Minimim Wage

In my opinion, minimum wage should be raised by one dollar an hour. As stated in the article, it would mean around $2,000 more a year for full time minimum wage workers. There are all types of different jobs that require different skills, including physical and mental, but all are strenuous to some degree. Even though people can survive on minimum wage as it is now, it is no luxury. Most are living paycheck to paycheck, and counting every penny. However, if it was raised by $1.00, the extra amount would do nothing but help those struggling to get by every day. As it was also stated in the article, more money to spend would increase the demand on products such as clothing or food. If more people have the money to buy something, more people will buy it. This helps businesses and compaines make more profit. A one dollar raise on minimum wage would be helpful to many Americans.

Price Floors

When it comes to price floors in the United States, I support them. There are items that should have a minimum cost for many different reasons. For example, alcohol should have a price floor. Until recently, there was an alcoholic drink called a Four Loko that contained a high alcohol level as well as high caffeine level. For obvious reasons this drink was very unsafe and unhealthy. However, it was being sold for under three dollars for a large can. Therefore, young adults everywhere were settling for buying this awful drink solely because it was cheap and not hard on their wallets. Although it recently became illegal, it was a prime example of why there should be price floors on alcohol. If all alcohol cost at least a certain amount, it would stop people from buying harmful drinks just because they are cheap. There would be better alternatives at the same price. This effects the equillibrium because it would have to rise in order for the price and quantity supplied to remain above the price floor, or legal price.

Price Ceilings

In the United States, I feel that it is not vital to have price ceilings on products or goods. Americans all have different incomes and situations, so it is obviously it is harder for some people to afford necessities than others. However, most necessities such as clothing, shoes, food and medical attention can be provided to everyone at any cost. For homeless or struggling, those necissities can be found at food banks or shelters. Also, there are always millions of fundraisers and drives going on to make money to put towards food, clothes and medical supplies for the helpless. On the other hand, families or indiviudals who can easily afford necessities and more, should be able to  buy the nicer, luxurious items in life. With a price ceiling, products that cost a lot to make would not make profit, because they sell for less. This would cause the equllibrium to go down in order to remain in the price ceiling.

Supply wrap up

1) Supply schedule & Curve:
https://docs.google.com/drawings/d/1MmMyX4Vi4UieoM7e19TAUX_kcE_jSOlIlaVBNjBdpTE/edit

2) Inelastic/Elastic Supply Curves:
https://docs.google.com/drawings/d/1z36pB-enqY_29OgIACBdvcRVV_UgtEgc9pzR_JV9ZYg/edit

3)Supply Schedule w/ Increase & Decrease:
https://docs.google.com/drawings/d/1QnAokW1wMrBF1V_IyPpv5loZSCxRNUBt791LQJLkpc8/edit

Complements reflection (D finale)

During our last unit, we have learned about different aspects of demand. Law of Demand, Utility, Diminishing marginal utility, complelents, substitutes, elastic/inelastic demand; and change in demand. All of those aspects have  a larger impact on our every day lives. However, inelastic demand has a large impact on my personal life.

              Inelastic demand means that no matter how the price changes on an item, about the same amount of people will still buy that product. My sister has type 1 diabetes. She was diagnosed when she was 5 and is now 19. Growing up with her and her medical condition has been trying at times, but also very educational. She has to purchase many supplies such as insulin, meters, test strips, ketone strips, etc. almost every month. The cost of those items has obviously altered a lot in the past years due to the market, our insurance, etc. Even when the prices go higher on her supplies, my parents still have to purchase the same amount at the same time. 

         Even though it is hard at times to purchase the amount of diabetes supplies my sister needs every month, they are all inelastic and cannot be substituted for something that is cheaper.

QUESTION: What are some other inelastic products similar to medical supplies? 

inelastic/elastic

https://docs.google.com/drawings/d/17qPoH5xzC5ICr8rx1Plt7qmS9oVP7z2zEjF8HXi_DVE/edit

5 gum DEMAND CURVE (link)

https://docs.google.com/drawings/d/16FKMWEWDkUcEiNWi85waYJyR0UzOWW9fypWJlQsGws4/edit

Demand Headlines

1. Complementary:  "Strawberries stop growing all over world. Peanut butter and bread sales down. Picnics  lose fun factor."
2. Substitute:  "Vans go out of business, twice as many Chuck Taylors being sold."
3. Elastic: "Coke raises price of Coke Zero to $5 a liter. All sales stop."
4. Inelastic:  "Flu Shot prices raise to $100 per shot. Families save and scrape every penny."

Inelastic: I visited a local children's clinic after catching wind of the new flu shot prices. To my surprise, there were just as many families in line for the shot. Even at one hundred dollars per prick, parents know the importance of the life saving shot. Until recently, flu shots have been little to no cost. They were available at all doctor’s offices and almost all grocery stores. It was impossible to almost not get one. And to many people’s disbelief, there are still just as many locations and people willing to pay one hundred dollars to vaccinate themselves and their children. “It’s just a necessity for my children,” one mother said as she waited in line at the clinic. “Children spread germs around so easily at school that kids are almost inevidable to catching diseases, but the flu, at least, can be prevented.” Overall, regardless of the drastic price change in the price of the flu shot, it remains a major necessity to families all over America. Thus making the flu shot extremely inelastic and necessary.