The Economics of Capital Punishment--Posner The recent execution by the State of California of the multiple murderer Stanley "Tookie" Williams has brought renewed controversy to the practice of capital punishment, which has been abolished in about a third of the states and in most of the nations that the United States considers its peers; the European Union will not admit to membership a nation that retains capital punishment.
Steady state economy A steady state economy is an economy of relatively stable size. It features stable population and stable consumption that remain at or below carrying capacity. The term typically refers to a national economy, but it can also be applied to the economic system of a city, a region, or the entire planet. Note that Robert Solow and Trevor Swan applied the term steady state a bit differently in their economic growth model. Their steady state occurs when investment equals depreciation, and the economy reaches equilibrium, which may occur during a period of growth. Physical features[edit] The steady state economy is an entirely physical concept. Economists use gross domestic product or GDP to measure the size of an economy in dollars or some other monetary unit. A steady state economy, therefore, aims for stable or mildly fluctuating levels in population and consumption of energy and materials. Limits to economic growth[edit] History of the concept[edit] and Policies for the transition[edit]
The International Society for Ecological Economics Welcome to the ISEE web-site. To promote understanding between economists and ecologists in the development of a sustainable world We are happy to receive any suggestions for its further improvement. The International Society for Ecological Economists (ISEE) facilitates understanding between economists and ecologists and the integration of their thinking into a trans-discipline aimed at developing a sustainable world. A cross-disciplinary approach is necessary because conflicting perspectives in economics and ecology have led to economic and environmental policies that are mutually destructive, rather than reinforcing and sustainable. The Society promotes understanding between ecologists and economists and integration of their disciplines through a journal, Ecological Economics, other publications, a biennial international conference, occasional smaller workshops, and support of the activities of regional societies of ecological economics. To become an ISEE Member, click here
Production Possibility Frontier Economics > Production Possibility Frontier The Production Possibility Frontier Consider the case of an island economy that produces only two goods: wine and grain. In a given period of time, the islanders may choose to produce only wine, only grain, or a combination of the two according to the following table: Production Possibility Table The production possibility frontier (PPF) is the curve resulting when the above data is graphed, as shown below: Production Possibility Frontier The PPF shows all efficient combinations of output for this island economy when the factors of production are used to their full potential. The shape of this production possibility frontier illustrates the principle of increasing cost. Suppose a new technique was discovered that allowed the wine producers to double their output for a given level of resources. Shifted Production Possibility Frontier PPF for Very Similar Products Copyright © 2002-2010 NetMBA.com.
Microeconomics - Production Possibility Frontier Author: Geoff Riley Last updated: Sunday 23 September, 2012 A production possibility frontier (PPF) is a curve or a boundary which shows the combinations of two or more goods and services that can be produced whilst using all of the available factor resources efficiently. We normally draw a PPF on a diagram as concave to the origin. This is because the extra output resulting from allocating more resources to one particular good may fall. I.e. as we move down the PPF, as more resources are allocated towards Good Y, the extra output gets smaller – and more of Good X has to be given up in order to produce the extra output of Good Y. This is known as the principle of diminishing returns. Combinations of output of goods X and Y lying inside the PPF occur when there are unemployed resources or when the economy uses resources inefficiently. Point D is unattainable at the moment because it lies beyond the PPF. The PPF does not always have to be drawn as a curve. External Costs Free Goods
An Intermediate Introduction Thomas F. Rutherford Department of Economics University of Colorado tom@gams.com * This research supported by the GAMS Applied General Equilibrium Research Fund. The software described here operates only with GAMS 2.25.085 or later on the PC, shipped in July, 1995. Contents Return to the MPSGE home page 1. This document describes a mathematical programming system for general equilibrium analysis named MPSGE which operates as a subsystem to the mathematical programming language GAMS. MPSGE separates the tasks of model formulation and model solution, thereby freeing model builders from the tedious task of writing model-specific function evaluation subroutines. The present paper is intended for students who have completed two semesters of study in microeconomics. The remainder of this paper is organized as follows. 2. A central idea underlying most microeconomic theory is that agents optimize subject to constraints. Preferences are relationships between alternative consumption "bundles".
Welfare economics - Discussion and Encyclopedia Article. Who is Welfare economics? What is Welfare economics? Where is Welfare economics? Definition of Welfare economics. Meaning of Welfare economics. Welfare economics is a branch of economics that uses microeconomic techniques to simultaneously determine the allocational efficiency of a macroeconomy and the income distribution consequences associated with it. It attempts to maximize the level of social welfare by examining the economic activities of the individuals that comprise society. Welfare economics is concerned with the welfare of individuals, as opposed to groups, communities, or societies because it assumes that the individual is the the basic unit of measurement. Social welfare refers to the overall utilitarian state of society. Two approaches There are two approaches that can be taken to welfare economics: the Neo-classical approach and the New welfare economics approach. The Neo-classical approach was developed by Pigou, Bentham, Sidgwich, Edgeworth, and Marshall. The New welfare economics approach is based on the work of Pareto, Hicks, and Kaldor. Efficiency Most economists use Pareto efficiency, as their efficiency goal.