Measuring the Wealth
Justify the importance of using the market value of final goods and
services to calculate GDP, and explain why each component of GDP
Explain the equi
E-commerce vs. Traditional Business
By the development of the Internet, the number of Internet users are fast-growing, e-commerce
has came a trend. B2B, B2C, C2C three types of market are expanding, many traditional and mediumsiz
Could a tax on chocolate help fight obesity?
A UK doctor has suggested that chocolate should be taxed like alcohol
and cigarettes if the UK is to deal with its obesity epidemic. Excessive
consumption of chocolate is leading to very high rates of heart dis
Your Salary Goes
Up with a Degree
1. People respond to incentives. Governments can alter incentives and, hence, behaviour with
public policy. However, sometimes public policy generates unintended consequences by
producing results that were not anticipated. Try to find an unintended conseq
If you do not go ahead with production you would lose what was invested
which is $5 million.
If you go ahead with production it will cost an additional $1 million. =
Sales from the product will be $3 million. = Marginal benefit
Table of Contents
Note to the Third Edition
Economics and Life
Explain the economic concept of scarcity.
Explain the economic concepts of opportunity cost and marginal
Explain the economic concept of incentives.
Write a Commentary on white guilt (no less
than 100 words)
1. Define white guilt / guilt
2. Positive as well as negative effects of white
3. Do you agree with the writers opinion
concerning white guilt?
For example, suppose your father earned $17 000 in 1985 and $55 000 in 2005. Over those 20
years, has his standard of living increased?
CPI in 1985 = 72.7
CPI in 2005 = 150.6
$17 000 x (150.6/72.7) = $35 216 < $55 000
Comparisons of Trends in GDP and Economic Well-being - the
Impact of Social Capital
This paper discusses the connection between social capital and trends in economic
well-being. Although arguments for the growth-enhan