contemporary economic problem
7 short answer question with each’s answer around 200 words. second part is 6 short answer with 100 words around. please follow the instruction in the attach file thank you. finish both part 1 and part 2
1. Which current proposal to save the Social Security System do you support? Using economic reasoning, explain why your preference is superior to the other proposals.
2. When a disease has no cure, people with the disease have no options. Suppose a prescription drug is invented but is so expensive that some patients cannot afford it. Should that drug be made available even though many citizens will not be able to avail themselves of it? Why?
3. Currently in the United States a terminally ill patient can decide to decline extraordinary medical treatment but in all cases, it is the patient and/or a designated 2nd party that makes the decision either with prior written instructions (a living will) or by making his/her wishes known to their health care provider. In the United Kingdom, the government can and does limit the availability of extraordinary medical treatment. Therefore; though care is free (or almost free) to a patient, it can berestricted, even if they want it. The United Kingdom contends that health care resources are limited and would be wasted by extending the life of a terminally ill patient by a few days or weeks…maybe a month. In your opinion, which is better or worse: the U.S. system where a patient may be denied care when he/she is unable to pay or the U.K. system where they are denied care because their treatment would not lead to a significant increase in their quality of life? Why?
4. Which do you think is fairer and more efficient: a system with regressive taxes, flat taxes or progressive taxes? Why? Your answer should include a definition of each tax type.
5. Discuss two economic cots of discrimination to individuals and two economic costs to society.
6. Why are some citizens concerned about the involvement of the government in the functioning of the market? Include in your answer a historical account of the growth of government expenditures and government revenues. In your opinion, should the US government be more involved in the economy to correct for market failures and income distribution or should it be less involved and let the market decide? Defend, using economic reasoning, why your answer is the better option to achieve the four goals of the economy. Your answer should include what those four goals are.
7. Do you believe there should be special assistance programs for those who lose jobs because of competition from foreign firms that go above and beyond the assistance available to those who lose their jobs for any other reason? Why?
Continue to PART II ONLY if you are not attending the in-class portion of the Final Examination on Monday, December 21st at 6:30PM
PART II – 6 questions – worth 5 points each
Your answer must meet the basic standards of composition. It needs to address the question; meet expectations for length and be written in complete sentences and paragraphs using correct grammar.
1. Identify an industry with barriers to entry and identify what the barriers are.
What impact so barriers have on the following and why do they have those impacts?
a) Market price
b) Industry output
c) Firm profits
d) Resource allocation
2. Explain what is meant by ‘deficient aggregate demand’ and ‘weak aggregate supply’ and explain how they affect the employment rate.
3. Explain the causes of inflation using the Quantity Theory of Money.
4. How do protectionists see free trade as harming human rights?
5. Define and explain the Capture Theory of Regulation.
6. Do you think Congress, rather than the Federal Reserve Bank, should vote on raising or lowering interest rates? Why or why not?