China Works on Domestic Issues

Newsday's article "China calls for boost in domestic consumption" explains how China is trying to improve its local economy through a decrease in exporting. China wants to increase domestic consumption to prevent being involved with a weaker global economy while keeping jobs at the same time. China hopes that shifting to technological purchasing will allow this plan to succeed. The hope is to create new jobs in the field and increase employment while increasing domestic consumption at the same time. Assistance to rural families will also be provided to help with China's domestic agriculture industry.

The article points out that most of China's previous economic improvements are due to exporting into other countries. China is able to sell their products abroad to create global revenue. Because the global economy has worsened, China isn't as enthused about exporting. This is a good example of where specialization and trade is beneficial, but not necessarily on such a large scale. China may have overextended themselves and hurt it's economy in the long run. China doesn't want to cut off all exporting but rather simply decrease it by improving domestic consumption. China will still produce as much, but it won't be exporting as much. This decrease in supply might also cause prices to rise giving China more revenue.

Egypt and US Relations

The Newsday article "McCain says US, Egypt 'must be friends" points out that Egypt and the US have had poor relations recently. The two countries have been at an all time low in their ability to coexist. Some of the US government wants to cut off these relations but John McCain argues otherwise. He points out that the relationships must adapt instead of be cut off. The key to their relationship is trade, a necessary aspect of both economies.

These two countries are a key example of the need for specialize and trade in order to maximize economic opportunity. Without the two trading, both countries would have issues selling and receiving certain products. Through US trade with Egypt, economic prosperity is brought to a higher level. Most trade is done with agricultural resources and military products. Looking elsewhere for these products would probably hurt both economies through new transaction costs, and new relationships would probably be at less favorable prices. This would hurt both economies, but not as much as if they exhausted domestic resources to produce these goods locally. Therefore, the US and Egypt having good relations is very beneficial to both economies.

Goliath Grouper and the Tragedy of Commons

The goliath grouper is a massive fish native to Texas. This fish was known for being able to reach over 8 feet in length with about 100 pounds per foot. Unfortunately today these fish are barely ever scene. A tragedy of commons incident caused the fish to be over-harvested. This fish was known for being harvested for massive amounts of meat for the market. This fish meat was very profitable to be sold. Too many fishers caught and sold the fish making it near impossible for anybody to even see a grouper this size anymore. The fish wouldn't reach 8 feet because of them being caught before full maturity. The government had to step in to solve this tragedy of commons and prevent the species from becoming extinct. Therefore, the government forbid the catching and harvesting of the goliath grouper in the 1990s. The fish is now considered an endangered species to keep people away.

The government hopes to repair this part of the ecosystem with this new regulation. Legends today exist of people claiming to experience the goliath groupers. One swimmer claimed to be diving when it was swallowed whole by something unknown and spit back out. The swimmer claims to not know what swallowed and spit him out. Some claim it was a full grown goliath grouper. Some claim he lied. Whatever the case, the government is still fighting for the survival of the fish that fell victim to the tragedy of commons.