policy, are not just about economics but about political philosophies, values and goals. This Case asks you to think about some of these dimensions.

1. Do all government purchases have the same effect on aggregate demand? Defend your answer with economic reasoning.

2. Suppose a country increases government purchases by $100 billion. Suppose the multiplier is 1.5 and the economy’s real GDP is $5,000 billion.

a. In which direction will the aggregate demand curve shift and by how much?

b. Why is the change in real GDP is likely to be smaller than the shift in the aggregate demand curve?

3. Read the Case in Point: Crowding Out in Canada in Section 12.3 (click here) and answer the following:

a. What is “crowding out,” and how does it reduce private investment?

b. Given that only certain types of government expenditures crowded out private investment, what are the implications for fiscal policy choices?

Case assignment expectations:

Use information from the modular background readings as well as any good quality resource you can find. Make sure you cite all resources you use and provide a reference list at the end of your paper.

LENGTH: 4 typed and double-spaced pages.

In addition to the overall quality, depth, grammar, and organization of the paper, the following will, in particular, be assessed:

1. Analytical skills that allow you to draw conclusions, questions 3,4 and 5 on federal budget projections.

2. Critical thinking skills, question 5, on formulating policy about budgetary matters.

module 3 SLP

Fiscal policies can have both subtle and major affects on almost all organizations. The purpose of this SLP assignment is to have you examine your organization regarding how it is affected by these economic variables and policies.

You are to place yourself in the position of being a paid lobbyist for your organization. Pick two or three major fiscal policy initiatives you would lobby Congress about. However, this is not in general, this is for your organization, not for the economy as a whole, so make sure to take that specific focus. Again, if you’re using an unconventional organization, you may have to get a little creative here.