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Instructions:

Select a topic from one of the three options below. Read / watch both items listed under the chosen option and respond to the writing prompt with a 3 page opinion paper. Be sure to include an introduction and conclusion, and cite all sources used.

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Option 1: When you go to a grocery store, most candy bars of a given size sell for virtually the same price. Can we conclude that this is evidence of collusion on the part of candy bar manufacturers? If there is collusion, would this be sustainable? Explain.

Option 2: Business failure allows the assets and resources from a business to move into other areas where those resources are more productive and more valued. Pick a product or a service and think what kind of problem this product solves. Then, trace how solving this problem has changed the products in use. Describe each step of the evolution and what brought about the change.

Option 3: Provide an example of a good for which the price has fallen as the result of a technological advance. If a technological advance lowers a firm’s production costs, why do prices typically fall? Shouldn’t the firm maintain the same price and earn more profits?

Grading Rubric:

Your essay will be graded (out of a possible 50 points) with respect to:

  • Economic analysis (25 points)
  • Overall coverage and strong conclusion (15 points)
  • Effective communication (spelling, paragraph structure, etc.) (10 points)

 

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