Course Syllabus

Week Date* Topics Chapters

0   8/24 First Class, Introduction, Course Overview and Objectives

1   8/29 Graphs, Circular Flow, 10 Principles Scarcity, Economics, Opportunity Costs, Marginal Change Incentive, Market Economy, Inflation, Business Cycle, Circular Flow Diagram, Production Possibilities Frontier, Microeconomics, Macroeconomics, Absolute Advantage, Comparative Advantage, Imports, Exports  Chapter(s) 1, 2, 3

2   9/5 Supply/Demand, Elasticities
Competitive Market, Quantity Demanded, Law of Demand, Demand Curve, Substitutes, Complements, Quantity Supplied, Law of Supply, Supply Curve, Equilibrium, Equilibrium Price, Equilibrium Quantity, Surplus, Shortage, Law of Supply and Demand, Elasticity, Price Elasticity of Demand, Total Revenue, Price Elasticity of Supply  Chapter(s) 4, 5

3   9/12 Government Policies
Price Ceiling, Price Floor, Tax Incidence  Chapter(s) 6, Quiz (10%)

4   9/19 Producer/Consumer Surplus
Welfare Economics, Willingness to Pay, Consumer Surplus, Cost, Producer Surplus   Chapter(s) 7

5   9/26 International Trade and Taxation
Deadweight Loss, World Price, Tariff   Chapter(s) 8, 9

6   10/3 National Income Accounting
Gross Domestic Product, Consumption, Investment, Government Purchases, Net Exports, Nominal GDP, Real GDP, GDP Deflator  Chapter(s) 10, Quiz (10%)

7   10/10 Cost of Living
Consumer Price Index, Inflation Rate, Producer Price Index, Nominal Interest Rate, Real Interest Rate 
Chapter 11,   Exam (30%)

8   10/17   Tools of Finance
Financial System, Financial Markets, Bond, Stock, Financial Intermediaries, Mutual Fund, Budget Surplus, Budget Deficit, Market for Loanable Funds, Crowding Out, Finance, Present Value, Future Value, Compounding, Chapter(s) 13 and 14

9   10/24 Tools of Finance (cont')
Risk Aversion, Diversification, Firm Specific Risk, Market Risk, Fundamental Analysis   Chapter(s) 13 and14 (cont')

10   10/31 Unemployment, Monetary System
Labor Force, Unemployment Rate, Labor Force Participation Rate, Cyclical Unemployment, Discouraged Workers, Structural Unemployment, Unemployment Insurance, Union, Collective Bargaining, Strike, Money, Liquidity, Currency, Demand Deposits, Federal Reserve, Central Bank, Money Supply, Monetary Policy, Reserves, Reserve Ratio, Discount Rate, Reserve Requirement, Federal Funds Rate   Chapter(s) 15, 16, Quiz (10%)

11   11/7 Monetary Growth, Inflation Quantity Theory of Money, Velocity of Money, Quantity Equation, Inflation Tax, Fisher Effect, Menu Costs    Chapter(s) 17

12   11/14 Open Economies Closed Economy, Open Economy, Net Exports, Trade Surplus, Trade Deficit, Trade Balance, Nominal Exchange Rate, Appreciation, Depreciation, Trade Policy, Capital Flight   Chapter(s) 18, 19

13   11/21 Aggregate Supply and Demand Recession, Depression,Model of Aggregate Supply and Demand, Aggregate Demand Curve, Aggregate Supply Curve, Natural Rate of Output   Chapter(s) 20, 

14   11/28 Monetary and Fiscal Policy Theory of Liquidity Preference, Fiscal Policy, Multiplier Effect, Crowding-out Effect, Automatic Stabilizers  Chapter(s)  21    Exam (30%)

15   12/5 Inflation vs. Unemployment Phillips Curve, Natural Rate Hypothetis Supply Shock, Sacrifice Ratio, Rational Expectations   Chapter(s)  22

16   12/12 Review,   Quiz (10%)

* Date of first class during week, i.e. Tuesday