Kelsie Dodd
08-25-16
Chapter 1 current event
Earthquake in Italy Affects Economy in the Area
Summary of Article The article discusses the disaster the earthquake in Italy has left behind and the affects it has made on the economy. The Prime Minister’s (Matteo Renzi) cabinet met to decide on the steps they should take to help people who have been struck by the disaster. Many people have died (Nearly 241 found dead) and rescue teams are still searching for survivors. The Prime Minister will have to give portions of resources to a relief fund and concentrate on how the money will be spent. Plans to reduce risk to buildings will need leeway on budget and a negotiation will be needed with the European Union allies. Economists say it is too early …show more content…
First, the article discusses the issue of scarcity, and having to allocate some of the resources from a government relief fund (approximately 50 million euros according to the article). More than likely, though perhaps not spoken about in the article, there will be opportunity costs involved which is using resources in one way when it could have also been used in another. For a while, many people will not be able to use resources for their own pleasure or satisfaction as resources will need to be used to help rebuild homes and help people survive in general. The Prime Minister also uses marginal analysis to help accommodate what they need to help society. There will most likely be a budget line put on the society in Italy for a while until life is normal once more. Land is important to everyone in an economy as it includes all natural resources and because of the earthquake it has disrupted the natural resources so it may be slightly harder to get those things needed by the …show more content…
Once the Prime Minister is able to get help from the European Union and other allies restoring the economy should only be steps away. So long as they keep a stable budget line and offer help to one another. This is a very hard time for them as rescuers find more dead, but people still need to work together to help make things relatively normal
08-25-16
Chapter 1 current event
Earthquake in Italy Affects Economy in the Area
Summary of Article The article discusses the disaster the earthquake in Italy has left behind and the affects it has made on the economy. The Prime Minister’s (Matteo Renzi) cabinet met to decide on the steps they should take to help people who have been struck by the disaster. Many people have died (Nearly 241 found dead) and rescue teams are still searching for survivors. The Prime Minister will have to give portions of resources to a relief fund and concentrate on how the money will be spent. Plans to reduce risk to buildings will need leeway on budget and a negotiation will be needed with the European Union allies. Economists say it is too early …show more content…
First, the article discusses the issue of scarcity, and having to allocate some of the resources from a government relief fund (approximately 50 million euros according to the article). More than likely, though perhaps not spoken about in the article, there will be opportunity costs involved which is using resources in one way when it could have also been used in another. For a while, many people will not be able to use resources for their own pleasure or satisfaction as resources will need to be used to help rebuild homes and help people survive in general. The Prime Minister also uses marginal analysis to help accommodate what they need to help society. There will most likely be a budget line put on the society in Italy for a while until life is normal once more. Land is important to everyone in an economy as it includes all natural resources and because of the earthquake it has disrupted the natural resources so it may be slightly harder to get those things needed by the …show more content…
Once the Prime Minister is able to get help from the European Union and other allies restoring the economy should only be steps away. So long as they keep a stable budget line and offer help to one another. This is a very hard time for them as rescuers find more dead, but people still need to work together to help make things relatively normal