There will be many opportunities to earn extra credit points by answering questions in class about the handouts, current events and text book reading assignments.

The following television show is strongly recommended as a way to follow current events and then answer extra credit questions in class.

Nightly Business Report
PBS, M-F @ 5:30 pm

1. Please give a real example in your life of when you had to make a choice. What did you do and what was the outcome?
   Looking back, how would you have done it differently?
   2 extra credit points
   
   
2. More than a decade has passed since the introduction of MARKET ECONOMY into Russia's economy. Do you think it has worked?
   3 extra credit points
   
   
3. Do you think that the state of the economy in the Clinton and Bush administrations has validated the conclusion of the Phillips curve?
   2 extra credit points
   
   
4. Discuss main points of the handout titled "Economic Literacy".
   Relate this handout to Chapter 1 or 2.
   2 extra credit points
   
   
5. Discuss main points of the handout titled "Is Economics a Science?".
   Relate this handout to Chapter 1 or 2.
   2 extra credit points
   
   
6. Does the handout titled "Freedom and Equality" discuss economic Efficiency or Equity?
   What is the conclusion of this article?
   2 extra credit points
   
   
7. Relate the article "Crime and Economics" to Chapter 1.
   What is the conclusion of this article?
   2 extra credit points

Chapter 4:  Extra Credit Questions

1. In 1998, fuel prices plummeted to a 10 year low. Today they are at all time high.
   What factor(s) caused such big fluctuations?
   Show it graphically. Do the same presentation for fuel Prices now.
   2 extra credit points
   
   
2. Why do prices of accommodations go down in Summer and go up during the rest of the year in Arizona?
   Show it graphically.
   2 extra credit points
   
   
3. Why doesn't the transportation industry offer discount rates during holidays?
   Show it graphically.
   2 extra credit points
   
   
4. Even though the price of dining out at restaurants has gone up, more people continue to go to restaurants. The law of demand predicts the opposite, therefore the law of demand must be wrong.
   Please provide your comments and be able to support your position.
   2 extra credit points
   
   
5. When did gold prices reach their highest at $700 per ounce?
   Why?
   What currently has been occurring to gold prices?
   Why?
   Show the above effects graphically.
   2 extra credit points
   
   
6. After the September 11 tragedy, heavy losses have been inflicted on Travel and Hospitality industries. Airlines and Hotels are offering substantial discounts to travelers.
   Show and explain these industries' behavior in the context of Chapter 4.
   Relate their behavior to at least two principles of economics learned in Chapter 1.
   2 extra credit points

Chapter 8:  Extra Credit Questions

1. What are the effects of taxes on the markets?
   2 extra credit points
   
   
2. What is "Dead Weight Loss" and what are its determinants?
   2 extra credit points
   
   
3. What are the differences between Supply Side economics and Demand Side economics?
   What are their tools?
   2 extra credit points
   
   
4. What are VAT Taxes?
   What are Consumption Taxes?
   2 extra credit points
   
   
5. What are the effects of taxes on labor?
   2 extra credit points
   
   
6. Why are taxes on local phone services less distorting than taxes on long distance services?
   2 extra credit points

Chapter 13:  Extra Credit Questions

1. How do you relate Production and Cost graphs to each other?
   Explain in detail.
   2 extra credit points
   
   
2. What is the meaning of the Scale?
   2 extra credit points
   
   
3. What are Economies of Scale and Diseconomies of Scale?
   How do you show them graphically?
   2 extra credit points
   
   
4. What are some sources of Economies of Scale and Diseconomies of Scale?
   2 extra credit points
   
   
5. Give an example of a Sunk Cost which can be used as a deterrent by an existing firm against the entrant. Explain in detail.
   2 extra credit points

Chapter 15:   Extra Credit Questions

1. How do the Antitrust Enforcers view the monopoly power?
   1 extra credit point
   
   
2. What is a coercive monopoly?
   1 extra credit point
   
   
3. Why do firms engage in price discrimination?
   Under what conditions may such a practice be feasible for the firm?
   2 extra credit points
   
   
4. Microsoft was accused of "Tying Practice" and "Exclusionary Conduct".
   Explain both.
   2 extra credit points
   
   
5. What was the final decision of Judge Jackson on the Microsoft case?
   What was the final decision on Microsoft case?
   What arguments does the article "Just The Facts" present in connection with the judge's decision?
   3 extra credit points

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