• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Naked Economics: It Depends

Extracts from this document...

Introduction

Usman Majeed Mrs. Lee IB Economy 8/14/09 Naked Economics: It Depends Throughout the book Naked Economics are many instances where Charles Wheelan brings up an issue that is controversial or debatable. Essentially economics is the social science that studies the production, distribution, and consumption of goods and services. So what is the driving force behind production, distribution, and consumption? The answer to that is simply put, humans. People affect the economy in many different ways whether those ways are direct or indirect. Humans like nature are ever changing and cannot be controlled or manipulated. One would simply think that economics is a simple science that is based on fact and laws; however, unlike math where there is a definitive answer, sometimes economic answers depend on the situation. One golden example is the role government has to offer to the economy, is it, "Too big, too small, or just about right?" ...read more.

Middle

So what should have been done, a large role of the government or a small role? Well, it depends. Another prime example of an economic dilemma is a question proposed by Amartya Sen, the 1998 Nobel Prize Winner in Economics, "Three men have come to you looking for work" (Wheelan, pg 60). One of the three is very poor so hiring him would increase his welfare, the second is not poor but was just recently deprived, and the third has a chronic health condition. So if you are the employer who would you chose to most benefit the economic society you live in? Would you help the common welfare by choosing the poorest, or increase the esteem of the second, or help the third survive his health condition. The answer to this is tough and debatable, and has many solutions. One of the solutions could be to hire the one who has a health condition because he may be on the verge of death. ...read more.

Conclusion

A positive aspect of free trade is that it keeps different countries interlocked in a network of trust and fellowship thus preventing war, however, if trade goes badly the opposing country maybe provoked to indulge in war. A key concept of free trade however is cheaper prices, and maximum global efficiency can only be maintained by a tariff free international economy. The more efficiently allocated are the world's resources the less waste there is and more affordable goods will be prevalent for consumers. However, some economists say otherwise that international economics isn't as simple as increasing the efficiency of global trade. They believe that even though cheaper prices will become more available the jobs and companies on American soil will be less prevalent. Clearly the USA would want to favor their own citizen's jobs rather than the cheaper prices right? Thus the answer still stands with no correct answer but rather opinion based ones, should we do this or that? Similar to all the above questions in economics it sometimes depends. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Economy & Economics section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Economy & Economics essays

  1. GCSE Economics Coursework

    he gave me an estimate for the previous year's profitability, at approximately 25%. From this graph you can see that from 2002, the net profitability has increased by approximately 50%. In Q11, the owner talks about what actions he would take if the shop's revenue were to drop.

  2. Would you describe economics as a science?

    This distribution does not show the position of each individual and therefore does not show the properties of each individual, but it does accurately show the overall distribution of the population. The normal distribution is symmetrical, which means that the extremities cancel each other out.

  1. Split Votes: A Nation Divided on the Marijuana/Drug Legalization Debate

    The pioneers of marijuana prohibition did it based on their fear of other races. The politicians, who claim to be prohibiting marijuana for the country's best interest, are doing this for their own self-serving purposes. Today's society, as a whole, places a great deal of emphasis on being racially tolerant

  2. Retailing In India - A Government Policy Perspective

    Macroeconomic instability discourages long-term investment by making demand, prices, and interest rates difficult to forecast. Most foreign investment entered Brazil, for instance, only after the government stabilized its economy through the 1994 Real Plan. Competition is essential to diffuse the impact of foreign investment, for without competitive markets, the entry

  1. Fundamentals of Managerial Economics

    the United States by Country, April 2004.Although the United States is not currently importing a large amount of oil from Russia, Russia hopes to change that very soon. Russia is the world's second largest exporter of oil however their customer base is mostly European.

  2. Case Study: The Home Depot

    The first one is the economy. Although the US economy is not running that well nowadays, that is not a very bad thing because a lot of products of Home Depot are recession proof. Home Depot should focus on these kinds of products. Technical advancement is another item that stimulated the growth of the home improvement industry.

  1. The Quest for Optimal Asset Allocation Strategies in Integrating Europe.

    among all possible portfolios of risky assets. The segment above point MPV is called the efficient frontier, and it includes all of the efficient portfolios. When a risk free asset is available, then there is one Capital Asset Line with the highest reward to variability ratio (so-called Sharpe ratio; (expected return - risk free rate)

  2. The economics of smoking

    billion pieces in 2001 to an 76 billion pieces in 2002 while it also forecasted to fall to 74 billion pieces in 2003, consumption of RYO (be it consumers switching totally or becoming cigarette/RYO dualists) has risen such that 'true' cigarette consumption (including RYO at a cigarette equivalent of 0.4g per cigarette)

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work