XECO212 Discussion Questions

Week 1

Discussion Question 1

View the following video about the financial crisis. In your opinion, what was the most important thing that you learned from the video? Why?

Inside the Meltdown - PBS
http://www.pbs.org/wgbh/pages/frontline/meltdown/

Discussion Question 2

If you could experience life 100 years ago, what is one significant difference you would notice about the world now and the world then? What does economics have to do with that difference?

Discussion Question 3

Select a product, which you purchased more than a year ago. How has supply and demand influenced the price of that product since you made your purchase?

Week 3

Discussion Question 1

After the Financial Crisis in the fall of 2008, we saw unemployment rise dramatically as businesses across the country laid off employees. Select one cause, which you believe has reduced the demand for labor and contributed to this increase in unemployment. Explain the connection between the cause, which you identified and increasing unemployment.

Discussion Question 2

This week we will also take a look at a new area of economics known as “Behavioral Economics.” This is the combination of economics with psychology. As part of your assignment this week, you may have already watched one or more of the 13 short videos located at: http://www.miroguide.com/feeds/9776?page=2&page=1

Select one concept from these videos, which you thought was particularly interesting and explain why you found it interesting.

Discussion Question 3

Another new area of economics, which we will also consider during week four, is known as complexity theory. Complexity theory deals with much more than economics. It is a study of systems, which exist at the edge of chaos and order. An economy is one of these systems. Complex systems are made up of 1) interdependent, but diverse entities; 2) these entities respond to their environments; and 3) these entities are capable of adaptation to changes in their environment.

This week, I would like to start thinking about the application of complexity theory to economics. Take a look at the materials below. What is something that your discovered about complexity theory, which you think can help us better understand how an economy works?

Complexity Materials

Wikipedia: Complexity Economics
http://en.wikipedia.org/wiki/Complexity_economics

Complexity Economics Video
http://www.youtube.com/watch?v=dBCk1f52Wvg
http://www.youtube.com/watch?v=Tm_UkQYQy7c

Fractals: Hunting the Hidden Dimension
http://www.pbs.org/wgbh/nova/fractals/program.html
http://video.pbs.org/video/1050932219/

Nova: Emergence
http://www.youtube.com/watch?v=HnO_MKHG_Lo&eurl=http://video.google.com/videosearch%3Fhl%3Den%26ei%3DPrRsSsmFCo7YsgOnhamWBQ%26resnum%3D0%26q%3Dcharacteristics%2520of%2520a%2520complex%2520system%26um%3D1%26&feature=player_embedded
http://www.youtube.com/watch?v=5E9DoN_5BjY&feature=related

July 2009 Newsletter on Complexity and Economics
http://markbarnes.us/Economics_Newsletters.htm

Week 5

Discussion Question 1

Fiscal policy involves the federal government using its taxing and spending powers to influence the performance of the nation’s economy. Given our current economic situation, if you could give Congress and the President advice concerning fiscal policy, what policy would you advise?

Discussion Question 2

Monetary policy is conducted by the Federal Reserve. It involves increasing or decreasing the money supply to push interest rates in the economy up or down. Given our current economic situation, if you could give the Chairman of the Federal Reserve advice concerning monetary policy, what policy would you advise?

Discussion Question 3

All policies have potential negative consequences. Select one of the positions you advocated in either DQ1 or DQ2. What is a potential danger to the economy that might result, if your advice is followed?

Week 7

Discussion Question 1

Select one spending related policy enacted by the Federal government to combat unemployment. Briefly explain the policy and how advocates of the policy believe that it will reduce unemployment.

Discussion Question 2

Select one tax related policy enacted by the Federal government to combat unemployment. Briefly explain the policy and how advocates of the policy believe that it will reduce unemployment.

Discussion Question 3

All policies have potential negative consequences. Select one of the policies you explained in either DQ1 or DQ2. Explain a potential danger or cost to the economy of that policy?

Week 9

Capstone Discussion Question

Select one concept from this class, which you think is particularly important to you. Briefly explain the concept and why you belief it is important to understand.