A central concern of economics is how society allocates its resources. Modern economies rely on two institutions to allocate: markets and governments. But how much of the allocating should be performed by markets and how much by governments? This collection of readings will help students appreciate the power of the market. It supplements theoretical explanations of how markets work with concrete examples, addresses questions about whether markets actually work well and offers evidence that supposed qmarket failuresq are not as serious as claimed. Featuring readings from Hayek, William Baumol, Harold Demsetz, Daniel Fischel and Edward Lazear, Benjamin Klein and Keith B. Leffler, Stanley J. Liebowitz and Stephen E. Margolis, and John R. Lott, Jr., this book covers key topics such as: ac Why markets are efficient allocators ac How markets foster economic growth ac Property rights ac How markets choose standards ac Asymmetric Information ac Whether firms abuse their power ac Non-excludable goods ac Monopolies The selections should be comprehended by undergraduate students who have had an introductory course in economics. This reader can also be used as a supplement for courses in intermediate microeconomics, industrial organization, business and government, law and economics, and public policy.For instance, CarSense, a certified used car dealer in the Philadelphia area, offers full refunds for cars returned within five days of ... The Kelly Bluebook further indi- cates that the private-transaction used car price was only 4 percent less than the new car ... The certified used car price for these older cars was 14 percent lower than the new car MSRP and 8 percent lower than the new car Bluebook prices.
|Title||:||Readings in Applied Microeconomics|
|Publisher||:||Routledge - 2009-06-16|