Thesis Corner: Tesha Shalon

A few days ago I had a talk with graduating senior and former Sound Economics writer, Tesha Shalon about her thesis on the impact of low cost carriers (LCCs) in the domestic airline market. In her thesis, she compares the profit and revenue of these airline companies to legacy carriers, who prospered during the airline regulatory era before the late 1970s. Tesha examines the effect of these LCCs on the profit and revenue of legacy carriers, while analyzing the extent to which LCCs’ profit compares to that of legacy carriers. Since deregulation in 1978, airline carriers have been forced to Continue reading Thesis Corner: Tesha Shalon

Where is the Craft Beer Market Headed?

The craft beer market has been heavily influenced by a change in preference for these less recognized beers. There has been a significant increase in demand for craft beer in general in the past five ten years. Independent and small beer producers accounted for 24.5 million barrels two years ago.  This production was a 13 percent rise in volume and led to a 16 percent increase in retail dollar value. Then in 2016, the sales of craft beer increased by 6.2% and saw a 10% dollar sales growth. After examining these statistics, it is evident that this market has seen Continue reading Where is the Craft Beer Market Headed?

USAFacts: An Injection of Facts

Have you ever wondered where the US tax revenue exactly comes from and where it goes? To most US citizens the thought of traversing a mountain of US government financial data could seem like a nightmare. But this nightmare is no more, thanks to our friendly neighborhood (former) Microsoft CEO, Steve Ballmer. With the help of economists, writers, researchers from the academic communities, Ballmer was able to compile government financial data into a user-friendly format. USAFacts is this “portrait” of the US tax system. USAFacts is described by Ballmer a “nonpartisan, data-driven” website that provides reports on the US population Continue reading USAFacts: An Injection of Facts

The Ripple Effect of the US Sugar Quota

After taking a look at the development of a “soda” tax around the US, it seems relevant to place the magnifying glass over a different side of the market. According to Amy Brittain, investigative reporter for The Washington Post, there are some bitter feelings between sugar producers and candy companies. The US government has imposed a tariff-rate quota on imported sugar since the 1930s. The quota was first implemented to mitigate the effects of the Great Depression on the domestic sugar agriculture. But since then the quota has been in place and has had further effect on the sugar and Continue reading The Ripple Effect of the US Sugar Quota

Skewed Perception: American Attitude Toward Taxes

The word “taxes” can stir up many emotions for Americans. The general attitude of citizens toward taxes can be ambiguous and unclear. It’s Always Sunny in Philadelphia, a television series on FXX, captures this picture in one of their recent episodes. Two of the main characters become troubled after finding out the local mental institution has released its patients because of statewide cutbacks. One of the characters suggests that they must pay more in taxes to keep these hospitals open. The other character becomes angry and says, “How much do these vultures need? I already pay a ton in taxes… Continue reading Skewed Perception: American Attitude Toward Taxes

Blumhouse: Minimizing Costs in the Film Industry

The thriller-horror film, “Get Out” was released in theaters on February 24th and has made more than $150 million gross domestic, according to Box Office Mojo. The movie has received a positive response from movie critics with an 8.2/10 on IMDb and 99% on Rotten Tomatoes. But the real magic behind this film is the low budget at only $4.5 million. NPR’s Planet Money recently dove into the “science” behind producing this film and others created by the production company Blumhouse. Jason Blum is the founder this low-budget film production company. He created this company with the idea that he Continue reading Blumhouse: Minimizing Costs in the Film Industry

A Sweet and Sugary Debate

Philadelphia became the first major city to take a stance against “sugar-sweetened and diet beverages” with a 1.5 cents per ounce tax on distributors. The tax was passed by the city council in June and has been in full swing since January. Some news sources are quick to point out the success of the tax as it has “generated $5.9 million in January, more than double its prediction of $2.3 million.” An important platform of the tax campaign was that the revenue from the tax would help fund schools, community programs and facilities in Philadelphia. But the primary purpose for Continue reading A Sweet and Sugary Debate

A Different Perspective on Empathy

Paul Bloom, a psychologist at Yale University, takes a stance against using empathy as a motivational tool for charitable giving in his new book, “Against Empathy.” The definition of empathy used by many focuses on the ability to feel another person’s emotions or feelings in general. Bloom argues that this type of perspective is actually harmful in many different aspects when it comes to making decisions of morality. In a recent episode of Econtalk, Russ Roberts meets with Bloom to discuss this view of empathy that could be seen as controversial to many. Bloom’s main argument focuses on this definition Continue reading A Different Perspective on Empathy

The Upward Trend of Esports

More news in the world of Esports has emerged since my last post about professional gaming. The NBA franchise, the Miami Heat purchased a significant stake in the Esports organization, the Misfits on January 10th. The Heat also announced a partnership along with this deal, in which the basketball franchise will “cross-promote” both organizations. The team tweeted a picture of both the Miami Heat’s logo and the Misfits’ new logo side by side. The Esports team changed their logo to match the color of the Heat’s logo, further promoting the partnership. The basketball team’s CEO, Nick Arison made an official Continue reading The Upward Trend of Esports

US Immigration: “The Best and Brightest to the Front, Please”

Immigration is one of the most talked about political topics in the US and seems to dominate every speech around election time. Political figures have tried to find the “perfect” immigration system (the newest one being a $15 billion wall). But what do economists think about this issue? NPR’s Planet Money asked three different economists for their ideal immigration system for America’s borders. One of these economists came up with a plan titled, “the best and brightest.” The first plan was given by Dean Baker, the co-director of the Center for Economic and Policy Research. His “dream system” for American Continue reading US Immigration: “The Best and Brightest to the Front, Please”