ECON 2301
Principles of Macroeconomics
Dr. A. J. Slivinske, Jr.
Class
M&W 12-1:15; 1:25-2:40 TTh 10:35-11:40; 1:25-2:40
Office Hours M&W 8:00-12 T&Th 8:00-10:30
F
8:00-10, and by appointment
Office #
2128
Phone
223-4765
Email
alslivin@austincc.edu
Course Description: Principles of Macroeconomics deals with consumers, producers,
markets, and the effects of government policies on income, output, and employment.
Specifically, Macroeconomics is concerned with Fiscal and Monetary policies which
effect unemployment, inflation, and the business cycle.
Text: Macroeconomics (9e), Roger Arnold
Instructional Methodology: The test material is presented using (1) lectures, (2) handouts,
and also (3) the text.
Course Rationale: This course is meant to give students insight into the dynamics of our
national economy. The knowledge gained in the course will make students better
informed citizens and allow them to follow the debates over national economic policy
reported in the news media. This course is also a foundation course that will prepare
students to be successful in upper division finance, marketing, business administration,
economics, government, and social work courses.
Common Course Objectives/ Student Outcomes (established by the economics
department): Students who complete this course will be able to understand:
o
the meaning of unemployment and inflation data and how that data is
collected and computed;
o
the meaning and components of the National Income Accounts, especially
GDP;
o
the meaning of the business cycle and its phases;
o
and to manipulate the basic Aggregate Supply, Aggregate Demand model
of the macro economy;
o
how fiscal policy operates, its tools, and its advantages and drawbacks;
o
how a fractional reserve banking system works;
o
how monetary policy operates, its tools, and its advantages and
drawbacks.
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Objectives/Outcomes (established by the instructor): See Review Questions
Grading System: Course evaluation will be based on TWO (2) exams, with up to 16
points on each exam derived from the text:
Exam I: covers the first half of the course (29 questions worth 4 points each for a
total of 116).
Exam II: covers (mostly) the second half (same format, 116 points).
Final course grade:
A
180 points (90 or better average)
B
160 points (80–89 average)
C
130 points (65-79 average)
D
100 points (50-64 average)
F
Below 100 points (< 50 average)
Borderline cases (D+ and C+) can be moved up one letter grade (C and B)
based on attendance and improvement.
Course Policies: Attendance is expected. You are expected to withdraw if you cannot
keep up with the material (although I reserve the right to withdraw the student for failure
to show progress etc). Since I will provide most of the course curriculum in class, you
will not perform well if you miss class. Make-up exams are given, only with prior
approval by notification of the professor before the exam date. Any material missed due
to absences is the student’s responsibility to make up.
Material presented in class is either:
1.
2.
important and on the tests (see review questions)
important and not on the test but is something college students
should know.
Scholastic Dishonesty: Acts prohibited by the college for which discipline may be
administered include scholastic dishonesty, including but not limited to cheating on an
exam or quiz, plagiarizing, and unauthorized collaboration with another in preparing
outside work. Academic work submitted by students shall be the result of their thought,
research or self-expression. Academic work is defined as, but not limited to tests,
quizzes, whether taken electronically or on paper; projects, either individual or group;
classroom presentations, and homework.
Students with Disabilities : Each ACC campus offers support services for students with
documented physical or psychological disabilities. Students with disabilities must
request reasonable accommodations through the Office for Students with Disabilities on
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the campus where they expect to take the majority of their classes. Students are
encouraged to do this three weeks before the start of the semester.
Course Outline/Exam Dates:
I
Introduction (text ch 1 & Appendix A; text ch 2)
A
Course requirements and Objectives
B
Basic core topics
C
Production Theory
II
Market Analysis (text ch 3 & 4)
A
Demand Theory
B
Supply Theory
C
Market Equilibrium/Disequalibrium
D
Market and Events (applications)
III
Adam Smith and Classical Economics (handouts)
A
Perfect Competition
B
Economic Growth
C
Economics History
IV
Economics Growth and Population (handouts)
A
Malthusian Model
B
Demographic Model
Midsemester (15th class day)
Exam I
V
National Income Accounts (text chs 5,6)
A
Model: Y = C + I + G + X-M
B
GDP = GDI
C
Types of C, I, G, X, M
D
Yd = disposible income = C + S
VI
Basic Keynesian System and AS/AD (text ch 9)
A
C = f(Yd); C = Co + MPC(Yd); MPC = dC/dYd
B
Autonomous I,G,T,X,M
C
Mulitplier Analysis
VII
Fiscal Policy (text ch 10)
A
Macro Goals
B
Business Cycles
C
Types of policies
D
Tools of Policy
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VIII
IX
Money and Theory (text chs 11, 13, 14)
A
Ms
B
Md
C
Financial Markets
D
MV = PQ and variations
Commercial Banks (text ch 11)
A
Money Creation
B
Fractional Reserve Banking
C
Money Multipliers
D
Asset/Liability Sheets
X
Monetary Policy and the Federal Reserve (text chs 12, 14,15)
A
Types of Policy
B
Tools of Policy
C
Legal Goals
D
Phillips Curve
XI
AS and AD and Reality (text ch 7 )
A
AD
B
AS
C
Fiscal and Monetary Policy
D
Inflation, Stagflation, and Supply-Side Economics (Laffer Curve)
Exam II
Final class day
Study Tips for Improving Your Grade:
1.
2.
3.
4.
5.
6.
Write out answers to Review Questions
Study groups
Study each week, rather than cram at the end
Highlight notes, and reduce to cards important concepts
Review previous days class note before the next class
Copies of old tests in Library, use as practice tests
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