Economics 0115
Introduction to Macroeconomics
Semester: Fall 2009
Instructor: George Berger
Office: 123 Krebs
Phone: 269-2982/2990 or 2991
Office Hours: MWF 2-3, TH 2:00-3:30 or by appointment
TEXT: Edward G Dolan, Introduction to Macroeconomics,
3nd Edition, 2007.
George
Berger, Supplementary
ORGANIZATION OF COURSE
I. Introduction
A. Text (34 pages)
Chapter 4, pp. 95-116
Chapter 6, pp. 141-44,
153-158, 161-62
B. Supplementary
1. Ian Vasquez, "Ending Mass
Poverty," Ideas on
2. Ralph Byrns and Gerald Stone, "The Hyperinflation Collection," pp. 1-15.
*3. "Comparison of Post-War Recessions," The Margin, Spring 1993, p. 16.
*4. Lester Thurow, "The Cost of Unemployment," Newsweek, October 4, 1982, p. 70. (Analysis on back.)
5. Timothy Tregarthen, "Is Zero Inflation an Economic Fantasy?" The Margin, Fall 1992, pp. 30-31.
6. Thomas Kamm,
"Why Does
7. Thomas Kamm,
"
8. Timothy Tregarthen, "Employment Scene is Unattractive Picture," The Margin, Spring 1994, p. 23.
9.
10. Jeffrey Tucker, "Notes From the Underground," Policy Review, Summer 1993, pp. 76-79.
11. David Francis, "Unemployment Insurance," The Fortune Encyclopedia of Economics, edited by David R. Henderson, Warner Books, 1993, pp. 302-05.
12. W. Michael Cox and Richard Alm, "The Economy's Good News: The Upside of Downsizing," Policy Backgrounder No. 146, NCPA Policy Idea House, February 25, 1998, 12 pp
13. Roger Leroy Miller and Daniel K. Benjamin, "Attempts at Controlling Prices" Economics of Macro Issues, 7th Edition, West Publishing, 1992, pp. 69-75.
14. David Henderson, "German Economic 'Miracle'," in Fortune Encyclopedia of Economics, edited by David Henderson, Warner Books, 1993, pp. 738-41.
II. The Financial Sector
A. Text
(34 pages)
Chapter 7, pp. 169-74, 175-78
Chapter 8, pp. 193-98
Chapter 7, pp. 178-85, 190-93
Chapter 8, pp. 199-204
B. Supplementary
*1. "Table 1" and "Table 2" from Mishkin,
The Economics of Money, Banking, and Financial Markets, 4th
edition, 1995, p. 287.
2. Roger Leroy Miller and Daniel Benjamin, "The Banking Industry in Crisis," The Economics of Macro Issues, West Publishing Company, 1992, pp. 127-34.
3. George Kaufman, "Bank Runs," The Fortune Encyclopedia of Economics, edited by David R. Henderson, Warner Books, 1993, pp. 345-46.
4. Roger Leroy Miller and Daniel Benjamin, "Short-run Stabilization Policies-Fact or Fiction?" The Economics of Macro Issues, West Publishing Company, 1992, pp. 145-50.
5. Roger Leroy Miller and Daniel Benjamin, "The Political Business Cycle," The Economics of Macro Issues, West Publishing Company, 1992, pp. 151-55.
6. Roger Leroy Miller and Daniel Benjamin, "Should the Fed be Controlled?" The Economics of Macro Issues, West Publishing Company, 1992, pp. 121-25.
7. Richard Salsman, "Banking Without the 'Too-Big-to- Fail' Doctrine," The Freeman, November 1992, pp. 426-31.
*8. "The Hungarian Hyperinflation of 1945-46"
9. Steven Horwitz, "Commercial Banking in a Free Society," The Freeman, July 1994, pp. 370-73.
10. Cindy Kelly, "Should Money Go Private?" The Margin, November/December 1990, pp. 20-21.
11. Lawrence H. White, "Competing Currencies," The Fortune Encyclopedia of Economics, edited by David R. Henderson, Warner Books, 1993, pp. 347-51.
III. The International Economy
A. Text (29 pages)
Handout on International Trade, 23pp.
Chapter 8, pp. 204-210
B. Supplementary Readings (58 pages)
1. Jim Powell, "Forget the Crowbar," Reason, March 1990, pp.
35-38
2. Brink Lindsey, "Reciprocity for Disaster," Reason, August/September 1991, pp. 36-39.
3. Brink Lindsey, "Steel: The Other Side of the Story," Regulation, 21:4, 1998, p. 14.
4. Robert Hetzel,
"The Free Trade Debate: The Illusion of Security Versus Growth,"
Federal Reserve Bank of
5. James Kearl, "Can a High-Wage Economy Compete with Low- Wage Economies?" Principles of Economics, 1993, p. 97.
6. John Nye, "No Trade, No Gain'" Reason, May 1996, pp. 51- 53
7. John Fargo, "Thank the Japanese for Our Trade Deficit," The Freeman, October 1991, pp. 388-93.
8. Larry White, "Fix or Float? The International Monetary Dilemma," Competition and Currency, 1989, pp. 137-47.
9. Roger Leroy Miller and Daniel Benjamin, "Floats, Fixes, and Crawling Pegs," The Economics of Macro Issues, West Publishing Company, 1992, pp. 179-84.
10. Steve Hanke and Alan Walters, "Easy Money," Forbes, January 31, 1994, p. 141.
11. Steve Hanke and Alan Walters, "The Wobbly Peso," Forbes, July 4, 1994, p. 161.
OBJECTIVES OF THE COURSE
1. Learn the basic concepts of macro economics. (Students who master these concepts will earn a C in this course.)
2. Learn how to connect the basic concepts of macro economics to one another in chains of reasoning. (Students who master the basic concepts and learn how to connect some of these concepts together will earn a B in this course.)
3. Learn how to apply economic reasoning to real world cases. (Students who master the basic concepts, learn how to connect most of these concepts together, and learn how to apply these concepts to real world cases will earn an A.)
GRADING
1. The course grade will be based on a total point score with points distributed as follows:
Exam 1-3 100 points each
Total 300 points
Although I cannot spell out how many points are needed for an A, how many for a B, etc., at this time, I will let you know after each exam.
2. I will use +'s and -'s for the final course grade.
3. Your grade can be calculated as follows: (1) Assume you earned a 73 on the first exam. Assume that all scores that fall into the range 70-79 are Cs and all scores that fall into the range 80-89 are Bs. (2) Assume you earned an 83 on the second exam. Assume that all scores that fall into the range 80-89 are Bs. Your total number of points earned after the second exam add to 156. What is your letter grade? Add together the minimum scores for a B which in this case is 160 points. Since your point total is less than the minimum score to earn a B, you have a C+ in the course after the second exam. (NOTE: The ranges used in this example are not necessarily the ranges that I will use during the course of the semester.)
4. Exams are NOT cumulative but cover only the material after the previous exam.
5. All exams will be a combination of definitions and multiple choice questions. A typical test will include 8 matching definitions (40 points), 12 multiple choice questions (60 points). These exams will draw on material selected from the definition sheets, assigned homework exercises, and supplementary readings. Extra credit questions will be included on all exams. This is the only place extra credit can be done.
6. Exams will be given in two stages. In the first stage, students complete the definition section by matching the correct definition to the correct word (no note-cards allowed). In the second stage, students may consult an unlimited number of 3"X5" note-cards (or larger) to complete the multiple choice questions. NOTE: THESE NOTE-CARDS MUST BE HANDWRITTEN. YOU MAY NOT USE TYPED OR XEROXED NOTE-CARDS OR NOTE-CARDS WHICH HAVE TYPING PASTED ONTO THEM. I DO REQUIRE THAT ALL STUDENTS TURN IN THEIR NOTE-CARDS TO ME AFTER THE EXAM. THAT MEANS YOUR NAME MUST APPEAR ON EACH NOTE-CARD YOU USE. IF I DISCOVER THAT SOMEONE HAS USED TYPED OR XEROXED NOTE-CARDS THAT PERSON WILL RECEIVE A ZERO ON THE EXAM.
7. Exams 1 and 2 will have very tight time constraints so you must be prepared to deal with them. This means writing short summaries of the supplementary reading articles; these summaries should answer all of the questions asked on the appropriate question sheets.
8. Exam dates will be:
Exam 1 – Oct 6
(approximately)
Exam 2 – Nov 12 (approximately)
Exam 3 – TH 3:30-4:50, Thurs, Dec 17 @ 9 AM
Please note that you must take Exam 3 when scheduled. Exceptions will be
allowed only if students provide evidence of two other exams on the scheduled
date.
9. Make-up exams will be given very selectively during the semester. Those students with documented excuses for missing any exam should schedule a make-up ASAP. Make-ups will not be given after exams have been returned. NOTE-THE FOLLOWING PROCEDURE MUST BE USED IN ORDER TO DOCUMENT YOUR ABSENCE: IF YOU ARE GOING TO MISS AN EXAM BECAUSE OF A MEDICAL OR PERSONAL EMERGENCY, YOU MUST CONTACT ME ON OR BEF0RE THE EXAM DATE. FAILURE TO FOLLOW THIS PROCEDURE WILL RESULT IN A ZERO ON AN EXAM (REGARDLESS OF THE NATURE OF THE EXCUSE). THERE WILL BE NO EXCEPTIONS TO THIS POLICY.
10. Homework problems will be assigned periodically but will not be collected. Instead, answers are available online (Exception: Homework #3 which will be available at the reserve desk in the library). Students should check these answers only after doing the problems. Those students who do not understand how to solve the problems should consult me or a tutor. Exam questions will be similar but not identical to these problems.
11. Class attendance is mandatory. Students can miss FOUR classes but any classes missed after that will result in 3 points being deducted from your point total for each class missed. NOTE: Attendance will be checked.(Note: Due to the flu problem that is currently threatening all of us I am increasing the number of excused absences by 2 classes)
12. There is a reward for class participation, albeit an informal one. If your point total at the end of the semester is close to a grade borderline and you have made significant efforts to attend and participate in class discussions, this should be sufficient to push you over the grade borderline.
13. I am in the process of arranging for a tutor for this course. I may or may not be successful. In any case, if you are having difficulty with the homework problem sets, please consult me (or the tutor if I find one) for one-on-one tutoring. If I can find a tutor he will have tutoring sessions twice a week in which anyone may drop in.
14. Anyone cheating on any exam will receive an automatic zero on that exam.
15. I will be available for personal tutoring during my office hours. If these are not convenient we can work out another time of mutual convenience
16. FYI: THE DEADLINE FOR DROPPING AN INDIVIDUAL CLASS IS OCT 30; THIS MEANS WITHDRAWAL FROM A COURSE WITH A "W" ON YOUR TRANSCRIPT. If you are earning a grade in this course that is unsatisfactory to you (a D or an F), you may drop this course on or before this date and your grade will NOT be recorded in your transcript. If you drop this course after this drop deadline, your grade at the time of the drop will be recorded on your transcript.
17. PLEASE NOTE: If you earn a D or an F on the first test (or even a low C) please consult me immediately. I normally suggest that students stay in the course and tough it out but the decision and responsibility for staying in this course must ultimately lie with students.
18. If you have a disability for which you are or may be requesting an academic accommodation for this course, you should notify me and the Coordinator of Disability Services in the Learning Resource Center (LRC), as early as possible in the term. The LRC will verify your disability and determine reasonable accommodations for this course. To schedule an appointment at the LRC, or to learn more about disability services at UPJ, please call extension 7109 or stop by the LRC in 133 Biddle Hall.