Okay - I was very excited to see that Dr. Z had the scores ready for us before I left from summer school to take my vacation. Overall, I am absolutely DELIGHTED with how you guys did! This was not an easy class for you, I know. An 84% passing rate is awesome. Congratulations - most of you should get college credit for your very hard work!
Breakdown:
4 - 5's
9 - 4's
8 - 3's
with 4 people who had 2's and 1's.
I think some of you surprised yourself! After comments you gave me after the test (well, and before the test!) -- those same people did very, very well. I'll use my favorite comment one last time - you knew it better than you thought you did. :)
Have a terrific summer - enjoy your start in college, and have a great time!
KM
Wednesday, July 30, 2008
Sunday, June 15, 2008
Have a terrific summer!
I hope all of you have a great summer - enjoy graduation stuff (today!), have some fun, get set up in college - all that terrific stuff.
Thumbs up for a great year!
Thumbs up for a great year!
Wednesday, May 14, 2008
A few more questions from you...
Phil asked: "What is the technical term for an economic recession? I used to think it was when we have a negative GDP, but if we're in a recession now, it must not be, 'cause I'm pretty sure that our GDP is declining but still positive."
The generally accepted definition is 3 quarters of negative real GDP. Most economists will say we're NOT in a recession, but are heading that way, for exactly the reason you state - we have declining GDP, but not negative. The problem is...when the "r" word comes out, people panic and send it spiraling lower...and lower...and lower...you get the idea. Self-fulfilling prophecy, anyone? :)
There are some people who will say that this definition is no good, because (insert any reason here). These are the people who find where we're at now and say "recession! recession!" and when they are told it's not one, don't like being told they don't know. There are other economists who say that there is more to it, but it all comes down to - is GDP in the negative? If not, no recession.
And Melody asked: "is jail always free? i know a guy in fort who went to jail for three years about ten years back. they had him paying 27 dollars a day to pay for his "rent" and food. thats an aweful lot of money when you can't be making any."
I have no clue! I know that when you're in jail or prison, there are often jobs you are able to do for a few cents a day, but it's never that much. It may have been part of his punishment...maybe?
The generally accepted definition is 3 quarters of negative real GDP. Most economists will say we're NOT in a recession, but are heading that way, for exactly the reason you state - we have declining GDP, but not negative. The problem is...when the "r" word comes out, people panic and send it spiraling lower...and lower...and lower...you get the idea. Self-fulfilling prophecy, anyone? :)
There are some people who will say that this definition is no good, because (insert any reason here). These are the people who find where we're at now and say "recession! recession!" and when they are told it's not one, don't like being told they don't know. There are other economists who say that there is more to it, but it all comes down to - is GDP in the negative? If not, no recession.
And Melody asked: "is jail always free? i know a guy in fort who went to jail for three years about ten years back. they had him paying 27 dollars a day to pay for his "rent" and food. thats an aweful lot of money when you can't be making any."
I have no clue! I know that when you're in jail or prison, there are often jobs you are able to do for a few cents a day, but it's never that much. It may have been part of his punishment...maybe?
Wednesday, May 07, 2008
Unbelievable...
Like this spring hasn't been hectic and crazy enough, there's more, folks! I have a bad case of sciatica, and am officially on doctor's order for complete bedrest at least until Tuesday. I know, I know...like it couldn't have come at a worse time.
The good news is - we've finished all new material.
The bad news is - pretty obvious.
I asked for the same sub to be in the room from Thurs through Tues, and I requested either Mrs. B or Mr. Rybicke. I had already sent out for copies of some free response questions, etc - I will probably come by later tomorrow (Thurs) afternoon to get things set up.
I can't tell you how upset I am about this, but the doc told me that if I continued walking or sitting, I was facing possible permanent damage, which obviously is not a great plan.
You guys have all the info you need - use your time in class wisely for studying as much as you can. If you have questions, post here or email. If I am awake during your class periods, I will try to call to see if you have any questions that I can answer without drawing on the board. :)
I will point out that they have me on some pretty intense meds, so colors look extra pretty right now...
KM
The good news is - we've finished all new material.
The bad news is - pretty obvious.
I asked for the same sub to be in the room from Thurs through Tues, and I requested either Mrs. B or Mr. Rybicke. I had already sent out for copies of some free response questions, etc - I will probably come by later tomorrow (Thurs) afternoon to get things set up.
I can't tell you how upset I am about this, but the doc told me that if I continued walking or sitting, I was facing possible permanent damage, which obviously is not a great plan.
You guys have all the info you need - use your time in class wisely for studying as much as you can. If you have questions, post here or email. If I am awake during your class periods, I will try to call to see if you have any questions that I can answer without drawing on the board. :)
I will point out that they have me on some pretty intense meds, so colors look extra pretty right now...
KM
Saturday, May 03, 2008
Answers to some of your questions
Hey everyone -
I've gone back through lots of posts (finally, I know!) and want to comment on some of your comments.
Although we are doing Micro, lots of you have questions on Macro (recession, etc) - understandably. :) If you're interested, go to Taylor's blog (3 posts on cutting jobs, the weak dollar, and gas prices), and...well, I'm sure I'll add more in here later. And Phil's. And Savannah's. And Laura's. And Jake's. And Abby's. And Tony's (counterfeit money = good thing?). :)
Morgan asked what a recession is. The official (economic) description is a time period when GDP (the dollar value of all goods & services made in the US) is negative (not just falling) for at least 3 quarters (which would be 9 months). Are we "officially" in a recession? No. We've had falling GDP, not negative. Do I think that's where we're heading? Yep. And the fear of a recession makes it worse, because people stop spending, which means that things aren't being made, which makes GDP fall more.
But remember - we have always had recessions, and always will. It's a cycle (that's why it's called the "business cycle"). For an economy to be healthy, we can't be in times of prosperity all the time. Easy to say, of course, but it's not my job on the line. There's an old joke - it's a recession when your neighbor loses their job, but it's a depression when you lose yours.
Actually, the thing that is more concerning should be the rising prices. It's not common for inflation to occur when GDP is falling or in the negative. This happened in the 1970's - it's called stagflation. The real problem comes in trying to "solve" the problem. The common treatments for high inflation would make a recession worse. And the usual way to treat a recession will make inflation worse. So...what to do?
And - the Great Depression was not a time of inflation - it was a time of deflation. You want to see the government and the Federal Reserve get their undies in a fix? Talk about deflation happening. They are more scared of that than inflation, x100. It's a scary time. Prices keep dropping...and dropping...and dropping. Yeah, kind of cool for our budgets, but think of what it does to businesses. And (Brent will enjoy this one) Walmart has been accused of causing deflation in the US as close as about 2 years ago.
But for now, focus on the Micro more. We'll hit some Macro after the test. :)
There's also some interesting discussion on Phil's blog about universal health care. Curious...is it economics, or is it politics?
Hmm...and pricing, on Melody's blog ("Antiquing it up"). Although I will admit I'm biased. It's my favorite hobby. I have all kinds of crap...er...treasures from roaming through second-hand stores and hitting live auctions.
Food shortages, on Maggie's blog. What happens when the cheapest food source in the world is rationed?
And taxes, on Maggie's blog. We live in one of the highest-taxed states in the country. Scary - or necessary?
Later -
I've gone back through lots of posts (finally, I know!) and want to comment on some of your comments.
Although we are doing Micro, lots of you have questions on Macro (recession, etc) - understandably. :) If you're interested, go to Taylor's blog (3 posts on cutting jobs, the weak dollar, and gas prices), and...well, I'm sure I'll add more in here later. And Phil's. And Savannah's. And Laura's. And Jake's. And Abby's. And Tony's (counterfeit money = good thing?). :)
Morgan asked what a recession is. The official (economic) description is a time period when GDP (the dollar value of all goods & services made in the US) is negative (not just falling) for at least 3 quarters (which would be 9 months). Are we "officially" in a recession? No. We've had falling GDP, not negative. Do I think that's where we're heading? Yep. And the fear of a recession makes it worse, because people stop spending, which means that things aren't being made, which makes GDP fall more.
But remember - we have always had recessions, and always will. It's a cycle (that's why it's called the "business cycle"). For an economy to be healthy, we can't be in times of prosperity all the time. Easy to say, of course, but it's not my job on the line. There's an old joke - it's a recession when your neighbor loses their job, but it's a depression when you lose yours.
Actually, the thing that is more concerning should be the rising prices. It's not common for inflation to occur when GDP is falling or in the negative. This happened in the 1970's - it's called stagflation. The real problem comes in trying to "solve" the problem. The common treatments for high inflation would make a recession worse. And the usual way to treat a recession will make inflation worse. So...what to do?
And - the Great Depression was not a time of inflation - it was a time of deflation. You want to see the government and the Federal Reserve get their undies in a fix? Talk about deflation happening. They are more scared of that than inflation, x100. It's a scary time. Prices keep dropping...and dropping...and dropping. Yeah, kind of cool for our budgets, but think of what it does to businesses. And (Brent will enjoy this one) Walmart has been accused of causing deflation in the US as close as about 2 years ago.
But for now, focus on the Micro more. We'll hit some Macro after the test. :)
There's also some interesting discussion on Phil's blog about universal health care. Curious...is it economics, or is it politics?
Hmm...and pricing, on Melody's blog ("Antiquing it up"). Although I will admit I'm biased. It's my favorite hobby. I have all kinds of crap...er...treasures from roaming through second-hand stores and hitting live auctions.
Food shortages, on Maggie's blog. What happens when the cheapest food source in the world is rationed?
And taxes, on Maggie's blog. We live in one of the highest-taxed states in the country. Scary - or necessary?
Phil also commented on Laura's blog about requiring personal finance for HS graduation. You guys are just good at finding things close to my heart. This is one of the things I've been working with the state Dept of Instruction on for the last couple of years. There are state standards in personal finance, but they are not required. Our district, though, plans to incorporate them. It's one of the reasons why I'm so behind on stuff - we have a grant through the state to work on that, and our time is almost up, so lots of time is being spent looking at that. Since the reg Econ class gets a lot of those standards in their class, and you guys don't...guess what we'll be looking at after the national exam? :) :)
And some interesting info on credit and loans on Brent's.
Later -
Monday, April 28, 2008
Unit 4 Links!
Derived Demand: http://www.reffonomics.com/deriveddemand.html
Hiring Workers: http://apecon.us/mrpmfc.gif
Rent: http://www.reffonomics.com/pureeconomicrent.html
Externalities: http://apecon.us/externality2.gif
http://apecon.us/positiveexternaility.gif
Hiring Workers: http://apecon.us/mrpmfc.gif
Rent: http://www.reffonomics.com/pureeconomicrent.html
Externalities: http://apecon.us/externality2.gif
http://apecon.us/positiveexternaility.gif
Thursday, April 17, 2008
Some other links...
Monopolistic Competition: http://www.reffonomics.com/Monopolistic_Competition.html
Competition vs. Oligopoly: http://apecon.us/competitiveoligopoly.gif
Oligopoly: http://www.reffonomics.com/oligopolies.html
Prisoner's Dilemma: http://www.reffonomics.com/prisonersdilema.html
(no clue why these aren't showing up as clickable links anymore...)
Competition vs. Oligopoly: http://apecon.us/competitiveoligopoly.gif
Oligopoly: http://www.reffonomics.com/oligopolies.html
Prisoner's Dilemma: http://www.reffonomics.com/prisonersdilema.html
(no clue why these aren't showing up as clickable links anymore...)
Tuesday, April 15, 2008
Something helpful...
http://www.econedlink.org/lessons/index.cfm?lesson=EM707&page=teacher
And it's interactive!
And it's interactive!
Thursday, April 03, 2008
Monopolies!
Okay - some things that can help you with the monopoly info:
http://www.reffonomics.com/monopoly1.ppt A powerpoint with general info - great info on patents, trademark, copyright, etc (all part of monopoly power).
Demand curve info: http://apecon.us/monopolyperfectcompetition.gif
The graph: http://www.reffonomics.com/monopoly3.html
More later - but getting down some basics over the weekend would be a great idea. :)
Consider yourself warned - the next time we play with the mini-whiteboards, you'll be drawing all of the different market graphs.
http://www.reffonomics.com/monopoly1.ppt A powerpoint with general info - great info on patents, trademark, copyright, etc (all part of monopoly power).
Demand curve info: http://apecon.us/monopolyperfectcompetition.gif
The graph: http://www.reffonomics.com/monopoly3.html
More later - but getting down some basics over the weekend would be a great idea. :)
Consider yourself warned - the next time we play with the mini-whiteboards, you'll be drawing all of the different market graphs.
Saturday, March 22, 2008
Posts
Since Joelle asked, and since a few of you asked me last week before we left -
You do NOT have to post during spring break. Either comments or your analysis.
Relax. Well, finish your paper, I need those.
Have a nice break -
You do NOT have to post during spring break. Either comments or your analysis.
Relax. Well, finish your paper, I need those.
Have a nice break -
Tuesday, March 18, 2008
Perfect Competition
Here are some links for PC -
a PPt: http://www.reffonomics.com/perfectcompetition/frame.htm
http://www.reffonomics.com/perfectcompetitiongif.html
http://www.reffonomics.com/perfectcompetition3a.html
http://www.reffonomics.com/perfectcompetition2.html
http://www.reffonomics.com/perfectcompetitionincreaseindemand.html
http://www.reffonomics.com/entryexit.html
http://apecon.us/costcurves.gif
http://www.reffonomics.com/shutdownrule.html
http://www.reffonomics.com/shutdown3.html
http://apecon.us/changingcosts.gif
Whew. Take a break.
a PPt: http://www.reffonomics.com/perfectcompetition/frame.htm
http://www.reffonomics.com/perfectcompetitiongif.html
http://www.reffonomics.com/perfectcompetition3a.html
http://www.reffonomics.com/perfectcompetition2.html
http://www.reffonomics.com/perfectcompetitionincreaseindemand.html
http://www.reffonomics.com/entryexit.html
http://apecon.us/costcurves.gif
http://www.reffonomics.com/shutdownrule.html
http://www.reffonomics.com/shutdown3.html
http://apecon.us/changingcosts.gif
Whew. Take a break.
Saturday, March 15, 2008
OKay
For those people that I've missed:
~Paper - official due date is Thursday. If that stresses you, feel free to email it to me over Break (please not on the Sunday before we return...). :) That will give me time to go over them during Break and still get the grades done. If you have questions or are running into walls, email me.
~Test - unknown for unit 3. Officially, April 11th. Truthfully, there is NO WAY we will be able to finish this unit by then. I'll keep you posted.
~Retests for unit 2. I'd like all people that haven't taken the unit 2 test yet to have it done by Wednesday. Then, I can give you your tests back for you to look over during Break - we'll go over the test when we get back, and retests can start that week. Because of that, the unit 2 test will NOT go on Quarter 3 grades - to do that, retests would have to be done by that Friday (I think it's the 4th) and that just won't happen. So I need to reconfigure your grades.
Some links for you:
Marginal Analysis: http://apecon.us/allmeroth1aa.gif
And Part II: http://apecon.us/allmeroth2aa.gif These 2 will make more sense as we go through things next week.
Costs: http://www.reffonomics.com/costs2/frame.htm
And Part II: http://www.reffonomics.com/costs/frame.htm
Costs & Shutdown: http://www.reffonomics.com/shutdown2.html
Implicit/Explicit: http://apecon.us/explicitandimplicit.gif
Short run/Long run: http://apecon.us/longrunshortrun.gif
Long Run ATC: http://www.reffonomics.com/longrunatccurve.html
Types of competition: http://www.reffonomics.com/typesofcompetition.html
I'll get more of the PC graphs posted after we get into it more next week. :)
~Paper - official due date is Thursday. If that stresses you, feel free to email it to me over Break (please not on the Sunday before we return...). :) That will give me time to go over them during Break and still get the grades done. If you have questions or are running into walls, email me.
~Test - unknown for unit 3. Officially, April 11th. Truthfully, there is NO WAY we will be able to finish this unit by then. I'll keep you posted.
~Retests for unit 2. I'd like all people that haven't taken the unit 2 test yet to have it done by Wednesday. Then, I can give you your tests back for you to look over during Break - we'll go over the test when we get back, and retests can start that week. Because of that, the unit 2 test will NOT go on Quarter 3 grades - to do that, retests would have to be done by that Friday (I think it's the 4th) and that just won't happen. So I need to reconfigure your grades.
Some links for you:
Marginal Analysis: http://apecon.us/allmeroth1aa.gif
And Part II: http://apecon.us/allmeroth2aa.gif These 2 will make more sense as we go through things next week.
Costs: http://www.reffonomics.com/costs2/frame.htm
And Part II: http://www.reffonomics.com/costs/frame.htm
Costs & Shutdown: http://www.reffonomics.com/shutdown2.html
Implicit/Explicit: http://apecon.us/explicitandimplicit.gif
Short run/Long run: http://apecon.us/longrunshortrun.gif
Long Run ATC: http://www.reffonomics.com/longrunatccurve.html
Types of competition: http://www.reffonomics.com/typesofcompetition.html
I'll get more of the PC graphs posted after we get into it more next week. :)
Sunday, March 09, 2008
Back from the dead...
Hey guys -
I will be back at work tomorrow, but I am on kind of a "limited mobility" type of thing - too much walking & talking leads me to cough my bloody head off. Not pretty. Unfortunately, my illness has affected you guys the most. My schedule is shot.
I know some of you have turned in a rough draft of your paper, and a few of you emailed it to me. I am not able to stay up more than 6 hours right now without feeling like a truck has run me over (yeah, that will make it EXTRA fun tomorrow...my freshmen with a sub for a week, and me already exhausted by the time I get to them...can't wait!). Tomorrow morning, I'll double check when my quarter grades are due, and will probably kick the paper's due date back until about a week before grades are due. That will hopefully give me time to read through the rough drafts, time for you to re-write as needed, and then time for me to re-read them.
It also kind of kicks unit 3 around a little. I will be restructuring tomorrow morning as much as I can - it might be Tuesday before I can say for sure how this will be affecting us overall. We will have to move a little faster, which might hurt some of you.
I can say - the faster you learn the terms for this unit on costs, the easier this unit will be, and the faster it will come to you. That's been true no matter what. :)
See you tomorrow -
KM
I will be back at work tomorrow, but I am on kind of a "limited mobility" type of thing - too much walking & talking leads me to cough my bloody head off. Not pretty. Unfortunately, my illness has affected you guys the most. My schedule is shot.
I know some of you have turned in a rough draft of your paper, and a few of you emailed it to me. I am not able to stay up more than 6 hours right now without feeling like a truck has run me over (yeah, that will make it EXTRA fun tomorrow...my freshmen with a sub for a week, and me already exhausted by the time I get to them...can't wait!). Tomorrow morning, I'll double check when my quarter grades are due, and will probably kick the paper's due date back until about a week before grades are due. That will hopefully give me time to read through the rough drafts, time for you to re-write as needed, and then time for me to re-read them.
It also kind of kicks unit 3 around a little. I will be restructuring tomorrow morning as much as I can - it might be Tuesday before I can say for sure how this will be affecting us overall. We will have to move a little faster, which might hurt some of you.
I can say - the faster you learn the terms for this unit on costs, the easier this unit will be, and the faster it will come to you. That's been true no matter what. :)
See you tomorrow -
KM
Tuesday, March 04, 2008
Saturday, March 01, 2008
Ooooo-kay...
I have no clue why copying the URL that Phil left (which is identical to the one I had in there, really...) made it work. But I'm glad it is. I forgot to bring home the grading sheet for the blogs, so Phil & those who commented there - I'll update your grades on Monday. :) Thanks for the link, no clue what happened before. Crazy computers.
If you haven't already, look one post down to view the prez on economic policy. I'm curious at your analysis.
Okay - animated gif files on CS & PS:
http://apecon.us/surpluses.gif
http://www.reffonomics.com/consumerproducersurplus.html
Reminder: If you choose to turn in a rough draft for your paper for 3rd quarter project grade, it needs to be in by Friday. This isn't a requirement, but could be considered extra credit, because I might be able to steer you in the direction you need to go. It will be graded as a college term paper - something you will all get to know very well in the next year. :) If you forgot what it needs to be, check your syllabus. If you've lost the syllabus, check Edline. If you hate Edline...well, then you're kinda out of luck.
Also - we are on track to test for unit 2 on Wednesday. That means that retests for unit 1 need to be finished by Tuesday. You can retest as many times as you want, I'll take the highest score. The unit 2 test is similar to unit 1 - 50 m/c questions, with about the first 20 or so straight from old released AP exams. Chapters 4-7 in Mankiw.
Go take a look at some of your peers' blogs - there's some great discussions going on!
If you haven't already, look one post down to view the prez on economic policy. I'm curious at your analysis.
Okay - animated gif files on CS & PS:
http://apecon.us/surpluses.gif
http://www.reffonomics.com/consumerproducersurplus.html
Reminder: If you choose to turn in a rough draft for your paper for 3rd quarter project grade, it needs to be in by Friday. This isn't a requirement, but could be considered extra credit, because I might be able to steer you in the direction you need to go. It will be graded as a college term paper - something you will all get to know very well in the next year. :) If you forgot what it needs to be, check your syllabus. If you've lost the syllabus, check Edline. If you hate Edline...well, then you're kinda out of luck.
Also - we are on track to test for unit 2 on Wednesday. That means that retests for unit 1 need to be finished by Tuesday. You can retest as many times as you want, I'll take the highest score. The unit 2 test is similar to unit 1 - 50 m/c questions, with about the first 20 or so straight from old released AP exams. Chapters 4-7 in Mankiw.
Go take a look at some of your peers' blogs - there's some great discussions going on!
Friday, February 29, 2008
Comments?
Jake sent me this link:
http://www.cnn.com/video/#/video/politics/2008/02/28/sot.bush.gas.prices.cnn
And it made me curious what you guys would say - not necessarily political, but economic analysis of what he is saying.
:)
http://www.cnn.com/video/#/video/politics/2008/02/28/sot.bush.gas.prices.cnn
And it made me curious what you guys would say - not necessarily political, but economic analysis of what he is saying.
:)
Wednesday, February 27, 2008
Price Ceilings & Floors
http://www.reffonomics.com/pricefloor.html
Analysis & application of S & D, elasticity and price ceilings/floors tomorrow!
Oh, and btw - it seems like I am all caught up on blog grading! Amazing! I'll try to get the grades in by tomorrow so you can see, but some people are a little behind, as well. You will know if I got your post by whether or not there is a message from moi. :)
**Calling Phil: Calling Phil**
For some reason, the link to your blog is refusing to work. I've tried a lot of different things, and nothing is working. Even if I go to a new window and type in your address, it will come up with an error message. Would you check to see if something has changed with your blog address, etc? I haven't been there to grade yet. If it's magically disappeared, please don't panic - we'll work it out.
Analysis & application of S & D, elasticity and price ceilings/floors tomorrow!
Oh, and btw - it seems like I am all caught up on blog grading! Amazing! I'll try to get the grades in by tomorrow so you can see, but some people are a little behind, as well. You will know if I got your post by whether or not there is a message from moi. :)
**Calling Phil: Calling Phil**
For some reason, the link to your blog is refusing to work. I've tried a lot of different things, and nothing is working. Even if I go to a new window and type in your address, it will come up with an error message. Would you check to see if something has changed with your blog address, etc? I haven't been there to grade yet. If it's magically disappeared, please don't panic - we'll work it out.
Sunday, February 24, 2008
All right...
Okay, guys - it's 9pm, which means I have to go try to relax now. I'm through about 2/3 of 4/5th hour for the grading. I know some people haven't posted their blog for this week, so that will mean some backtracking - that's okay.
You have been doing a great job on the blogs so far! There has been some really great analysis of concepts we've talked about - and some we haven't. :)
I have Pearl Jam on the computer (hey, don't knock it...Eddie Vedder is a genius...) and the dryer needs to be taken care of, so have a nice night. I'll finish these tomorrow and Tuesday (after all, it looks like we might get ANOTHER dump of snow...so who knows where we'll be on Tuesday?).
KM
You have been doing a great job on the blogs so far! There has been some really great analysis of concepts we've talked about - and some we haven't. :)
I have Pearl Jam on the computer (hey, don't knock it...Eddie Vedder is a genius...) and the dryer needs to be taken care of, so have a nice night. I'll finish these tomorrow and Tuesday (after all, it looks like we might get ANOTHER dump of snow...so who knows where we'll be on Tuesday?).
KM
Next up - more questions from comments!
All right - next!
Sam asked:
I didn't use an article for my blog entry. I wrote about relating the information to my life. I hope that's okay..
Perfect. :)
Taylor said:
I agree with Morgan on how car dealerships use incentives to their advantage. When my mom and I went to get my car I noticed how point 6 can be used to the dealers advantage. I test drove 3 or 4 cars and the dealer definetly put a lot of effort into trying to sell me a more expensive car because it had cool things a new teenage driver would want such as a sun roof or a new stereo system. It's definetly important not to show too much emotion when looking for a car, because dealers will definetly play off of that.
This is soooo true. I'm not sure how many of you have gone to purchase your own car - but the biggest advantage you can give the dealership is to look like you will not walk away from the deal. Remember that there's always another car right on the next lot. My husband and I found it really funny - to show him how cool the car was, the sales guy popped the hood and kicked the tires, etc. For me? Ooh, look, the mirrors move and look at all the radio controls on the steering wheel...
And from Vicky:
It's all about the information you have. When buying anything, you need to be an informed consumer. Don't expect the salespeople to educate you. It's your responsibility to educate yourself.
"Let the buyer beware" - caveat emptor. Great comment, Vicky. Should I be alarmed that you have owned more cell phones than I have, and I am twice your age? ;)
And David:
Acting on a whim, or executing some action solely on emotion, though it may be fulfilling at first, often times may leave regretting your quick decision. Like (almost) anything in life where emotion isn’t enough, a little bit of research, enough to acquaint oneself with the matters, will help.
My family makes fun of me constantly because of the time I'll take to make a decision on something big. In the last 5 months, we've had to buy a clothes dryer, a car and a new bed. Each got the same analysis from me. Yeah, I'm a sick person. But jeez...it's my money...why would I want to throw it away? If you can take the emotion out of the decision, get the research done, as David mentions here - it's rare for me to regret a purchase. I like that.
Wow, this turned into a good discussion on consumerism. Keep it in mind when we get further in this present unit. :)
From this, it’s obvious that the price displayed may not be the lowest price the dealers could sell, or even the actual worth of the car. (This is still David)
Excellent analysis on incentives, David! So true...especially with cars.
From Vicky:
Thanks, I was just wondering about the links!Can we do extra analysis blogs or comments for extra credit of some sort? Or would we just get brownie points for being overachievers?
You, an overachiever? Say it ain't so! lol
Let me think on this one.
From Brent ("Some Stuff For You" below):
The income effect states that when your income is fixed, as the price drops of a certain item, you can purchase more of that item with the same income. So the Demand curve is downward sloping because the quantity demand increases (x axis) as the price drops (y axis). The substitution effect describes the same thing but going in the opposite direction. When the prices increase, the quantity demanded of that good decreases, and people can purchase less. People will then find substitutes to that product and the product's price will continue to increase and people will be able to purchase less and less of the product.
EXCELLENT analysis and explanation of the income and substitution effects. If anyone isn't getting the difference, read through this again. And again. Great job!
Morgan let us know that:
I like grape jelly better than strawberry, just to let you know...
If those are my choices, me, too. Otherwise, I personally like Apple Pie jam. It's amazing.
And then Sam said:
Note to morgan: Raspberry jelly is so much better than grape and strawberry, just to let you know. =)
Raspberry jelly is good...but I stand by my choice. ;)
These threw some people off ("Supply & Equilibrium" below):
(1) Do these things affect the demand or supply of oil? (a) The Alaskan oil pipeline was completed. (S) (b) Price supports were removed from oil. (S) (c) Oil was discovered in the Bering Sea. (S) (d) Sport utility vehicles become more popular. (D) (e) The use of nuclear power declined. (D)
(3) Demand or supply of jeans? (a) A new technology becomes available that cuts the time to make jeans in half. (S) (b) The price of denim falls. (S) (c) Jeans go out of fashion. (D) (d) The price of a pair of jeans falls. (QD/S)(Look at the movement on the graph if both curves are present) (e) The wage rate paid to garment workers increases. (S) (f) People's income increases. (D)
Okay - I'm off to start on your blogs! It's 7:30 already, so don't pout if I don't get to you tonight. :)
See you tomorrow -
Sam asked:
I didn't use an article for my blog entry. I wrote about relating the information to my life. I hope that's okay..
Perfect. :)
Taylor said:
I agree with Morgan on how car dealerships use incentives to their advantage. When my mom and I went to get my car I noticed how point 6 can be used to the dealers advantage. I test drove 3 or 4 cars and the dealer definetly put a lot of effort into trying to sell me a more expensive car because it had cool things a new teenage driver would want such as a sun roof or a new stereo system. It's definetly important not to show too much emotion when looking for a car, because dealers will definetly play off of that.
This is soooo true. I'm not sure how many of you have gone to purchase your own car - but the biggest advantage you can give the dealership is to look like you will not walk away from the deal. Remember that there's always another car right on the next lot. My husband and I found it really funny - to show him how cool the car was, the sales guy popped the hood and kicked the tires, etc. For me? Ooh, look, the mirrors move and look at all the radio controls on the steering wheel...
And from Vicky:
It's all about the information you have. When buying anything, you need to be an informed consumer. Don't expect the salespeople to educate you. It's your responsibility to educate yourself.
"Let the buyer beware" - caveat emptor. Great comment, Vicky. Should I be alarmed that you have owned more cell phones than I have, and I am twice your age? ;)
And David:
Acting on a whim, or executing some action solely on emotion, though it may be fulfilling at first, often times may leave regretting your quick decision. Like (almost) anything in life where emotion isn’t enough, a little bit of research, enough to acquaint oneself with the matters, will help.
My family makes fun of me constantly because of the time I'll take to make a decision on something big. In the last 5 months, we've had to buy a clothes dryer, a car and a new bed. Each got the same analysis from me. Yeah, I'm a sick person. But jeez...it's my money...why would I want to throw it away? If you can take the emotion out of the decision, get the research done, as David mentions here - it's rare for me to regret a purchase. I like that.
Wow, this turned into a good discussion on consumerism. Keep it in mind when we get further in this present unit. :)
From this, it’s obvious that the price displayed may not be the lowest price the dealers could sell, or even the actual worth of the car. (This is still David)
Excellent analysis on incentives, David! So true...especially with cars.
From Vicky:
Thanks, I was just wondering about the links!Can we do extra analysis blogs or comments for extra credit of some sort? Or would we just get brownie points for being overachievers?
You, an overachiever? Say it ain't so! lol
Let me think on this one.
From Brent ("Some Stuff For You" below):
The income effect states that when your income is fixed, as the price drops of a certain item, you can purchase more of that item with the same income. So the Demand curve is downward sloping because the quantity demand increases (x axis) as the price drops (y axis). The substitution effect describes the same thing but going in the opposite direction. When the prices increase, the quantity demanded of that good decreases, and people can purchase less. People will then find substitutes to that product and the product's price will continue to increase and people will be able to purchase less and less of the product.
EXCELLENT analysis and explanation of the income and substitution effects. If anyone isn't getting the difference, read through this again. And again. Great job!
Morgan let us know that:
I like grape jelly better than strawberry, just to let you know...
If those are my choices, me, too. Otherwise, I personally like Apple Pie jam. It's amazing.
And then Sam said:
Note to morgan: Raspberry jelly is so much better than grape and strawberry, just to let you know. =)
Raspberry jelly is good...but I stand by my choice. ;)
These threw some people off ("Supply & Equilibrium" below):
(1) Do these things affect the demand or supply of oil? (a) The Alaskan oil pipeline was completed. (S) (b) Price supports were removed from oil. (S) (c) Oil was discovered in the Bering Sea. (S) (d) Sport utility vehicles become more popular. (D) (e) The use of nuclear power declined. (D)
(3) Demand or supply of jeans? (a) A new technology becomes available that cuts the time to make jeans in half. (S) (b) The price of denim falls. (S) (c) Jeans go out of fashion. (D) (d) The price of a pair of jeans falls. (QD/S)(Look at the movement on the graph if both curves are present) (e) The wage rate paid to garment workers increases. (S) (f) People's income increases. (D)
Okay - I'm off to start on your blogs! It's 7:30 already, so don't pout if I don't get to you tonight. :)
See you tomorrow -
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