Identify key inputs whose prices influence the quantity supplied by producers
WRITING ASSIGNMENT #1:
You must submit a hard copy of your writing assignment in class on the due date.
Only assignments submitted at the start of class on the due date will be accepted.
For the two writing assignments in this course, you will choose an industry or current/proposed government policy to follow throughout the semester. I encourage you to read a current periodical, which provides careful industry/policy analyses, on a regular basis throughout the semester. Periodicals that you might find of particular value include The Economist, The Guardian, The Wall Street Journal, and The New York Times. You should not limit yourself to these sources to obtain information on your topic.
The objective of this first writing assignment is for you to describe and analyze the industry or policy you are studying using the supply-and-demand framework. You should begin by discussing the foundations of supply and demand for the product or service in this industry or the products or service that is affected by the policy.
For policy, you must first identify what market is impacted by the policy and then who are the suppliers in the relevant market and who are the consumers (demand side) in the market.
In your supply discussion, address the following questions and topics:
· What products or services are provided in the industry (or impacted by the policy)?
· Who are the key suppliers in this market?
· For industry:
o Describe the basic production process.
o Identify key inputs whose prices influence the quantity supplied by producers.
· For policy:
o Do the suppliers favor the policy? Why?
In your demand discussion, address the following questions and topics:
· Who are the typical consumers?
· Is this product (in the market of interest) a normal or inferior good?
· Identify relevant complements and substitutes for this good or service.
· For policy: Do the consumers favor the policy? Why?
You are expected to identify two current trends or recent events in the industry that will likely impact supply or demand in this industry in the near future. You should demonstrate how you expect the two trends or events to impact the price and the quantity exchanged of the product or service. Your discussion and explanations should be clear and concise. You should illustrate your predictions with supply-and-demand graphical analysis.
You are expected to identify one recent change or proposed change in the policy that will likely impact supply or demand on some market in the near future. You should demonstrate how you expect the policy change to impact the price and the quantity exchanged of the product or service. Your discussion and explanations should be clear and concise. You should illustrate your predictions with supply-and-demand graphical analysis.
You must also identify one counter argument or alternative to the policy/proposed policy.
SOURCES OF INFORMATION:
You must use at least three sources for your writing assignment. At the end of your assignment, you should provide a list of references. This list must provide complete information on each source of information. For example, if you cite an article from a newspaper, include: the author’s name (if listed); the article’s title; the name of the periodical (in italics); the date; and the page number. For a model on citing sources, please review the References section in the back of the Perloff text. If you cite a web page, you should include: the full url address; the date you visited the site; and any other relevant information that would allow the reader to find the source of your information readily. Be sure to choose web sites that you believe are reliable sources of industry information. If you wish to quote directly from a source, you must use quotation marks to indicate that you are doing so and provide the exact reference for the source of the quotation.
As you prepare the final draft of your writing assignment and cite your sources of information, please be aware of the following policy on cheating and plagiarism from the Student Policy and Procedures Handbook (http://www.suffolk.edu/studenthandbook/19863.php):
All assignments should be typed and double-spaced. Assignments should be three to five pages in length, including graphs and references. A hard copy of the assignment is due promptly at the start of class on the due date. No late assignments will be accepted, so be sure to print out your assignment well in advance of our class meeting to avoid any difficulties with printing the document. You should proofread your paper prior to submitting it in order to correct any typographical or grammatical errors. Your grade on the writing assignment will be based on both the quality of your economic analysis and the clarity and flow of your exposition.