Economics 2 Calendar Day

Date / Work Due / Quizzes / Topics / Homework
Tue.
1/16
Day 1 / None / None / Unit 1: Fundamentals of Macroeconomics
Welcome to Economics –
Chapter 1
Definition of Economics (S 3-10).
Definition of Opportunity Cost
(S 11-14).
Economic analysis is often about comparing costs and benefits
(S 15).
Opportunity cost vs. benefit - going to college (S 16-27). / Read:
1) Chapter 1.0
2) Chapter 1.1 up to “Div. and Spec. of Labor.”
3) Chapter 1.2 (don’t worry about monetary and fiscal policy).
4) Chapter 1.3 (don’t worry about the circular flow diagram).
5) Chapter 1.4 up to “The Rise of Globalization.”
Thur.
1/18
Day 2 / None / None / Choice in a World of Scarcity – Chapter 2
Opportunity cost vs. benefit – bargaining over prices, and speeding (S 32-45).
An individual’s budget constraint (S 46-49).
Society’s PPF diagram (S 50-60).
Law of increasing opportunity cost (S 61-63).
Comparative advantage (S 64-67). / Read:
1) Chapter 2.0
2) Chapter 2.1 up to “Marginal Decision Making” (don’t worry about the math formulas).
3) Chapter 2.2 (don’t worry about productive and allocative efficiency … yet).
Do:
1) Homework As. #1
Tues.
1/23
Day 3 / Homework As. #1. / Quiz #1 – Chapters 1 and 2, except for productive and allocative efficiency. / Chapter 2 Cont.
Productive efficiency (S 73-85).
Allocative efficiency (S 86-87).
Which productively efficient pts. are necessarily better (S 88-91).
Demand and Supply –
Chapter 3
Demand curve (S 93-96).
Supply curve (S 97-101).
Equilibrium (S 102-104). / Read:
1) Chapter 2.2 about productive and allocative efficiency.
2) Chapter 3.0
3) Chapter 3.1
Thur.
1/25
Day 4 / None / None / Chapter 3 Cont.
Importance of incentives (S 109-114).
Things that shift demand (S 115-128).
Equilibrium when the demand curve shifts (S 129-132). / Read:
1) Chapter 3.2 up to “How Prod. Costs Affect Supply.”
2) Chapter 3.3 – Only “Newspapers and the Internet.”
Do:
1) Homework As. #2
Date / Work Due / Quizzes / Topics / Homework
Tue.
1/30
Day 5 / Homework
As. #2 / Quiz #2 – Chapters 2 (productive and allocative efficiency) and 3 (except for what shifts supply and price controls) / Chapter 3 Cont.
Go over quiz and homework (#1).
Things that shift supply (S 138-150).
Equilibrium when the supply curve shifts (S 151-154).
Price controls (S 155-164).
Invisible hand (S 165-175). / Read:
1) Chapter 3.2 after “How Prod. Costs Affect Supply.”
2) Chapter 3.3 – all of it this time.
3) Chapter 3.4
4) Read chapter 4.3
Thur.
2/1
Day 6 / None / None / The Macroeconomic Prospective – Chapter 6
How to judge the macroeconomy (S 3-6)
Nominal GDP (S 7-13).
What is not in GDP (S 14-18).
Circular Flow Diagram (S 19-23).
Real GDP (S 24-32).
Nominal GDP deflator and converting nominal to real (S 33-39). / Read:
1) Chapter 6.0
2) Chapter 6.1 – Not including “GDP Measured From What is Produced” and “Other Ways to Measure the Economy”
3) Chapter 6.2
Do:
1) Homework As. #3
Tue.
2/6
Day 7 / Homework
As. #3 / Quiz #3 – Chapters 3 (since the last quiz), 4.3, 5 (through 5.3), and 6 (through 6.2) / Chapter 6 Cont.
Go over quiz and homework (#2).
The business cycle (S 43-45).
International comparisons of GDP (S 46-47)
Exchange rates (S 48).
How good a measure is GDP? (S 49-51). / Read:
1) Chapter 6.3
2) Chapter 6.4
3) Chapter 6.5
Thur.
2/8
Day 8 / None / None / Unit 1 Review
Go over quiz and homework (#3).
Review last semester’s unit #1 test. / Do:
1) Prepare for unit #1 test
Tue.
2/13
Day 9 / None / None / Take Unit #1 Test / None
Date / Work Due / Quizzes / Topics / Date
Thur.
2/15
Day 10 / None / None / Unit 2: Aggregate Supply and Demand in the Short-Run and Fiscal Policy
Unemployment – Chapter 8
Calculating the unemployment rate (S 2-9)
Historical unemployment (S 10)
Cyclical unemployment (S 11)
The short-run and sticky wages (S 12-18)
The long-run in macro. (S 19).
Other types of unemployment (S 20-21).
The natural rate of unemployment and natural RGDP (S 22-25)
Changes in the natural rate of unemployment and RGDP (26-28) / Read:
1) Chapter 8.0
2) Chapter 8.1
3) Chapter 8.2 up to “Breaking Down Unemployment in Different Ways”
4) Chapter 8.3
5) Chapter 8.4 – not including “Productivity Shifts …”
Tue.
2/20
Day 11 / None / None / Inflation – Chapter 9
Hand back unit #1 test
The CPI (S 32-33)
Calculating the inflation rate (S 34-39)
The GDP deflator (S 40)
Creating index numbers (S 41-43)
New and improved products (S 44-46)
Substitution bias (S 47-51)
Core price index (S 52) / Read:
1) Chapter 9.0
2) Chapter 9.1
3) Chapter 9.2
Thur.
2/22
Day 12 / None / None / Chapter 9 Cont.
Historical inflation in the U.S., and the world (s 56-57)
How bad is inflation?: value of cash, real interest rates, and uncertainty (S 58-75)
Indexing (S 76) / Read:
1) Chapter 9.3
2) Chapter 9.4
3) Chapter 9.5
Do:
1) Homework As. #4
Date / Work Due / Quizzes / Topics / Date
Tue.
2/27
Day 13 / Homework As. #4 / Quiz #4 – Chapters 8 and 9. / Aggregate Demand and Aggregate Supply Model – Chapter 11
Setting up the model (S 80-83)
The AD curve and why it slopes down (S 84-104)
What shifts AD (S 105-109)
The AS curve in the long-run (S 110-119)
The AS curve in the short-run (S 120-126)
What determines the slope of the SRAS curve (S 127-130).
What shifts SRAS (S 131-132).
AS/AD equilibrium (S 133-134). / Read:
1) Chapter 11.0
2) Chapter 11.2
3) Chapter 11.3
4) Chapter 11.4
Thur.
2/29
Day 14 / None / None / Chapter 11 Cont.
Using the AD/AS model to find the effect of different events on output, unemployment, and prices in the short-run (S 3-13).
The Keynesian Perspective – Chapter 12
The recessionary and inflationary gaps in the AS/AD diagram (S 14-15).
Keynesianism – sticky wages, drops in aggregate demand, and the multiplier (S 16-39). / Read:
1) Chapter 11.5
2) Chapter 12.0
3) Chapter 12.1
4) Chapter 12.2
Do
5) Homework As. #5
Tue.
3/6
Day 15 / Homework As. #5 / Quiz #5 – Chapters 11 and 12 (Through 12.2) / Chapter 12 Cont.
Go over quiz and homework (#4)
The Phillips curve (S 43-45)
Shifts in the Phillips curves – supply shocks and expectations (S 46-48).
Expansionary and contractionary fiscal policy (S 49-57).
Government Budgets and Fiscal Policy – Chapters 17
Lags and fiscal policy (S 58-68).
Politics and fiscal policy (S 69-70).
Crowding out and fiscal policy (S 71-85). / Read
1) Chapter 12.3
2) Chapter 12.4
3) Chapter 17.4
3) Chapter 17.6
Date / Work Due / Quizzes / Topics / Homework
Thur.
3/8
Day 16 / None / None / Impacts of Government Borrowing – Chapter 18
Crowding out and economic growth (S 89-91)
Chapter 17 Cont.
Government deficits and the debt (S 92-99) / Read:
1) Chapter 18.2
2) Chapter 17.3
Do:
1) Homework #6
Tue.
3/13
Day 17 / Homework #6 / Quiz #6 – Chapters 12 (from 12.3), 17, and 18. / Economic Growth – Chapter 7
Go over quiz and homework (#5).
Industrial revolution (S 103-105).
Supply-side school of economics (S 106-120). / Read
1) Chapter 7.0
2) Chapter 7.1
3) Chapter 7.2 up to “Measuring Productivity.”
Thur.
3/15
Day 18 / None / None / Unit 2 Review
Go over quiz and homework (#6)
Review last semester’s unit #2 test. / Do:
1) Prepare for unit #2 test
Tue.
3/20
Day 19 / None / None / Take Unit #2 Test / None
Thur.
3/22
Day 20 / None / None / Hand back unit test #2 / None
Tue.
3/27 / Spring Break
Thur.
3/29 / Spring Break
Tue.
4/3
Day 21 / None / None / Unit 3: Aggregate Supply and Demand in the Long-Run and Monetary Policy
The Neoclassical Perspective – Chapter 13
Long-run adjustments (S 2-14) / Read:
1) Chapter 13.0
2) Chapter 13.1 up to “How Fast is the Speed of the Macroeconomic Adjustment.”
Date / Work Due / Quizzes / Topics / Homework
Thur.
4/5
Day 22 / None / None / Chapter 13 Cont.
Putting short-run and long-run together (S 18-33)
How long till the long-run?
Adaptive expectations, Friedman, and the Phillips curve (S 34-44)
Rational expectations (S 45-56) / Read:
1) Chapter 13.1 after “How Fast is the Speed of the Macroeconomic Adjustment.”
2) Chapter 13.2
Do:
1) Homework #7
Tue.
4/10
Day 23 / Homework #7 / Quiz #7 – Chapter 13. / Money and Banking –
Chapter 14
What is money (S 60-84)
What are M1 and M2 (S 85-87) / Read:
1) Chapter 14.0
2) Chapter 14.1
3) Chapter 14.2
Thur.
4/12
Day 24 / None / None / Chapter 14 Cont.
Banks as financial intermediaries and how they expand the money supply (S 91-103)
Runs on the bank (S 104-107)
What is the Federal Reserve System (S 108-110) / Read:
1) Chapter 14.3
2) Chapter 14.4
3) Chapter 15.0
4) Chapter 15.1
5) Chapter 15.2
Tue.
4/17
Day 25 / Monetary Policy and Bank Regulation –
Chapter 15
Go over quiz and homework (#7).
Three ways the Fed controls the money supply (S 114-142)
Changes in interest rates and the macroeconomy (S 143-150)
Expansionary and contractionary monetary policy (S 151-158) / Read:
1) Chapter 15.3
2) Chapter 15.4
Thur.
4/19
Day 26 / Chapter 15 Cont.
The lag problem (S 3-8)
The Fed’s 3 goals (S 9-13)
Demand for money (S 14-29)
The zero bound problem (S 30-39) / Read:
1) Chapter 15.5
Do:
1) Homework #8
Date / Work Due / Quizzes / Topics / Homework
Tue.
4/24
Day 27 / Homework #8 / Quiz #8 –
Chapters 14 and 15. / Chapter 15 Cont.
The velocity of money and the equation of exchange (S 43-49)
The simple quantity theory of money (S 50-55)
Printing money when Q is not fixed (S 56-64)
What determines V (S 65-69)
The Monetarist take the Great Depression and the 1970s (S 70-77). / None
Thur.
4/26
Day 28 / Chapter 15 Cont.
The new school of Market Monetarism and GDP level targeting (S 81-99)
Creating money and interest rates in the long-run (S 100-116)
Monetary policy in the U.S. and across countries (S 117-122). / Do:
1) Homework #9
Tue.
5/1
Day 29 / Homework #9 / Quiz #9 –
Chapter 15 since the last quiz. / Chapters 20 and 16–
International Trade and Exchange Rates
Go over quiz and homework (#8).
International trade and production efficiency (S 126-135)
Exchange rates (S 136-141)
Purchasing power parity theory (S 142-147) / Read:
1) Chapter 20.0
2) Chapter 20.1
3) Chapter 20.2
4) Chapter 16.0
5) Chapter 16.1
6) Chapter 16.2
Don’t worry about the graphs.
Thur.
5/3
Day 30 / Unit 2 Review
Go over quiz and homework (#9)
Review last semester’s unit #3 test. / Do:
1) Prepare for unit #3 test
Tue.
5/8
Day 31 / None / Final Exam / Unit #3 Test / Do:
1) Have a good life.