UNIVERSITY / INSTITUTE: Purdue University
CLASS / COURSE: ECON 25100: Microeconomics
This tutorial contains all 4 discussions covered in the course:
SHOULD WE RAISE THE MINIMUM WAGE? Some people argue that raising the minimum wage may lead to more unemployment because companies hiring minimum wage workers will lay off some workers. Others argue that raising the minimum wage will help the minimum wage workers earn a higher income and lift them from poverty level. Discuss the pros and cons of raising the minimum wage.
Those who advocate legalization of drugs argue that it would allow society to divert resources from the investigation, prosecution, and punishment of drug offenders and use these resources in more productive ends. It would also eliminate the overcrowding of the prison system, reduce the profits received by organized crime from illegal drug sales, reduce drug-related crime, and allow research and development of medicinal uses of marijuana. Those who oppose the legalization of drugs believe that the entire drug problem would become more severe if drugs are legalized. They believe that current attempts to restrict the supply of and demand for drugs have resulted in a lower level of consumption than would otherwise have existed. Allowing the legal consumption of marijuana and other drugs would, in this view, also result in an increase in the consumption of other drugs with more addictive potential. There are also severe health risks associated with legalization of drugs.
Discuss the pros and cons.
Should oil drilling and use of strategic petroleum reserve be allowed to reduce oil shortage and U.S. dependence on foreign oil? What are the other alternatives/substitutes?
In recent decades, the U.S. economy has dealt with three substantial oil price shocks associated with the Arab-Israeli war, the Iranian Revolution, and the Gulf War. The first two of these shocks resulted in recessions in the U.S.
This past experience raises at least some concerns that the current price shock may have an adverse effect on the U.S. economy. In response to these concerns, Former President Clinton and Bush favored the release of barrels of crude oil from the Strategic Petroleum Reserve (SPR) during oil shortages. This move has resulted in a fair amount of controversy.
Also, President Obama and others are considering oil drilling and alternative energy sources in United States to combat the fluctuations in oil price and U.S. dependency on oil imports. Discuss these alternatives.
Over the last decade we have witnessed that the U.S. economy has become increasingly interdependent with the rest of the world. The question is whether U.S. is getting better or worse with globalization. Some believe that globalization will lead to cheaper ways to make products. This will allow businesses to reduce prices. Therefore, consumers will benefit from globalization. Others believe that globalization will lead to loss of jobs in U.S. causing high unemployment and loss of incomes. What do you think? How will globalization impact our economy in both short run and the long run? State your arguments "for" and "against" globalization and finally summarize your view on globalization.
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SUBJECTS / CATEGORIES:
1. Business Economics