ECON 101: PRINCIPLES OF MICROECONOMICS
Fall 2003
Instructor: Miguel Carriquiry
Section 14: MWF
Fast Facts:
E-mail:
miguelc@iastate.edu
Office:
73 Heady Hall, 294-8783
Office
hours: T
R
and by appointment
Babatunde Abidoye
Contact
information: to be announced
Office hours: to be announced
· Announcements: Check the webpage regularly
for announcements – especially if you miss a lecture.
Course Overview
Economics is a social science. It can be
defined as the study of how society manages its scarce resources including
natural resources, human labor, environmental amenities, and “capital”. In
countries with “market economies”, how these resources are used is the result
of the decisions made by millions of households and firms. Individual decision
makers do not act in isolation, however. Instead, they interact in the markets
for goods and services. Their actions are coordinated by the market mechanism.
This course, in particular, is an introduction to microeconomics, the study of
how “economic agents” (individuals, households, business firms, government
agencies, etc.) make resource allocation decisions and how the market works to
reconcile all of these decisions.
Goals of Econ 101
The broad objectives of this
course can be listed as:
Although
the basic building block of microeconomic theory is the individual, the theory
can be used to analyze a wide variety of social issues. The theory learned in
this course can be applied to public policy, education, industrial
organization, international trade, financial markets, environmental pollution,
labor unions, and many other areas. Successful completion of the course will allow
students to critically evaluate economic arguments and analysis reported (for
example) in the business press. Studying economics has potentially life-long
benefits because it helps us become more critical thinkers.
Book Purchases
Text (required): Robert E.
Hall and Marc Lieberman. Microeconomics: Principles and Application, 2nd
edition updated.
Study Guide (recommended): Geoffrey A. Jehle. Mastery Study Guide for Microeconomics:
Principles and Application, 2nd edition.
This supplement provides additional
practice problems that may be useful when preparing for the exam but is not
required for the class. However, students are encouraged to work through the
study guide questions to familiarize themselves with the material.
Problem Sets, Exams, and Grading
Policy:
Problem Sets 25%
Exams 75%
·
Problem Sets: Problem sets will be assigned periodically during
the semester. You will usually have one week to complete them. Problem sets should
be submitted at the Help Room (not in lecture) on the assigned due
date or in my office by
·
Exams: There will be three Midterms and a final exam.
Your grade will be based on the highest three exam scores (25% each). All
midterms will be administered in the usual classroom, and class meeting times. The
times will be announced in class. Make-up exams will not be given. However,
at the end of the semester, I will drop one of your exams (of course, if you
have taken the four of them). If you miss
an exam, your grade will be based on the three exams you do take. There is no
excuse required for missing one exam. But you cannot miss two exams without a written statement
from the
The
final exam will be on December 15th (Monday) from
More on
problem sets
o
Clearly write your name on all assignments.
o
Homework should be neatly done
o
Pages must be stapled (not “dog-eared”) together
o
Many of the assigned problems will require graphing. Make
sure that you draw the graphs neatly and sufficiently big. The axes should be
labeled with names or symbols of the variables plotted on each axis
o
When solving problems that require a little algebra, show at
least some intermediate steps so that the grader can follow your logic. Also,
provide units to your numerical answers
o
I encourage students to work together on their assignments.
However, the final writing has to be done independently.
More on
exams
o
The syllabus for the exams will be announced in class, about
a week prior to the test
o
Any material covered in class is fair game (unless stated
otherwise)
o
Bring your ISU Card to all exams
o
Most (if not all) of the exams will be multiple-choice.
Bring a No. 2 pencil
o
Bring a calculator.
Economics Help Room
The Economics Department provides an
Economics Help Room, located in 20 Curtis Hall (294-1599). Its schedule of open
hours for the Fall semester is from 9 to 5 on Monday
through Thursday, and from 9 to 4 on Friday. The Help Room is closed on
weekends and University Holidays (including the Thanksgiving break). Our TA
will hold his regular office hours (see above) there. However, the Help Room
will be staffed by TAs from other Econ 101 sections during other open hours.
They will also be available to answer questions.
Resources on the Web
This syllabus will be posted in the
course webpage (see above), just in case you lose your
copy. This page will also contain the problem sets, answer keys (for both
problems sets and exams), and other materials.
The homepage for the text is http://hall-lieb.swcollege.com. Online quizzes for each chapter of the text (with
answers) are available at this site.
These quizzes are optional, but they are good practice and can help you
monitor how well you understand the material.
Interactive graphical tutorials are also available for each
chapter. There is also a set of links to
useful economics websites.
Classroom Etiquette
I’d
like to provide a good learning environment for everyone. Please try to be considerate of those around
you (in economic jargon, try not to create negative externalities). The
following list (though not exhaustive) provides some guidelines:
o
“Quiet” conversation between students can be heard across
the room, and will distract their neighbors and me. Please avoid them.
o
Please turn off your cell phones, and do not read the
newspaper during lectures.
o
If you must arrive late or leave early, please sit in the
back
o
Food and drinks within reason are allowed, at the risk of
being asked to share them with me
o
Avoid gathering up your materials before the lecture is
completely over. The small amount of noise created by each student quickly adds
up to a major distraction. If you pack up early, I expect you to leave
immediately.
o
Questions are always welcome during lecture
Academic Integrity
Academic integrity will be taken
very seriously. Students are expected to complete their own work. Cheating will
not be tolerated on exams or assignments. Students are expected to know and follow
the academic integrity policy published in the ISU Student Information
Handbook.
Special Arrangements
If you have a documented disability
and anticipate needing accommodations in this course, please make arrangements
to meet with me soon. Please request that a Disability Resource staff send a
Tentative Course Outline and
Reading Assignments
|
Preliminaries |
|
|
What is economics? |
Chapter 1 (including
Appendix) |
|
Scarcity, Choice, and
Economic Systems |
Chapter 2 |
|
Comparative Advantages and
Gains from Trade |
Chapter 16 (p. 476-486) |
|
Supply and Demand |
Chapter 3 |
|
Working with Supply and
Demand |
Chapter 4 |
|
Microeconomic
Decision Makers |
|
|
Consumer Choice |
Chapter 5 |
|
Production and Cost |
Chapter 6 |
|
How Firms Make Decisions:
Profit Maximization |
Chapter 7 |
|
Product
Markets |
|
|
Perfect Competition |
Chapter 8 |
|
Monopoly |
Chapter 9 |
|
Monopolistic Competition
and Oligopoly |
Chapter 10 |
|
Labor,
Capital and Financial Markets |
|
|
The Labor Market |
Chapter 11 |
|
Capital and Financial
Markets (time permitting) |
Chapter 13 |
|
Efficiency,
Government and the Global Economy |
|
|
Economic Efficiency and the
Competitive Ideal |
Chapter 14 |
|
Government’s Role in
Economic Efficiency (time permitting) |
Chapter 15 |