ECOS2001 Assignment 1 ECOS2001 Essay Semester 2 2021 This assignment requires you to explore a real-world application of an example of asymmetric information. Your answer must be no more than 500 words (12-point font, double spaced, not including any diagrams or references). The written assignment is due at 1400 Wednesday 27 October; please submit your answer via Canvas. The Question (i) Define the three types of price discrimination, clearly stating the different information requires of each type of discrimination. (ii) Find a real-world example of second-degree price discrimination. Describe the important aspects of your example in detail and analyse it using economic theory. In particular, how does the producer discriminate between the types of consumers? That is, how does the producer get the consumers to reveal their private information (their type)? (iii) What are the welfare implications of the discrimination in your example? Is there a potential role for government to regulate the practice? Please note that you must: 1. Select a real example. 2. Describe the key details in the example you are analysing. 3. Apply the theories from the unit of study and from your own reading to the real-world example. 4. You are expected to undertake some research in completing this assignment, however the bulk of your essay should focus on analysis (see point 5) 5. In this assignment, you will also be rewarded for the depth of your analysis using the tools that you will have been taught in the course. 6. Reference your work. Any standard reference style is fine, provided your referencing is complete, consistent and correct. DUE DATE: 1400 27 October 2021 *************************************