‫المملكة العربية السعودية‬
‫قسم االقتصاد‬
‫وزارة التعليم العالي‬
‫جامعة الملك عبد العزيز‬
‫كلية االقتصاد واإلدارة‬
‫ب ـ ـ ــسم هللا الرحـ ــمن الرحـ ـ ــيم‬
Course Syllabus
Subject Title: Principles of Microeconomics
Code: ECON
No.: 107
Sections: GAR
Year – 2013-14
Semester: 1st
Lecture Place:
Building No: 5
Coordinator Name: Dr. Nadia Yusuf
Department: Economics
E-mail: h_aljashaam@hotmail.com
Room No.: 635, Building No.: 6
Telephone Number: 6400000 Ext: 26456
Classrooms:510
Timing: Mon & Wed:11:00-12:30
Instructors Name:Hanan Naif Al jashaam
Head of Department: Dr. Nisreen Al-Banawi
Department: Economics
Room No.: 2229
Building No.: 2
Telephone No's: 6400000 Ext: 26026
E-mail: nbanawi@kau.edu.sa
Office Hours: 11:00- 1:00
1
‫قسم االقتصاد‬
Office Hours:
Sunday, Tuesday &Thursday :9:00-10:00, 11:00- 12:00
Monday& Wednesday: 10:00-11:00
Prerequisites: MATH 110
Description of course and Motivation:
“Microeconomics” is the branch of Economics that examines the functioning of individual industries and the behavior of individual
decision-making units such as business firms and households. It deals with the basic economic problem, the functioning of the various
economic systems, the theory of demand and supply, elasticity of demand and supply, the determination of equilibrium price, causes
of the market failure, the theory of production, and the laws of returns, concepts of costs and revenue, the market structure and the
theory of distribution, with real life examples.
Course Objective:
The objective of the course is to familiarize the student with economic methodology, economic way of thinking and the essentials of
economic phenomena.
This course focuses on the study of the choices that individuals and businesses make, how these choices interact in the markets and the
influence of government.
Required Textbook:
Parkin, M. Microeconomics, 9th edition, available at University Book Store.
SUPPLEMENTARY READINGS:
2
Business magazine, text books, articles, internet, newspapers.
How to Use the Readings:
Textbooks and other kinds of academic prose cannot be read like novels. Some reading experts suggest that the best way to proceed is
to thoroughly “preview” everything: read the introduction, the conclusion, and the sub-headings before you proceed. Make note of
visual aids and definitions in the margins. Familiarizing yourself with what you are about to do is an exercise in reinforcement and
repetition that will prime your mind for effective study. Whenever we begin a new chapter in class, you should read the introduction
and conclusion first.
Distribution of Course Weekly:
Week
1
Chapters
Subject
Prerequisites Chapter-wise
2
Chapter 1
Definition of Economics Micro Versus Macroeconomics
The Questions Economic addresses.
Factors of production – self interest and social interest
The Student should have an idea of the
course, after the introductory class.
3
Chapter 2
The Economic Problem Define PPF – Calculate the
Opportunity Cost – Production Efficiency – Increasing
opportunity cost – Production efficiency and allocative
efficiency -- Economic Growth.
The Students should have the basic
knowledge about the use of the graphs in
Economics, to understand the complexities
of the chapter.
4
Chapter 3
Demand and supply
Since, graphs play a vital role in calculating
the demand and supply, therefore, the
students should learn how to draw and
explain the graphs.
Introduction:
Demand definition – The law of Demand – Demand curve
and Demand schedule – A Change in quantity demanded
versus change in demand.
3
5
Chapter 3
6
Chapter 3
Supply :
Understanding the market, its effect on
Supply definition _ the law of supply _ A change in supply and demand, consumers, goods and
quantity supplied versus change in Supply
the effect on the Economy of a country.
Market Equilibrium :
Price as a regulator – Price Adjustments – Predicting
changes in price and quantity.
7
Chapter 4
Elasticity
The Student should know how to deal with
basic calculations of Mathematics.
Price elasticity of demand
Calculating price elasticity of demand.
8
Chapter 4
Inelastic and elastic demand.
Total revenue and elasticity
The factors that influence the elasticity of demand
9
Chapter 8
The Consumer Behavior:
Utility Analysis:
Total & Marginal Utility
10
Chapter 8
The Consumer Equilibrium using Marginal Utility Analysis.
11
Chapter 11
The firm Behavior:
Production:
Output and Cost
Decision time frames – short run technology constraint –
product schedule and product curves. Law of diminishing
A good knowledge of the Economic terms
and calculative understand shall benefit a
lot.
4
Basic understanding of graphs and
calculation and the role of the firm shall
guide a better mode of studies.
returns
12
Chapter 11
Cost: Marginal, Total , Average Cost
13
Chapter 12
Perfect competition
14
Chapter 12
Perfect competition
Should understand the concept of market
and the role of different kinds of markets in
What is perfect competition: How perfect competition arises the economy.
-Price takers _ Economic profit and revenues – the firm
decisions
The firm output decision: total revenue, total cost, and
economic profit –Marginal analysis and the supply
decision- Temporary shutdown decision- The firm supply
curve.
15
Chapter 13
The Commodities Markets :
According to the syllabus the students would have a review
to the following chapters and pages :
Perfect competition ((Definition& conditions)) -...
Monopolistic competition (Definition & conditions)...
4. Oligopoly (Definition & conditions).
5. Monopoly (Definition & conditions).
+
Revision
5
Learning Outcomes
Upon successful completion of the course, the learner should be able to:
[1].
Explain the need for society to make choices about what, how and for whom to produce.
[2].
Discuss the circular flow of economic activity.
[3].
State and explain the laws of supply and demand.
[4].
Define normal, inferior, substitute and complementary goods.
[5].
Explain price formation in a competitive market.
[6].
Explain how price acts as a signal in making society's choice.
[7].
Compute and interpret various elasticity's.
[8].
Explain economic cost and profit.
[9].
Compute and explain the behavior of various cost and productivity measures.
[10].
[11].
[12].
Explain price determination in monopolistic markets.
Explain wage formation under various market structures.
Use appropriate software
DELIVERY METHODS:
This course is delivered in the form of interactive lectures summarized in handouts and accompanied by transparency presentations.
Most important issues within each concept and/or topic are clarified through discussions and class participation. Method of teaching
will totally depend on:
L=Lecture; T=Transparency; D=Discussion; H=Handouts; Ch=Chapter;
Modern Technology of Teaching:
1. Using economic websites to explain the subject.
2. Using video presentations on current issues related to the subject.
6
Homework Appointments:
The homework shall be based on the completion of the chapter and shall be consecutively distributed within the classroom.
Instructions for the Homework:
1. The homework and quiz grade will consist of short in-class or out-of-class assignments worth five points. These may take the
form of problem sets or short essays. They may be announced in advance. You may work together on out-of-class
assignments—indeed, I encourage you to do so—but I expect the work you turn in to be your own. Homework assignments are
due before class starts; if it is turned in at or after the scheduled class starting time, it will be considered late.
2. Assignments can be research, projects, case study, comprehensive writing and so on.
3. The outline shall be provided depending upon the format of the assignments.
Rules and Policies: For Attendance
Missing Assignments and Exams:
 You are expected to complete all assignments as directed, and the going assumption will be that you are following directions
and recommendations. For all intents and purposes, due dates and exam times are to be considered written in stone. If, for any
reason, you feel that you cannot complete an assignment when it is due or take an exam on the assigned date, you may submit
a signed, pledged, explanation of the circumstances preventing you from completing the assignment as directed.
 Students, who miss any of the two exams, will be allowed to enter a comprehensive exam (Final exam) at the end of the term.
 Students who come late will be allowed to attend the class, but no attendance for them, they will be considered absent.
Important dates:
 Test-1:Tuesday : 24-12-1434
 Test-2: Tuesday 30-1-1435
 Final Exam Begins: As per University calendar
7
STUDENT EVALUATION AS PER COURSE OUTLINE:
Homework
1st Exam
2nd Exam
Final Exam
10%
25%
25%
40%
Total
100%
The Honor Code and Plagiarism:
You are expected to abide by the Honor Code in all that you do for this course. The Honor Code defines plagiarism as “an act of
academic dishonesty. A student must not adopt or reproduce ideas, words, or statements of another person without appropriate
acknowledgment.” If you have any questions about what constitutes “academic dishonesty” and “appropriate acknowledgment,”
please discuss them with me. If the students cheat, in the Test-1 and Test-2 she will be allowed to give the Final exam. But if the
student cheats in the final exam, then she will get “F” and will not be allowed to register in the next semester.
Exam Rules & Policies
1. If a student does not appear in test 1 or / and test 2, then she may come for the exam, after the completion of the course. And
that test shall include the whole syllabus of that particular subject.
2. No person will be allowed in an examination room during an examination except the students concerned and those supervising
the examination.
3. Students must appear at the examination room at least fifteen minutes before the commencement of the examination.
4. Bags and books are not to be taken to the examination class. Students may place their purses, pouches and wallets on the floor
under their chairs.
5. Students shall not communicate with one another in any manner what so ever during the examination.
6. No materials shall be brought into the room or used at an examination except those authorized by the dean or head.
7. Students who bring any unauthorized material into an examination room or who assist or obtain assistance from other students
or from any unauthorized source are liable to penalties, including the loss of academic credit and expulsion.
8. Cellular telephones, pagers of any kind, cameras of any kind, or any other device that is electronic are NOT allowed in an
examination room.
8
9. Examination paper and other material issued for the examination cannot be taken away from the examination room except by
authority of the instructor.
Philosophy of Teaching:
“The art of economics consists in looking not merely at the immediate but at the longer effects of any act or policy;
it consists in tracing the consequences of that policy not merely for one group but for all groups.”… “To see the
problem as a whole, and not in fragments: that is the goal of economic science.”
By giving the students the research work, making field trips and extra activity, will enhance the student’s personality and shall
help the students to face the world in a better way. Also develop their skills at employment level.
“WISH YOU ALL THE BEST”
9
Time Table
Hanan Naif Al jashaam
Principles of Microeconomics
Courses
Introduction & Revision
Introduction & Revision
Introduction & Revision
Definition of Economics
Definition of Economics
Definition of Economics
The Economic Problem
The Economic Problem
The Economic Problem
Demand and supply
Demand and supply
Demand and supply
Supply
Supply
Supply
Market Equilibrium
Market Equilibrium
Market Equilibrium
Elasticity
Elasticity
Test-1
Total revenue and elasticity
Total revenue and elasticity
Total revenue and elasticity
The Consumer Behavior
The Consumer Behavior
The Consumer Behavior
The Consumer Equilibrium
The Consumer Equilibrium
The Consumer Equilibrium
The firm Behavior
The firm Behavior
The firm Behavior
Cost
Test-2
Cost
Perfect competition
Perfect competition
Perfect competition
Perfect competition
Perfect competition
Perfect competition
Final Exams
10
10/29-25
11/6-2
11/13-9
11/27-23 11/20-16
12/5-1
12/26-22 12/19-15
1/4-29
1/11-7
1/18-14
1/25-21
2/2-28
2/9-5
01
02
03
04
05
06
07
08
09
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
1st Week
2nd
3ed
4th
5th
6th
7th
8th
9th
10th
11th
12th
13th
14th
15th