A Look At Three Types Of Price Searchers Economics Essay

A Look At Three Types Of Price Searchers Economics Essay A monopoly is a firm producing a commodity for which there is no close substitute. There are usually some forms of barriers of entry. It is difficult to define a pure monopoly as close substitutes are difficult to define. For example, there are no close substitutes for cigarettes, but there are many substitutes for Marlboro. 1.1 Characteristics à ¢Ã¢â€š ¬Ã‚ ¢ Features (a) Only one seller. (b) Restricted entry by barriers. (c) Market information is not free and perfect. à ¢Ã¢â€š ¬Ã‚ ¢ Barriers to entry (a) Legal barriers create legal monopolies. (i) Public franchise: exclusive right to run a business, e.g. TVB. (ii) Government licence: exclusive right to entry into a business, e.g. taxi licence. (iii) Patent: exclusive right to use an invention, e.g. right to produce a drug. (b) Natural barriers create natural monopolies. (i) The average cost falls over a large volume of output before it rises. LRAC would be lower if an industry were under monopoly than if it was shared between two or more competitors. (ii) Control the supply of an essential raw material, e.g. most diamond mines in the world are controlled by De Beers Ltd. (iii) Economies of scale: The large fixed cost of production requires a large output to pull down the average cost, e.g. electricity generated by China Light Power Ltd. 1.2 Output And Price Decisions Definition A single-price monopoly is one that charges the same price for every unit of output it sells. The monopoly must decide how much to produce and what price to charge. It is a price-searcher. Definition A price searcher is a seller with sufficient market power to set its price by adjusting supply. Since there is only one firm in the industry, the demand curve of the firm is also the demand curve of the industry, and the seller faces a downward sloping demand curve. Table 1 illustrates the demand function of a petrol station. The marginal revenue is less than and falls faster than the price charged. The price is also equal to average revenue (AR). Table 1: Demand and marginal revenue Price (P, $/Litre) Quantity Demanded (Q) Total Revenue (TR = P x Q, $) Marginal Revenue (MR = ΆTR = ΆQ) ($/Extra Litre) 18 0 0 16 1 16 16 14 2 28 12 12 3 36 8 10 4 40 4 The monopoly maximises its profit by producing the level of output to MR = MC. Given the total cost as in Table 2, we can find that the best output level to maximise profit is at three litres, where both MC and MR are equal. The price charged is $12. Table 2: Demand and marginal cost Price (P, $/Litre) Quantity Demanded (Q) Total Revenue (TR=P x Q, $) Marginal revenue (MR = ΆTR / ΆQ, $/Extra Litre) Total Cost (TC, $) Marginal Cost ($/Extra Liter) 18 0 0 15 16 1 16 16 18 3 14 2 28 12 22 4 12 3 36 8 30 8 10 4 40 4 41 11 Graphically, the same conclusion can be derived in Figure 1. Figure 1 A monopolys output and price The price is determined by demand curve corresponding to the equilibrium quantity at which the MR equals to MC. The profit or loss is again determined by the ATC with reference to the quantity sold and the price charged. Owing to barriers to entry, economic profits will not be eliminated away in the long run. The only difference between short-run and long-run equilibrium is that in the long run, the firm will produce where MR = LRMC. 1.3 Single-price Monopoly Versus Perfect Competition A monopoly and perfect competition are two completely different market structures leading to different price and output decisions. We can summarise their differences as follows: Perfect Competition Monopoly à ¢Ã¢â€š ¬Ã‚ ¢ Price-taker à ¢Ã¢â€š ¬Ã‚ ¢ Monopoly influences its price à ¢Ã¢â€š ¬Ã‚ ¢ Produce where MR = MC à ¢Ã¢â€š ¬Ã‚ ¢ Produce where MR = MC à ¢Ã¢â€š ¬Ã‚ ¢ P = MR = MC à ¢Ã¢â€š ¬Ã‚ ¢ P > MC; P > MR à ¢Ã¢â€š ¬Ã‚ ¢ No barriers to entry à ¢Ã¢â€š ¬Ã‚ ¢ Restricts output, charges a higher price In terms of output, a monopoly is always accused of restricting output in order to push the price above the marginal cost. This is known as allocative inefficiency, leading to loss in social welfare. In Figure 2, PM and QM are the price and output decisions of a monopoly, which are less than the corresponding output and price decisions in perfect competition. We can see that the PC and PM for perfect competition are set at P = AR = MR = MC. Figure 2 Price and output decisions in a monopoly and in perfect competition Similarly, the output level is reduced from QC to QM, which will hurt both consumers and producers in terms of loss in consumer surplus and producer surplus. The sum of such loss is known as deadweight loss. Definition A deadweight loss is a loss to society that cannot be recovered. Figure 3 Inefficiency of a monopoly In Figure 3, some of the losses of consumers have been captured by the producer as monopoly gain. However, there is still deadweight loss as illustrated by the area of the triangle. In this respect, a monopoly reduces the potential gain to society in term of social welfare. 1.4 Shortcomings Of A Monopoly A monopoly has the following shortcomings: à ¢Ã¢â€š ¬Ã‚ ¢ Higher price and lower output than under perfect competition in both short run and long run. à ¢Ã¢â€š ¬Ã‚ ¢ Possibility of higher cost due to lack of competition. à ¢Ã¢â€š ¬Ã‚ ¢ Unequal distribution of income as income concentrates on monopolies. à ¢Ã¢â€š ¬Ã‚ ¢ Lack of incentive in invention and innovation. 1.5 Advantages Of A Monopoly A monopoly has the following advantages: à ¢Ã¢â€š ¬Ã‚ ¢ Economies of scale. à ¢Ã¢â€š ¬Ã‚ ¢ Possibility of lower cost curve due to more research and development and more incentives. à ¢Ã¢â€š ¬Ã‚ ¢ I nnovation and new products. 2. Monopolistic Competition The second type of price-searcher is monopolistic competition. Definition Monopolistic competition consists of features of perfect competition and monopoly. A firm in such a market structure is also referred to as open market price-searcher as it is not protected by barriers. 2.1 Characteristics à ¢Ã¢â€š ¬Ã‚ ¢ Large number of sellers (a) Each firm has a small market share. (b) This implies independence of firms. à ¢Ã¢â€š ¬Ã‚ ¢ Freedom of entry à ¢Ã¢â€š ¬Ã‚ ¢ Product differentiation Each firm has some market power over its loyal customer. à ¢Ã¢â€š ¬Ã‚ ¢ Each sellers product is a close substitute for many other sellers products (a) Products are made slightly different from others, i.e. differentiation. Definition In differentiation, products are made slightly different from others by brand, packaging, sales location and services. (b) Non-price competition is common. 2.2 Demand Curve Because of product differentiation, a firm can raise its price without losing all its customers. Therefore, the demand curve is downward sloping because a price rise results in the loss of some, but not all customers. The demand curve is relatively elastic because of substitutes from other firms. However, the actual elasticity depends on the degree of product differentiation. Generally, the less differentiated the product is, the more elastic the demand will be, and vice versa. 2.3 Price And Output Determination 2.3.1 Short run A firm in monopolistic competition faces a downward sloping demand curve. The marginal revenue (MR) curve of the firm in monopolistic competition is downward sloping. The profit is maximised where marginal revenue equals marginal cost. The profit-maximising output level is determined by the intersection of MR and MC curves. The profit-maximising price is determined by the demand curve. The firm can make a normal profit, an economic profit or a loss, depending on the difference between the price and the average total cost. Since each firm is small and has market power, no single firm can effectively influence what other firms do. If one firm changes its price, this action has no effect on the actions of the other firms. Figure 4 Monopolistic competition in the short run 2.3.2 Long run Economic profits in the short run will attract new entrants. When new firms enter, they share the market demand. The existing firms demand curve shifts inwards, representing less demand. This process continues until all economic profits are exhausted. When only normal profits remain, there is no incentive for new entrants. In Figure 5, the price and quantity are $140 and 60 units respectively. As the price is just equal to ATC, there is no economic profit. Figure 5 Monopolistic competition in the long run The long-run equilibrium will be a position where the downward sloping demand curve is tangent to the LRAC curve. However, the demand curve will never be tangent to the bottom of LRAC because it is downward sloping. The profit-maximising output is 60 units and price is $140. The firm in monopolistic competition has excess capacity as it does not produce at the optimum level of output where the LRAC is the lowest. Figure 6 Excess capacity in monopolistic competition 2.4 Shortcomings Monopolistic competition has the following disadvantages: à ¢Ã¢â€š ¬Ã‚ ¢ Owing to monopoly power, long-run equilibrium brings a higher price and lower output than perfect competition. à ¢Ã¢â€š ¬Ã‚ ¢ Owing to downward sloping demand curve, the firms demand curve will never be tangent to the bottom of the LRAC curve, implying that it will not produce at the least-cost point. Therefore, product differentiation in monopolistic competition creates excess capacity (i.e. creates inefficiency). à ¢Ã¢â€š ¬Ã‚ ¢ Less scope for economies of scale as share among many sellers. à ¢Ã¢â€š ¬Ã‚ ¢ Lack of economic profits in the long run for research and development. 2.5 Advantages Monopolistic competition has the following advantages: à ¢Ã¢â€š ¬Ã‚ ¢ Demand curve is highly elastic due to the large number of substitutes. à ¢Ã¢â€š ¬Ã‚ ¢ Diversity of products is available. (However, it has been argued that the cost of diversity is excess capacity which is a type of inefficiency.) à ¢Ã¢â€š ¬Ã‚ ¢ Greater freedom of entry when compared with monopoly. à ¢Ã¢â€š ¬Ã‚ ¢ Absence of economic profits in the long run helps to keep prices down for consumers. 3. Oligopoly Definition An oligopoly occurs when only a few firms share a large proportion of the industry. 3.1 Characteristics à ¢Ã¢â€š ¬Ã‚ ¢ Few number of sellers Competition among a few, e.g. two to 20. à ¢Ã¢â€š ¬Ã‚ ¢ Products may be identical or differentiated à ¢Ã¢â€š ¬Ã‚ ¢ Barriers to entry Entry may be relatively difficult or impossible (e.g. petroleum). à ¢Ã¢â€š ¬Ã‚ ¢ Interdependence of firms Oligopolists react to the pricing policy of rivals. The outcome is that there is no single generally accepted theory of oligopoly. Firms may react differently and unpredictably. A firms policy will depend on how it thinks its competitors will react to its move and the consequence depends on how its competitors really react. 3.2 Collusion And Competition The interdependence of firms in an oligopoly drives firms into one of the following two incompatible policies: à ¢Ã¢â€š ¬Ã‚ ¢ Collusive oligopoly: Oligopolists have formal or tacit agreement to limit competition among themselves to reduce uncertainty. For example, they may set output quotas, fix prices and limit product promotion. The typical collusive oligopoly is a cartel price leadership. à ¢Ã¢â€š ¬Ã‚ ¢ Non-collusive oligopoly: There is no formal agreement among oligopolists. Firms compete for bigger shares of industry profits. 3.3 Collusive Oligopoly A typical collusive oligopoly has these features: à ¢Ã¢â€š ¬Ã‚ ¢ Cartel Firms acts like a monopoly to maximise industry profits. (a) Cartel by non-price competition: Market price is set by joint profit maximisation and each firm observes that price. However, they compete for customers in the form of non-price competition. (b) Cartel by quotas: Another way is to set the price by joint profit maximisation. Each firm observes that price, but each firm will take its share or quota of the total quantity demanded at the controlled price. Thus, both cases require adherence to the price-setting by joint profit-maximisation among oligopolists. The only difference is whether the quantity demanded at the controlled price is competed among the firms in the form of non-price competition or is divided among themselves in the form of quotas. à ¢Ã¢â€š ¬Ã‚ ¢ Price leadership The demand curve of price leader represents the market share of the leader. The leader first maximises its profits at the point where leaders MC = MR. The corresponding price of leaders demand curve becomes the market price which every other firm has to follow. The leader supplies at its equilibrium quantity and the followers supply the rest representing the difference between market demand and leaders supply. 3.4 Kinked Demand Curve Model There are many theories to explain different kinds of phenomena in oligopoly. One such theory, the kinked demand curve, is put forward by Paul M. Sweezy to explain the price rigidity or sticky price in an oligopoly industry. Assumptions: à ¢Ã¢â€š ¬Ã‚ ¢ If a firm raises its price, others will not follow. Thus, the demand curve will be more elastic in this range. à ¢Ã¢â€š ¬Ã‚ ¢ If a firm cuts its price, so will the other firms. The demand curve in this range will be less elastic. These assumptions result in the kinked demand curve. In Figure 7, because the demand curve has kinked, the MR has broken as is illustrated by the gap between a and b on the graph. And the output and price would be the same even though the MC rises due to the same level by the equality of MR and MC. Thus, the price will be sticky when the cost increases within a certain range. Figure 7 The kinked demand curve 3.5 Shortcomings An oligopoly has the following disadvantages: à ¢Ã¢â€š ¬Ã‚ ¢ Shares all the same disadvantages of monopoly, as discussed earlier in this chapter. à ¢Ã¢â€š ¬Ã‚ ¢ Less scope for economies of scale than monopoly. à ¢Ã¢â€š ¬Ã‚ ¢ More extensive advertising than monopoly, e.g. non-price competition. 3.6 Advantages An oligopoly has the following advantages: à ¢Ã¢â€š ¬Ã‚ ¢ Economic profits: returns for research and development. à ¢Ã¢â€š ¬Ã‚ ¢ Incentive for innovation: for capturing larger market share. à ¢Ã¢â€š ¬Ã‚ ¢ Greater choice: non-price competition through product differentiation. 4. FACTOR MARKET For the production of goods and services, a firm has to acquire factors of production. The markets for factors of production are similar to those of the product market, as they can be categorised into perfect or imperfect markets. The demand for a factor of production is dependent upon the demand of goods that use the factor. Hence, the demand for factors of production is a derived demand. Definition Derived demand is demand for a productive resource that results from the demand for the goods and services produced by the resource. Figure 8 Illustration of the factor and product markets Factor payment is the income for the owner of the factor of production for use of the factor over a period of time. The factor income for labour, land, capital and entrepreneurship are wages, rent, interest and normal profit respectively. In a perfectly competitive factor market, the factor payment is determined by the forces of demand and supply. Figure 9 Demand and supply in the factor market 5. MARGINAL PRODUCTIVITY THEORY This theory explains that the demand for a factor depends on the marginal revenue product (MRP) of the factor. Definition Marginal revenue product (MRP) is the additional sales revenue resulting from employing an additional worker. Marginal product (MP) is the extra output produced by the additional worker. The MP curve is downward sloping because of the law of diminishing returns. MRP = MP (factor) x MR (goods) The MRP curve is downward sloping from left to right. It is identical in shape to the MP curve because MR (i.e. price of a good) is constant under perfect competition in the product market. Figure 10 Marginal product for labour and marginal revenue product 6. DEMAND FOR A FACTOR Marginal cost (MC) is the extra cost of employing an additional unit of factor of production. In a perfectly competitive factor market, a firms MC graph for a factor is horizontal because the firm is facing a perfectly elastic supply of the factor. Therefore, MC = Price of the factor (i.e. MC of labour = Wages) 6.1 Profit Maximisation The firm maximises profits when: Marginal cost of hiring an extra unit of labour = Marginal revenue from the labours output to the firm In equilibrium, MC (labour) / Wages (factor price) = MRP Hence, the firms demand curve for labour is identical to its MRP curve. Figure 11 Demand for labour The market demand curve for labour is the sum of quantities of labour demanded by all firms at each wage rate. Chapter Review à ¢Ã¢â€š ¬Ã‚ ¢ A monopoly is a price-searcher who is a seller with sufficient market power to set his price by adjusting supply. à ¢Ã¢â€š ¬Ã‚ ¢ The monopoly maximises its profit by producing the level of output to MR = MC. à ¢Ã¢â€š ¬Ã‚ ¢ A monopoly restricts output in order to push price above the marginal cost. Such allocative inefficiency leads to a loss in social welfare. à ¢Ã¢â€š ¬Ã‚ ¢ Because of product differentiation, a firm in monopolistic competition can raise its price without losing all its customers. à ¢Ã¢â€š ¬Ã‚ ¢ The firm in monopolistic competition has excess capacity as it does not produce at the optimum level of output where the LRAC is the lowest. à ¢Ã¢â€š ¬Ã‚ ¢ Due to the interdependence of firms, oligopolists react to the pricing policy of their rivals. à ¢Ã¢â€š ¬Ã‚ ¢ The kinked demand curve explains that the price will be sticky when the cost increases within a certain range. à ¢Ã¢â€š ¬Ã‚ ¢ A firm will maximise profits when the marginal cost of hiring an extra unit of labour = the marginal revenue from the labours output to the firm What You Need To Know à ¢Ã¢â€š ¬Ã‚ ¢ Monopoly: A firm producing a commodity for which there is no close substitute. à ¢Ã¢â€š ¬Ã‚ ¢ Deadweight loss: Loss to society that cannot be recovered. à ¢Ã¢â€š ¬Ã‚ ¢ Single-price monopoly: Monopoly that charges the same price for every unit of output it sells. à ¢Ã¢â€š ¬Ã‚ ¢ Monopolistic competition: This market structure consists of features of perfect competition and monopoly. à ¢Ã¢â€š ¬Ã‚ ¢ Differentiation: Products are made slightly different from others by brand, packaging, sales location and services. à ¢Ã¢â€š ¬Ã‚ ¢ Oligopoly: Only a few firms share a large proportion of the industry. à ¢Ã¢â€š ¬Ã‚ ¢ Derived demand: Demand for a productive resource that results from the demand for the goods and services produced by the resource. Work Them Out 1. Which of the following is NOT a characteristic of a monopoly? A The monopolist faces an inelastic demand for its product B There is only one seller in the market C Barriers of entry exist D The monopolist can influence the price 2. Which of the following statements is NOT true? A As an oligopolist responds to competitors actions, it can be considered a perfectly competitive firm. B Products in an oligopoly may be differentiated. C A cartel is like a monopolist with power to maximise industry profit. D Oligopoly is a market structure favourable to collusion. 3. The characteristic of a monopoly is A its large scale of production B the existence of barriers to entry C the huge initial investment D the necessity for a large market 4. A natural monopoly exists when A a franchise is granted to a firm B economies of scale are necessary C a firm can prevent the entry of competitors D a firm specialises in natural resources extraction 5. The monopolist can make economic profits because A entry is prevented B it charges a high product price C it has low promotion costs D it has a large market share 6. Economic profits earned by a monopolist are most likely due to A barriers of entry B an unexpected rise in the price of its product C good luck D the rate of return allowed by the government 7. Which of the following is NOT a feature of oligopoly? A Only a few firms dominate the industry. B There are no barriers to entry into the industry. C The product may be either homogeneous or differentiated. D Firms in an oligopoly face downward-sloping demand curves. 8. Which of the following is NOT a characteristic of monopolistic competition? A A single price exists for similar goods. B Only normal profit exists in the long run. C Products are differentiated. D Excess capacity exists in the long run. 9. Which of the following statements is NOT true? A There are numerous sellers in perfect competition. B Products are differentiated in monopolistic competition. C Firms in perfect competition maximise profits. D Information is perfect in monopolistic competition. 10. What is the likely market structure of coffee shops in Hong Kong? A Monopoly B Oligopoly C Monopolistic competition D Perfect competition SHORT QUESTIONS What factor(s) enable(s) a monopoly to earn economic profits in the long run? Why do perfectly competitive firms maximise their profits by producing so that their marginal cost equals the price, but monopolists maximise their profits by setting a price that is greater than marginal costs? What are the characteristics of a market that allows a monopolist to successfully price discriminate between groups? Explain how a firm in an oligopoly can differentiate its product. ESSAY QUESTIONS 1. Peters Toy Factory, a single-price monopoly, has the following demand schedule and total cost for luxury toys: Quantity (Toys) Price ($/Toy) Total Cost ($) 0 10 1 1 8 3 2 6 7 3 4 13 4 2 21 5 0 31 Calculate Peters total revenue schedule. Calculate Peters marginal revenue schedule. Calculate Peters profit-maximising levels of : (i) output (ii) price (iii) marginal cost (iv) marginal revenue (v) profit 2. Mr Ma started a recycling business in Hong Kong this month. He employs students to sort and collect bottles, paying 10 cents for each bottle collected. The students can sort the following number of bottles in an hour. Number Of Students Number Of Bottles 1 200 2 450 3 750 4 1,150 5 1,450 6 1,700 7 1,900 8 2,050 9 2,150 (a) Why does the students marginal product decline? (b) If all other firms pay the students $25 an hour to collect bottles, how many students will Mr Ma hire? If the fee for each collected bottle rises to 12.5 cents and the students wages increases to $37.50 an hour, (c) Calculate and show the changes to the students marginal revenue product in a table. (d) How many students will Mr Ma hire?

Andrew Carnegie 3 Essay examples -- essays research papers

In the 19th century, America was significantly changed by a progressive movement which strived to gain an economic opportunity, religious morality, political honesty and social stability. The efforts of the famous progressives have shaped one of the most powerful nations in this world. The United States is ahead of most of other countries in the business world and continues to make the better products. Nevertheless, America wouldn’t be so economically strong without the contributions of Andrew Carnegie, the wealthy industrialist who showed the world a profitable and proper way to operate a business. Andrew Carnegie is the real reason why American business and economy had become so dominant in the 20th century. Carnegie was born in November 25, 1835 in Dunfermline, Scotland. His parents were handloom weavers who barely had enough money for food. Carnegies were radicals who never feared to demonstrate for their rights. Andrew’s father, Will, was a follower of Chartism, a popular movement of the British working class that called for the masses to vote and to run for Parliament in order to help improve conditions for workers. Such exposure to political beliefs made a lasting expression on young Andrew Carnegie and played a significant role in his life. By 1835, the invention of the Cotton Gin and the development of power looms meant that the days of the handloom weaver were numbered. Finally, in 1847 a large steam power weaving factory opened in Dunfermline ending the handloom weaving business for good. Carnegie family was out of work and decided to immigrate to the United States in search of better life. They came to the United States in 1848 and settled in Allegheny, Pennsylvania. Andr ew was only twelve years old but already envisioned glorious promises for himself in the New World. He started work at the age of 13 as a bobbin boy in local textile mill and made $1.20 a week. He then moved rapidly through a succession of jobs with Western Union and the Pennsylvania Railroad. In 1865, he established his own business enterprises and eventually organized the Carnegie Steel Company, which launched the steel industry in Pittsburgh. At age sixty-five, he sold his company to J.P. Morgan and devoted the rest of his life to his philanthropic activities and writing. Carnegie argued that hard work was the main reason a person could succeed in anythi... ...on to be ignorance and thought that building libraries would help to solve that problem. Andrew Carnegie financed 2, 811 libraries and other educating institutions such as colleges and universities. He only wanted to help those people who could help themselves. Libraries were the main gifts Carnegie gave to our nation. After Carnegie retired from business, he also got involved in world politics. His two main wishes were to abolish the British monarchy and make it adopt the American system, and promote peace throughout the world. Carnegie wrote various articles and books and soon became an “unofficial diplomat'; in the cause of reducing differences and promoting peace. He thought that countries had to resolve their differences by nonviolent methods. Carnegie was one of the first to call for “League of Nations';. In 1900, he donated $1,500,000 to build Palace of Peace which serves today at International Court of Justice, an arm of the United Nations. In 1910, he set up an Endowment for International Peace to stop all the war conflicts in the world. Business, education and world peace all progressed thanks to the hard work and well earned money of Andrew Carnegie.

A Rose for Emily: Themes

Miss Emily Grierson is a character that stands out in the minds of most Americans.   Almost all American Literature teachers and professors have assigned A Rose for Emily by William Faulkner to students for generations. The story of Miss Emily has enthralled readers to the point that most will never forget her or her story.They feel sorry for her because they see a woman so greatly by her society that she is driven to do appalling acts.   Faulkner captures his readers with three major themes of obsession, changes in the community, and the setting of the time period.Obsessions can be dangerous and in the story A Rose for Emily obsessions lead to death and destruction.   Her father and society have destroyed Miss Emily.   Her father is obsessed with preserving his daughter from the world.None of the young men were quite good enough for Miss Emily and such. We had long thought of them as a tableau; Miss Emily a slender figure in white in the background, her father a spraddled si lhouette in the foreground, his back to her and clutching a horsewhip, the two of them framed by the back-flung front door. (Faulkner)He was so fixated on keeping her to himself that he ruined the chances of her finding love and marriage, which is what society expected her to do to Society was also obsessed with the idea that all women should marry and become the property of her husband.So when she got to be thirty and was still single, we were not pleased exactly, but vindicated; even with insanity in the family she wouldn't have turned down all of her chances if they had really materialized. (Faulkner)Miss Emily had lost her chances and was beyond retrieving them by the time that her father died.   She was a woman without a man to take care of her, which was an obsession of society.The people of the town feel sorry for her because she has not married, yet when she starts to see Homer Baron, the Yankee day laborer who is passing through the town due to a job, they criticize Miss Emily because of the way that she conducts herself.   Because of their view of the obsession, she could do no right.Times change and there is nothing that anyone can do about it.   However, there are always those who get left behind when times do change.   Miss Emily is a perfect example of a person who is left by time.   She cannot understand that the names that were once so prominent are now just names in the history of the town.   The former mayor who had remitted her taxes because of her family name did not have the same values of the new generation.When the next generation, with its more modern ideas, became mayors and aldermen, this arrangement created some little dissatisfaction. On the first of the year they mailed her a tax notice. (Faulkner)The new generation wanted to confront her when a rancid smell developed at her home, but the older alderman opposed them, who were still dictated by the august names.   Had the newer generation been allowed to investigate, a murder might have been solved and justice served.The setting and time period was explored by Faulkner as one who lived in the culture.   The setting is Jefferson Mississippi, which is in the Deep South during the early part of the twentieth century.   The south is known for its chivalrous society.   These ways may seem romantic, but it can also lead to some being held back.Miss Emily was a perfect example. Her life was dictated to her by this society that was still reeling from the Civil War.   In the early twentieth century south when family names were important, laws were overlooked just because of who a person was.   Miss Emily was not expected to pay taxes, did not have to follow health codes when it came to the smell that developed at her home, and she was sold arsenic without signing for it just because of who she was.A middle or lower class person would not have gotten away with any of the things that Miss Emily did. Had it been someone rather than Miss Emily, Home r Barron would still be alive and if she had somehow still managed to murder him, she was have been caught and brought to justice.Miss Emily would not have been so condemned by her society when Homer left her, but since it made her feel that she was less of a person, she felt that she had to make him pay.   Even though southern society is not something that everyone can identify, A Rose for Emily makes the reader evaluate the society in which they live.

Biography of Automobile Inventor Gottlieb Daimler

In 1885, Gottlieb Daimler (together with his design partner Wilhelm Maybach) took Nicolaus Ottos internal combustion engine a step further and patented what is generally recognized as the prototype of the modern gas engine. First Motorcycle Gottlieb Daimlers connection to Nicolaus Otto was a direct one; Daimler worked as technical director of Deutz Gasmotorenfabrik, which Nicolaus Otto co-owned in 1872. There is some controversy as to who built the first motorcycle, Nicolaus Otto or Gottlieb Daimler. The Worlds First Four-Wheeled Automobile The 1885 Daimler-Maybach engine was small, lightweight, fast, used a gasoline-injected carburetor, and had a vertical cylinder. The size, speed, and efficiency of the engine allowed for a revolution in car design. On March 8, 1886, Daimler took a stagecoach (made by Wilhelm Wimpff Sohn) and adapted it to hold his engine, thereby designing the worlds first four-wheeled automobile. In 1889, Gottlieb Daimler invented a V-slanted two cylinder, four-stroke engine with mushroom-shaped valves. Just like Ottos 1876 engine, Daimlers new engine set the basis for all car engines going forward. Four-Speed Transmission Also in 1889, Daimler and Maybach built their first automobile from the ground up, they did not adapt another purpose vehicle as had always been done previously. The new Daimler automobile had a four-speed transmission and obtained speeds of 10 mph. Daimler Motoren-Gesellschaft Gottlieb Daimler founded the Daimler Motoren-Gesellschaft in 1890 to manufacture his designs. Wilhelm Maybach was behind the design of the Mercedes automobile. Maybach eventually left Daimler to set up his own factory for making engines for Zeppelin airships. First Automobile Race In 1894, the first automobile race in the world was won by a car with a Daimler engine.