The Market for Lemons Case Study Example | Topics and Well Written Essays - 1750 words

The Market for Lemons - Case Study Example Akerlof then says that, although his theory has these very general applications, he will focus on the market for used cars: "The automobile market is used as a finger exercise to illustrate and develop these thoughts. It should be emphasized that this market is chosen for its concreteness and ease in understanding rather than for its importance or realism" (Akerlof, George, 1970) On first reading, it is tempting to interpret "the automobile market" as the market in which real people buy and sell real cars and to think that Akerlof is going to present some kind of case-study. One can see why he might focus on one particular market which is easy to understand, even if that market is not very important on the scale of the economy as a whole. But then what does Akerlof mean when he says that this market is not realistic The object of a case-study may be unrepresentative, but it cannot be unrealistic. To make sense of this passage, we have to recognize that it marks a transition between the real world and the world of models. Akerlof is using the real automobile market as an example. But what he is going to present is not an empirical case study; it is a model of the automobile market. Although it is the real market which may be unimportant, it is the model which may be unrealistic. Akerlof moves straight on to the central section of his paper, section II, entitled "The Model with Automobiles as an Example." The transition from reality to model is made again at the very beginning of this section: The example of used cars captures the essence of the problem. From time to time one hears either mention of or surprise at the large price difference between new cars and those which have just left the showroom. The usual lunch table justification for this phenomenon is the pure joy of owning a "new" car. We offer a different explanation. Suppose (for the sake of clarity rather than realism) that there are just four kinds of cars. There are new cars and used cars. There are good cars and bad cars. (Akerlof, George, 1970) The first four sentences are about an observed property of the real world: there is a large price difference between new cars and almost-new ones. Akerlof suggests that, at least from the viewpoint of the lunch table, this observation is difficult to explain. If we assume that Akerlof takes lunch with other economists, the implication is that economics cannot easily explain it; the "pure joy" hypothesis sounds like an ad hoc stratagem to rescue conventional price theory.  

Keylogger Scam Essay Example | Topics and Well Written Essays - 750 words

Keylogger Scam - Essay Example ger pertains to hardware, a computer program, or a physical device, which aims at logging all the keystrokes that are input by the users and generated from the keyboard. These keystrokes are then secretly stored and logged without letting the computer users know that all that is being typed in can be seen by anyone else. Generally, the logs can be retrieved by the individual who has installed the key-logger into the computer only through the pressing of an arrangement of different keys at once and/or by inputting a confidential password. In numerous situations, the log cannot be transferred by the key-logger remotely through Bluetooth, email or any such methods. There are various ways in which the individuals can avoid being subject to the keylogger scams. For instance, it is essential to read all the terms and conditions when any offer is received over the Internet because claims made by extremely cheap offers have costs and threats hidden in them. Unsolicited or suspicious emails should not be opened, and no links in spam mails should be clicked. Above all, the software should be installed to protect the computer from unwanted programs or viruses. Any harmful gaming or music websites should not be opened as they may become a source of hidden viruses or scams (Scam watch, 2012). Public computers should never be used for making any transactions which expose private information. It is essential to keep the spyware updated, and an encrypted file should also be maintained to keep passwords. There are several types of computer crimes that are committed in the modern era. They include identity theft, bank frauds, theft of classified information, extortion, cyber stalking, phishing scams and many others. All these are the modern crimes that aim at spoiling an individuals identity or posing harms and dangers to the personal or financial assets. In both political and industrial espionage, keyloggers can be utilized as tools to access data which might include classified