Market applications
| Group activity: Market Applications Assignment, December 2022 and complete this Market Applications Form |
For more on the gas pipeline break see:
- Gas Pipeline Break Anniversary, PBS News, August 22nd 2005
| Instructor resource: Market Applications Solutions, December 2022 |
Recommended audio:
- Special Episode 12: Jen Dirmeyer – What Do Markets Do For Us? The Curious Task, July 27th 2022 – Jen Dirmeyer talks about the marvel of market order, with a particular focus on the incredible coordination that takes place to deliver consumer goods in contemporary society. She points out that supply curves reflect the best alternative use of resources and demand curves reflect the best alternative way of satisfying consumer needs, and in doing so rest on the same underlying logic. Also, I really liked Jen’s emphasis on an important downside of the reliance on market exchange – people with higher incomes, or higher budgets, are at a significant advantage over those less fortunate. This is indeed a social problem but the choice between economic systems is a choice between one that emphasises economic power versus one that emphasises political power. The former may be more egalitarian overall because economic wealth creation is positive sum, and therefore one person’s advantage need not come at the expense of another’s.