PRINCIPLES OF ECONOMICS

Principles of Economics

Principles of Economics

Suggest how an economist would approach the problem of alcohol abuse. Provide two (2) possible solutions to this problem. Include the four (4) elements of the economic way of thinking in your analysis.

Much of the scholarship on Alcohol abuse focuses on risk factors; however, given that the primary goals of prevention programming concern reducing risk factors while simultaneously enhancing protective factors, it is important to review some of the characteristics and contexts that deter individuals from alcohol abuse. Protective factors can lessen the impact of risk factors on the likelihood of using alcohol and represent more than merely the opposite or absence of risk factors. Protective factors are commonly understood as interacting with risk factors.

For example, a strong attachment to parents may lessen the effect of associating with alcohol-using peers on one's own likelihood of substance use. Supportive, caring families are often cited as protective against substance use and delinquency. Parents who provide opportunities and rewards for their children to engage in positive, prosocial behavior have children who are less likely to engage in alcohol abuse and delinquent activities. This can also serve to strengthen negative attitudes toward substance use. Attachment to community members or school may suffer the effects of family conflict. Social bonding, to parents, school, and community are particularly important protective factors that may operate alone or in conjunction to reduce youths' risk of alcohol use and abuse, as well as delinquency (Marshall, 1920).

Following are the elements from the economic point

Prices of the alcohol should be raise

Taxes have to imposed on the consumption of Alcohol

Heavy import duties obligatory on Alcohol

Nobody can put alcohol in their market on the excessive amounts

Analyze how prescription drugs affect the demand and supply of other products and services in this country.

Supply and demand are affected by many economic, social and environmental factors. The characteristics of the goods themselves, the nature of the sales outlet, the socioeconomic status of the buyer, and the availability of other goods and alternate source of supply area a few of the factors that may affect supply. The prescription drug industry is affected by the basic characteristics of supply and demand, as are other industries. However, drugs are affected to a considerable degree by the influence of third and fourth parties to the traditional buyer and seller relationship (Frank, 2004).

Both supply and demand may be influenced by various internal and external factors. Furthermore, it should be noted that the demand and supply curves for major sectors of industry or the consumer population are a composite of what may often be many thousands of individual supply curves of single products. For the sake of precision, it should be pointed out that when the term change in demand is used it should refer to a change in the quantity demanded at all prices. When a change occurs at only one or two points on the demand curve, we are seeing a change in the quantity demanded and not in ...