Introduction to Energy Economics
Economics 3990
Spring 2013
Instructor:
Office:
Phone:
E-Mail:
Office Hours:
Dr. Jeremy Oller
Thatcher 217
974-5347
joller3@uco.edu
TR: 10am – 11am; 2pm-3pm
Or by appointment
Website: www.busn.uco.edu/joller
Required Text: Economics of the Energy Industries, Second Edition, William Spangar
Peirce. The book can be purchased in a digital format using Google Books or Amazon
Kindle. The book can be found in hardcopy from Amazon or Barnes and Noble.
Course Objective: The University and the College of Business are committed to
providing students transformative learning experiences in six core areas: discipline
knowledge; leadership; research, creative and scholarly activities; service learning
and civic engagement; global and cultural competencies; and health and
wellness. This class supports these goals by providing significant opportunities for the
acquisition of discipline knowledge, requiring you to engage in creative activities, and
allowing you the opportunity to exhibit leadership in the classroom. Specifically, you
will gain an understanding of how microeconomic concepts apply to the energy industry.
Upon completion of this course, you should possess an understanding of the basics of
several energy markets and how to analyze behavior in those markets utilizing economic
techniques. We will examine how these industries operate utilizing reading assignments,
lectures, discussions, and written homework assignments. In addition, students will
participate in creative assignments and take leadership roles in groups to further your
understanding of these industries.
I am here for you, but I am not a mind reader. If you have any questions about the course
material, I implore to ask questions during class, consult with me after class, come to
office hours, and/or asking your fellow classmates for help. I encourage you to work with
other students on homework assignments, game assignments, and in preparing for exams
(group efforts are highly condemned during the exams.)
Grading: I will assign students grades based on examinations, homework, and
performance in economic based games.
Point Distribution
Exams (9 total)
100 points each (900 total)
Homework Assignments (4) 400 points total
Group Game Assignments 200 points total
Total Points Possible
1500
Grade Distribution:
Points Earned
1350-1500
1200-1349
1050-1199
900-1049
Below 900
Letter Grade
A
B
C
D
F
Exams: Exams will cover material consistent with the topics covered in lectures and the
chapters listed below. I will often post additional review material on my web page at
www.busn.uco.edu/joller. You should visit this site frequently throughout the course.
Exams will be multiple choice and short answer.
Exams:
The exams for this course will require a mastery of the subject matter. You will take nine
exams throughout this course. Each exam is intended to be like a long quiz and cover the
core subject matter of the course. Exams will contain 10 to 20 questions and will be taken
once a week. Each exam will be pass or fail and you will need to score a 90% or better to
pass the exam. You may take each exam up to three times and a failure to score a 90%
three consecutive times will result in a no pass grade for that exam. Your grade for the
exam portion of the course will be based on the percentage of exams that you pass.
Exams will be taken nearly every Thursday of the semester. For example, if you pass 8
out of the 9 exams, your grade will be 8/9 or 89 percent. Given that you have three
attempts to pass an exam, there will be no retakes or rescheduling unless you have a
university excuse.
Course Topics:
Exam 1- Energy from an Economist’s Perspective (Chapters 1, 2 and Supplemental
Information)
Exam 2- Markets Prices and Efficiency (Chapter 3)
Exam 3- Energy and Economic Growth (Chapter 4)
Exam 4- Valuation Problems in the Energy Industry (Supplemental)
Exam 5- Economic Theory of the Mine (Chapter 7)
Exam 6- The Coal Industry (Chapter 8)
Exam 7- The Oil Industry (Chapter 9) and Derivatives
Exam 8- The Natural Gas Industry (Chapter 10)
Exam 9- The Electric Industry (Chapter 11)
Group Assignments
Homework: You will be given four separate problem sets and will work on these
assignments as a group. The intent of the assignments is for everyone to participate as
this is not an opportunity to free ride of your fellow classmates. If you do not contribute
to the assignment you may not receive credit for it. You will be given a due date and
time. Homework that is not completed on time will not be accepted late. The groups will
be the same groups that compete in the pricing games.
Pricing Game: You will be paired up with 2-3 other students to compete in games that
will be assigned throughout the semester. These games will primarily be related to
pricing or producing in the energy industry. There will be different games with differing
objectives and you will compete against other students (groups) in the course. The games
are intended to address different pricing/market concepts. You will find that there will be
times the game calls for aggressive competition and other times where cooperation yields
the optimal result. Your score for this game will be the percentage of the highest
cumulative score in the course.
Policies and Recommendations:
1. Cell Phone Policy- Cell Phones are not permitted during class periods. This includes
text messaging and internet access. Yes, I can tell when you are using the phone during
class as individuals are not prone to stare into their lap for excessive periods of time
under normal circumstances. If you are using the phone during class or it rings during
class time, you will be asked to leave the room and you will receive an absence for that
period. The importance of the call or text is irrelevant.
2. Attend all classes and take full lecture notes.
3. Given that you have multiple attempts, there will be no make-up exams without a
university excuse.
4. Grades will not be raised by doing extra work and all exams will be counted toward the
final grade.
5. Homework will not be accepted late.
6. You are encouraged to come to my office hours to discuss any class related issues and
discuss course material.
7. You are also encouraged to work with other students in preparing for quizzes and
working on homework assignments (this does not mean let one person do the work and
copy it, as this will only serve to your detriment at exam time)
8. Any student caught cheating on an exam may receive a zero on the assignment, a grade
of an F for the course, or be turned in for academic misconduct at the professor’s
discretion.