CBDC- China DCEP: Presented by DATMEZ

If you can't beat us
then just join us 🤷‍♂
DATMEZ (That Mess)
David, Aldiyar,
Terence, Max, Emrys
and Zachary

David (So Jeon) Sun
David Sun currently also known as So Jeon Sun,
is a rap enthusiast and a retired golfer. He is
currently enrolled in the Asia Europe business
school program made by the East China Normal
University. He has a great passion for
commercial real estate and hopes to one day
design several buildings or skyscrapers for major
public companies. Being half Korean and half
Chinese and having the privilege of growing up
in the United States, David Sun is capable of
speaking 3 languages fluently. This consists of
Korean, Chinese and English.
Email: dsun213@gmail.com
LinkedIn: https://www.linkedin.com/in/david-sun-b917971a4/

Aldiyar Yessimkhanov
Aldiyar Yessimkhanov is a student of Asia
Europe Business school, Shanghai, China. He
has a passion for commercial Real estate,
fintech (Blockchain), literature more specifically
Russian and English literature. Also, he is a
part-time worker at BID (Bolashak
INTERNATIONAL DEVELOPMENT). He speaks
5 languages: Russian (natively), Kazakh
(natively), English (fluently), Turkish (fluently),
Chinese (beginner).
E-mail: aldiyar270901@gmail.com or
aldiyar2709@mail.ru
LinkedIn:https://www.linkedin.com/in/aldiyar-yessimkhanov-3138111
9b/

Terence Fredj
Terence is a student at the Asia Europe Business
School of East China Normal University in
Shanghai, China. He has an interest in finance,
luxury, and entrepreneurship and has some
experience in Microeconomics due to studying it
for a year. He can speak English, French, and
Spanish fluently and a bit of Chinese. He enjoys
playing tennis during his free time.
Email: terencefredj6@gmail.com
LinkedIn : https://www.linkedin.com/in/terence-fredj-08769b151/

Prokhor Piliasov (Max)
Prokhor comes from Russia, Nizhny Novgorod
city. Currently studying in AEBS of Emlyon and
ECNU in Shanghai. From a young age, he was
interested in entrepreneurship and created
several successful small-scale projects. He has
had work experiences in the Shanghai Tower
consulting company and CCPIT in Moscow.
Speaks 4 languages: Russian, English, Chinese
(fluent), French (beginner)
Prokhor loves to read books, attend lectures at
the Harvard Center in Shanghai and plays sports
in his spare time.
Email: p.piliasov@gmail.com
LinkedIn: https://www.linkedin.com/in/pilasv/

施程Emrys
Emrys is a freshman at Asia Europe Business School of
East China Normal University in Shanghai, China. He
shows interest in literature, especially associated with
Chinese traditional poetry, and has posted 2 books on
the website. He holds the belief that good literary quality
would help in daily communication. He is careful and
focused on doing things, and helps the teacher complete
some tasks as a monitor. He has a primary skill in python
and will try to improve it in the future.
Freshman in Business Management| East China Normal
University
Email:scemrys@yeah.net
Linkedin:linkedin.com/in/cheng-shi-a459151a4

李展鹏 Zachary
Zachary is a student of AEBS, ECNU. He was
in another class to learn economics but
decided to drop out of that class to come back
to AEBS because he had difficulty learning
mathematical analysis and linear algebra.
He is a history enthusiast due to the mysteries
that occur in every event. He is interested in
reading books in the categories of history and
fiction. He may not be all that into economics
and business administration, but he has the
confidence to learn both of the subjects well.
Additionally, communication in English may be
a problem for him.
E-mail: 15023957132@139.com
LinkedIn: linkedin.com/in/zhanpengli-46b9151a4

Meeting Records
Date: March 11th
Time:7 p.m. Beijing Time
Participants: David, Aldiyar, Terence, Max, Emrys and Zachary
Conversation Summary: At the beginning of the meeting, we talked about the coronavirus
plague to warm up the atmosphere. Then we discussed our group name, logo and slogan. We
all agreed on using the first letter of our names and concluded with ‘DATMEZ’, which means
‘That mess’ for fun. Having joyful and orderly discussions, we believe that communicating,
showing interests and motivating each other are healthy ways to build our friendship and also
teamwork skills.

How do you think economics would be
useful? -David
Studying economics could be very useful since we will be able to learn more
clearly what everything related to economics is about. Economics is the use of
goods and how we can manage and use our resources. With this being said I
think It’d be useful due to economics being able to save not only us but also the
planet. One of the biggest factors related to economics is the stock market and if
the economy is suffering and if the stock market crashes, then a lot of businesses
will suffer and a lot of people may end up jobless or in some cases even
homeless. More importantly, however, if the economy is suffering, then the
providers of supplies would not be able to produce and the buyers will not be
able to buy the supplies and will not be able to get their needs.

Why do you want to be an Economist?
-Aldiyar
This is a very interesting question. I have seen people write about why they wanted to
become a doctor or engineer and even an actor but you seldom see somebody asking why
they want to become an economist.
You see the first thing you learn in economics is that resources are scarce and human wants
are unlimited. Most people do not consider economics to be a noble science, it is, in fact, one
of the most criticized disciplines of all time. The moment something goes wrong in the
economy it is the economists who take the blame. They determine the value of your money,
they determine the amount of interest you will be charged on your home loan, how much tax
to be collected and the list keeps going. They control every resource aspect of your life.
This is the reason why I want to become an economist and not to control or make extra
money, but to see that most resources required for human survival are distributed to every
human being who needs it. It is just another science that helps in making this world a better
place.

How do you think economics would be
useful? - Terence
Economics teaches us how societies, governments, individuals and businesses interact
with each other. Economics is a very challenging subject because it has 2 main important
features, the ﬁrst one is developing conceptual models of behavior to anticipate changes
in policy and market conditions. Second, economics is based on statistical analysis to
investigate and understand these changes.
They also contribute to the development of many other public policies traversing across a
wide dimension of subjects including health care, climate change, social welfare, school
reforms, labor market dynamics, and economic development to name a few.
But the most important dimension is how economics impacts on our everyday life and
inﬂuences our decisions, this is what the study of economics helps us to understand with
a focus on how to apply Economic theories on real-world applications.

Why do I want to become an economist? -Max
Frankly speaking, my purpose in economic studies is not to become an expert,
but to understand basics and to put into practice all the knowledge of economics
I got from class.
There are two reasons for me:
As my goal is to become a business leader, it’s essential to know and to
understand economics. It can affect almost every side of a business company
so if a leader can successfully operate an economic knowledge, then a
company can be more successful on a market.
In economic founders opinion, this study is not only about business, but also
can be related with several subjects such as mathematics, history, philosophy
and politics. It leads to the conclusion that economics’ scope of study is
extremely wide and can enrich a knowledge in many subjects at once.

Why do you wanna have a persona of an
economist? -施程Emrys
Firstly, I've witnessed different kinds of injustices throughout my life especially in
material distribution and therefore hate these unjust things. I think being an economist
can give me a steelyard for fairness and help me recognize truth and falseness in
social economics.
Secondly, economic activities are inevitable in our daily life and every company is doing
everything to make more profit. So being an economist can help the company make
decisions more wisely and efficiently.
Lastly, I believe logic can solve everything. Compared to subjects like Maths or
Physics, Economics seems to be such a huge system that it cannot be solved by logic.
So Id like to try to figure out its deep logic.

How you think economics is useful? -Zachary
1. Economics is a subject of choice. It can teach us how to optimize and to make
reasonable decisions. Facing option, we can use the knowledge of economics, such as
’tradeoff’, ‘opportunity cost’ and ‘sunk cost’, to make a better choice and optimize own
benefit.
2. Learning economics can also allow me to know how consumers and producers do in
the market, how the market operates to allocate different kinds of resources. It can
answer many questions about the market. I always consider the market as a miracle
because it can allocate resources autonomically.
3. Economic development can increase people’s wealth and enhance a country’s
comprehensive national strength.

2nd Meeting Records
Date: March 18th
Time Started: 8PM Beijing Time
Time Ended: 8:45PM Beijing Time
Conversation Summary: Tonight we started talking about what we had on our minds about the
situation of going back to school and whatnot. On top of that, we discussed which question we
wanted to answer and talked a little bit about video games and the situations with quarantines
in our countries. We were all on the same page about missing China and school in general
and wished we could go back soon.

Counter examples for completeness- David
“To pick or not to pick”?
The 21st century has a variety of things to offer. Everything you
buy has competitors that do a better job and could also make the
product look and stick out more. Picking between a Titleist golf
club and a TaylorMade golf club was always one of my hardest
decisions. Withal, I now realize that the quality of both clubs is
right around square. Nevertheless, it was just that Titleist made
better putters, wedges, balls and even irons for me; I believe that
TaylorMade woods and drivers are a lot better and could
potentially increase the distance of Titleist players.

Counter examples of downward sloping -
Aldiyar
There was a liquor company whose bourbon was decreasing in
sales. The CEO and CFO got together with marketing. They
proposed to lower the price considerably to bring sales back.
Marketing suggested a different strategy. Keep the same liquor,
but double the price. They tried that strategy, and very quick
sales were higher than ever.

Counter examples of downward sloping -
Terence
Downward sloping: relates to the concept of the demand curve
since it is always sloping downward in the graphs. If you already
have an abundance of something, you have less a need to buy
more of it. So an example would be if the price of a jacket
increases, someone might not stop someone that needs a jacket to
purchase it but he or she might stop someone who already has a
jacket and get them into buying a second one in a different color.

Counter examples on completeness- Max
From my own experience, I could approve that completeness has plenty of
counterexamples.
When I launch a new business project, the thing which costs me the most time is
a choice between marketing strategies of a project. There are always two equal
options that need to be sorted out. For instance, using a traditional strategy like
Internet AD or a unique one like word of mouth and hidden product integration.
After figuring out the pros and cons of every strategy, there is still room for
maneuver as the strategies are almost the same in terms of effectiveness. That’s
why even though I know two options in detail, I usually rely on my gut.
That’s the prime counter-example of completeness from my own real-life
experiences.

Counter example - 施程Emrys
Completeness: Sometimes, I crave fast food. For me, the choices are 'fried chicken and
beer(A) or coke and burger(B). I think these two options have differences because they
have different calorie counts. But I don't have a preference because they all taste similar
to me. So usually I choose them just by random selection.
Transitivity: My drink options when there are cold cokes(A) and normal temperature
cokes(B), I would rather choose A because I think cokes taste better when it's cold. And if
I have a normal temperature coke(B) compared with hot milk(C), I will surely choose
coke because I prefer coke over milk. But when the choices are A and C for me, I may
choose coke due to preference reasons. At other times I may choose milk because of the
temperature.
Downward-sloping: Chinese real estate is always a good example. When the house price
is low, the market of the real estate market is depressed. So buyers don't want to buy
houses worrying about further depreciation. And when its price gets higher. People want
to buy it because they think there may be a further increase in house prices.

Counter example ----- 李展鹏 Zachary
Completeness：Where I brought yogurt in the supermarket, there were two types of yogurts
with the same cherry flavor, same price, and same 200ml, but from different brands. I
couldn’t choose which one to buy.
Transitivity: Recently I was reading Harry Potter. There are several characters which I like,
such as Neville Longbottom, Sirius Black, Snape. I prefer Neville to Sirius Black, because
Neville was cute when he was young, and he was so brave to kill Voldemort‘ snake. I prefer
Sirius Black to Snape because Sirius Black was more handsome and his loyalty to Potters.
But, I prefer Snape to Neville, because Snape’s deep love for Lily which never changed.
Downward—sloping: When you get a drug addiction, such as heroin, cocaine, or ecstasy,
you are willing to pay more money for another piece of the drug. So drugs have an
increasing marginal utility for you, and drugs‘ marginal rate of substitution is upward, which
is unlike common goods. Common goods have diminishing marginal utility and they have a
downward marginal rate of substitution.

Our Third meeting
Date: March 25th
Time Ended: 7:45PM Beijing Time
Conversation Summary: We kicked off the meeting tonight by talking about what we have been
doing lately. Of course, all of our responses were just staying home. Then, we discussed what
completeness, transitivity and downward sloping meant in terms of microeconomics. Trailing
that, we split up into twos and wrote about different counterexamples. Then we all ended it by
saying how we couldn't wait to meet up again but until then we encouraged all to stay healthy.

Mental accounting- David
A lot of the times when I get bored or need some inspiration, I
usually go outside to hang out, eat or even go shopping.
Sometimes restaurants may charge a ridiculous amount for the
food and the quality of it may not even be half as good as the food
they sell at chick fil a. If I were to walk into bj’s, I would most likely
not order the steak since bj’s is a restaurant that specializes in
foods such as pasta, burgers, sandwiches, pizookies, etc and also,
I would not be willing to pay 30 dollars for a steak at a restaurant
that does not specialize in steaks. Although if a friend decides to
pitch in the idea of going to Mastro’s for a two hundred dollar steak,
I would not hesitate to go and enjoy the meal with my friend.

Mental accounting- Aldiyar
We all remember getting cards stuffed with cash from our relatives on
each birthday. Other than a few young geniuses with the foresight to
save some of it, most of us eagerly rushed out and bought the most
outlandish and impractical things we could. The reasoning? We weren’t
expecting the money. Sure, people can criticize your spending choices
when it comes to recurring job income, but who could possibly
second-guess what you did with a random, one-time birthday payoff?
Yet the same intractable reality applies: birthday money is in no way
different than or inferior to job income, business proﬁts, investment
returns, or any other source. If you decided previously that the car
payment was your most important bill, for instance, there is no logical
justiﬁcation for not using “birthday money” to pay it.

Mental accounting- Terence
For me, one example of mental accounting is the fact that I prefer spending a
certain amount on money in one quality item rather than spending the same
amount on multiple items from another brand that will give me a feeling of
good value for money. This is the reason why I would rather spend 500$ in a
Louis Vuitton wallet rather than spending 500$ on multiple clothes from
Zara or h&m for example. Because I know that even though I will have more
items with the second option, they will most likely lose their value in the
future but the wallet will remain the same overtime and it won’t lose as much
value.

Mental accounting- Max
My example of mental accounting is based on casino industry.
When I’ve been to Macau, it was such a temptation to visit a Chinese
casino, however my plan was crushed by my age, as I wasn’t 21 at
that time. Fortunately, I was watching a casino room from a special
platform for a while. What really surprised me is the fact that some
people played without a shade of caring about their money. Especially
when they were paying with a gain.
Players apparently think that a gain is easy-money so generally
spending them irrationally. But money gained and ordinary money
are absolutely similar. Here is laying the example of mental
accounting.

Mental accounting- 施程Emrys
Once I wanted to have a good time outside. At the first, I decided to have a big
dinner and then watch movies. But when I finished my dinner, I surprisedly
found that that meal is so expensive that I decided to give up watching that
movie finally.
But if I watch the movie first, I won't give up that dinner because I am sure that
I would feel that it’s unnecessary to save that money.
I think in this case, the expanding money which surpasses my budget leads me
to give up the next step of expending. But according to plan, that expenditure
is planned and reasonable.

Mental accounting- 李展鹏 Zachary
mental accounting：describe the process whereby people code, categorize and
evaluate economic outcomes. Mental accounting deals with the budgeting and
categorization of expenditures. People budget money into mental accounts for
expenses (e.g., saving for a home) or expense categories (e.g., gas money, clothing,
utilities).
When a person wins a lot of money for buying a lottery ticket, or for gambling, he will
classify the money into ‘windfall’ account . Then he will quickly spend the money to buy
expensive goods for himself, or to invite his friends to meals.
However, when he earns a lot of money because of his hard work, he does not spend
money wastefully. Instead, he carefully plans how to the money and uses it for daily
expenses. Because he felt that the salary was hard to earn and classified it into work
remuneration account.

4th Meeting records
Date: April 1st
Time Ended: 7:15 PM Beijing Time
Conversation Summary: Tonight we started our meeting by talking about the ban of foreigners
from entering into China. Then we started discussing what we have learned from the videos.
Since we all had overwhelming schedules, we decided to work on our parts separately after our
short meeting. Then we ended the meeting saying keep in touch and stay healthy.

Inferior goods- David
Golf fanatics may always find the need for buying new golf balls. The reason
being maybe they play a lot of golf and don't really like using scuffed up
balls, or they just tend to lose way too many after each round. Whether you
are wealthy or not, golf is a sport that is open for everybody. Let's use Bob
as our real-life example victim. Bob used to be the CEO of the company he
and his friend opened. Unfortunately after ten years of booming business,
they had to shut it down. He used to golf 3 times a week and used to play
with Titleist pro v1x balls. However, since he now works for apple as a
regular sales employee, he does not have the luxury to play as much golf
and is also unable to afford the prov1x balls. So he came up with a solution
and decided that he could just buy the regular velocity balls. From that day
on, he was almost as happy as he was before and sure enough, he later got
called in to be the manager at his other friend's major company.

Inferior goods- Aldiyar
Example: Transportation. When income is low, it makes sense to ride
the bus. But as income increases, people stop riding the bus and
start buying cars. It's acceptable to most people to ride the bus when
they can't afford a car. But as soon as they can afford one, they buy a
car and stop riding the bus. Bus riding declines as income increases.

Inferior goods - Terence
Real life example : Mercedes-Benz versus Renault
Cheaper cars are examples of the inferior goods. Consumers will
generally prefer cheaper cars when their income is constricted. As a
consumer's income increases, the demand of the cheap cars will
decrease, while demand of costly cars will increase, so cheap cars are
inferior goods.

Inferior Goods - Max
Real life example - Mcdonald's products.
As we know, if consumer’s income raise - the inferior goods have
lower-sales.
So when consumer got his income increased, he/she would deﬁnitely
not to stick with junk food from Mcdonalds but chose healthier or
more high-quality food. That is why hamburgers and fries which are
cheaper and unhealthier could be the good example of Inferior
Goods.

Inferior goods- 施程Emrys
Real life examples --- Renting houses
When we are not wealthy enough, we will be more likely to choose to
rent houses to live in.
But when we have a big deal of money, we will be more likely to buy our
own assets and houses so that we feel more secure.
So I suppose that the service of renting houses is one kind of inferior
goods.

Inferior goods----李展鹏 Zachary
An inferior good is a good whose demand decreases when
consumer income rises (or demand increases when consumer
income decreases).
Instant noodles are a example of inferior good. Instant noodles
are cheap, convenient , but unhealthy. People who is poor may
buy cheap instant noodles for meals, but when they get enough
money for better food they will consume less instant noodles and
more other better food.

5th meeting records
Date: April 8th
Conversation Summary: We started off our meeting by talking about the quiz and discussed a
whole bunch on which we thought was right and which we thought was wrong. If I remember
correctly, I think some of us could not agree on some questions and ended up getting some
questions wrong. After we completed our quiz, we ﬁnished our slides and called it a day.

Crisis means opportunity- David
As funny or ridiculous as it could sound, hardships bring a better and brighter future. Would the United States be the United States it is
today if the tragic 9/11 event had not happened? The answer is no. Security at airports alone had already gotten far stricter and the way
we approached the middle eastern countries were completely different. Now with this pandemic going on, a lot of businesses and
people are suffering materialistically, mentally and physically. If countries but more importantly people do not learn anything or do not
change their ways and their approaches to these events after it passes, then, next time a microorganism decides to wipe out the human
population, it may do way more damage than just two million or so people getting infected and sixteen percent of the infected dead.
The way we approach hygiene and the way we take actions during dangerous times like this should change. The media should also
stop providing false news and governments should not hide and run away from these types of problems because not only may their
citizens be in danger, but the whole world. Most countries are too worried about what other countries think of them. In other words,
they are scared that other countries will attack so they must invest all of their money into weapons and almost slim amounts to none on
healthcare. These are all issues I hope people could all learn from. Being ignorant and not wearing masks is also one of the main
reasons this pandemic is going on. Even though this head-turning event occurred and we think people will learn from this situation, I
know that shortly, there will be an event that will not only take lives but also transform humans into other creatures. There is nothing
this generation is incapable of which is the very scary part. If we humans could just do what we are supposed to do and not try to be
God-like, everything will be alright. However, if we cross the line and try to control everything and do everything the way we like to
do it, that's where problems will occur. More than enough people ended up losing jobs and for some, even losing family members or
friends. There are also so many that cannot look for a job since everything is shut down as of now. For some students, transferring
schools may be a great issue. Considering me having talked about all the issues, pharmaceutical and internet companies will probably
seldom be able to have such great income like this for another while after this tragic event passes. To end my response, I would say the
whole world will be having new and more generation matching companies instead of the old ones that had to get shut down due to not
having profits since their beginning of time. There will be more opportunities in everything since time has been shifted back a bit thus
having these problems occur.

Crisis means opportunity - Aldiyar
In this difﬁcult time, when more than half of earth’s population is quarantined, you still can see
pros are overcoming cons. This will serve as an example: Education. It can be game changing
moment, for all students throughout the world, because at the moment everyone is studying
online. And sitting in front of screen for hours can be exhausting, I assume that none of us after
experiencing online classes will take education for granted.
There is popular saying “We learn from our failures” so let’s not just forget this time of our lives,
and keep learning. So in the future we will never forget what we went through.

Terence - Crisis means opportunity
The first opportunity in this crisis is that we have more time : In today’s overheated
economy time is often seen as the most valuable thing we have. Covid-19 shows why,
because we have stacked our week with social gatherings and entertainment.
The second one I found is reflection and consideration, the fact that the coronavirus
disrupts our day-to-day lives provides an opportunity to reflect on things and to
reconsider what we do, how we do it and why we do it.
Innovation and versatility, we have to adapt and find alternative ways for example we take
online classes and do shopping online.
And finally I think governments should rethink their economics system because this crisis
underlined the fact that we are dependent to asian countries in terms of masks
production for example.

Max - Crisis means opportunity
From my perspective, I noticed the changes almost in every aspects of people’s life during the
COVID19. The thing which inspired me more was the Medicine services. Nowadays in Russia,
most of the private clinics’ doctors started working online: giving consultations, check analysis
results and diagnose patients. Hereby proved that doctors benefit of that system and saving
time by staying home.
Also regarding the clinics themselves, I would like to notice that their financial indicators
became higher than before, that is by saving operational budget for utility bills and
transportation expenses.
After the COVID finish, it seems to be plenty of changes towards online medicine, making it
more convenient, faster and cheaper as it was never before.

Crisis Means Opportunity - Delivery
施程Emrys
As we could see. in the food industry, some companies get through this big crisis and earn a big
deal. KFC, which is devoted to fast food, make money just as regularly as before. However,
Haidilao bot pot, a famous pot restaurant of China, lose a lot of money because of its weakness
on delivery.
As the digital technology development, I think there would be more and more restaurants join in
the delivery, and those who are unwilling may be eliminated by something just like the plague.
The story inspires restaurants that accepting the delivery service improves not only
competitivity but also sustainability by bringing in resilience during the crisis. And to better
adapt to the needs of delivery, merchant needs to make the food in a good look and has a
packaging which has good thermal insulation properties.

Crisis means opportunity ----- business
李展鹏 Zachary
1. Express Delivery：during the crisis of pandemic, because many people are in quarantine
and many cities are in shutdown, people can’t go outside to buy clothes, shoes, books etc.
People may buy goods from shopping website which can’t get from local mall because of
shutdown. The changes in the way of shopping may increase the demand for delivery.
2. Live platforms may get a big opportunity for development. Because of quarantine and
shutdown, students can’t go to schools and employees can’t go to work. Online learning
and online work may be most schools’ and companies’ choices to study or work.
Therefore, the user quantity of live platforms, like zoom, dinging, may have a large
increase.

Our 6th Meeting
Date: April 15th
Conversation Summary: As soon as we ended our citizenship project class, we took a short
break and decided to host our meeting. At first, we talked about which group’s idea was the
best and the brightest and we ended up talking about this pandemic situation and how the
other foreign countries like the United States and the European countries are reaching the
peak and soon will be back on feet to conquer the situation. After that, we talked about the
assignment, completed it and ended our call.

7th meeting record
Date: April 21st
Conversation Summary: This week we decided to host our meeting on Tuesday instead of
Wednesday because we were beginning a 7 hour 4 day class for business game. We made
our meeting short because we had another assignment due before Thursday. We talked about
school and called it a day after.

Our 8th meeting
Date: April 29th
Participants: David, Aldiyar, Terence and Max, Emrys and Zachary
Conversation Summary: We started off tonight by discussing the assignment. We decided to
individually ﬁnish our parts by Saturday and meet again.

David-Art in microeconomics
Being an artist myself and seeing a lot of interesting events occur, I
learned that you have to be able to manage your time and have to
create better art every time you decide to invent. Just like in
economics, if you manage to just make the same terrible product over
and over again, no one will bother to look at the product ever again.
Also, even if the product was selling out well, if the person behind the
seats decided not to manage their earnings well, all the hard work will
just be wasted. Just like in rap, if an artist starts to make terrible
music, people will just listen to another rapper and follow the new
trend. A group of very successful rappers in 2016, 2017 season cannot
set foot into the rap scene like how they used to because they started
to slack and decided to not make quality music. Those rappers are also
the ones that ended up going broke which is also quite unfortunate.

Aldiyar - Art in economics
Economic impact studies for fairs, art and cultural events, and national art markets
or market sectors, evaluating their direct and indirect contribution to employment
and revenues in addition to their impact through ancillary spending, fiscal
contributions and multiplier effects in the economy. These studies can provide both
current analysis of economic impact as well the evaluation of contributions under a
variety of different future scenarios and forecasts (such as changes in regulations).
Reports on sectors of the art market (for example focusing on Contemporary art or
Old Masters), as well as specific segments of the market such as artists by gender,
nationality or works of art by price bracket.
Price and risk analysis including: bespoke indices for specific sectors, artists or
segments in the art market and risk profiles by sector, artist or region (including
art-specific qualitative and quantitative models, as well as more mainstream
financial metrics).

Terence - Art in microeconomics
Most art products can be classiﬁed as intangible goods. They characterize a
reasonable connection with passion, inspiration, creativity and emotions. However,
the pricing of these outcomes is exceptional irregular and uncertain. As a result, the
questions arise: What is art? What is the relationship between art and economy? Is
there a practical way for artist to be famous and rich at the same time? Why are the
fate of the artist depend not only on the quality and creativity of their products, but
also to the economic resources?
Furthermore, the economics looks at how people and economy interact. Likewise
artists are using their time and their materials to satisfy their needs and their wants.
Also artists interact with one another and with their consumers in the art market.
Nowadays, music and painting are part of the business environment. Art is also an
essential part of advertising and marketing sectors. Without this arrangement the
demand for many goods and services would be lower than expected.

Max - Art in economics
From my perspective, artworks can inspire even in economical context.
For instance, American artist Brin Lewinson has a set of artworks about the environmental
issues in the modern world.
Looking at the painting, we can see the abandoned city
captured by wild animals. It shows that nature is the essential
part of human beings life, the part people could not do without.
So we should take all responsibilities and rational economical
actions not to damage but to preserve the nature on our planet.

Our 9th Meeting
Date: May 6th
Participants: David, Aldiyar, Terence and Max
Conversation Summary: Today we did not talk a lot due to losing two of our precious teammates
Zachary and Emrys. We got a message on Saturday morning saying that they will not be doing
the assignments anymore since they have switched majors. We discussed about what we had to
do for the assignments and decided to meet up again to talk about it on Saturday.

Linkedin- David https://www.linkedin.com/in/david-sun-b917971a4/

LinkedIn - Aldiyar https://www.linkedin.com/in/aldiyar-yessimkhanov-31381119b/

Linkedin- Terence https://www.linkedin.com/in/terence-fredj-08769b151/

Linkedin- Max https://www.linkedin.com/in/pilasv/

Our 10th meeting
Date: May 13th
Conversation Summary: Tonight we went on linkedin together and edited our pages. Once we
were done, we decided to record us introducing our pages.

Our 11 th meeting
Date: May 30 th
Conversation Summary: Together we completed the design project and shared the results in the
group. Also we double-checked the experiment to avoid mistakes.

Experiment design
The trust game
Team 2(DATMEZ)
David
Aldiyar
Terence
Max

Contents
1. Research Question
2. Methodology
3. Hypothetical Results
4. Conclusions
5. References

Research Question
We are aiming at testing whether behavior in public goods game are
consistent with the prediction of economic theory given the assumption
of selfishness and rationality. Specifically, we are working with the topic:
“Reciprocity Effects in the Trust Game” and are trying to discover any
reciprocity effects there.
For our studies, we used the data provided by: www.mdpi.com

Methodology
1. In the trust game, two subjects are provided with endowments of
money by the experimenter.
2. The First Mover chooses how much of her endowment to send to
the Second Mover, the amount is tripled before being received by
the Second Mover, and the Second Mover decides how much of the
amount received to return to the First Mover.
3. The amounts First Movers send measure trust.

Methodology
1. We conducted the analysis using data from a previous trust
experiment that was run using the strategy method. The rich data
set allowed us to construct a response function for each subject.
2. We categorized individual subjects according to their average
behavior in the six games and found that only 31% demonstrate
reciprocity effects. 31% are neutral—having average response
functions that are neither increasing nor decreasing in the amounts,
13% have decreasing average response functions, and the
remaining 25% free-ride—meaning that for most plays of the game
they chose to return nothing for every possible amount received.

Methodology (Table)
Table of the classification of subjects.

Methodology
The diagram on the previous slide was used for an extensive form of the
Trust Game, we can see the main elements of the experiment. The
trustee and the trustor, as well as the 2 possibilities depicted on the
diagram. These are represented in this experiment by R1 and R2 for
honoring trust, S1 and T2 for abusing trust, and P1 / P2 for not placing
trust. However many other variants of the trust game also exist.

Hypothetical results
1. In the control treatment, subjects played the trust game with
randomly assigned partners using endowments of 10 tokens, each
worth $1.50.
2. Subjects were paired with six different partners and made their
decisions simultaneously without feedback.
3. First Movers decided how many tokens to send to each of six
Second Movers. Second Movers made decisions using the strategy
method.

4. Specifically, for each possible amount received from each of the
six First Movers, Second Movers decided how many tokens to
return. Thus, each Second Mover submitted six different response
functions—one for each of her partners—for a total of 60 decisions
per Second Mover.
5. Subjects submitted decisions without knowing what any of their
partners decided to do. At the end of the experiment, one of the six
games was randomly chosen for determining actual payoffs.

1. Among the 10 subjects classified as Neutral, they fail to be
classified as Reciprocators due to large flat or negatively-sloped
regions in their average response functions.
2. For all four Anti-Reciprocators, a majority of the six response
functions are negatively-sloped.
3. Among the eight Free-riders, six were free-riders in all six games,
and the other two, in four of the six games. Thus, it is only among
Free-riders that most subjects had the same response function for
most of their games.

Hypothetical results (Table)
Classification of response
functions.

Hypothetical results (Graph)
Graph of average proportion
returned for each amount
sent.

Conclusions
1. The experiment showed that there is heterogeneity among subjects
with respect to demonstrating reciprocity effects and that the
reciprocity effects observed in aggregate data are attributable to a
minority of subjects.
2. These findings raise important question for future research. , how
does pairing subjects according to their types affect trust (in
one-shot and repeated environments)?

References
Open Internet resources:
- www.mdpi.com/
- https://en.m.wikibooks.org/wiki/Bestiary_of_Behavioral_Economics/
Trust_Game
- https://otree-demo.herokuapp.com/demo/

Thank you for your attention!
Presented by: Team 4 (DATMEZ)
David
Aldiyar
Terence
Max

CEO
So Jeon Sun
(David)
CHRO
Aldiyar
Yessimkhanov
CFO
Prokhor
Piliasov (Max)
CMO
Terence Fredj
DATMEZ
If you can't beat us
then just join us 🤷‍♂
CBDC
China
DC/EP

Racing to digital
Terence Fredj

Digital Currency: The Global Landscape
David Sun

Business model
canvas (DCEP China)
Created by DATMEZ: David, Aldiyar, Terence, Max

-sent, received and
convert currency ,
simple, clear
interface with
transaction history.
1st flow:
- China
Construction
Bank
-ABC
-BOC
- ICBC
2nd flow:
-WeChat
-Alipay
DCEP in China
- PBoC to
intermediaries
-intermediaries
to the retail
participants
-NFC Contact
based payment
-All Chinese
Merchants must
accept DCEP
DCEP CAN ACHIEVE
REAL-TIME
COLLECTION OF
DATA RELATED TO
MONEY CREATION,
BOOKKEEPING, ETC,
PROVIDING USEFUL
REFERENCE FOR
THE PROVISION OF
MONEY AND THE
IMPLEMENTATION
OF MONETARY
POLICIES
-mobile
payment
APPs
-Banks
-Customers
- Subsidiaries
-Government
Proclaimed as a government’s non-proﬁtable project$1.42 BILLION USD in 2020

1. Partners “According to Caijing magazine, the pilot
institutions for DCEP will be the 4 major state-owned
banks.”
2. Activities - the picture from an ofﬁcial source
3. Key Resources - The central government has
mandated that all merchants who accepted digital
payments (such as Apple Pay, AliPay and WeChat)
pay must accept DCEP.
4. Cost Structure- President Xi Jinping has mandated
that the ‘country’s development of blockchain
technology should be sped up ‘ on Oct 24th in front of
the Political Bureau.

Informing business
strategy
(DCEP China)
Created by DATMEZ: David, Aldiyar, Terence, Max

1. Problems with the business model
2. Demonstration how strategy
overcome limitations
3. Supportive evidence
4. Updated business model
Plan:

Problems with the
business model
Not everything could be made perfect
but in this situation, since DCEP
seems to be government-owned, we
could not identify any major issues
with the model. The cost structure
may have been a smidge high but it
does take a significantly high amount
to achieve something or bring up the
chances of it being successful.

How strategy overcome
limitations
CBDC is a real strategy for China, since the late 2000s China
has tried to accelerate internationalization of its domestic RMB
with policy measures as dim sum bonds. Dim sum bonds are
bonds issued in foreign countries but denominated by Chinese
currency amounts, they were taken out from big companies
based in the US. China also tried to extend currency swap to a
variety of nations and had integrated RMB settlement projects
with Hong Kong in order to overcome limitations. However
these can be seen as the precursor to the next steps of moves
the Chinese state is lining up to take: positioning the RMB as a
premier reserve currency worldwide.

Supportive evidence
Mere hours after DCEP has been announced, various (potentially
scam) Chinese exchanges have listed IOUs or knock-offs clones
of DCEP. It’s important to know that DCEP is currently only
distributed to banks working with the PBoC and will not be
available for the public. If you want to find out what are reputable
exchanges, check out our top cryptocurrency exchanges guide. It
is strongly recommended NOT to trade DCEP until it is officially
released as there is no guarantee exchanges have access to the
digital currency.
References:
https://boxmining.com/dcep/#What_is_DCEP
https://venturebeat.com/2019/09/15/wake-up-us-federal-reserve-china-just-sho
wed-how-digital-currency-is-done/

Updated business model
-sent, received and
convert currency ,
simple, clear
interface with
1st flow:
- China
Construction
Bank
-ABC
-BOC
- ICBC
2nd flow:
-WeChat
-Alipay
-then worldwide
DCEP in China
- PBoC to
intermediaries
-intermediaries
to the retail
participants
-NFC Contact
based payment
-All Chinese
Merchants must
accept DCEP
DCEP CAN ACHIEVE
REAL-TIME
COLLECTION OF
DATA RELATED TO
MONEY CREATION,
BOOKKEEPING, ETC
+ make RMB the
World leading reserve
currency
-mobile
payment
APPs
-Banks
-Customers
- Subsidiaries
-Government

Execution plan
China DCEP
Created by: Team 2 DATMEZ

-sent, received and
convert currency ,
simple, clear
interface with
1st flow:
- China
Construction
Bank
-ABC
-BOC
- ICBC
2nd flow:
-WeChat
-Alipay
- PBoC to
intermediaries
-intermediaries
to the retail
participants
-NFC Contact
based payment
-All Chinese
Merchants must
accept DCEP
DCEP CAN ACHIEVE
REAL-TIME
COLLECTION OF
DATA RELATED TO
MONEY CREATION,
BOOKKEEPING, ETC,
PROVIDING USEFUL
REFERENCE FOR
THE PROVISION OF
MONEY AND THE
IMPLEMENTATION
OF MONETARY
POLICIES
-mobile
payment
APPs
-Banks
-Customers
- Subsidiaries
-Government

CBDC- China DCEP: Presented by DATMEZ

2021
Plan
Startup
Market
Discuss with banks and
the government
2022
Grab China’s attention
Market research on the
international market
2023
Expand in the
International Market
Fixing issues
2024
Get at least 2 continents
to start using the apps
2025

2021-2025
Making
RMB the
world's most
valuable
currency
Look and compare with
other competitor
companies and see what
could be done better and
begin the project
Get several
countries to start
using the
platforms over the
course of a few
years
Market and get
the government to
make DCEP more
mainstream
Lower project
costs and get
more customers
Keeping track of
year by year
progress and
fixing minor or
major errors

Pros of DCEP
● Backed up by the government and major
companies
● May be the simplest way to send and
spend money

Cons of DCEP
● Cost structure is very high
● Non profit project

Solutions to our Cons
● Find efficient ways to lower the cost
● Discuss with the government to change
from a non profitable project to a
profitable one since our main goal is to
make RMB the most valuable currency in
the world.

6. Year by Year
followed by the
KPI In more detail

2021
● Start with a plan on how to create a
platform for people to use online banking
more conveniently with DCEP
● Launch app and market
● Test the market out and fix errors

2022
● Partner up with banks and technology companies
for better support
● Check in with the government and keep track of
progress since DCEP is owned by the Chinese
government

2023
● Our main goal for 2023 is to overtake
China with our program
● Also preparing for next years
international market launch

2024
● Begin launch for the international market
● Keep track of progress
● Fix the errors

2025
● Expand our market and conquer 2
continents
● Make RMB the most valuable currency
in the world

List of Partnering Banks
China Construction Bank,
ABC, BOC, and ICBC

Partnering Tech Companies
Wechat and Alipay

Thank you for your attention!
Created by: Team 2 DATMEZ
David, Aldiyar, Terence, Prokhor

CBDC- China DCEP: Presented by DATMEZ

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