Download econ_201 - Orfalea College of Business

ECON 201 Spring 2008
G. BEARDLSEY
ECONOMICS INTERNET ASSIGNMENT – PLEASE READ CAREFULLY
We’d like you to know about some valuable web sites that might help you understand the
economy and course material, or help you with another class assignment or research interest.
Of course, what is shown below is really only a sampling of what is available.
Print out these instructions to help you organize the information you will collect.
Click on the links below to go our sites of interest. You are encouraged to take your time, look
around these sites, and get a lot out of this as a learning experience!
An asterick (*) flags for you each piece of information you need to collect. Transfer all the info to
the back of your Scantron for the final exam. Use brief labels and write small to save space.
There will be 4 or 5 exam questions from this effort. You do not turn in this assignment.
In some sense this is a scavenger hunt for test purposes, but the process will allow you to “bank”
some easy test answers, getting credit for this assignment and learning about some Web
resources. If you need help, ask a friend, or come to office time, or ask for help in the College of
Business Computer Lab (03-301, for hours call: 756-2635). If you are having any problems
reaching a site because of the computer you are using, you can always go to the COB lab.
Occasionally an Internet site may go down temporarily. If so, try again later.
Economic data and trends are important to understand when making many of our public policies
and sometimes personal financial decisions. One site is the popular National Economic Trends.
If needed, download free Adobe Reader 7.0.1
As need, use the magnifier in the tool bar to enlarge the picture.
Go to http://research.stlouisfed.org/publications/net/
On p.8 examine the trend of CPI annual inflation rates. Note one trend line is for All Items. The
other trend line is often called the “core” inflation rate as it leaves out two items whose prices are
often fairly volatile, meaning there may be short term but significant up and down price
fluctuations. As shown on the graph, what are those two excluded items?*
On p. 10 look at the darker trend line in the middle graph which plots the Unemployment Rate on
a monthly basis. Also note the vertical gray bars which you will recall from lecture were periods of
recession, meaning declining real GDP. Note how the Unemployment rate grows during those
periods and for awhile thereafter, showing that unemployment measures often lag the GDP trend.
That just means that employers are slow to hire workers back at the first signs of economic
recovery. What is the title (i.e. what is measured) on the related graph below this one, the one at
the bottom of the page?* The scale, i.e. unit of measure, is on the right side of the graph.)
On p. 22 look for Real GDP annual rate of growth, which is measured quarterly (each yr. shows
the quarters 1,2,3,4). The rate for the last two quarters is identical. What is it?*
On p.25 find April ‘08 Unemployment Rate which is 5.0. What was it a month earlier in March?*
Look at the Federal Budget situation in
Go to p. 16 Government Revenues, Spending and Debt, and click on Receipts and Outlays.
Study the graph of Gov’t. Current Receipts and Expenditures. Notice the intersection points
around 1998 and 2002. What was the rare fiscal condition between those years?* It might help if
you look at the supporting numbers (in Billions) by scrolling to the Federal National Income
Accounts found in the middle section of the table showing 3 columns of info. What was the big
news starting in 1998? (i.e. how is it different from all earlier years shown?) Write down the good
news number (i.e. the difference between Expenditures and Receipts) for year 1998*. Now look
at the quarterly numbers at the bottom of the page to see the situation now.
And then there is the related topic of our national cumulative debt. Go to the non-government site
http://brillig.com/debt_clock/ Our debt (since Sept.’07) is increasing by about how much per day?*
For a good portal to a wealth of information with an international perspective try the virtual library
of economics at
http://www.helsinki.fi/webec/webec.html
Click on Economic Systems What is the second publication listed?*
Go to the FED site: http://www.federalreserve.gov
Click on Consumer Information. The first item under Features is about proposed new rules for
what familiar item often found in our wallets?*
Check in with the federal government’s Internal Revenue Service (IRS)
http://www.irs.gov From the tabs on the top of the page, click on Individuals. Click on Taxpayer
Rights, Publication Number 1. In the Declaration of Rights, what is the second section about?*
A radical but most interesting approach to federal taxes can be found at http://FairTax.org
In short, this group proposed to eliminate the IRS system, and other taxes, and replace them with
a national sales tax. Click on Site MAP at the top, then FAQ. What is the second question?*
Go to http://www.nyse.com Click on Symbol Lookup which is key to finding out about a firm and
its per share stock price from many sources, like etrade.com. The symbol is just a few letters.
Enter company Exxon Mobil, the current name of two oil firms that merged. What is its symbol?*
Care to try your luck in the stock market and see how the game is played? Get an investing
experience for free using real stocks and real price quotes at http://game.marketwatch.com
What 3 letters in the upper left hand corner (i.e. an acronym) identify what the site is about?*
Go to http://www.opec.org
Where will the next OPEC meeting (number 149) be held?*
Check on cases from our antitrust laws prohibiting price fixing and other noncompetitive behavior.
Go to http://www.stolaf.edu/people/becker/antitrust/
Go to the alphabetical listing and click on the 1957 case involving someone named Radovich.
What sports league was involved?*
Let’s learn a little about the World Trade Organization. Go to their home page at:
http://www.wto.org/english/thewto_e/whatis_e/inbrief_e/inbr00_e.htm
According to the menu on the left side, How many benefits and misunderstandings about the
WTO are listed and discussed?*
Now also read an interesting criticism of the WTO by the Institute for Policy Studies at:
http://www.foreignpolicy-infocus.org/briefs/vol2/v2n14wto.html
As noted under Key Problems, WTO rules apply to what percentage of all foreign trade?*
Go to http://www.epa.gov/ as an example of one of our U.S. federal regulatory agencies.
Click on About the EPA and then Our Mission. How many employees do they have?*
It is said that in the free market system, the consumer is king, voting with his/her dollars as to
what goods and services to have in the economy. We end with some web sites for the king.
Call the site below the “pueblo” site. You can find a host of consumer information publications online (or order through postal mail) for no or low cost courtesy of the federal government.
http://www.pueblo.gsa.gov/
Scroll to the bottom of the left side menu.
Click on Scams and Frauds Under Health, the first scam is about a cold cure claim from a
vitamin and supplement company now paying for its false advertising. Which company?*
Personal finance education is not required in college, but is valuable for a lifetime. Try to pick up
a used Personal Finance text; a few things will be outdated, but not the basic principles. Better
yet, find a current one, or a non-text one in a book store that’s geared toward people in their 20’s
and 30’s. Consider asking your parents for one as a gift.
Click on the Personal Finance text, 4th edition at http://www.prenhall.com/keown/
Click on Table of Contents. What is Chapter 11 about?*
Call this site the “dca” site. http://www.dca.ca.gov
What does “dca” stand for?*
At the top of the page click Complete List of Publications, scroll down and click on Tenants.
The basic “Rights and Responsibility” publication may help you some day in dealing with a
landlord situation. Click on California Tenants and scroll to Refunds of Security Deposits.
How long does a landlord have to return your security deposit or the balance still due you?*.
Thanks for your effort on this assignment. I hope this was a good learning experience, and maybe
introduced you to some sites of interest that you may use in the future.
END of assignment.