My Future as an Economist

In our my life, economy in the country is not a big thing for me. Before I took the economy class, the only things I know about economy are stocks and banks. After few weeks of the economy class, supply, demand, equilibrium, GDP, central bank, federal government, fiscal policy; I can still go on if you want me to. I think that these materials and concepts I learnt from class will be really useful for me because in the future I am going to deal with financial problem myself but not my parents. So far I think economy is pretty interesting, but in the future, I don't think I am going to study any further about economy. For me, taking this class is not the purpose of learning new stuff for my academic, but the purpose of learning new stuff for my future life.

Topic 13: Supply or Demand?

Both demand side policy and supply side policy are based on the basics of demand and supply. if it is demand side policy, for example, the interest rate decrease, then the demand of the economy will increase because people will have more money to spend or to invest it. As the definition of demand side policy, it means that "aim to change the aggregate demand in existing economy", and the supply side policy means " aim to change the aggregate supply in existing economy". Although these two are different policies, they are all meant to be about increasing the productivity in our workforce, which is basically mean to lower the barriers for people to produce goods and services. Reducing taxes is one of the way to increase the productivity in workforce. The purpose of the action is to increase the flexibility in our production. I think demand side policy is a better type of policy for me compare to supply side policy. The advantages of the demand side policy including being able to stimulate the economy and increase the aggregate demand, and also being able to control the inflation. The disadvantages of the demand side policy including budget deficits with increased debts and policy legs which reduced spending in a healthy economy and more spending during a weak economy.  

Topic 12: Role of the Government

Everyone wants to get rich. Economic boom is the thing they want it happen in their countries. But they always forgot an important thing, business cycle. There are four stages of the cycle and the stage everyones want the economic in their country at stage two: Peak. As the peak go really high, the third stage will come. Stock price starts falling, the boom becomes ashes, everything is gone. I think government should take a little bit of control of economic so they can cool down the economic in their country to stop another economic tragedy in their country. There's a real historic economic tragedy happened n 1929 of America. It's called the Great Depression. The Great Depression happened because the stock buyers were guessing when would the stock price is going up. However, those predictions were wrong ad the stock market crashed, everyone was broke in a minute. During that time, the government believed in a theory call lassiez fair, it means "hands off" policy: the government shouldn't involve the businesses so those businesses will be good. After the Great Depression happened, the government still didn't have any action to help because the government still believed "hands off" policy. The unemployment rate grew to 25%, that means there are 1 out of 4 people doesn't have a job. After FDR became president, he directly help the society and the society got better. As we can see through the history, I think the government should involve and sometimes cool down the business with raising taxes so this kind of tragedy won't happen again.

Topic 11: Unemployment

There are so many jobs in this world, but how come there are still unemployed people? I believe that some people will say that the unemployment increase is because those unemployed people don't have skills to work or those unemployed people think the salary is too low so that they don't want that job. Well the second reason is the pretty reasonable because many young men that graduated from college think they are the best and could get better salary then other people that graduate from normal college. Back to our topic; there are some jobs are less resistant for example, I think farmer, fisherman, are kinds of less resistant jobs because they are seasonable work, and also there are many factors that will make these jobs really hard. So I think they are less resistant job. Long resistant jobs I think it's like office man works in office under a boss. This kind of job is long resistance is because it won't stopped until you retire or quit the job. For me, I think I'm going to major in computer science. In the future, I think I will be the worker that sit in front of the computer all day long writing program and make this world better. So I think my job would be a long resistance work.

Topic 10: How to Boost My "GDP"

I have met a lot of people that came from different places. Some of them are genius, they can understand the concept in the book real quick and then use it well; some of them are not so smart like genius because they have to read the book several times or find a lot of examples of the concept to understand the concept; this doesn't include using the concept in the real world. Going to school is the job of students, and this is the way to increase self-productivity. The main factors that contribute to economic productivity include the quality of labor, technological innovation, energy cost,  and financial market. Although there are four factors that can contribute to the productivity, there are one of them I think is the most important, related to human  and how people could increase their productivity. The first one is quality of labor. Every single person got different level of education. Different level of education can make a lot of people have different productivity. People that got higher education could contribute to the society their knowledge so that this world could be better. That is why parents always think that their kids should always get education and get in to the best school in the world and then their kid could be some one that is great in this world.

Topic 9: Financial Markets

There are so many different kinds of financial assets that we can choose to make profit. Each of them has different risk and return. Personally, I like mutual funds. When investing to mutual funds, there are many people invest the same company as you are. It's not like stocks because when you invest stocks you invest yourself and you will lose all your money when the companies you invest grow downward.  But when investing mutual funds, it's like 10 people invest that company's stock. When the company's stock grows downward, then the loss of the money will be separate to each people. Then it won't be a huge loss for you personally. For me, when I invest something, I will always consider about the safety because if I loss all my money, then I will be broke, and then I won't be able to buy anything. That will be terrible. Not only safety, but mutual funds also have pretty good benefit when the company has pretty nice growth. Although the return isn't as high as stocks, its average benefit won't be too low. So if I have money and I got the chance to invest, I will choose mutual fund. 

Topic 8: Money

Money, the thing everyone wants to earn a lot so that other people can call them rich people. For me, money is like the paper or coin that can exchange the thing I want, and I think money is a really important tool for me in my life because I need to use my money to buy what I need or what I want. There are several ways that I can get money. During Chinese New Year, the members in my family will give me red envelope, but technically I didn't get any money form them because every single red envelope I got will be taken away from my mom. The only red envelope that I can get is the one from my mom. I think money is the most important thing in everyone's life because without money,  you can not buy the thing you need or you want. That's why poor people's living environment isn't really good because they can not afford it. If I don't have money, then I won't be able to buy a lot of thing such as novels, food (breakfast, dinner), movie tickets. If I can not buy anything, then I only can stay at home and go nowhere except school.

Topic 7: Change and the Future

I am a normal kid that lives in Taiwan. In Taiwan, parents always want their children get good grades. Parents always tell the kid that if you have good grade, then your future will be colorful. You can earn a lot of money. When I was small, my parents shaped me with a lot of blaming. They always want me to get good grade in school, get into a good high school and college. That's what my parents want me to do in my school life. Well, things didn't go what my parent wanted to go; I didn't get into the best high school in Hsinchu, and that was the biggest change in my life. In summer before I become a high school student, my dad gave me two selection: whether local school or American School. I chose American school, and that's the another start in my life.

I love the thing that is related to computer, and I think I am going to major in computer science or computer engineering. Since computer became the thing that is important to everyone, many students like me will also go for the same major as me. I think the employment environment will be very competitive because people that are finding a job, which related to computer engineering, will increase.

Topic 6: Who's Running the Show?

The form of the business organization that PAS runs on is a sole proprietorship, and also formed a partnership with other group. Although I don't know any history about the how did this school develop, I believe that Ms. Pamela open this school by her own hand. But I don't believe that if no one supported her, she would open this school, so I think that there were people who really supported her and also have the same idea about international education.
The group that Ms. Pamela created partnership with is the School Board of Education. The liability of PAS is limited. If the school falls, Ms. Pamela can not be held responsible for everything. Pamela doesn't not lose her property because she formed the partnership with the School Board of Education. Both of them are responsible for their actions.
The life of PAS is unlimited; if Ms Pamela retire or suddenly pass away, the school would not be destroyed, and the name of Pacific American School won't be destroyed either. If one of these reason that Ms. Pamela isn't the head of the school anymore, someone will replace her as the head of school.
If I would open a new school, I think I will choose the same way as Ms. Pamela- sole proprietorship. Unlimited life of this kind of business organization attracted me that if I die or retire, the school that I create will still go on and won't be disappeared.

A Different Phone?

In these years, smartphone's market is rising super fast because of the invention of the iPhone. iPhone was brought out by its inventor Steve Jobs in 2007. Although Nokia is the first company that invente cellphones, they are the company that only normal cellphone. So they have to come up with another idea to earn money such as like mobile TV.
For me, different kinds of ability that cellphone can do always impressed me. I think I am not the only person that will be impressed. Many features that can be include in a cellphone can always attract consumer's heart because they think that cellphone is so much cooler and useful. Before iPhone came out, normal consumers were satisfied with cellphone that has keyboard; after iPhone came out, normal consumers dont want cellphone with keyboard because it's "old-fashioned" cellphone and they want the new cellphone with touch screen.
I think manufacturers are more likely to offer differentiated products in old market because the consumers in old market will be surprised by the new products. It's just like cellphone market. Cellphone market is an old market, and Nokia is an old cellphone company. But when the new product comes out, just like iPhone, consumers in this old market will be impressed and start buying that product. So I think manufacturers are more likely to offer differentiated products in old market.
I think a perfect phone need a touch screen, a home botton (just like iPhone), internet access, and one thing that will be the thing my phone has is transforming. My phone can transform into a touchpad or cellphone. 

Ripple Effects and Elasticity

The rise and fall of the price of oil will effect the entire economy in this world, including me and my family. Because oil is such a important resource for production of goods and service that are produced, a change in the price of oil will affect everyone in this society. Maybe will increase the use of the product that needs oil, but maybe will decrease in the use of the product that needs oil. OPEC is the organization that controls the price of oil in the entire world. If the price of the oil is drooped, than people in this society will use more product that needs oil, but the producer of the oil maybe will decrease of the production of the oil because the producer wants to make more money so that he or she can gain more benefit. And then this situation will make a shortage of the oil, and the price of the oil will rise. When this kind of situation comes, the people will be not using the product that needs oil less. But then the producer of the oil will produce more because the rise of the price of the oil will make them make more money. Cars and other vehicles are the most common example in our life that needs oil to motivate the engine to move. The airplane ticket price will rise because of the rise of the price of oil. Bus ticket will also increase because the price of the oil increase, in order to make as same as the profit they made before, they have to increase the price of the ticket. 

Where Choices Lead?

After the important test in my middle school life, my dad gave me a choice. He said that I can whether choose to come to PAS or stay at the local school. Because I almost fail my big test in my middle school, I can not go to the top school in Hsinchu. That's why my dad gave me the choices to come to PAS and walk through a different kind of road. Compare to the local school, this school's fee is more expensive than local school's fee. So money is the only opportunity cost for coming to this school. I thought I will suffer in this school cause I come from local school and English is not my first language since this school use English to teach. But the teachers and classmates help me a lot. If I have question that seems really stupid, they will still answer my question calmly. I think the decision I made was rational.
Coming to economic class wasn't my decision, but my dad's. He thinks that I should take economic class in order to help me to get more knowledge about economic. Two months already passed and I think this decision that decided by my dad is rational. Although I was forced to come to this course, I think this class benefit me a lot.

Topic 2: Scarcity at school

Scarcity is all over the world. Even in school has scarcity, for example our school, Pacific American School. People that go to PAS trade their time for either education as a student, or earning wages as an office stuff or a teacher. They don’t have to go to PAS. They can spend their times at home and sleep. But they give up the time and come to PAS to get education as a student or wages as office staff or teacher. I am a student that goes to PAS, and I trade almost 11 hours to school to learn new knowledge that I don’t know. Teacher gives student homework, so students have to spend times to work on it. For me I spend 5~6 hours a day on my homework and test. PAS provides many resources for me to learn. I can get extra reading from school so that I can get the knowledge that is not in the book. PAS also provides me lunch so that I don’t have to go out from school and get lunch by myself. PAS should provide me more spaces. I don’t like to go to a classroom that is crowded. I think the reason why the school doesn’t spread the space out is because our school is located at the downtown of Hsinchu, and there is no enough space for schools. 

Topic 1: Big Questions

In this society, goods and service are produced by the people that want to gain money from the consumer. For example, Apple Inc. produce computers for people who need a computer for work, that is the good produce by the Apple Inc. And there is also the service after you bought the product; they will help you with the program that you are not familiar with on their product, and also they will repair the product you bought if you broke them. This is a kind of service for the company that main produces computers and other 3C stuffs. Well, not all the people can buy computer from Apple Inc. because the product they are selling is not that cheap. Although people think that Apple products are too expensive to buy it, they are still addicted to their product like iPhone. People like to use iPhone because they think iPhone is cooler than other brand of smartphones. CEO is the person that makes most of the decisions for the company, like what is the price for iPhone they are going to sell, when will the product release. But the price they assign is not the price they are going to sell because government will put tax on it so that the price of the product will be a little bit higher.