Questions:
Question 1
What is the appropriate balance between private and public (i.e., government) activity? Think of a case where the government has intervened (or it was suggested that government intervene) in a previously private market (e.g. Chrysler, tariffs on Japanese luxury cars, the airline industry, etc). What other examples can you think of? Using a marginal benefit/marginal cost analysis, support or argue against the intervention.
Question 2
Let's discuss one of the most important areas of economics, namely the use of leading economic indicators to forecast the future direction of the macroeconomy. What websites are helping you gain a better understanding of where the economy is heading in the next 12 months?