Macro and Micro economics
The recent and current pandemic conditions give us new ways to view the various principles and theories we have been studying. Using our theories to explore those conditions helps us to understand these and others that may emerge. In particular, we all remember the toilet paper shortage, and we are still living with increased price of beef and pork (though perhaps the shortage has passed).
Read these two articles about situations with which you are undoubtedly familiar. https://www.theguardian.com/world/2020/apr/09/us-coronavirus-outbreak-agriculture-food-supply-waste
Use the theories we have been studying to explain what is going on in each of these two situations (they have similarities, but not exactly the same). Expect to use some or all of the following in your analysis; the list is in no particular order:
- Market structure, especially perfect competition and oligopoly. The supply problems in the toilet paper and meat markets often involve business-to-business sales that happen in the distribution chain from producer to end user. Think about the fact that enterprises operating in close to perfect competition may sell to firms operating in oligopoly; there may be market problems as a result.
- Shifts of supply and/or demand; shortages and surpluses, and impact on price.
- The role of economies of scale in producing these products
- Price elasticity of demand, and price elasticity of supply. Pay careful attention to the determinants of price elasticity of supply.
- Market failure – see the text’s discussion in chapter 3, and this resource https://courses.lumenlearning.com/boundless-economics/chapter/introducing-market-failure/
In addition to the accessing the site noted, I would expect you to do some research on the industries involved to find out the number of firms and some estimate of their market shares (yes, this is pretty easy to find). Of course, your text is a resource.
You may also look for other analyses of the two situations. If you do that, DO NOT EVEN READ BLOGS. And there are a lot of them. If you have ANY concern that something is a blog … send me the link and I will check it out. Clues to blogs:
- “Blog” in the URL.
- You read the “about” section on some web site and find that the author is a professional tourist or something equally irrelevant
- It comes up as something published by Forbes. While Forbes magazine is a credible business publication, the stuff that comes up online is … really really questionable.
One exception: a blog published recently by a professional economist would be an acceptable source, if you come across it. But … if you have any questions, ask me. I’ll check it out.
Investopedia, The Balance, and Wikipedia can be useful introductory sources of information. If you use them, you must cite them. However, if they are your only sources outside the ones I’ve given you, your grade will be reduced ½ of a letter grade from whatever the paper otherwise would earn.
I expect the paper will be about 1000 words. You should have a title page. You should have citations, and a reference page. You may use in text citations. Please do not use footnotes as citations. I actually pay attention to your citations and sources, and footnotes are hard for me to follow. Your citations and reference should conform to APA format. Here are some links for APA format.
- https://owl.purdue.edu/owl/research_and_citation/apa_style/apa_formatting_and_style_guide/reference_list_basic_rules.html
- https://owl.purdue.edu/owl/research_and_citation/apa_style/apa_formatting_and_style_guide/in_text_citations_the_basics.html
Other than references and citations, I do not require a particular format (so no, you don’t need to have abstract or running head).
I do expect that you will spell correctly, use correct grammar and punctuation, and have complete sentences.
Quotes are tempting, especially when you are trying to avoid even the hint of plagiarism. The APA information on in text citations should help. You do not need to quote definitions. In fact, don’t put them in at all. I know what these terms mean, and definitions are not someone’s intellectual property. The rule of thumb for quotes is one quote per page. Quotes (and close paraphrases) show what your sources know, not what you know.
