Reference no: EM133294512

Question 1. Compare and contrast an "invisible hand" effect (such as the working of the price mechanism in an ideal market) and a "perverse outcome" (i.e., in a collective action problem). How do both concepts differ from common sense notions of the relationship between individual action and collective outcomes? Illustate your analysis with concrete examples.

Question 2. What did Schumpeter mean when he distinguished between competition "in" and "for" the market? How is this distinction relevant to his views of price competition, monopoly, and static vs dynamic efficiency? Illustate your analysis with concrete examples.

Question 3. What are tariffs? What is their economic purpose? What interests are disadvantaged by their own country's tariffs? What role(s) did tariffs play in Henry Clay's "American system" and Canada's "National Policy"? How and why did the northern and southern states differ in their views of trade policy and tariffs in the period before the American Civil War?

Question 4. What are the distinctive features of "managerialism"? How did "managerial capitalism" differ from earlier entrepreneurial capitalism and the subsequent "financial capitalism"? When did each of these 3 forms of capitalism prevail? What were some of the factors that contributed to the rise managerialism and its prevalence during its heyday? What were some of the factors that contributed to the subsequent rise of financial capitalism? Why was managerialism held to be compatible with nationalization (state ownership) of large businesses?

Question 5. What are "staples"? Why was Canada said to have a "staples economy"? In what respects does it still have a staples economy and to what extent does it not? What are forward and backward linkages? When and why did Canada most industrialize? When and why did it deindustrialize? What is the relationship between staple commodity prices, currency exchange rates, and the Canadian balance of trade? Why does Stanford think Watkins's prescription of encouraging domestic linkages and diversification from staples production is still relevant, even though environmental goals require downscaling of staples (especially, e.g., fossil fuels) production?