The five forces entail the threat of substitutes, the supplier power, and the threat of new entrants, the buyer power, and the existing competitors. The first force introduced in this paper is the threat of substitutes. This market force has a huge leverage in the market. One the primary drivers of this market force is Non-Profit Organizations or other organizations that will not charge upfront costs to accommodate clients. For example, some Realtors have attempted to imitate the Foreclosure Defense procedures by helping clients negotiate a loan modification for free and if the client is not satisfied with the modification agreement they offer to short sale the property. Opportunely, for our company, we have more resources than Non-Profit Organizations and the more capable then other real estate office. We serve our client’s best interest and do not mislead the clients with creating false hopes. In addition, one particular advantage T&A has been able to offer their resources and time to help those...
Chapters four and five of Freakonomics by Steven Levitt, discuss two interesting cases. In the beginning of chapter four, Steven Levitt starts off by arguing that the legalization of abortion played a big role in the sudden reduction in the crime rate in the United States approximately twenty years later. He then goes into the next chapter where he establishes a correlation between how a child is raised and later test scores. Furthermore, in his book he states many reasons for his argument and correlation.
Chapter four of Freakonomics starts off by giving background information of the dictator in Romania. Nicolae Ceausescu was the dictator of Romania that made abortion illegal. With this new abortion law Ceausescu wanted to strengthen Romania’s population. Before the abortion law, there were four abortions to every live birth (Levitt and Dubner, 2009). However, women who already had four children and were apart of the communist party were exempt from this law. Within one year of this act the population had doubled. Studies had shown that people who were born after the abortion law would do worse in school, in work, and would sometimes be more likely to become
The world is an increasingly tricky, sticky place. Mysteries present themselves every day; and in every way, people are puzzled and intrigued and on the hunt for answers. Steven D. Levitt, co-author of Freakonomics with Stephen J. Dubner, is one such person. Devoting his professional life to cracking the mysteries of seemingly mundane, and sometimes trivial, economic in daily life, Levitt jumps from assumption to decision, connecting dots in sometimes genius, sometimes haphazard, ways, and forming conclusions that occasionally defy conventional thought. Freakanomics gifts readers with several ideas to chew on and challenges deeply rooted thoughts.
Freakonomics should be viewed as a form of questioning the world. Not as “an excellent subject for more rigorous analysis” but rather as an example of literature used to present information to the general public (Jobs). For example, although Charles Jobs critiques many Freakonomic studies, he discovered the importance a certain mindset can have in a c...
Freakonomics has been an incredibly interesting read and opens up with, what appears to the reader to be, a writing style that somehow personifies the text in a way that only the book itself can articulate. The authors, Steven D. Levitt and Stephen J. Dubner, do an amazing job describing basic economic concepts and rules using intriguing and nontypical examples all while entertaining facts and figures that leave the reader with a dropped jaw. The economist, Levitt, received his bachelors degree in economics from Harvard University, his Ph.D. from M.I.T., and has been a professor of economics at the Chicago School of Law since 1997. On the opposite side of the cover, the award-winning writer, journalist, TV and radio personality, Dubner, has
Buying or selling a house or an apartment is one of the biggest decisions of a person’s life. And when selling or establishing a price for real estate, people seek out real estate agents to do the dirty work. A real estate agent has to convince a prospective homeowner that he or she is trustworthy and knowledgeable. In many ways, the agent acts as a counselor to individuals and families about to embark on a huge commitment. Real estate agents have a thorough knowledge or real estate market in their community. They
It should be noted that all real estate agents and brokers operate under a strict procedural and ethical code monitored by the real estate commission. many of the rules and regulations come from the U.S. senate, and the state of Idaho, and must be strictly adhered to. Agents who fail to follow these regulations shall be, and frequently are, fined or have their license revoked
The book” Freakonomics” is by Steven D. Levitt and Stephen J. Dubner. The title, “Freakonomics”, is a combination of two words: Freak (which means quirky, unusual, or weird) and economics, but in the sense of economic related to economic activity; the economics that consumer, families and businesses encounter every day. The title reflects the author’s name of the method of economic analysis in aspects of everyday life that normally fall outside the scope of the work of economists. The author’s success is due to the fact that this is a fun book to read, with a little dose of humor. No one can resist investigating the answer to questions like, "What do common schoolteachers and sumo wrestlers have in common? “ Or “Why drug dealers live with their mothers? “. But beyond anecdotes, the case studies presented in the book show some controversial findings, such as linking the decrease in violence in the United States to the legalization of abortion .The really interesting thing is that the book shows the true activities performed by economists that the general public usually does not know about.
Winnie, a resident of Australia, decided to sell her business of horse breeding located in the Melbourne's south-eastern suburbs in 2015. However, the buyer did not want to purchase the land. Bought for $1m in 2005, the real estate is 10 hectares in size. At first, he opted for auctioning the entire real estate, but that attempt failed to raise her reserve price of $10m, so she passed it in. Although the reserve was a fair market value, her real estate agent felt that buyers would not be impressed in buying the entire land. Winnie sought advice from various accountants and agents who recommended that most home buyers would find smaller blocks more affordable. For example, 10 vacant one-hectare blocks would only require minimal subdivision costs, and sell for $2
Although the study concentrated on the behaviors of clients' influence in Nigeria, the USA and New Zealand were a part of the experience. The findings from the behavioral experiments used in the survey may or may not be a reality of what is happening in the real world of real estate—as noted by the authors; however, the findings could serve as a framework for improving the way the surveyors and valuers conduct business. Real estate is a lucrative business, and measures should be taken to ensure that customers are receiving accurate information regarding the values of properties. This behavior affects personal and business transactions, especially when companies and or people are willing to invest in communities by renovating existing properties and building new homes or facilities. It is difficult for businesses that are contemplating providing consultation services on real estate renovations, recycling issues if the valuation information is skewed.
...age. Levitt explores this passage with the same approach that he uses to explore the hidden side of many other such examples in society that have been overlooked and accepted as conventional wisdom for far too long. Take the parents who feel confident that they have made the right decision to forbid their child to play at a friend?s house whose family owns a gun, but allows their child to play at a friend?s house that has a pool. Levitt shows that the child is about ten thousand times more likely to drown in the swimming pool than in a gun accident, but that the violent conventional mindset associated with guns wrongly portrays their potential of causing death. Through these examples, Levitt establishes Freakonomics as a way by which the reader should live their life, never totally accepting something until every stone has been upturned, eventually exposing its hidden
Economics in reverse is the best way of describing the unconventional method preferred by economist, Steven D. Levitt. While most economists measure social situations and present the data as numbers and graphs Levitt takes anomalies within the data to reveal truths obscured. It’s Levitt’s sociological take on economics that has set him apart from his peers with his heavy focus on incentives, choices, and the consequences they have. Freakonomics mirrors Levitt’s method since it’s a collection of stories he has uncovered or read, and the core economic principles are hidden within each story throughout the book, sometimes even in plain sight like how there are exactly as many chapters as there are core economic principles.