Ethics and Governance research essay 2000words

ECON1025 Prices & Markets

Assignment 2

This is an individual assignment where you will submit a written report of 1300

words. The total mark allocated to this assignment is 30.

The written report requires you to perform a microeconomic analysis of an

appropriate economic phenomenon from one of the two economic phenomena

provided below. Choose one phenomenon. For your chosen phenomenon, conduct

an economic analysis bearing in mind the purpose and remit of this course.

The word limit is 1300 words. As a suggestion, you might want to spend 200 words

each on the introduction and conclusion and 900 words on the analysis. However,

this may vary depending on your chosen topic and personal style.

An introduction should typically outline the phenomenon you have chosen

and highlight its significance. You may present some data to illustrate the

phenomenon. Good economic analysis entails identifying (1) the various

aspects of the exchange process (the market, the agents involved, the

equilibrium outcome), (2) the factors that can affect market outcomes over

time and (3) the welfare implications of the exchange outcome and whether

there is scope for government intervention. Use graphs, formulae and

diagrams where they help your explanations (more rigorous and succinct)

compared to words alone. A good conclusion section will provide a look at the

big picture, the significance of your findings in a larger context, and even

suggest limitations of the models that you have used. Remember this is an

economics assignment and therefore you should refrain from writing a report

that is general and/or journalistic in nature.

Submission Information and Deadline

The written report should be word-processed and provide a word count and

bibliography. Note that the bibliography is not part of the word count. You can

choose any bibliography style (e.g. APA, MLA, etc) as long as ALL your references

are correctly formatted in the chosen style.

Your written report must be submitted by 7 PM Monday 3rd September via Canvas.

As per University regulations, assignments submitted after this deadline will be

subject to a 10% penalty per working day until the mark reaches zero.

Phenomena to choose from (please choose one only)

1) Crude Oil Price Fluctuations between 1998-2018

Crude oil is an energy source that is integral to production processes across the

economy. However, over the last two decades, crude oil prices have fluctuated quite

considerably. Perform an economic analysis of this phenomenon in the market for

crude oil. Make sure you include definitions of relevant economic concepts. Explain

why prices have fluctuated in the last two decades. Include in your answer the

welfare implications of these price changes.

2) Green-House Gas Emissions and Climate Change

The issue of green-house gas emissions and climate change has received a lot of

media attention over the last decade. While some countries have taken steps to

tackle this issue, others have chosen not to respond. Perform an economic analysis

of this phenomenon and its welfare implications. Make sure you include definitions of

relevant economic concepts. Include in your answer the scope of government

intervention in tackling this issue.