Tuesday, June 23, 2009

Moving Around

I've always been a social butterfly. Always jumping from one group of friends to another, always meeting new people and usually well-liked. I think that's what has helped me to establish connections with people on my floor and around the dorms so quickly. This ability to "sell" myself as a person to others fairly quickly and prove that I'm genuine in many respects.

Which reminds me, in an obscure and maybe unrelated way, of what we learned in class. In my Intro to Macroeconomics class, we talked about Supply and Demand today. Simply put, supply and demand are inverse relationships that model the effects of quantity on prices. Well maybe that wasn't simply put, but basically, it's sort of a common sense topic. When there's more of something, and people don't want it, prices go down, when there's not a lot of something, but the demand for it is high, than prices go up.

And well relating it to my intro paragraph, there was some floor-bonding happening with my floormates and I tonight. From what I could tell, when I was in the room, the overall energy in the room increased, however at some point, it would get a little to rowdy and I would leave to get some air. When I came back, the energy of the room had decreased and everyone was asking about where I'd gone and if I had brought anymore people to the room. And then the cycle would repeat.

Which again relates back to something else we talked about in class today. Circular flow diagrams. These diagrams model how income and goods and services are transferred in a cycle from households and firms. That in a simplified perfect market, revenue and capital is always being circulated to everyone. All in all, I've learned a lot so far in class. We do homework online using this program called Aplia. There's a ton of reading and quite a few problem sets everynight, usually takes me about 1-2 hours to complete all of it.

Tomorrow morning we're doing an online experiment where we simulate a market. It's going to be done over Aplia before class which will be an interesting experience because we haven't had any type of group interaction yet. It's mostly been lectures so far.

1 comment:

Don Gosney said...


I liked how you turned yourself into a product and changed the flow of things just by adding or removing yourself from the market. A psychiatrist would have a field day with that one.

Those of us who have been a round for a while fully understand about supply and demand trends. I'm curious whether your profs will get into artificial supply and demand models. That's where the market is manipulated so the demand increases and people are willing to pay higher prices.

We've seen this with gasoline (remember last year's $5 a gallon? Do you think this was really due to a reduction in the supply or maybe it was artificially created by the oil companies and their friends in the Middle East.) How about things like Tickle Me Elmo dolls or even things like gold (why was it worth only a couple hundred dollars an ounce a few years ago but now it sells for $950 per ounce?).

You want it and I got it so you'll pay the price I set. As Gordon Gecko said so eloquently in Wall Street: Greed is good.