When assigned with the task to complete a theory paper, college student must be ready to provide answer for the most basic question – why should I actually care? The key contribution of the economic theory lies in any of the following criteria: the paper must answer the question; the paper should posit a new model (the lens we see the world though); the model is used to speak to an important application; the model should identify a hooking economic force; the economic model should develop a range of brand-new empirical predictions; the project should make a technical contribution. These are but a few aspects you have to consider that we capture in our economics guide.
A typical introduction starts with the broad motivation that covers up to two paragraphs. Why do you think this area may be interesting? Your project can be motivated either by the application or via the literature. Provide 1-2 paragraphs to describe the contribution. Start with “the contribution of the project lies in…” to let the readers know your model. If you want them to understand your results, ensure to explain the setup, as well as your results. The main aim here is to provide a clear overview of your key insights. Tell your readers what you’re actually doing, the driving forces that brought up your results, as well as some important implications.
The Model Section
This is the core of the theory paper. Exactly this part is used to distill the way you’d like your readers to think about the particular economic problem. The theorems appears to be the most hooking and crucial insights that you’ve derived in the project. It is important to make sure the model simplifies the way people think about the problem. Do you have up to ten theorems? If yes, choose three of them that you’d like your readers to be aware of.
Taking into account the fact that most of the economic theory now is based exclusively on the game theory, the most traditional way to present the so-called game-theoretic model is through stating as succinctly as one can: Who are all the players? Are they capable of doing something? If yes, then what? What do the players know? What are the most important their preferences?
Working on this section is not as easy as it may seem. You must provide a crystal clear analysis while making sure your target readers can’t take their eyes off of your analysis. In other words, your task is to ask what your readers would like to learn from your work, and then present the material in the most precise way. Just like it goes with any other argument, your task is to first inform your readers on where you’re going, and explain why every other step is both interesting and crucial.
When presenting the results, it’s recommended to go through each of the steps described below.
Above the Result. Before providing your statement, ensure to provide all relevant definitions, remind your target audience if what they should be aware of and name the results in words.
Provide the Theorem. Ensure your readers won’t be required to go searching for more definitions once the theory statements are provided. Exert every effort to tip the presentation balance towards exceptional clarity; in your project, the result must be completely rigorous.
State Your Proof. If it happens to be boring and traditional, make sure to include it in the Appendix. In case it’s pretty interesting, then put it in the main text. If the key for your project lies in the analysis, it is recommended to include an empirical version before the theorem statement (in the main text).
Explain the Intuition. Make sure to state every result in a clear and simple English unless you know it should be technical and obvious. It is crucial to give a good explanation.
Talk about Empirical Implications. In case the result will be used a bit later in the project, or it has a range of empirical implication, ensure to inform your readers about that.
The tips offered in our economics guide are quite brief, which makes them easy to follow. At the same time, these professionally written guide is a perfect addition on your young economist’s career path.