Wednesday, February 3, 2010

Why Taxes are Bad: The Logic of Efficiency


Students shall be able to

  1. explain why taxes are bad,

  2. define consumer surplus,

  3. define deadweight cost,

  4. define inefficient,

  5. explain why inflation is bad,

  6. explain the relationship between the supply of money and the level of dollar prices.


  1. Reading and discussion: Armchair chapter seven. [Click here for the text of that chapter.]

  2. Lecture/discussion: once again over lightly on supply and demand


  1. Answer the questions from Armchair chapter seven. [For a MS Word version of these questions, for those who would like to type answers, click here. Of course, you have to have Word, or a program that will open a Word file, to open this.]

  2. Participate in the discussion.

  3. Read McConnell & Brue chapter four for Thursday.



Grade class discussion. Monitor and adjust as necessary.