BEC 102
FALL 2007
PRINCIPLES OF MACROECONOMICS – Online
Syllabus
Instructor: Leticia Starkov
Office Hours: Monday and Wednesday 12:00 to 2:00 p.m.
Tuesday and Thursday 10:45 a.m. to 2:00 p.m.
Other times by appointment.
Office Location: ICT 213
Office Phone: 847 214 7465
Fax: 847 214 7361
E-mail:
Description
A basic course introducing the core macroeconomic terms and tools applied to the study of the U.S. economy and its interactions with the global economy. The class includes an overview of the economic way of thinking, the description of the key macroeconomic variables, basic models to analyze changes in the level of real output and in the price level, the role of money and the banking system, economic policy implications, and international economics.
Goals
· Facilitate students’ learning of the basic macroeconomic terms and tools.
· Provide opportunities for students to apply the basic macroeconomic terms and tools to analyze real world macroeconomic events and economic policies.
· Encourage students to think of the outcome of this course for the long run, as a way to improve their ability to read, and understand, economic news, to make more efficient economic decisions, and to increase their problem solving skills.
Course Objectives
After successful completion of the course, the students will:
ü Use the individual market model of supply and demand to analyze the impact of some events on the equilibrium price and quantity.
ü Describe the key macroeconomic variables: inflation, unemployment, and economic growth.
ü Explain the following key macroeconomic issues: government budget, public debt, business cycle, exchange rate, and trade balance.
ü Describe the recent and the current situation of the key macroeconomic variables and issues in the U.S. economy.
ü Identify the basic macroeconomic relationships.
ü Use the basic macroeconomic theory to assess changes in the level of real GDP and in the price level.
ü Explain the role of the money supply and the interest rate in the economy.
ü Examine the globalization process and its impact on the economy.
ü Compare macroeconomic policies and their impact on the economy.
ü Explain and analyze macroeconomic news.
ü Apply the economic way of thinking and the current state of the economy to make better economic decisions.
Required textbook
Bade, Robin, and Parkin, Michael. Foundations of Macroeconomics, 3rd edition. Pearson-Addison Wesley, 2007.
Course structure
The course is divided into six units. Each unit has two or more lessons. There are a total of 16 lessons that will be released weekly. Each lesson corresponds to one week of the 16-week semester and must be completed in the correspondent calendar week. Each lesson has learning objectives, assigned reading, class notes, a quiz, and an assignment to solve or a discussion topic to participate in.
Course Outline
I. Introduction
1. The economic way of thinking
2. The U.S. economy and the rest of the world
3. Individual markets: demand and supply
II. Describing the macroeconomy
4. GDP and the standard of living
5. Jobs and unemployment
6. The CPI and the cost of living
III. Understanding the real economy
7. Investment and saving
8. Economic Growth and the natural rate of unemployment
IV. Understanding the money economy
9. Money and the monetary system
10. Money creation and control
11. Money, interest, and inflation
V. Economic fluctuations and economic policy
12. AS-AD and the business cycle
13. Fiscal and monetary policy effects
14. Fiscal and monetary policy debates
VI. International Economics
15. International trade
16. International Finance
Learning Resources
To successfully complete the class you must use the required textbook and access two main websites: D2L and MyEconLab. The class work requires frequent use of these two websites.
Workload
Students should plan to spend 6-10 hours a week working on the course. However, the time commitment will vary depending on the students input, needs, and personal study habits.
Students are required to log in to the course a minimum of 3 times a week. Though, as discussions develop, students may elect to log on more frequently.
Course Grades
Grading Points / Grading ScaleQuizzes / 16% / 89.5 and up / A
Assignments / 20% / 79.5 -89.49 / B
Mandatory discussions / 18% / 69.5 - 79.49 / C
Exams / 46% / 59.5 - 69.49 / D
Total / 100 / 59.49 and below / F
The grading policies above are final. I will not consider changing your final grade just because you are “close” to the cutoff for the next letter grade. Each of the grading instruments is explained in detail in the Course Set-up. Complete grades, the ones that take into account all the class work you have done, will appear in the D2L website.
Final Note
I really would like for you to enjoy the course and even more important, for you to learn useful ideas and analytical tools that may help you in future courses or in your everyday decisions. I have a big responsibility in this task. I will do my part organizing the material, choosing exercises, monitoring discussions, and providing class notes. However, your participation is the most important ingredient to successfully finish the class. I strongly suggest you to follow these tips in order to achieve the better results:
ü Read the book and class notes at least two times.
ü Practice answering questions and solving problems and quizzes in the textbook and in myeconlab.
ü Progress according to the calendar.
ü Do not leave it to the last minute. Economics is best learned in small regular doses rather than trying to learn everything the night before taking the test.
ü Ask questions and get answers. According to my experience teaching Economics, that is one of the most important rules of the game. Do not keep doubts. Make sure that you truly understand the topics. You will be very welcome if you ask questions using e-mail or phone. We can also meet in a time that is convenient for both. Avoid getting lost in the course, asking questions when they appear or when the idea is not clear enough.
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