• Can you answer all of those questions?
• Write it Part by Part

In Naked Economics,chapter 1,the author claims that markets are amoral (pg. 21).Note that this doesn't mean immoral but the claim that the market system is "neutral" to buyers and sellers since both parties will be better off in the exchange.In this module,we are examining the role of the government to address areas where the market fails society in some way.One of those ways is addressed by Michael Sandel in his Ted Talk

< https://www.ted.com/talks/michael_sandel_why_we_shouldn_t_trust_markets_with_our_civic_life >

After you watch the Ted Talk and have read the chapters for this week ( Core Unit #12,Naked ch. 3) answer both parts of this week's discussion:

Part A:

Should all voluntary contractual exchanges be allowed among consenting adults?

State what you think about the following (hypothetical) exchanges. You may assume in each case that the people involved are sane, rational adults who have thought about the alternatives and consequences of what they are doing. In each case, decide whether you approve, and if you do not approve, whether you think the transaction should be prohibited. In each case explain why the transaction described produces mutual benefits

1. A complicated medical procedure has been discovered that cures a rare form of cancer in patients who would otherwise certainly die. Staff shortages make it impossible to treat all those who would benefit, and the hospital has established a policy of first come, first served. Ben, a wealthy patient who is at the bottom of the list, offers to pay Alex, a poor person on the top of the list, $1 million to exchange places. If Alex dies (which is very likely), then her children will inherit the money. Alex agrees.
2. Dylanis 18. He has been admitted to a good university but does not have any financial aid, and cannot get any. He signs a four-year contract to be a stripper on the Internet and will begin work when he is 19. The company will pay his tuition fees.
3. You are waiting in line to buy tickets for a movie that is almost sold out. Someone from the back of the line approaches the woman in front of you and offers her $25 to exchange positions in the line (he takes her position in front of you and she takes his at the back of the line).
4. A politically apathetic person, who never votes, agrees to vote in an election for the candidate who pays him the highest amount.
5. William and Elizabeth are a wealthy couple who give birth to a baby with a minor birth defect. They sell this baby to their (equally wealthy) neighbours and buy a child without any birth defects from a family who needs the money.
6. An individual with an adequate income, decides that he would like to sell himself to become the slave of another person. He finds a buyer willing to pay his asking price. The aspiring slave will use the money to further his children's education.

Part B

What should be the role of government in providing public goods,limiting firms' power,addressing externalities or alleviating information problems?UseNaked Economicschapter 3 ,CoreUnit 12 or Sandel's Ted Talk to answer this question.