How Has Covid- 19 impacted the economy and the Stock Market?

How Has Covid- 19 impacted the economy and the Stock Market?
Written by: Marissa B.

The coronavirus (COVID-19) has had a great impact on our daily lives, schooling and work schedules, and many more. What some people may not know, is how big of an impact COVID-19 has actually had on the stock market. The last time the stock market was affected by an illness like this was back in the 1900’s. This was when the Spanish Flu killed approximately 2% of the population. Due to social distancing and many businesses shutting down, the stock market is going down and the economy is falling down with it. Just from December 2019 to January 2020 had a great impact on its own.

The economy has been affected as well. Due to social distancing and us not being able to leave our houses, this has especially affected small local businesses. Some of them have had to even close due to the lack of customers and income. The mandatory quarantine that society has been in for so long, has now been stopped. People are now hanging out with their friends again, and many things are starting to re-open. This could go one of two ways. 1: the illness could die down and we will slowly inch our way back into normal everyday life. 2: the illness will spread to more people since they are not socially distancing anymore and this will be dragged out for even longer.  This instance would mean it an even greater impact on the economy. Unfortunately, we are not able to see what the future holds with COVID-19 in the present. Only time will show us what the outcome will be.

Works Cited

“9 Steps to Protect Your Finances against Recession in the Economy.” The Economic Times, 26 Aug. 2019, economictimes.indiatimes.com/wealth/plan/9-steps-to-protect-your-finances-against-recession-in-the-economy/articleshow/70814476.cms?from=mdr.

“Covid-19.” New Scientist, www.newscientist.com/term/covid-19/.

“The Effect of COVID-19 on the U.S. Economy.” Foreign Policy Research Institute, www.fpri.org/article/2020/03/the-effect-of-covid-19-on-the-u-s-economy/.

Scott R. BakerAssociate Professor of Finance. “The Unprecedented Stock-Market Reaction to COVID-19.” Kellogg Insight, insight.kellogg.northwestern.edu/article/what-explains-the-unprecedented-stock-market-reaction-to-covid-19.

How to move out at 18 and Afford it

How to move out at 18 and Afford it
Written by: Irina P.

      So you’ve decided to move out on your own but aren’t sure where to start, after all there’s so many things you have to account for, so many things that could go wrong. So how exactly do you move out? Well first things first you should make a checklist of all the things you’re gonna need: apartment, job, car, insurance, etc. Moving out can and most likely will be very pricey. Therefore you should make sure to get a job at least a couple years prior to when you plan to move out.

   From doing some personal research I found out that you should have at least around 5k in your bank account by the time you move out as apartments on the cheaper side cost around 500 a month as well as a car costs around 3k at least. There’s also such things as food, furniture, personal care items, clothing, etc that you should worry about. Sure some things you will already have but some things you will run out of. Also from talking to some friends who have already moved out I found out that you should save enough money to have some backup cash for a possible month or 2 of unemployment. Meaning you should always have some money for a bad day.

          Also start looking for a better job before you even move out. You probably also have a job, but will it be enough for your lifestyle? There might be a lot of job openings, but employers are getting pickier with who they hire. If anything you could just have more interview practice for a job you don’t want. More likely, you’ll get a sense of what jobs you wanna do, what positions employers seem willing to hire you for, and whether there are certain skills you’d like to buff up before you leave home.

      Once you have everything figured out the final step would be to set a date and move out. Whether you get movers, or move out yourself, you should set a hard date for when you decide to move out. Start apartment scouting a few months in advance, to understand costs of the apartments you want, and to adjust your expectations if necessary. If you need to ask your parents for a short-term loan to get you off the ground, be sure to clearly document the agreement and its terms, and resolve to stick to them.

Works Cited

“How to Move Out at 18 and Afford It [with a Checklist].” The Money Boy, 6 May 2020, www.themoneyboy.com/move-out-and-afford-it/.

“A Millennial's Guide to Moving Out of Your Parent's House.” Money, money.com/millennial-moving-out/.

White, Marian. “How to Move Out of Your Parents' House in 13 Easy Steps.” Moving.com, Moving.com, 18 May 2018, www.moving.com/tips/how-to-move-out-of-your-parents-house-in-13-easy-steps/.

When is it a Good Time to Move Out?

When is it a Good Time to Move Out?
Written by: Ethan W.

I can almost guarantee none of us are gonna wanna live with our parents for too much longer after high school. I know for a fact I don’t. But some of us also don’t have the funds to buy our own apartment or house right away or even a credit score. Plus most of us plan on going to college maybe in a different state, maybe 20 minutes from where you currently live. Whatever your situation is none of us want to end up living with are parents for too long. Now let's say you have the funds and the credit to move out but you still don’t think you're ready. When is it a good time to move out?

They are a couple of factors that should be considered when deciding if you are ready to move out, Number one are you able to cover your bills? This one is pretty obvious if you aren't able to pay your own bills then you definitely shouldn't be moving out. Another key thing is do you have your debits under control? If you have a lot of debit and especially if you don't have them under control paying rent and utilities on, that would crush you financially. You also want to make sure you have enough income to pay rent. A good ratio to have is a monthly income that is equal to three times the monthly cost of your rent.

What age is a good age to move out? According to surveys a good age to move out is between 28-32. Now that seems like a long time and it really is. In reality there isn't a age you need to move out (even though I’m sure no one's gonna wanna still be living with their parents at age 32) as long as you are financially stable and have a good credit can afford the pay rent on time pay utilities and bills you could move out at 18. 

Works Cited

Caldwell, Miriam. “Here Are 10 Things to Consider Before Moving Out.” The Balance, The Balance, 13 Feb. 2020, www.thebalance.com/are-you-ready-to-move-out-2385960.
https://www.idealhome.co.uk/news/best-age-to-move-out-210162

Why Jayson Tatum and Rob Gronkowski are Financially the Smartest Pro Athletes

Why Jayson Tatum and Rob Gronkowski are Financially the Smartest Pro Athletes
Written by: Alex D.


NFL players on average make about $2.7 million. NBA players make a lot more with an average of $7 million. These numbers are inflated though due to high salaries in the $30-40 million mark in both leagues. This may not be crazy numbers for people in the league, but average people like us are always astonished by how much these professional players make. With salaries like this you’d think that they would either be spending all of their money, or saving all of it. According to Bleacher Report, “A typical NBA player spends about $42,500 per month (or $510,000 a year)”. This is a reasonable number given how much they make but this stat does not go for everyone as it is not uncommon to see professional players go bankrupt years after retirement. Fortunately for NBA player Jayson Tatum and NFL player Rob Grownkoski this will not be the case for them.

Jayson Tatum, a forward for the Boston Celtics, signed a 4 year / $30 million contract. This means that he is guaranteed to make $30 million over the course of 4 years from just playing with his team. On top of this he also makes millions from his ongoing track record of endorsement deals. With a career not guaranteed tomorrow or next year for him he decided that all of the money he makes from the Celtics will go right into his savings account. This same approach was taken by another Boston athlete, Rob Gronkowski when he was playing in New England. Rob Gronkowski signed a 6 year / $54 million contact back in 2012 with the New England Patriots and claims that he hasn’t spent a dime of it yet. Like Jayson Tatum, Gronkowski lives only off his endorsement earnings.

With injuries always occurring and not being able to guarantee the next contract, Jayson Tatum and Rob Gronkowski have become the most financially literate people in their respective leagues. This is something extremely uncommon to do as well because not all players get the opportunity to do endorsement deals and many pro athletes are not financially literate.

Works Cited

Barrabi, Thomas. “How Much Do NBA Players Earn?” Fox Business, Fox Business, 7 Mar. 2020, www.foxbusiness.com/sports/how-much-do-nba-players-earn.

Leger, Justin, and Darren Hartwell. “Tatum Wise beyond His Years with His $7.8M Salary.” NBC Sports Boston, 26 Nov. 2019, www.nbcsports.com/boston/celtics/celtics-jayson-tatum-saves-every-dollar-his-78-million-nba-salary.

Pate, Kelli. “Patriots Player Rob Gronkowski Is Retiring from the NFL with $54 Million of His Career Earnings. Here Are 5 Money-Saving Tips You Can Learn from Him.” Business Insider, Business Insider, 25 Mar. 2019, www.businessinsider.com/nfl-patriots-money-saving-tips-rob-gronkowski-2019-2.

What is Credit Score?

What is Credit Score?
Written by: Brayden B.

Credit score ranges between 300-850, based on your credit rating it depicts a person's creditworthiness. Credit score can be altered by a certain level of debt and repayment history. The higher a person's credit score the more reliable they are when it comes to repaying loans on time.

How does credit score work?


              300-579    Very poor
              580-669    fair
              670-739    good
              740-799    very good
              800-850    exceptional





Based on how high or low your credit score is, it can actually affect your life in many ways. With a credit score below 640 you are considered to be a subprime borrower. With low credit scores you are actually carrying more risk, due to the risk factor, lending institutions change the interest rate on subprime mortgages to a higher percentage. With low credit scores the lenders also have the power to shorten the repayment term so people with low credit scores can repay their dues on time and better their score.

On the other side of things, if your credit score is above 700 your interest rates are actually going to be lower than if you have a bad credit score. The better your credit score the less risk you have. Good credit score can actually save you money. previously
Stated, a good credit score can lower interest rates which lower the amount of money you are paying for a loan.


How can you improve your credit score?

Checking your credit score online. 
Getting into the habit of checking you credit score online
Can benefit you in many ways. By checking your reports
You can also see which factors are good and which factors are negatively affecting your score. The risk factors can help you understand how to improve your score. If you aren’t keeping a good eye on your credit score, it could drop fast and you wouldn’t even notice. Credit score is like grades, it’s easier to lower your grade than to get it back up.

Payments on time. 
Paying your bills on time is a big factor in keeping your credit score up. Getting in the habit of paying your loans on time is necessary if you’re trying to increase your score. Setting up automatic bill pay and instant alerts when you have bills are a good reminder to pay your bills on time and avoid charges and damages to your credit score.

Lowering your credit utilization ratio  
By adding up all of the available credit on your credit cards and dividing it by the amount you are spending, you can find your credit utilization ratio. Most lenders like to see that ratio below 30% of the available credit.  This tells lenders that you know how to manage your credit well.  For example, you have a total of $5000 of credit available and if you go and charge $2500, then you would have a 50% ratio.  Try to pay that down so you are lower than 30% monthly.

Works Cited

“How to Improve Your Credit Score Fast.” Experian, 16 Apr. 2020, www.experian.com/blogs/ask-experian/credit-education/improving-credit/improve-credit-score/.

Kagan, Julia. “Credit Score.” Investopedia, Investopedia, 9 Apr. 2020, www.investopedia.com/terms/c/credit_score.asp.

Detweiler, Gerri. “Tips for Improving Your Credit: Your Payment History.” Credit.com, 8 Jan. 2020, www.credit.com/credit-reports/tips-for-improving-your-credit-payment-history/.

Animal Crossing: New Horizons

Animal Crossing: New Horizons
Written by: Norah K.

Quarantine boredom is an unfortunate side effect of the necessary precautions to prevent the spread of coronavirus. Weeks spent inside, with little flexibility for outdoor ventures, can be draining. Seeing the same people every day, doing the same things…you get the picture. You might choose to pick up a new hobby during quarantine. Video games can be a fun way to kill some time. You can even develop some skills, like problem solving and hand-eye coordination. One game, released during the quarantine, is a popular way of beating quarantine boredom. Upon its release, Animal Crossing: New Horizons sold 1.88 million copies in three days in Japan alone, breaking previous sales records held by Pokémon Sword and Shield (1.3 million) and Super Smash Bros. Ultimate (1.2 million). (If you’re unfamiliar with ACNH, watch this trailer.) Essentially, your character moves to a deserted island after purchasing a deserted island package from Tom Nook, pictured at left. How does this game about anthropomorphic animals relate to personal and financial management?


In ACNH, you start off in debt to Tom Nook. Luckily for you, Tom Nook offers zero-interest loans with no due dates. You must pay him about 50,000 bells (the game’s currency) to account for your travel arrangements, the accommodations, a NookPhone, labor, and tax. You can also pay your debt in Nook Miles, which can be earned by completing island activities. Once you pay off your initial debt, Tom Nook offers to build you a house, which puts you 98,000 bells in debt. This pattern is repeated; every time you pay off a debt, Tom Nook offers your character a chance to expand their home at greater costs. The game introduces players to a method of debt management known as the debt-snowball method. In the snowball method, you pay off your smallest debts first, working your way up to your greatest debt. In the real world, this greatest debt might be student loans or mortgages. The snowball method is a concept you can apply in both the game and in your future.


To earn bells or miles in ACNH, you can complete activities, such as catching fish, collecting fruits, and crafting items to sell. Some especially lucrative bell-making strategies include selling the “hot item” of the day at Nook’s Cranny (for which you’ll receive twice the profit), selling rare insects or fish (tarantulas, one of the rarest insects in the game, go for 8,000 bells each), and purchasing bell vouchers with your Nook Miles (each voucher gives you 3,000 bells and costs 500 miles). You can also buy and sell turnips from Daisy Mae. Turnip prices vary from week to week; you could either gain or lose your bells in the process. The turnip market is somewhat similar to the stock market. Buying turnips is essentially an investment, and when you sell them, you might lose bells. That’s an important thought to keep in mind when investing in real-world assets. Never expect gains, and don’t invest all of your money in one thing.


One final thing to keep in mind about ACNH is that consistent play is the best way to earn bells. Players can slowly accumulate bells by doing things around their island. In the real world, the best way to earn money is through consistent effort. Just like in ACNH, you can set small goals, or rewards, to encourage saving (like buying a new sweater or saving for a house expansion).


Animal Crossing: New Horizons is a valuable boredom-killer and tool for developing certain money-management skills that can be used in the real world. The adorable villagers and colorful graphics are just an added bonus.

Sources: 

Benjamin, Adam, et al. “How Animal Crossing Made Me a Better Money Manager.” The Simple Dollar, 1 Apr. 2020, www.thesimpledollar.com/financial-wellness/animal-crossing-better-money-manager.

Craddock, Ryan. “Animal Crossing: New Horizons Sold A Whopping 1.88 Million Copies In Three Days In Japan.” Nintendo Life, Nlife Media, 25 Mar. 2020, www.nintendolife.com/news/2020/03/animal_crossing_new_horizons_sold_a_whopping_1_88_million_copies_in_three_days_in_japan.

Lynn, Lottie. “Animal Crossing Money Making: How to Get Bells Fast in New Horizons Explained.” Eurogamer.net, Eurogamer.net, 24 Mar. 2020, www.eurogamer.net/articles/2020-03-20-animal-crossing-bells-money-making-new-horizons-7018.

Ramsey Solutions. “How the Debt Snowball Method Works.” Daveramsey.com, Dave Ramsey, 26 Mar. 2020, www.daveramsey.com/blog/how-the-debt-snowball-method-works.

Coronavirus Vs. Fast-Food Restaurants

Coronavirus Vs. Fast-Food Restaurants
Written by: Nazir. S.

The Coronavirus pandemic has put the majority of the country in a full lockdown effect as the virus continues to spread throughout the country. With that being said, as some people are still out and doing their jobs due to their job being essential, there are many problems with the pay the fast-food restaurant may be receiving. Us citizens of the U.S. use cards and cash to pay for things, and we are so used to this that we do not realize the germs that can be spread by doing so. Paying in cash is a more dangerous way of the virus spreading as it is not just airborne, but also can be spread by contact. Now you may be wondering how this affects the economy at all. The more germs spread through the payment of cash, the more people get sick, which leads to fewer jobs and fewer fundings throughout the companies. Ultimately looking at a recession to occur with all the germ spreading.

While there is not a way to sanitize cash, there is an obvious multitude of solutions to this. Restaurants should clearly wear gloves, and wash their hands at all times, but also should change their pay system to cards only as it could prevent more germs from spreading. Workers are afraid that they are spreading the virus with paper cash, but if the pay is virtually submitted, there is a less chance of the germs and the virus spreading. It is not only receiving the cash that is bothering the workers but opening the register, putting money in and taking it out is what they are mainly worried about. The continuation of fast-food restaurants is a liability as it can spread the virus quicker, in more ways than people may think.

Workers are also being put to fewer hours working. The wages are going down as the pandemic takes place. Changing in this demand for goods and services, with the size of the population and the minimum wage rate can have a substantial impact on the economy. The cause of unemployment and downward in wages is speaking on a recession, but we are not in that obviously. The workers have fewer hours and fewer wage rates which obviously no one loves. On the brighter side, other essential stores are boosting the wage rate as they are looking for more workers to help society with their supplies and needs.

Overall, the virus has truly impacted our economy with the likes of essential stores whether it is positively, or negatively. Germs spreading, wage increase/decrease, fewer hours, and fewer workers are making a huge impact as this social distancing is being practiced.

Works Cited

Pettinger, Tejvan, et al. “Reasons for Falling Wages.” Economics Help, 22 Jan. 2018, www.economicshelp.org/blog/24597/labour-markets/reasons-for-falling-wages/.

Taylor, Kate. “'If That Disease Is Anywhere, It's in That Cash Drawer': Workers Are Begging Customers Not to Pay in Cash at Fast-Food Chains like McDonald's and Starbucks.” Business Insider, Business Insider, 20 Mar. 2020, www.businessinsider.com/cash-sparks-coronavirus-concerns-as-fast-food-chains-remain-open-2020-3.

Winant, Gabriel. “How the American Economy Conspires to Keep Wages down | Gabriel Winant.”
The Guardian, Guardian News and Media, 13 Apr. 2018, www.theguardian.com/commentisfree/2018/apr/13/american-economy-wage-suppression-how-it-works.

Heading Off to College - Have you Considered your Banking Plan?

Heading Off to College - Have you Considered your Banking Plan?
Written by: Mitchel R.

As a senior in high school who is soon making the big jump to college life, there are many things to consider and plan for.  It is no secret that college kids spend a lot of time studying, but they also spend a fair amount of money on things they need or for entertainment.  With money coming in and money going out, it is important that college freshmen are ready to manage their banking needs when they begin their first year.  All seniors should make it a priority the spring or summer before they head to college to firstly select an appropriate bank that will offer their needed services while at college, and secondly should have a fail-safe plan like a credit card at their access should there be some sort of emergency.  Having a solid banking plan in place will ease the transition to college and not create any added chaos.   I recently opened a new account at Chase Bank in Pewaukee as a sort of step one to getting ready to manage my money while attending Michigan Tech in the fall.

There are many financial options and choices out there, and this blog is an attempt to break it down and provide pointers as to what will be needed and what all seniors should do to prepare banking wise before they begin their first class at their chosen college.  I was prompted to begin researching how and what I would need as far as banking at college because I needed to open a Zelle Pay account (mobile pay app) for my employer.  This led me to realize my local and current option of banking at Waukesha State Bank would not provide the services I would need at college.  Here are some primary considerations I learned about in my initial search to find a new bank that would meet my needs:



Going Local
Try to pick a bank that is local to where you will attend college if at all possible.  There are times when you might need to make a deposit or make a withdrawal, and the convenience of making these transactions will be very important.  In terms of banking for Michigan Tech, there aren’t many local options.  A few of the listed banks include Superior National Bank, Flagstar Bank, and Incredible Bank.  Rather than these, I opted for Chase bank.  Clearly, any college student is going to use an ATM at some point so I just have to realize going into it that I need to be aware of what ATM fees will cost me if I want to withdraw $20.00 and take that into consideration.  Since my bank might not be local to where I’m attending school, a clever way to work around the ATM fee is to take advantage of the “cash back” option.  I can buy a bag of chips and request the cashback option then and get the cash I need and not pay an ATM fee.  All college kids should take advantage of this in order to minimize fees.

Check For Easy to Use Online Banking
Since college kids won’t be wanting to make all kinds of walking trips to the bank, it is important to find a bank that has easy to use online banking and a good mobile banking app. The online banking feature should allow you to use your devices to check your balance, deposit checks remotely, make payments, and send money to other people. If online banking isn't easy to use, then that is a definite red flag for banks.  There should be some sort of online payment option like a link to Zelle or Venmo so that money can be easily paid or received.  Also, you want to make sure that there is an easy way for electronic fund transfers, so if it is the case that your parents are generous, they can put money in your account from time to time.

Learn about the Student Account
A student bank account is a checking or savings account that a bank or financial institution offers to college students.  You want to make sure that the student account you sign up is the best option.

Make sure it is free.  You don’t want to pay a monthly charge just to bank with a certain credit union or bank.

Avoid a Minimum Balance Amount.  It is ideal if you don’t have to worry about maintaining a monthly balance.  With my new current account, they don’t care how much money I keep in my account as long as I don’t drop below zero.  You definitely don’t want a bank as a student that is going to penalize you if you drop below $50.00, for example.

Learn about the Overdraft Charges.  Overdraft charges can be avoided if you set up your account to prohibit you from drawing out funds that you don't have if you are at a restaurant or ATM.  You don't want an account that allows you to buy something at Taco Bell when you don't have any money but the bank will cover the charge and then stick you with a $35 overdraft fee.  This would obviously make the meal quite expensive in the end.  Now is also the time to make sure that you don't have any auto-renewal subscriptions (like a gaming or music app) that could try to draw out monthly funds and then if you don't have the money, you will incur an overdraft charge.

Free Checking is Nice.  Free checking or one box of checks for free is a nice option to have.  A lot of college kids aren't going to use checks, but there might be that infrequent time that a check is needed, and then it is nice to have the check to use.

Bonus Cash.  It is especially great if you open your new account and you can make money just for doing so.  For example, I opened my student college checking account with Chase and I get $50.00 when I complete three transactions using my debit card.  This is a signing up bonus, and truly who doesn't want free money?

Hopefully, this blog has informed you as to how you should be planning financially when you originally start out with college so that you can make smart financial decisions and don’t have any issues arise throughout your time as a college student.

Works Cited

Alexa Mason, 2-copper-coins, et al. “The Top 10 Straightforward Money Tips for College Students.” The College Investor, 11 Feb. 2020, thecollegeinvestor.com/10556/the-top-10-money-tips-for-college-students/.

Alicia Adamczyk. “5 Things Every College Student Should Do with Their Money.” CNBC, CNBC, 28 Aug. 2019, www.cnbc.com/2019/08/28/5-things-every-college-student-should-do-with-their-money.html.

Goldberg, Matthew. “6 Financial Moves Students Should Make Before Heading To College.” Bankrate, Bankrate.com, 10 Apr. 2020, www.bankrate.com/banking/financial-moves-to-make-before-college/.

Why Are Cars So Expensive?

Why Are Cars So Expensive?
Jackson Pedersen

The price of cars affects all of us. Just about everyone at some point will own a car, so what makes them so expensive when there is such a large supply and such a large demand for this product. Huge demand and huge supply with dozens of competing manufacturers is usually a recipe for the streamlining of production and sales, however cars can still reach absurd prices. In this blog post I will discuss the various reasons why cars are just so expensive. This is because cars last a very long time, they are not a repeat sale item, there is a huge increase in personal customization and a mind boggling amount of new features, and massive regulation of the industry.

The first problem when trying to lower a car's price for the manufacturer is that one person is not buying a new car every year. There will never be a massive demand from people for their brand new model year after year because cars last a long time. According to autolist.com on average people are keeping their cars for 6 years, which is decreasing rapidly however it will never get to a point where people can buy cars as frequently as they buy candy bars. Therefore as soon as you buy a car, you will no longer have to buy one again for 6 years. That is why the price can seem so high for us trying to buy these cars. The manufacturer needs to take into account that as soon as they sell a car to someone, that person will not become a potential customer for 6 years.

As a consumer you want all the features you want. You will desperately shop around to find the right car that fits you, and if you can not find that you and many others may order a car made to your specifications. This is another thing that drives up the base MSRP. When someone does this the base price of the car shoots up. That car is not much more expensive to purchase. So as someone wanting to buy a car these cars with huge amounts of customization and features are drastically more expensive than the base model. Personally you may spend more to get the things you want for the next 6 years. These features are another way car companies can drive up the price by thousands without you realizing it. Car manufacturers have good reason for this, you as a consumer are trying to make their business model less efficient by making them do extra work. Therefore, it is only fair that they mark up to price off these features by a steep margin to compensate for that. So another personal finance tip would be to order a base model and have a third party or dealership install these features on to your car, or ask them for a car on the lot that already has these and has been a cancelled order, or a car that has been sitting for some time.

This last point however is probably the most underlying culprit for why your car costs as much as it does. This is the rise of safety, and the rise of regulatory oversight. The NHTSA or National Highway Traffic Safety Administration is the agency with the task of regulating how companies make their cars. They have to meet an extraordinarily long list of safety features to be able to sell their cars. This video is showing a 2009 Chevy Malibu being crashed with a 1959 Bel Air. As seen you as a driver would survive in the malibu, or get your skull crushed in the bel air. This is due to new regulations and safety requirements that jack the price up immensely. When cart companies have to meet these requirements they have to spend money to do so, therefore your car is much more expensive but also much more safe. This also goes along with various other requirements such as size and emissions which also increase the cost.



Ultimately, the reason your car costs so much is not in your control. It is due to a variety of factors discussed above. There will never again be a 325 dollar Model T. Cars have increased too much technologically to make a low price feasible while still being a competitor in the industry, so you as a consumer will be forced to fork up at some points 61 percent on average of your yearly net income just for a new truck.

Works Cited

Huffman, John Pearley. “Why Are Cars so Expensive?” The Drive, 22 Apr. 2017, www.thedrive.com/new-cars/9578/why-are-cars-so-expensive.

Matthew.lynberg.ctr@dot.gov. “Laws & Regulations.” NHTSA, 1 Apr. 2020, www.nhtsa.gov/laws-regulations.

Why Switzerland?

Why Switzerland? 
Written by: Matthew F.

Oh Switzerland...with your awe-striking mountains, your picteresquesque little european villages, your decadent chocolate, your beautiful watches, your perpetual neutrality--and lets not forget--your incredibly strong and stable economy. Why is it that you seem to have everything, and how on earth do you possibly surpass the United States in just about every country ranking? 

Switzerland has long been known to be one of the top countries in the world, and for quite a few years now, the US News Report has ranked it the #1 overall country. This achievement is by no means isolated though because Switzerland is also ranked the #1 most economically stable by US News, and the third most happy country in the world according to the world happiness report. Now let's compare these stats with the US. The US is ranked #7 best country overall (this is still not too bad though), #18 most happy, and it doesn’t make the top ten chart for most economically stable. Just for reference, Switzerland also has a modest GDP of $705.5 billion which may be small in relation to the US, but according to the World Bank it has a GDP per Capita of around $83,000 which is about double that of the United States’.

Why Switzerland? Why does Switzerland seem to have it all? Well, there are a couple key ingredients in Switzerland’s recipe for success. The two largest reasons why Switzerland is seemingly good at everything are their less work oriented culture and their well structured capitalistic economy.

First of all, their economy. Switzerland’s economy is extremely capitalistic, and honestly, it might even be more capitalistic than America’s economy (I know--it’s hard to believe that it can get any more capitalistic than the US). 99% of the firms that make up both the Swiss and US economy are SMEs (small to medium sized enterprises) and SMEs are defined as having under 250 employees (The Local). So...if both countries are capitalist and are made up of mostly SMEs, then what gives the Swiss economy the edge? The first factor that gives the swiss economy its unique strength is the fact that its net exports are extremely high. Switzerland is a major exporter to the rest of the world and they don’t rely on nearly as many imports as America does. Just think about this; while Switzerland has high positive net exports, the US has negative net exports (Investopedia). Maybe this gives us a little bit of insight as to why Switzerland's economy is always ranked higher than America’s. This brings us to the next major player in the difference between the two economies; the public debt to GDP ratio. Switzerland has a very low public debt to GDP ratio of 48% while, as we now, America’s debt to GDP ratio is definitely far from low with it clocking in at a whopping 110% (The Balance)! Due to Switzerland’s impressively low debt to GDP ratio combined with everything else it has going for it, Switzerland boasts an incredibly stable and self sufficient economy.

To put icing on the cake, Switzerland also has a culture that is extremely conducive to success, productivity, and happiness which definitely helps make the economy and country as a whole so great. In Switzerland, the work life balance is far better than in the US, and the measures that are taken to ensure this are honestly almost incomprehensible when looking at it through an American perspective. For example, Switzerland closes all stores on sunday to ensure that people are getting a break and spending time with their families. I know what you are thinking, “Sure, sunday may be off, but the kids still have school work so it's not like families can actually spend time together.”  Well, the Swiss got that covered too; all they had to do is make it illegal to assign homework over the weekend (Growing Up Without Borders). Too good to be true, I know, but to make it even better, even the most prestigious colleges in Switzerland only cost about $1000 per year (Business Insider). Who knew you could have virtually free college and still be the most capitalistic and democratic country in the world?

So next time you see Switzerland come in first place on all of the US News Reports, don’t be surprised. With Switzerland's powerful export based economy and its culture that values the well being of its people, it's no surprise Switzerland gets ranked #1 year after year.

Works Cited

“20 Surprising Differences between Living in Switzerland and USA.” Growing Up Without Borders, 25 Oct. 2019, growingupwithoutborders.com/europe/switzerland/20-surprising-differences-between-living-in-switzerland-and-usa/.

Amadeo, Kimberly. “How to Tell When a Country Has Too Much Debt.” The Balance, The Balance, 29 Apr. 2020, www.thebalance.com/debt-to-gdp-ratio-how-to-calculate-and-use-it-3305832.

“The Best Countries in the World.” U.S. News & World Report, U.S. News & World Report, www.usnews.com/news/best-countries/overall-rankings.

“It's a Three-Peat, Finland Keeps Top Spot as Happiest Country in World.” It's a Three-Peat, Finland Keeps Top Spot as Happiest Country in World, 20 Mar. 2020, worldhappiness.report/news/its-a-three-peat-finland-keeps-top-spot-as-happiest-country-in-world/.

Jain, Manish Rai. “7 Reasons Why Life Is Better In Switzerland Than America.” Business Insider, Business Insider, 30 July 2014, www.businessinsider.com/switzerland-is-better-than-america-2014-7.

Majaski, Christina. “What Is the Net Exports Formula?” Investopedia, Investopedia, 5 Feb. 2020, www.investopedia.com/terms/n/netexports.asp.

Radu, Sintia. “These Countries Are Seen as the Most Economically Stable.” U.S. News & World Report, U.S. News & World Report, www.usnews.com/news/best-countries/slideshows/the-10-most-economically-stable-countries-ranked-by-perception.

“Swiss Economy – Facts and Figures.” Eidgenössisches Departement Für Auswärtige Angelegenheiten EDA, www.eda.admin.ch/aboutswitzerland/en/home/wirtschaft/uebersicht/wirtschaft---fakten-und-zahlen.html.

“Switzerland Ranks Among the World's Best Countries.” U.S. News & World Report, U.S. News & World Report, www.usnews.com/news/best-countries/switzerland.

Tsvirko, Naomi. “Nine Stats to Help Explain the Famously Strong Swiss Economy.” Thelocal.ch, 2019, www.thelocal.ch/20190802/did-you-know-8-facts-about-the-swiss-economy.

What Tomorrow’s World Looks Like

What Tomorrow’s World Looks Like
Written by: John B.

Tomorrow is scary, trust me. The coronavirus has utterly destroyed, or shall I say still destroying, the United States’ economy. With the United States having a centralized economy in absolute lockdown, the fears of a global recession, or even depression are seen on the horizon by many. The colossal spike of unemployment and the destruction of business has led many to be uncertain about tomorrow’s economy.

Not seen since the Great Depression, American is dealing with an existential threat that hasn’t been dealt with within over a hundred years. With the quarantining of society, non-essential employees working through hair salons, food establishments, Gyms, and other labor related jobs are being laid-off or furloughed for the foreseeable future. Living in a quite wealthy area, many Pewaukee residents are blind to the fact that much of America’s middle/lower class is struggling. Assistance through

governmental aid-- Stimulus Bill and unemployment claims--can only do so much, too. For the 30 million Americans who have grown unemployed, the future is very wary. For example, when speaking on American unemployment, Fortune Magazine’s Geoff Colvin puts it this way,” For them, the COVID-19 pandemic has triggered intertwined crises of personal health and personal finance, threatening disaster for them individually and, in the aggregate, for the country. The great challenge facing each person—and the nation overall—is overcoming the two crises together. In the modern economy there is no playbook for how to do it.” Being said, the question of uncertainty in unemployment for many lies in the air. While many unemployed American’s need to go back to work to obtain cash again, the current pandemic continues to ravage the population, making this move look very foolish and out of the question.

Being hand in hand with unemployment, businesses are also being greatly affected, too. In an urgent effort to lessen the effects of the coronavirus, many businesses have been forced to “close the doors.” In addition to lay-offs and furloughs, many businesses are still not being able to make ends meet. The second quarter of 2020 is dreadful for business across the board: small business to even billion dollars companies. With many American’s being up-tight with cash, consumer spending is at an all time low, leading to a low in business earnings reports. To sum up America’s financial system, if no one spends, no one earns. Furthermore, Americans are fearing for the worst and it is most definitely showing. With exception to in-home entertainment, like streaming services, consumers are reluctant to how long this situation will continue. This means areas of dining, shopping, and entertainment are all seeing a substantial withdrawal of customers. Furthermore, consumer spending has decreased by 7.5 percent in the month of march and a consumer spending decrease totalling even greater in April.(BEA). Consumer confidence has been thrown out the window for the thought of an uncertain future. Times like these make economic output look very frightening for consumers as well as businesses. Link to Video.

What does this mean? The loss of countless jobs and crippling loss of economic output will plague America for the coming months, to even a year. With public safety as a most, state lockdowns will continue until the Covid-19 pandemic is contained. This state of isolation will continue to devaste our economy to an irreparable state, leading further into economic decay. Tomorrow’s Economy is scary, and is imperative to understand what tomorrow looks like to be a better informed citizens.

Economics and the Bucks

Economics and the Bucks
Gannon Huebner

I am pretty sure that I am not the only one who is sick of reading blogs week after week about the effects of the coronavirus so I decided to switch it up and go for a topic that is a little more light hearted but still touches on our last units of economics. And that is the economics surrounding the Milwaukee Bucks. The Milwaukee Bucks over the last few years have become not only one of the most dominant teams in the NBA but have also started to grow into a money magnet for the city of Milwaukee. The Bucks organization has never been this lucrative in all its years in the NBA and it’s all because of the decisions and moves they have made to get where they are today.

The Bucks have made crucial decisions during the last decade in order to make their team the way that they are today. They had to look at all different opportunity costs and marginal benefits while making these moves, and they clearly chose right in almost every move they have made. The first decision they had to make was who they were going to draft with the 15th pick in the 2013 NBA Draft, they could have taken a lot of different people but instead they drafted a lengthy teenager from Greece named Giannis Antetokounmpo. Now at the time it may not have seemed like the best pick, but nowadays, he has been the best player by far from that draft class and it isn’t even close. Giannis is the main reason why this team has transformed over the years and a big part of why the Bucks are pulling in money left in right, known as the Giannis effect(which will be talked about shortly). Also, the Bucks made a very crucial trade in 2013 as well (nba.com). The Bucks traded their star at the time in Brandon Jennings for Brandon Knight, who was the centerpiece of the trade, Khris Middleton and Viacheslav Krasvtsov. At the time Khris Middleton was a nobody, and now he is an all star and part of one of the best 1-2 punches in the league. The opportunity cost of that trade was a very big one having to let go of Brandon Jennings, but the outcome or benefit of the trade was much much higher.

The Giannis effect probably took place during the 2015-16 season, after he started to play well and make a name for himself. The Bucks last year built their new arena, the Fiserv Forum. This was a huge money move for the Bucks as it drove in more and more crowds who wanted to see the new stadium and the best team in the NBA. My mom works with an ad agency who works with Fox Sports and there are rumors of All Star weekend being held in Milwaukee in a couple years, which would bring a boat load of money and attention to Milwaukee. According to slam.com, from 2016 to 2019, the average ticket price for Bucks games has gone up from 89 dollars to 153 dollars. The Bucks made 79 million more dollars in revenue this past season compared to the prior season. Peter Feigin and the Bucks organization has used the face of the franchise in Giannis to market and create a brand for their team which has allowed Milwaukee basketball to get back on the map, after a very rough decade prior to Giannis and Khris coming. With the season being cancelled due to coronavirus, there is no way of knowing how much money the Bucks would have made during the playoffs with ticket sales and marketing. If you know Bucks playoff basketball, you know how packed the games are and how much energy there is. The demand for tickets is very high, which causes the prices to rise exponentially when the playoffs roll around. The Bucks used to not be able to fill the arena at the Bradley Center, now every home game is packed, even on Mondays, which is great for the organization.

As long as the Bucks hang onto Giannis for as many years as possible, their numbers will continue to go up and eventually when they win their first championship, they will have one of the best markets in the NBA. The Bucks have an economic growth like no other, and it will only keep rising.

Works Cited
Frank, Peter. “Bucks Would Contribute to Milwaukee's Economic Vitality.” Press Gazette Media,
Wisconsin, 14 June 2015,
www.greenbaypressgazette.com/story/opinion/2015/06/14/bucks-contribute-milwaukees-
economic-vitality/71177354/.

Kirchen, Rich. “Milwaukee Bucks Value Climbs over $1.35 Billion.” Bizjournals.com, 2020,
www.bizjournals.com/milwaukee/news/2019/02/06/milwaukee-bucks-value-climbs-to-1-3
5-billion.html.

Lawrence, Jesse. “Bucks Ticket Prices Up 9 Percent on Secondary Market .” SLAM, 15 Oct.
2018, www.slamonline.com/nba/bucks-ticket-prices-up-9-percent-secondary-market/.
“Milwaukee Bucks on the Forbes NBA Team Valuations List.” Forbes, Forbes Magazine, 2020,
www.forbes.com/teams/milwaukee-bucks/.

Mstanton. “Bucks Acquire Knight, Middleton and Kravtsov from Pistons.” Milwaukee Bucks,
NBA.com/Bucks, 31 July 2013,
www.nba.com/bucks/release/bucks-acquire-knight-middleton-and-kravtsov-pistons.