Microeconomics is the study of economic behavior of the individual household or firm. In this Session Long Project, you will follow one firm of your choice for the entire session. You will analyze how this firm makes economic decisions as well as how events in the economy affect the firm. Please choose ONE Fortune 500 firm from the following list (feel free to use ANY firm, it does not have to be in the top 10): After choosing one firm, address the following questions in a 3-4 page essay:
1. What is the organization you are going to use? Why do you think it will be an interesting focus for your economic analysis?
2. Use the powerpoint presentation in the background materials to learn more about the firm of your choice.
a. Pick TWO of the economic terms presented in the PowerPoint Slides that apply to your organization. What are they? Explain how each applies to your organization.
b. Pick one of the “Big Economic Ideas” presented in the PowerPoint Slides. Discuss how they apply to your organization. What do they add to your understanding of how your organization operates? Do you have any new insights?
3. Supply and Demand are important tools to study how markets function. Read more about Supply and Demand from the Background Material and address the following:
a. What good or service does your firm produce? What are some factors that would cause a change in demand for this good/service? How does quantity demanded of this good/service change?