1. “State the Problem” --- sounds easy.

But try it. Food prices are too high?Which foods? At which distribution level?

2. What criteria do we use to determine the best economic model to use?

How realistic the model is?How simple the model is?How well the model predicts?

3. How many solutions do you need to identify?

Do you consider solutions that have no support?

4. What criteria do you use to evaluate solutions?

Fairness Cost BenefitsSide Effects

5. Is it the economist’s job to select and implement the appropriate programs?

Many say NO -- because the selection process involves making value judgments