SYLLABUS
TEXTS
Required:
Macro-Economics by Campbell R. McConnell and Stanley L.
Brue, (13th edition).
Study Guide to Accompany McConnell and Brue
Macro-Economics by Bingham and Walstad.
COURSE DESCRIPTION
This course will cover the area of economics commonly defined as macroeconomics which is concerned with the NATIONAL economy. The main goal of the course is to gain a better understanding of the causes of, and remedies for, UNEMPLOYMENT and INFLATION, as well as the factors that affect ECONOMIC GROWTH.
GRADING
The final grade for the class will be awarded according to the following point system:
3 unit exams (40 points each) 120 points
Final Exam (30 points from fourth unit
and 50 points COMPREHENSIVE) 80 points
Quizzes (4 quizzes, 10 points each,
only highest 3 counted) 30 points
Assignments 0-40 points
TOTAL: 230-270 POINTS
Letter grades will be awarded as follows:
90%=A, 80%=B, 70%=C, 60%=D, below 60%=F
MAKE-UP POLICY
Exams:
Students will be allowed to take an exam at a time other than the scheduled class period IF:
1. the instructor is notified BEFORE the scheduled exam time AND
2. the student has a very good reason to miss the exam at the scheduled time.
Quizzes:
Since only three of the four quizzes will be included in the final point total, there should be little need to take a quiz at a time other than the scheduled class time.
Assignments:
Each assignment will have its own late policy which will be announced in class.
COURSE OUTLINE
Unit 1: An Introduction: Economics, Capitalism, and Efficiency
(Note: These chapter titles MAY NOT match those in the textbook.)
Ch. 1 -- The Nature and Method of Economics and the 4 Es
(only pages: 1-6, 9-12, 14-17)
Ch. 2 -- The Economizing Problem
Ch. 3 -- Understanding Individual Markets: Demand and Supply
Ch. 4 -- Pure Capitalism and the Market System
Ch. 20 -- International Trade: Specialization, Exchange, and Efficiency
(only pages 399-406, 409-410, 411-419; plus pages 441-445)
Ch. 23-- Economies in Transition
Unit 2: Introduction to Macroeconomics: UE, IN, and EG
Ch. 5 -- Government finance (ONLY pages 86-93)
Ch.11-- A Model of the Macro Economy:
Aggregate Demand and Aggregate Supply
(only pages 213-215, 216-219, 220-231)
Ch. 7 -- Measuring the Economy - GDP
Ch. 8 -- Unemployment and Inflation
Ch. 19 -- Economic Growth
Ch. 22 -- Economic Growth In The Less Developed Countries
Unit 3: Multipliers and Fiscal Policy
Ch. 9-- Classical and Keynesian Theories of Employment
Ch. 10 -- Keynesian Equilibrium and the Multiplier Concept
Ch. 12 -- Fiscal Policy and More Multipliers
Ch. 18 -- Deficits and Debts: So What?
Unit 4: Money and Monetary Policy
Ch. 13 -- What is Money?
Ch. 14 -- How Banks Create Money
Ch. 15 -- Monetary Policy
Ch. 16 -- Other Economic Views
(only pp. 317-330
NOTE: This outline may be changed! Regular class attendance is needed since changes will be announced in class.
ATTENDANCE POLICY
Class attendance is strongly recommended, but not required. Former students have indicated that the material covered in class is very helpful at the time of the examinations.
LIBRARY RESERVE
A textbook, a study guide, and Coursebook have been placed on reserve in the library in case you leave yours at Grandma's house. They can be checked out from the circulation desk for two days at a time.
HOW TO PASS ECONOMICS
This is a difficult course! There is an old rule of thumb concerning studying for college courses: on average students should study TWO hours for every ONE hour of class. This is an average, which means some courses require more study time and some less. You may find that economics requires MORE.
The following suggestions should help you learn economics:
1. Passive reading of the textbook is not very helpful . Read with a pen in your hand and a notebook on which to list, repeat, copy, calculate, etc. ALSO, pay close attention to the TABLES and GRAPHS. THEY ARE IMPORTANT.
2. Attend class. Your instructor will review the material from the textbook, add additional material, and answer questions. Come to class with your questions and problems. While in class TAKE NOTES and lots of them! We will go fast. If you want something repeated, ASK.
3. Do problems. The coursebook lists the problems from the textbook and Study Guide that you are responsible for in each unit. DO THEM ALL. If you can't do these problems you will do poorly on the quizzes and exams.
When doing the multiple choice questions in the Study Guide, it is suggested that you do NOT circle the answers in the book. Rather, write the letter of the answer that you selected on a separate sheet of paper. There are two reasons for doing this: (1) it is easier to grade them since all answers are listed together at the end of the Study Guide chapters, and (2) by not writing in the study guide you can go over the questions again and again without having the correct (or incorrect) answers already marked.
4. See the instructor for assistance. This should be done EARLY in the semester. The Tutoring Center also offers help.
5. Keep up. It is easy to get behind. To get a good grade you will have to devote a significant amount of out of class time to studying economics. If you get behind there simply will not be enough time.
6. Try to APPLY the concepts learned in class to the "real world" including issues in the news and aspects of your personal life.
MACROECONOMICS
Summary of Important Dates
The folllowing dates are TARGETS only. THEY CAN BE CHANGED!. Any changes will be announced in class at least one week before the scheduled date of the quiz, exam, or paper.
QUIZ 1 ________________________________
EXAM 1 ________________________________
ASSIGNMENTS ________________________________
________________________________
QUIZ 2 ________________________________
EXAM 2 ________________________________
ASSIGNMENTS ________________________________
________________________________
QUIZ 3 ________________________________
EXAM 3 ________________________________
ASSIGNMENTS ________________________________
________________________________
QUIZ 4 ________________________________
FINAL EXAM ________________________________
ASSIGNMENTS ________________________________
________________________________
PAPERS
All Macro Papers will be an ANALYSIS of a newspaper article using the models (graphs) and vocabulary learned in class or from the textbook. Newspaper article tell us what happened (or what will happen), economic analysis tells us HOW and WHY it happened.Do not just summarize the article since it will be attached to your paper. You are to analyze it and explain the economics behind what the article is saying. If graphs are included (and they must be used in at least three of the four papers) you MUST explain the graphs in detail in your paper. Tell the reader when to look at each graph, and explain what the graph is revealing about the issue.
Papers must be short and concise. Two pages of text should be more than adequate. Graphs could make the total paper length a little longer.
Grading and Rewrites
If the papers are handed in by the date due, then you may do as many rewrites as necessary until you receive full credit. If you hand the paper in late, you may still receive full credit but you may not do any rewrites.
Papers will only receive 1, 2, 3, or 10 points. 1 means you must do a total rewrite with a new article. 2 means you must do a total rewrite but you may use the same article or get a new one. 3 means you do a partial rewrite. If you get 3 points, DO NOT REWRITE THE WHOLE PAPER even if it is easy for you to do so on your computer. Only rewrite the portions that are wrong or make the necessary additions.
ALL MACRO PAPERS MUST;
PAPER 1 -- SUPPLY AND DEMAND
Find an article on an individual product or industry where there has been a CHANGE in the price or the quantity sold. (Example: "Price of Computers continues to Drop";, "Natural Gas Prices Soar".) Use the non-price determinants of supply and/or demand to explain WHY the price or quantity has changed. the article must mention at least two non-price determinates. If the article mentions more than two than your analysis should include all the determinates mentioned. (Warning: a change in expected prices is NOT a common non-price determinate. do not use it unless the article explicitly states that is was a factor.) Your analysis must include graphs of supply and demand curves shifting appropriately. There must be one graph that shows the end result of ALL shifts showing the correct changes in price and/or quantity.
PAPER 2 -- STRUCTURAL ADJUSTMENT
Find an article that discusses a country's structural adjustment program. Discuss the policies, the benefits, and the costs (or problems) associated with structural adjustment. In other words: What are they doing?; Why are they doing it (what are the positive effects) ?; and What negative what negative effects might arise?
PAPER 3 -- AGGREGATE SUPPLY AND AGGREGATE DEMAND
Find an article that discusses a change in the unemployment rate or the inflation rate of a country. Explain WHY the rates changed using the AS/AD model (graph). The article must include CHANGES in at least two determinates of aggregate supply and/or aggregate demand. Your graphs must show the effects of these changes on the level of output and the price level. Your discussion must explain how all of this result in the reported changes in unemployment and/or inflation.
PAPER 4 -- MONETARY POLICY
Find an article that discusses monetary policy. preferably one that mentions one of the monetary policy tools. Show how the monetary policy makers can use this tool to affect the rates of unemployment, inflation, and/or economic growth using the transmission mechanism shown in figure 17-8 (p. 379) of your textbook.