Start of logo design for Economics Discussion Group. Revising for test - looking at Cannabis market and what happens if supply increases. Price drops but demand doesn't increase by much since Cannabis is inelastic.
In class we looked at 'polluters' and how to define them. Several examples were given and compared heavy/light solutions. Loud music being played in flat when you have a exam the next day. If you fail the exam you will miss out on $22,000 due to having to spend more time at uni rather than working. One solution is to give noisy flatmate money in order to be quiet and go to the pub. The money you give now will result in saving as you will pass the exam.
Another example we looked at was the hold out minority. Supermarket gets consents from everyone to build shop. Someone is away and doesn't consent. Supermarket offers to buy house once person is back - able to get a large amount of money as you minority holding out in the supermarket building the shop.
I've been watching videos on YouTube of Robots and the future of work. Planning on having a meet up for Economics Discussion Group on Robots and Tax.
In tutorial 5 we looked at what happens when market fail. This can happen when there is a price floor/ceiling and equilibrium isn't able to be reached. This results in a shortage or surplus.
The market of used cars and sellers saying 'dud' cars are good.