Assignment: Free Market and Ethical Issues Markets are mechanisms for coordinating the set of connections of production operations that are distributed throughout the whole economic system. Thus, the market is the predominant and determining link between producers of goods and services and consumers. Accordingly, markets, as an exchange of goods and services that takes place as a result of buyers and sellers interactions, are generally considered the most efficient allocator of resources in the market economy. However, free markets are not allowed to solve some of the social problems in a society due to various reasons. One such social problem is illegal drugs. Another example is environmental issues such as pollutions. For an additional example for a social problem, where supply and demand is not allowed to freely function, conduct basic research on markets for human organs. There are black markets (underground economy) for human organs in some countries. But a trade in human organs, based on supply and demand, raises ethical issues and hence it indicates a limitation of relying on markets to solve the social problems we have in the society. Course outcome(s) practiced and assessed in this Assignment: GB540-1: Evaluate ethical issues in economics. Directions Your research should be about social problems where the free markets are not allowed to function, which includes the market for a particular illegal good and service, a regulated market, etc. ● Select a social problem where free markets are not allowed to function, and conduct research on the social problem. ● Describe how free market features could be introduced to help alleviate the social problem through free market operations of supply and demand. ● Discuss the risks of introducing market mechanisms of supply and demand in situations where ethical issues are present. ● Explain four roles of the government in maintaining ethical business practices. Criteria ● Your Assignment should have a cover sheet with the following information: Title of the paper, Your Name, Course Number and Section Number, and Date ● It must be a minimum of 5-pages long (excluding title page, references, etc.) ● Be sure to include the criteria located in the rubric below within your paper. ● It must be APA formatted with citations to your sources and your last page should list all references used. Review the APA formats found in the Writing Center. ● You must use a variety of three objective, high quality, and current sources. Peer reviewed articles, articles published in journals, textbooks, and library resources found in the Library are examples of high quality resources. ● Note that Wikipedia, Investopedia, etc. are not considered as reliable resources for this research. Unit 1 [GB540: Economics for Global Decision Makers] 2 of 2 Directions for Submitting Submit your Assignment to the Unit 1 Assignment Dropbox by the end of Unit 1. GB540 Unit 1 Assignment: Free Market and Ethical Issues Content and Analysis Points Possible Points Earned Introduction and conclusion. 20 Identified a specific social problem where free markets are not allowed to function. 10 Described how free market features could be used to help alleviate the social problem. 25 Discussed the risks of introducing market mechanisms where ethical issues are present. 25 Discussed four rules and regulations of the government on ethical business practices. 20 5-pages in length and at least three reliable references. 10 Writing style, grammar, APA formatting (references, cover page, etc.) 15 Total 125

PLEASE WRITE ONLY ABOUT AMERICAN AIRLINESThe case studies for your Final Project are available as part of your custom e-text in Vital Source. They are listed at the end of the text, and can be located by either searching for the name of the case study using the search function, or by locating the title of the Case in the Table of Contents.American AirlinesMicrosoft CorporationHeinz CorporationThese case studies represent a variety of real-world situations. The American Airlines case addresses revenue management, the Microsoft case looks at how a company maintains market power, and the Heinz case exemplifies how a company deals with competition. Each company is in a different market structure and, therefore, finds itself facing different challenges with different options to meet those challenges.Select one company/case study to focus on for the final project. Each company is in a difficult situation. Your objective is to analyze the situation with regard to which profit-enhancing tools are being used, what type of demand the company is facing, what its cost structure is, and what constraints and opportunities the market environment poses. Ultimately, these are the questions:What led the company to this situation?What would you recommend the company do as the next step?In this journal assignment, craft a preliminary problem statement based on these questions. Your response should demonstrate your understanding of the issue at hand and include discussion of various relevant market factors that may have impact on the problem. Selecting the appropriate economic model to use in your analysis will be important in guiding your research.FOCUS MOSTLY ON THE AREAS IN BOLD. THE ABOVE AREAS SERVE AS A GUIDE. WRITE ONLY ABOUT AMERICAN AIRLINESIn this first milestone assignment for the final project, finalize your statement that defines the problem in the case study you selected in Module One.(AS WRITTEN ABOVE)To accomplish this, you, as a management economics professional, must clearly understand the problem at hand and identify what economic model is appropriate to drive your analysis. In your statement, include a proposal for data collection and analysis. FOCUS ON THESE THREE POINTS- problem. - root causes-economic model