Economics of Organization and Management
The purpose of this exercise is to apply the relevant principles, ideas, and concepts covered in this course to the analysis of a real world event or issue.
- You are required to write a short paper (4-5 pages total) based on the following topic. The report is worth 10% of your final grade.
This assignment relates to the recently proposed merger of ATT&T and Time Warner. Read the two articles below AND follow up by reading any relevant material required to answer the questions below in this document.
Issues/Questions to be addressed:
- Using material taught in this course (and other economics courses) to describe the economic reasons driving the proposed merger.
- Don’t forget to describe whether this is a merger or an acquisition. Explain what each term means, how they are related and how they differ from each other.
- Both Donald Trump and Hilary Clinton’s presidential campaigns included negative statements about this proposed merger. Both candidates spoke about likely acting to block this merger should they get elected as president. On what grounds do you imagine they opposed this merger? Explain. Put another way, both candidates come from significantly different parts of the political spectrum, do you imagine they hold reservations about this merger for the same reasons? Explain what concerns do you imagine they hold & why.
- Now that Trump has been elected is this merger more likely to fail? Explain why or why not.
- In your mind should this merger go forward or should the US government block it. Explain why or why not.
- 2-3 pages of typed written content, formatted as follows: typed, double spaced (regular margins top/bottom & right/left margins) with a 12 point font size.
- Reports mustinclude: A cover page AND a list of sources used (neither of these count towards the 2-3 page count total mentioned above – hence the 4-5 page total page count mentioned earlier).
- Hard copy to be submitted to the professor either in-class, to his office (IC-284), OR to the Department Dropbox.
- The reports can be done individually OR in groups of up to 4 people (in total) from MGEC40 this term.
1) It is important that you cite all materials that you use (including web pages, i.e. cite the name of the web site and the URL address).
2) It is important that the report be written carefully, clearly and concisely. This paper is about the quality of your discussion and arguments rather than the quantity of material you present.