Assignment:
This assignment is intended for you to apply the microeconomic tools developed in class, in particular to analyze and discuss real world economic or business cases. Your task for the paper is as follows:
1. Select a very recent economic/business/finance article
2. Use the concepts learned in the class to describe and explain the main assertions in the article.
3. Expand the on the context of the article by providing a larger view of the economic environment relevant for your article.
For example: Suppose you found an article addressing the increase in the price of corn due to the recent draught in the Midwest. Your final paper should include, but not limited to, the following items:
? A brief description of the market for corn: data on the aggregate demand/supply of corn in the US, type of competition in the corn market (perfect competition, monopolistic, etc)
? Discuss the main factors affecting the cost of producing corn, technology employed, and productivity at the level of an individual farmer. How did the cost of producing corn change over time?
? Discuss briefly the evolution of the demand for corn: what factors affect the demand, and show trends over time
? Using a demand and supply analysis analyze how the statements in the paper can be explained using a basic diagram, in which the demand/supply curve shift.
? Conclude with a forecast of the future evolution of prices, if available.
You may need to consult 1 to 2 more articles or websites (U.S Department of Agriculture, etc) to help you write the paper and collect relevant statistics about the market for corn. If you use additional resources for your research, you must specify them in a reference page attached at the end of your final paper.