Assignment:
Wall Street: a blessing or a curse?
Richard Thaler, (Professor, The University of Chicago Booth School of Business) said: "We failed to learn from the hedge fund failures of the late '90s." His message (Links to an external site.)Links to an external site.to overconfident risk managers: There's more risk out there than you think.
a) What do you think of Wall Street? Do we need Wall Street? Why or Why not?
b) What is "The Paradox of Thrift"? How does that apply to our current situation?
Use as many economic principles (from the textbook and other sources) as you can in answering the questions.
As a guideline, each of the 10 points will be derived from the following:
- Post your answer (400to 500 words) to the posted DQ responding to the matter asked, instead of repeating the question or not attending to the question. Substantive answers include making comments using concepts found in the assigned reading materials or offering examples from your experience. Hence merely providing a brief "yes, I agree" or "no, I do not agree" postings are not adequate posts
- Write in correct grammar; any errors will translate to a deduction in points.
- Check for the spelling; any errors will deduct points.
- Your responses must be substantive that include your own thoughts, supported with research (at least two external sources other than textbook, and you must quote these sources).
- You get one point when you respond to one of your classmates' posts, also with substantive comments (100 to 200 words).
- One more point when you respond to another classmate's post (100 to 200 words).
- One point for collaboration. It is intended that your involvement in discussions be of a collaborative nature. Collaboration spirit is quite different from confrontation.
- Creativity: offer a creative solutions or ideas or impact on other fields, in addition to the obvious socio-economic impacts of each topic.
- Offer a future recommendation or alternative options for the future with regard to the topic in question.