Group items tagged

This article is interesting because it talks about the inelasticity of tobacco. The article says that if the elasticity of demand is between 0 - 1 then it is inelastic and tobacco is 0.61. What this means is that although the price may change for tobacco, the demand remains relatively stable. This is cause for a lot of fluctuation because retailers realize they can change the price is maintain a demand. However, if the price were to increase drastically, this could bring the elasticity of demand above 1 and cause it to become elastic. 

This topic is related to this week's study of equity in the distribution of income. The country this article revolves around is Australia but explains and shows us, graphically how the income has changed and how distribution has changed through the years.

This article shows an example of how exchange rate changes can affect revenue for firms. 

This article from the economist explains how the Nordic countries from europe are doing much better (economically) after reforming their economic strategies. In the 70's sweden was indeed a country that spent and borrowed a lot of its money, however now they have become more of a socialist democracy, which has proved itself to be a great change for the country. The article goes on to say that this change has made the country more efficient in the long run. Interestingly, the article shows how these changes were viewed by the other countries.

The article is about in which countries what type of products are more elastic and inelastic. For example, milk bread has inelastic demand because even though the prices change people will still buy them to survive. Otherwise, meat, chicken has inelastic demand because people might not afford the prices if they change. Especially USA, Japan, Canada has the most inelastic demand for milk, bread and vegetables when you compare them with other nations.

In this article we can read about price and demand elasticity of food, it's written that demand for some product such as milk, bread, fresh fruit and vegetables is not elastic, because these product are part of diet food so that's why the change in price won't affect demand very much. However other it can affect the demand of some other that not suits to diet food very much.

This article is interesting due to the fact that it provides an overview of the changes in taxes in the United States. It is also interesting how taxing Cannabis will affect the market for it and the economy of the states.

Indian government has announced that 60% of entire domestic pharma market will be under official price control. The policies of National Pharmaceuticals Pricing Policy will cover 348 products on the 2005 National List of Essential Medicines (NELM) plus others added to the newly-updated List (NELM-2011), which includes some 450 products.The long-awaited draft policy would also change the way prices of controlled products are regulated. Under the current Drug Price Control Order (DPCO), prices are based on market share, but the government's draft policy proposes changing to a system of setting a ceiling on the prices of formulations based on the Weighted Average Price of the leading three brands.

This article is about the government of Uttar Pradesh who is trying to change the spending habits from the previous government. The previous government spend money on statues and parks that didn't help the public. Chief Minister Akhilesh Yadav promises that they will spend money on public goods that will benefit society.

This article focuses on the upcoming challenges and goals of the United Nations climate talks in Doha, Qatar. The talks aim to discuss how to remedy global warming that could lead to a planet up to 6 degrees warmer in the future. To do this, carbon emissions must decrease by about 5% each year. Topics at the talks may include current issues of greenhouse gas pollution and deforestation, especially with improvements of the carbon market. Businesses may soon face strong encouragement to accept these proposals, as climate change begins to result in not only impact on society but also private costs of businesses. These externalities, previously external but becoming increasingly internal, may soon force large business leaders to reconsider their impact on the environment.

This article is interesting due to the fact that it not only states the economic growth of Chile, but it lists the reasons for the changes. It mentions demand and its role as well which is interesting

This article talks about the unemployment rate in US, the changes which happened since the time when the George W. Bush and Barack Obama were the leaders of the country till today. The unemployment level was extremely increasing from 2008 till 2010 and in the article you'll find what type of restrictions were taken to bring everything to an optimal level.

This article talks about brand loyalty, but specifically how the american consumer is caring less about the brand. it is reported that when making an economic decisions, only 25% of the decision is weighted by the brand, a huge drop from 40%. This fact alone, reported by Ernst and Young, has changed many CMO's approach to marketing.

This article talks about a oil company in Russia that controls on the gas exports and oil giants are trying to convince the government to liberalize exports. It also mentions how even if they were liberalized, it would take a while to change who exports gas because of loyalty from consumers.

The demand for the iPhone 5 is ridiculously high. With people camping outside the Apple store to get it before the stocks get over. The Apple store had changed the shipping estimate to two to three weeks. People who managed to submit their orders early were told they would receive their phones on Sept. 21, the day the iPhone 5 is officially available. That change in delivery times is a sign that Apple's online store burned through its initial inventory quickly, forcing customers who ordered later to wait.

This article discusses how oil is becoming an inelastic good. Although people can arrange their lives to reduce their consumption of oil, quickly there comes a point where it is not possible to purchase a smaller amount of oil. Oil would definitely be considered an essential good.

The article evaluates elasticity in terms of oil supply and demand. it states that there are still untapped oil reserves which are more expensive to obtain and requires more time. As a result, oil is becoming less elastic. it talks of possible ways of reducing oil consumption such as public transport or getting a more fuel efficient vehicle which is unlikely as it is expensive. it also evaluates the the elasticity of supply. it talks off how suppliers need a minimum price/barrel in order to keep a balanced budget so suppliers are reluctant in increasing supply in order to reduced the prices. It provides data over a 10year time period which analyses the oil consumption and supply of oil in terms of different uses and change in costs. It also relates it to the recession stating that job loss has lead to less people commuting decreasing demand and increasing price

Recent data published in a report shows how increasing climate change over the next several years will affect the melting of glaciers in the Himilayas. It is estimated that, at the current rate of change, by the year 2035 the glaciers will have disappeared entirely. This could worsen an already serious problem of water scarcity in the area, where a lack of drinking water and the means necessary to distribute what little water is present cannot meet the demands of local inhabitants; over 1.5 billion of them.

I think people understand the issue of glaciers, but they don't understand how important it is to act. People don't often think of glaciers as a source of water, but melting glaciers really does affect the amount of potential drinking water especially for inhabitants around the Himilayas.

I agree with Landon. Everyone acknowledges that melting glaciers are a big problem, but no one fully understands what the potential consequences are. For me, it's hard to take action because the problem seems so far away.

This website is very interesting on not just a world scale, because most people have already heard of the food problems in the world, but as well on a local scale. Meaning the article talks about how the average human is contributing to this growing problem.

This article does a really good job at capturing the chain effect of changes in the world. An example is how they talk about how water shortage affects food shortages. People tend to overlook how much one disaster can cause many others.

I agree full heartedly with what Landon has said, as well as what you have said Miro, in regards to the chain affect of changes as well as the fact that understanding problems on a local scale is important. I know that we in Indiana have really been hit hard by drought this year, and we have seen first-hand how the lack of rainfall hurts everyone. The chain reaction of sorts begins with the farmers, who had a horrible growing season in Indy this year, and thus they passed on the cost to the consumer. We are having to pay noticeably more for all grown products this year, and it really is a testament to the harsh reality that is the chain affect that Landon mentioned, as well as a wake up call to all of us here that economic problems exist everywhere, and just because we live in a well developed place doesn't mean we are safe from them.

Discusses the change in the value of the Jamaican Dollar

Before I comment, I want to say i liked the picture.( very funny) The article is very straightforward. It simply states that individuals who have received and dealt in foreign currency will gain, while individuals that have dealt with Jamaica's currency will suffer. A decrease in the value of a countries currency will benefit foreign markets but will harm the domestic market. Before I comment, I want to say i liked the picture.

This Bloomberg article talked about how China is trying to raise the currency and make Yuan become a global currency. It also mentioned China used to peg Yuan on US dollar until 2005, then they changed the policy to manage Yuan in a certain range.

The article is concerned with the increasing currency value of the Yuan. In the past couple years, the value of the Yuan has increased significantly. This increase in the currencies value is due to the China opening its markets and showing leniency in trading. However, the Yuan though growing in strength has much to do before it becomes the world currency. It must be adaptable. The Chinese government has stated that they will open the market more by 2020. When the currency will replace US is unknown but it seems that it will surpass the US dollar with time. The article was eyeopening. I had never realized the Yuan was so strong. I will definitely look at the Yuan when i read economic news.

European car makers are learning to reduce the supply of cars they are making. The economy has been on the decline for the past few years and over the last four years, America has learned to cope. They've lessened their supply to meet the demand and they've increased supply in the cars that there was actual demand for. Now, its time for European car makers to learn the same lesson. Instead of simply relying on past models, European car makers have to adapt and learn that the past may not be reliable anymore. Thus, they have to change their business model in order to be successful.