Daily Economics

Objective: The purpose of this project is to (1) encourage you to see economics at work all around you in your daily life, and (2) sharpen your analytical skills in applying economic theory to real-world events.Task: Read The Gulf News, The National, popular newspapers and magazines from other countries, listen to the radio, watch TV, scan the internet and look for news events where you can see the principles and concepts we study in class playing out in business. Collect these articles or news events, and for each one explain how it is possible to see economic forces at work in the story. I am NOT looking for academic articles that explain economics. I am looking for articles that do not even mention economics, but that you can recognize the economics in the article because of what you have learned in the course. These articles must be published after January 1, 2021. You may not use articles that we have discussed in class or that are listed on Blackboard, plus you may check Blackboard to see projects that were handed in previously to get an idea of how and what to do.Grading: Each student is required to explain a certain number of concepts to be considered for a grade. After reaching the minimum number of concepts, the project will be graded for content, grammar and spelling, neat and professional presentation, timeliness in turning it in.You do not have a “number of articles” requirement; you have a “number of concepts explained” requirement. There is a list of possible concepts on the reverse side. VERY IMPORTANT: To be considered for an A grade, each student must explain 5 concepts.List of concepts that you can find articles to explain:⦁ Principle 1: People face tradeoffs⦁ Principle 2: Opportunity Cost: The cost of something is what you give up to get it⦁ Principle 3: Rational peoplethink at the margin⦁ Principle 4: People respond to incentives⦁ Principle 5: Trade (or Specialization) can make everyone better off⦁ Principle 6: Markets are usually a good way toorganize economic activity⦁ Principle 7: Governments can sometimes improve market outcomes⦁ The production possibilities frontier⦁ Absolute advantage⦁ Comparative advantage⦁ Demand curve: a change in the price of the good itself⦁ Demand curve: a change in income: normal good⦁ Demand curve: a change in income: inferior good⦁ Demand curve: a change in the prices of related goods: substitutes⦁ Demand curve: a change in the price of related goods: complements⦁ Demand curve: a change in the number of buyers⦁ Demand curve: a change in tastes and preferences⦁ Demand curve: a change in buyers’ expectations⦁ Supply curve: a change in the price of the good itself⦁ Supply curve: a change in input prices⦁ Supply curve: a change in technology⦁ Supply curve: a change in sellers’ expectations⦁ Supply curve: a change in the number of sellers⦁ A market equilibrium⦁ A market surplus⦁ A market shortage

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