Wednesday, August 31, 2011

FRQ moved to Tuesday Sept 6

We want you all to be successful on this assignment so we are moving the due date back a day so you have time to practice comparative and absolute advantage in class.  Ask questions about the FRQ on Friday!!

Broken Window on NPR this morning!

So I'm driving into work on the Ike this am, and what do I hear on the radio?  A little Bastiat for my early morning commute.  The article discusses the broken window fallacy as it relates to cleanup from the hurricane.  It is worth your 4 minutes to listen and put your economic thinking hat on.

http://www.npr.org/2011/08/31/140079524/will-hurricane-cleanup-help-stimulate-the-economy

The article also brings up a concept we will be covering throughout the course called "deadweight loss."  This is a very important concept in economics and one you should become familar with early on.  It is a general loss of welfare to society resulting from some sort of market failure (transactions not occurring because of market intervention).

Happy listening my little economists!!