University of Vermont Department of Economics Course Outline

University of Vermont
Department of Economics
Course Outline
EC 12
Time: T/TH 8:30-9:45 A.M.
Room: Waterman 413
Fall 2015
Professor Catalina Vizcarra
342 Old Mill
Phone Number: 6-0694
Office Hours: T/TH 10:00-11:00
A.M. or by appointment
[email protected]
Principles of Microeconomics
The course is an introduction to the fundamental principles of the market economy. It examines
the decision-making processes of individuals and firms and how they interact in regulated and
unregulated markets. The course provides the basic tools required for 100-level courses in
economics.
Course Materials
The following course package has been designed for this class:
Frank and Bernanke, “Principles of Microeconomics,” ISBN: 9781308559179. This
customized version of the textbook comes with the access code for CONNECT, the
homework website. The package is available at the bookstore.
All required online assignment and the eBook for this course are available in CONNECT. In order
to register to access CONNECT you will need the following URL:
http://connect.mheducation.com/class/c-vizcarra-copy-of-section-1
To get started, go to the Connect Section URL and click Register Now. Next you will need
to enter your email address and click Submit. If you already have a Connect Registration
Code (with the package in the bookstore), enter the code and click Submit. If you are
not planning to buy the customized package, you can buy access to CONNECT directly
from the Section URL.
Here is a link going over the steps to register if you have any questions:
http://create.mcgraw-hill.com/wordpress-mu/success-academy-student/registering-forconnect/
If you have any further questions regarding registering and/or accessing Connect please
contact McGraw-Hill directly at:800-331-5094 or go to www.mhhe.com/support. Their
support team is open from M-Th 9am-Midnight, Fridays 9am-7pm, Saturdays 9am-1pm,
Sundays 1pm-Midnight. Please do not come to me with any Connect questions without
contacting McGraw-Hill first.
Additional information about homework assignments and how to access and navigate
CONNECT will be provided the first week of classes.
Course Evaluation
Your grade will be based on homework assignments (15%), two in class exams (25% each), and a
final (comprehensive) exam (35%).
Homework Assignments: You will have a total of about 10 homework assignments through
CONNECT. You will be able to drop your two lowest HW grades.
Exam Dates:
Exam 1
Exam 2
Final Exam
Thursday Oct. 1
Thursday Nov. 5
Dec 14th 8:30-10:15 A.M.
*If you miss an in-class test, the test you miss will be waived. In that case, your final grade will
be calculated as follows: HW assignments (15%), in-class exam (40%), final exam (45%).
Supplemental Instruction
Madison Claire Haas will be your T.A. She will hold review sessions to help you grasp the
material. The supplemental instruction sessions are an opportunity for students to review the
class material and improve their understanding of the course. These review sessions will include
problem solving, and test preparation. Attendance at sessions is voluntary, but you should keep
in mind that this is an important time to get together with people in your class to compare
notes, discuss important concepts, practice problems, and prepare for examinations.
Additionally, Madison will be available for drop-in office hours. This means that you can show
up any time during her office hours with questions about the class material. This is an
opportunity for you to discuss the course material individually and to tackle individual problems
you may have. Her office hours will be announced the second week of classes. You can contact
her by e-mail at: [email protected].
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How to Contact Me
The best way to reach me is by email during business hours, or in person at my office during
office hours. If you have a conflict with my office hours you can send me an e-mail to set up an
appointment that suits your schedule.
Please note that I will be communicating all important course announcements in class.
Additionally, on the course’s Blackboard site you will find occasional announcements, practice
tests, answer keys, and other course materials.
Classroom Rules
Class attendance is mandatory. Students are responsible for all the material discussed during
lecture.
You may use your computer in class. However, all uses for your computer other than class
related work are strictly prohibited. If I learn that you are using your computer for any other
purposes you will be asked to power it down or leave the classroom.
Ear plugs are strictly prohibited.
Additional Policies
Please review the following codes of conduct:
Code of Student Rights and Responsibilities
http://www.uvm.edu/~uvmppq/ppq/student/studentcode.pdf
Code of Academic Integrity
http://www.uv.edu/~uvmppq/ppq/student/acadintegrity.pdf
Note: It is the University policy to allow students to honor their religious holidays. Students
should submit in writing by the end of the second full week of classes their documented
religious holiday schedule for the semester so as to arrange for any necessary make up work in
advance.
Tentative Course Outline
1. Introduction. Thinking like an economist: The cost-benefit principle, opportunity cost,
decision pitfalls. Economics as a social science. Chapter 1 (Also, review the appendix to Chapter
1: Graphs in Economics).
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2. Comparative Advantage. Comparative and absolute advantages, the production possibilities
curve, the gains from trade. Chapter 2.
3. Demand and Supply fundamentals. Demand, supply and market equilibrium, predicting
changes in prices and quantities, efficiency. Chapter 3.
4. Elasticity. Price elasticity of demand, elasticity and total expenditure, income elasticity and
cross-price elasticity of demand, price elasticity of supply. Chapter 4.
5. Demand. The law of demand, the rational spending rule, individual and market demand
curves, consumer surplus. Chapter 5.
6. Perfectly Competitive Supply. The importance of opportunity cost, profit-maximizing firms in
perfectly competitive markets, some important costs concepts, determinants of supply,
producer surplus. Chapter 6.
7. Efficiency Exchange and the Invisible Hand. The invisible hand theory, economic rent v.
economic profit, social optimum, efficiency, the costs of preventing price adjustments. Chapter
7.
8. Monopoly, Oligopoly and Monopolistic Competition. Imperfect competition, sources of
market power, profit maximization for the monopolist, price discrimination. Chapter 8.
9. Games and Strategic Behavior. Using game theory to analyze strategic decisions, Nash
equilibrium, the prisoner’s dilemma, games in which timing matters, commitment problems.
Chapter 9.
10. Externalities and Property Rights. External costs and benefits, The Coase Theorem,
Remedies for externalities, property rights and the tragedy of the commons. Chapter 10.
11. The Economics of Information. How the middleman adds value, the optimal amount of
information, asymmetric information, the credibility problem in trading. Chapter 11.
12. Public Goods and Tax Policy (if time permits). Chapter 14.
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