Naked Economics Essay Example

Naked Economics Paper Chapter 1: The Power of Markets 1. What are the two basic assumptions that economists make about individuals and firms? The two basic assumptions that economists make about individuals and firms are that they attempt to maximize their utility using the available resources and that they want to make the most amount of profit possible. 2. What is the role and significance of prices in the market economy? Prices in the market economy are extremely useful because they help gauge what consumers want and how badly they want it. High prices indicate strong consumer desire for that product while low ones indicate little interest. 3. What’s so great about a market economy anyway? A market economy is so good because it corresponds with normal human behavior and allows for optimum allocation of resources. It may not be completely fair, but it is the most stable and best option compared to a communist system. Chapter 2: Incentives Matter 4. Explain how each of the following relates to efficient outcomes in a market economy: adverse selection, â€Å"perverse incentives†, principal-agent problem, and the prisoner’s dilemma. Adverse selection hinders efficient outcomes in a market economy because it involves one party in an economic action having less information than the other, therefore it might agree to buy a certain product or service and pay for more than what it gets (or vice versa if seen from the ignorant seller’s perspective). The avoidance of negative perverse incentives leads governments into better policy making and achieving the desired economic effect and increase in efficiency. We will write a custom essay sample on Naked Economics specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Naked Economics specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Naked Economics specifically for you FOR ONLY $16.38 $13.9/page Hire Writer If the principal-agent problem is addressed correctly, business managers and employees will strive to improve the product or service and achieve economic growth in the long run because it is beneficial to them, not only the owners. The prisoner’s dilemma will probably lead to an inefficient outcome in which both parties involved will not achieve maximum profit. The only time this isn’t the case is when agreements and communication exist between the parties and they both agree on an action and thanks to that, achieve higher profits. This though is normally prohibited by government in order to prevent monopoly power. Chapter 3: Government and the Economy 5. In your own words, explain what an externality is. An externality is the cost or benefit that the production, selling, use, or even existence of a product or service has positive or negative effects on people that were not involved in the transaction. 6. Besides addressing externalities, what other important and beneficial roles does government play in our market economy? Government tries its best to reach a more equitable income distribution through the use of taxes, provides for public services that would otherwise be produced inefficiently if produced privately, and provides a law system which also prevents monopolization of industries and coalitions between powerful firms to protect consumers from monopoly prices. Chapter 4: Government and the Economy II 7. What are the main reasons why government should only take a limited role in a market economy? Government should only take a limited role in a market economy because if let to function freely, a market economy will achieve considerably efficient outcomes and only need few regulations and assistance with public goods in order to maintain competition and fairness. These functions should be executed with moderation because excessive control and regulation of the market will lead to inefficiency and maybe even market failure.

Functionalist and Marxist Perspectives on Social Stratification essays

Functionalist and Marxist Perspectives on Social Stratification essays Social stratification refers to the presence of distinct social groups which are ranked one above the other in terms of factors such as prestige and wealth (Haralambos group or stratum will have some awareness of common interests and a common identity. They also share a similar lifestyle which, to some extent, will distinguish them from members of other social strata (Lenski, 1984). Social stratification involves a hierarchy of social groups and they either enjoy or suffer the unequal distribution of rewards in society as members of different social groups. Four principles are identified which help explain why social stratification exists. First, social stratification is a characteristic of society and not merely of individuals. Second, social stratification is universal but variable. Third, it persists over generations and fourth, it is supported by patterns of belief. There are different sociological perspectives which have been put forward about social stratification; the Functionalists and the Marxists. A Functionalist, (Parsons, 1954 in Haralambos that stratification systems derive from common values. He proposes that those who perform successfully in terms of society's values will be ranked highly and they will be likely to receive a variety of rewards. At a minimum they will be accorded high prestige because they exemplify and personify common values. He also states that because different societies have different value systems, the ways of attaining a high position will Functionalists tend to see the relationship between social groups in society as one of co-operation and interdependence. Each group in society may specialize in a different activity, so no one group is self sufficient; they must therefore exchange goods and services with other groups (Lenski, 1984). This relationship is extended t...

International Football Management Essay Example | Topics and Well Written Essays - 1250 words

International Football Management - Essay Example The recent injury to Robin Van Persie will keep him out for five long months; he picked up this injury playing for his national team Holland. He plays for Arsenal in the Barclays Premier League and his club lost to Chelsea yesterday. He would have made some difference had he been on the field. Arsene Wenger the manager of Arsenal must be feeling hard done by and this situation is very common. Even Wayne Rooney was injured on international duty and missed several games for Manchester United. Christiano Ronaldo is another player who was injured playing for Portugal and as an inevitable result of which missed several games for his present club Real Madrid. The managers of these illustrious clubs unwillingly release players because they know the consequences should their star players get injured. FIFA has firmly instructed all the clubs to release players for International duty; some clubs impede this rule set by FIFA by faking injuries. This prevents the players from playing for their n ation; this also ensures that they play injury free for their clubs. "Mark Viduka and Harry Kewell have failed to report for duty with the Socceroos and Australia coach Frank Farina has expressed his frustration at their unavailability for Wednesday's friendly against Venezuela in Caracas. Liverpool winger Kewell stayed in England on medical advice. 'I've been told by two doctors I wouldn't be advised to go on a plane for that long because it (injured ankle) would swell up. Meanwhile, the Australian Soccer Association (ASA) turned down a written request from relegation-threatened Leeds to keep Viduka and expected him to show up for training." (ESPN) This was the situation in 2004, clubs did whatever they could to ensure that their players stayed fit. This situation has become all the more worse now, players themselves want to play only for their clubs because they get much more money playing for their clubs than for their nation. This money factor is a very big driving force, which de-motivate the players from playing for their country. "Cristiano Ronaldo was due to join Portugal's squad on Tuesday for medical tests ahead of the World Cup playoff despite Real Madrid's insistence that his ankle is still injured. Madrid, which paid a world-record 94 million euros (C$148 million) to Manchester United for the winger in the off-season, had initially balked at allowing Ronaldo to travel as he hasn't played in a month." (Ronaldo) According to the rules set by FIFA a club cannot stop international authorities from conducting fitness tests on a player, fitness tests were conducted on Ronaldo too and it was found that he was seriously injured. Portugal qualified after playing the World Cup play off but this again goes to show the breach of rules set by the governing body of football. "Ronaldo was hurt during Madrid's Champions League match with Marseille on Sept. 30. He then aggravated the injury while playing for Portugal in a World Cup qualifier against Hungary on Oct. 10 and hasn't played since. The Portuguese Football Federation said all other players from Spanish clubs must travel to Portugal on Wednesday, after Tuesday's Copa del Rey matches." (Ronaldo) The African cup of nations is another tournament that brings out this tug of war between clubs and countries. This January the African Cup of Nations

Music and I Assignment Example | Topics and Well Written Essays - 2000 words

Music and I - Assignment Example Essentially, the playlist motivates me to be comfortable with who I am, not to succumb to fear, to have a positive outlook towards life, and to be thankful of the people who make my life worthwhile. The process of creating this playlist was informed by songs that have helped me overcome different types of challenges in life. The songs are arranged according to the importance they have played in my life in as far as my making me a better person and my overall wellbeing is concerned. Bob Marley’s â€Å"Redemption Song† is a solo recorded acoustic song with very interesting aspects. The beat in the intro is quite unique in that it seems disposable and is not repeated again throughout the song. The rhythms seem syncopated. The song ends on an unusual beat. The limited use of instruments in the song, considering that only an acoustic guitar is used further enhances the mood of the song. Bob’s tempo increases towards the bridge as if he is trying to really force a message on the listener. According to Sylvan (2002), although some songs are not religious in nature, they contain somewhat spiritual and religious messages. This song is one of those songs that helps me to identify with my inner self and focus on aspects of my spirituality thus improving my wellbeing. According to White (2010), the ability of people to achieve wellbeing usually depends on their geographical settings. Labi sang this song as a protest to apartheid and in a bid to encourage black people in South Africa not to give up despite the oppressive political environment. The vocals in this song are simply amazing. Labi has such a wide vocal range that it is difficult not to be drawn to the song even as a first time listener. The song serves as a form of encouragement to me whenever I feel like certain conditions are inhibiting my personal growth. I sing along to the song and I learn how to derive strength from my inner self and not to rely on other

Oil trade btween china and saudi arabia Essay Example | Topics and Well Written Essays - 500 words

Oil trade btween china and saudi arabia - Essay Example China’s oil use improved from 4.7 million barrels per day to roughly 7 million barrels between 2000 and 2005. She derived Forty-three per cent of this oil from imports. China is the world’s second leading net importer of oil after the US, having surpassed Japan in 2008. Within the energy division, China today is capable of absorbing rising amounts of Saudi (heavy) oil in contrast to a decade ago. This is because it is importing huge quantities of oil as well as due to the alteration and expansion of its refining power. This has made Saudi Arabia to be China’s principal foreign source of oil. At the same time, it is making China the Kingdom’s foremost crude oil customer. The most striking development however is China’s economic growth, which arrived at over 9 percent per annum between the year 1978 and 2005 (Sfakianakis 2009). With slight intelligibility at the uppermost levels of government and discretion, Saudi Arabia and China are both mysterious states. Both states are overriding in their own regions. China is a key actor all through East Asia while Saudi Arabia is the motivating force behind the six-nation Gulf Cooperation Council (GCC). Both states are also frequently lone actors on the world phase, regional and worldwide coalitions as well as group discretion. This happens when they consider their own welfare not to be entirely allied with those of other states. This is owing to their ideological underpinnings in addition to their important planned positions (Matthews, 2010). There are prospects that China will supply Saudi Arabia with a growing quantity of weapons systems, probably together with nuclear technology due to this new tactical framework of oil trade. Saudi Arabia’s move to China as a main military weapon provider will come about due to two reasons: First, it will result from price contemplation, and secondly, it will result from anxiety

Mauritius Islands As A Destination

Mauritius Islands As A Destination The destination marketing plan will be based on a small island, which is not even visible on the world map, called Mauritius. It is a volcanic island of lagoons and beaches in the Indian Ocean, it is known for its stability and racial harmony among its blend of population. It is an island situated at about 900 kilometres east of Madagascar and about 3,943 kilometres south-west of India. (Blunt 2005) It has more that 150 kilometres of beaches and the lagoon is protected by the worlds third largest coral reef. Its population is estimated to 1,2 million which forms a blend of cultures from India, Africa, Europe and China. Mauritius was discovered by a Portuguese sailor, Don Pedro Mascarenhas. It was occupied by the Dutch (1598 1710), French (1715 1810) and British (1810 1968). It gained its independence on the 12th March 1968 and its Republic status on 12th March 1992. It has a democracy based on the British democracy. The currency used there is the Mauritian Rupee, made up of 100cents and its capital city is Port Louis. The Mauritian economy is dependent upon the textile, tourism and sugar industry. Currently the destination is attracting tourist mainly from European Countries and the destinations current mission to keep its loyal customer and promote in countries where people are not aware of Mauritius as a tourist destination. They want to maintain the image of Mauritius as being a paradise to their current markets. The Destination would want to regain the French market following the chikunguya disease, to attract more tourists from American countries and become the number one tourist destination in the Indian Ocean. Jobber (2004:210) defines segmentation as the identification of individuals or organizations with similar characteristics that have significant implications for the determination of marketing strategy. In other words it means dividing a segment into sub-segments because customers differ in tastes, needs, attitudes, lifestyles, family size and composition. Identifying these submarkets will help the destination to serve its customers with similar requirements efficiently and effectively. The more a destination knows about its customers the better they will be able to satisfy their needs. A segment is identified by dividing them according to the purpose of travel, the buyers need/motivations and benefits sought, the buyers behaviour, their psychographic profile, the price of the ticket and the demographic, economic and geographic profile. The identified segments for Mauritius were people aged 25 and upwards with a medium to high income per year, because the price of a ticket for the destination is around  £600  £700 and the life cycle identified was newly married couples, full nest II, empty nest I and empty nest II. It has been found that it is mostly leisure tourists that come to the destinations and their motivation honeymoon, young married couple seeking paradise for their honeymoons, looking for a quiet place, this applies to retired people, families willing to escape the European winter and seeking sea and beach holiday, individuals seeking for water- sports and tourist coming for cultural interest. Most of the tourists coming to Mauritius are Loyal and spend a lot during their stay. Regarding price, tourists are quite sensitive to this variable when the price is high less tourist travel to the destination when the price is reduced more tourists travel. Price is also an indicator of the perceived quality, s o when playing with the price variable one should be careful of the quality that it is going to reflect. Market Positioning Position is about the perceived image of the destination by customers compared to other nearby destinations. Customers has this perceived image of Mauritius being paradise when they look at the brochure and see the white sandy beaches and the turquoise ocean. This perceived image would help to make the island the number one destination in the Indian Ocean. Marketing Mix/branding image The marketing mix is defined as a combination of controllable variables that can be used to achieve the desired levels of sales in target markets. This combination is known as the 4 Ps, which includes product, price, place and promotion. Product In terms of the tourism industry, the product covers the complete experience from the time a tourist reaches their destination to the time he/she leaves. Therefore the tourism product is a mixture of attraction and facilities at the destination, facility and destination. The role of marketing is to increase awareness of the product, improve their presentation and their delivery to customers. One has to bear in mind that when a customer buys a tourism product they are actually buying the expectation of benefits; it is the benefits that are the product. Thus the product should match customers needs. The tourism product comprises of five components: Destination attractions and environment Destination facilities and services Accessibility of the destination Images of the destination Price to the consumer (Middleton 1994) The destinations approach to the product mix will be doing a market research to see what customer perceptions of the product are and used the information meet their needs. It can also be done on non-users to see what attraction or facilities the destination will need to build up. To attract more customers the destination will introduce packages made by tour operators such as when tourists staying in certain hotels they will have free admission at certain attraction. This type of package will particularly suit families. Extending the usage of the products will help to achieve this strategy as well, such as offering one free night to customers if they are staying for a weekend. The destination could also introduce an airline, like Ryanair in Europe, which would do flights in the Indian Ocean only, such as flights from Mauritius to other island in the Indian Ocean at a low price. Price Tourism businesses deal with different segments at the same time and they frequently use different price for the different segments. Pricing is a very complex decision due to the high degree of competition and the inaccuracy in forecasting levels of demand. It may vary not only because of the industrys characteristics but also due to other factors such as weather, terrorism and strikes. There exists no universal way of pricing, price will always vary. Pricing acts as an indicator of quality, thus it can be used to assess quality before purchase. The characteristics that affect pricing are the following: Perishability: Intensive capital investment Cost of intensive staff employed Customers characteristics Regarding pricing the destination will use a low pricing strategy at the beginning to encourage long-run demands, capture market share from competitors and discourage any potential new entrant to enter the market. If it is observed that there is a high proportion frequent customer, this means that the customers are satisfied with the product and customer loyalty has been created. Then price could be raised at a reasonable level to maximise profits. The price could also be lowered during off-peak season to attract customer and non-users as well that could try the destination. Special price could be given to newly married couples for their honeymoon, if they did like the destination by word of mouth they will tell it to their other friends who might use the destination for their honeymoons. (Ernie 1992) Place Place is the element of the marketing mix which includes channel of distribution and physical distribution. Channel distribution includes tour operators, retailers and travel agents. Channels should be chosen according to the other the other three marketing mix. Choice of location, which is the point of sale, should be well located to increase the flow of customers (Ernie 1992) Since we already know who our target markets are the destination will choose tour operators which specialize in their target market and travel agencies that are located where their target market are. For instance if the destination is targeting at families they will choose a travel agent that is specialize in that market and located in area where families live. Since the destination is aiming at non- users they will have to find an operator in these countries. Promotion Promotion mix consists of four elements: advertising, personal selling, publicity and sales promotion. They are designed to create excitement and interest about the destination. These elements should communicate similar, consistent and non-conflicting messages to each of their target markets. (Ernie 1992) The aim of the destination is to increase advertising in targets market countries and in non-users countries as well. Mass media advertising and aggressive advertising will be used to send the message that Mauritius was made first and then heaven; and that heaven was copied after Mauritius. This message will be sent through the use of televisions, radios, newspapers and billboards. Market research could be use here to see what image our target markets have of the destination and use it for the advertising. The destination will advertise in trade magazines to reach tour operators and travel agents. The destination will use travel agents as an intermediary for personal selling and they could also be used as a way of promoting the destination. Using sales promotion would help to achieve the objectives mentioned earlier, the destination will use price promotion, special merchandise use to promote the destination and familiarization tours for travel agents. Price promotion could be used w hen there is festival going on at the destination, such as the Independence Day, which would include discount on attractions, restaurants and hotels. Selling merchandise such as T-shirts, key chains and souvenirs will help to promote the destination by word of mouth when tourists go back to their countries, this might encourage prospective customers to visit the destination. Familiarization tours are free trips for travel agents to let them experience the tourist destination before the customers. This would be for travel agents operating in an area where there non-users of the destination, the travel agents would be able advise non-users on the destination. Promotional impact can be managed by carefully managing the four elements of the promotion mix. TALC Tourism Area life Cycle Tourism Area Life cycle a framework concept by Buttler (1980) highlights the tourism attractions and resources of a particular country. It mainly involves according to Butler (1980) a six stage evolution of tourism namely exploration, involvement, development, consolidation, stagnation and post stagnation. . Mauritius Island can be classified between a Development stage and stagnation in the TALC (buttler 1980) more people are reaching Mauritius (see tourist Arrival stats) by years, more people discover the destination, and the word spreads about its attractions and the amenities which are increased and improved ( development) with the approach of the carrying capacity* (define below next content) stagnation rise with the social and environmental limits. Buttler (1980) mentioned that a rise from Exploration to Stagnation happens very rapidly, as implied by the exponential nature of the growth curve. As this is the case for Mauritius in a rise of infrastructure, development in Technologies, improving services for quality customers. For Instance carrying capacity clearly explains the rest of the situation. Carrying Capacity Definition of carrying capacity Carrying capacity can be defined as the maximum number of people who can use a site without an unacceptable decline in the quality of experience gained by visitors (karma;2001 65) .Lime(1976) points to a substantial expansion of the meaning of carrying capacity from a focus on numbers of visitors to the entire topic of how to plan and manage a particular recreation resource . Findings in Carrying capacity Carrying capacities are usually determined for the planning area involving features of key attractions, development sites and even the tourist transit point. The carrying capacity analysis implying the institution of upper limits on development in other words, the number of tourists in terms of days, feedbacks and market forecasts, Moreover, carrying capacities can be established both for the developing as well as developed tourist destination.( Kamra;2001:68) he also argues that carrying capacity analyse most the number of tourist arrivals to the number of inhabitants in the destination area, in a result they found to be genuinely measuring the elements of socio-cultural environment and physical. More elements such as economical and infrastructure issues are to be seen as a part of the carrying capacity. A source of pollution can be a source of major problem in an environmental aspect, for example the beaches in Mauritius are well preserved by the government and by the hotels themselves, pollution (land) might affect the tourism industry, if not taken into consideration it might result to a decrease in tourist arrivals in the destination, this one major issue can be classified as being a physical more on that is the preservation of wild life animals, the animals in Mauritius Island such as the kestrel and the Mauritian Parakeet are unique in the species, preservation of those natural resources have large impacts on tourism industry. Economical benefits are mostly crucial for the government of Mauritius, as this is tourism industry is being as a major source of income, tourism industry also bring employment for the local communities for example hotel resorts have been built in the coastal areas. SWOT ANALYSIS SWOT SWOT, is a tool use to evaluate the Strengths, Weaknesses, Opportunities and Threats of the destination. The aim of SWOT is to isolate the key environmental factors that are important to the destination. Strengths: Distinctive and exotic environment Mauritius is known for its exotic environment and its natural park. The opening up of new hotels Lately in Mauritius there a lot of new hotels opening up, this is an advantage for the island because now they accommodate more tourists than before. High purchasing power for tourists  £1 = Rs 63.6447, which means that with  £1 UK tourist could more things in Mauritius than in their country. (Anon 2006) Excellent service provided by hotels The tropical island is not also known for its physical asset but also for the high quality service provided by hotels. (Anon 2005) Weaknesses: Diseases Lately in Mauritius there has been a disease, chikunguya, which is caused by mosquito bites and because of this the number of French tourist has declined. Language Barrier Although the official language is English, not all Mauritian speak English and It is hard for tourist to communicate since most of the tourists are English speaking. Long haul flights The flights to Mauritius from Europe, America and Asian countries is a 12hr flight, which is very tiring. Opportunities: Exploit Golf tourist market It has notice that golf tourist spend a lot when they come to Mauritius, thereby Mauritius try to attract more golf tourist to maximise their revenues. Growth in Spa tourism New air routes such as flight to Russia has been open thus creating a new market and if exploited wisely could bring in more revenues for the island. Increase in the number of flight to Mauritius There are now two new airlines doing the flights to Mauritius, TUIfly Nordic and Corsairfly. (Chateau 2006) Threats: Competition Future competition from the surrounding islands might be an issue; Mauritius will have to find a way of gaining the competitive advantage over them. Tsunamis Following the tsunami that hit Indonesia in December there were some minor effects felt in Mauritius. Since that time there are still some tourists that feel it is unsafe to visit the island. (Anonb 2006) Recommendations: Mauritius Island has the best possible ability to become the pioneer in Tourism industry in the Indian Ocean , The Government of Mauritius understand very well the importance of Tourists for the Economy, the improvement of the Hotels infrastructure is to be made ( now in process 2008-2010 project) , the preservation of the wildlife park such as the rare animals and rare plants species, the introduction of a new airport also under future planning of the Government, the size of tourists arrivals is increasing with years and several discounts on Air Fares are available. 2665 words

Humes Wide Construal of the Virtues Essay -- Hume Virtues Virtue Phil

Hume's Wide Construal of the Virtues ABSTRACT: The term "virtue" has traditionally been used to designate morally good character traits such as benevolence, charity, honesty, wisdom, and honor. Although ethicists do not commonly offer a definitive list of virtues, the number of virtues discussed is often short and their moral significance is clear. Hume's analysis of the virtues departs from this tradition both in terms of the quantity of virtues discussed and their obvious moral significance. A conservative estimate of the various virtues Hume refers to in his moral writings would put the number at around seventy, with the more untraditional ones including wit, good manners, and dialog. Unsurprisingly, Hume's critics have attacked him for making nonsense of the concept of virtue by construing it so widely. Hume was aware that his broad understanding of virtue was controversial and he offered several defenses for it. After presenting the neglected attacks of his contemporaries along with Hume's response, I argue that a problem remains: by failing to distinguish between degrees of virtue, Hume also fails to distinguish between degrees of vice. But, some vices (e.g., malevolence) clearly deserve punishment whereas other alleged vices (e.g., uncleanliness) clearly do not. Thus, for adequate retribution, a distinction is needed between important and less important virtues and vices. I conclude that Hume could have used his own account of instinctive vengeance as a natural indicator for distinguishing between important and unimportant vices. The term "virtue" has traditionally been used to designate morally good character traits such as benevolence, charity, honesty, wisdom, and honor. Although ethicists, past and present, do ... ...f John Leland's A view of the principal deistical writers..., in the Monthly Review, 1757, Vol. 14, pp. 465-477, and in the Critical Review, 1756, Vol. 1, pp. 193-208. (12) James Beattie, Essay on the nature and immutability of truth in opposition to sophistry and scepticism. 1770, Edinburgh, A. Kincaid and J. Bell, pp. 421-448. (13) "Character of the Works of David Hume Esq," in The Weekly Magazine or Edinburgh Amusement, 1773, Vol. 22, pp. 233-234. (14) "Tobias Simple," "Strictures on the account of the life and writings of David Hume," in Weekly Magazine, or Edinburgh Review, 1777, Vol. 38, pp. 289-292. (15) C. L. Stevenson, Ethics and Language, (New Haven: 1944), pp. 34-35. (16) Pall S. Ardal, Passion and Value, (Edinburgh: Edinburgh University Press, 1966), pp. 160-161. (17) J. L. Mackie, Hume's Moral Theory, (London: Routledge, 1980), p. 129.