Principles of Macroeconomics (Eco 103 B)
North Shore Community College
Fall 2007
Syllabus
Professor: Moonsu Han
Office: Danvers/Berry 367-H
Lecture: 9:30am - 10:20am, M, W and F, DB 103
Phone: 978-762-4000 ext. 5456
Office Hours: 10:30am - 11:30am M, W and F, 10:50am – 11:50am Tuesday (LE 324) and
by appointment
E-mail: mhan@northshore.edu and moon.econ@gmail.com
Web page: http://myweb.northshore.edu/users/mhan/
Course Description
The study of overall level of economic activity – output, employment, and prices – and the
forces that shape that activity. Topics include: national income accounting; the role of
consumption, saving, investment, and government spending; money and economic activity;
the tools of public policy available which may be used to promote the macro goals of growth,
full employment, and price stability; the different economic maps of reality that explain and
shape our decisions about economic landscape. Fulfills open, liberal arts, and social science
electives.
In other words, Eco 103 is designed to introduce you to the study of macroeconomics.
Macroeconomics focuses on following issues: economic growth, unemployment, inflation,
monetary and fiscal policies, and the relationship between the economy and the stock market.
Lecture materials, readings, homework assignments and exams have been chosen to
introduce you to: the vocabulary of economics with an emphasis on macroeconomics; some
data and facts about the American and foreign economies; and alternative theories and
viewpoints about macroeconomics. At the end of the course, you should have an
understanding of the complex issues economists confront.
Required Text
We will use Hubbard and O’Brien’s Macroeconomics. Our Textbook is available in the
North Shore Community College bookstore.
1
Instructional Objectives
As a result of this course, the students will:
Be able to understand and respond effectively to the uncertainties of a changing
technological, social, and economic world.
Get the GNP, GDP, inflation, unemployment, economic growth, monetary and fiscal policies
concepts integrated into each student’s way of thinking.
Be able to understand and to describe the nature and power of the market mechanism in
whole domestic and international aspects.
Teaching Procedures
I’d like to emphasize two things, class participation and problem solving/application.
Students will be expected to contribute by answering questions, asking questions, and making
comments. You can participate/contribute during our classes or via e-mail. Students will be
expected to solve suggested questions. Also I will provide hints first and answer key later. I
will provide handouts to supplement lectures if necessary.
Course Requirements
There will be 4 homework assignments, 2 midterm exams, and a final exam. You are
responsible for material covered in lecture as well as the assigned reading. Class attendance is
mandatory and HIGHLY recommended.
Note: I expect you to work in my class. I suggest approximately three hours of outside study
time for each hour of lecture. Due to the cumulative nature of the material please do not fall
behind.
Attendance Policy
Students are responsible for all material covered in class as well as outside assignments:
therefore, regular attendance is expected. Up to three absences are tolerated – except in the
case of a documented medical/legal/personal emergency. Three points will be subtracted
from your final average for every undocumented absence over the three which are permitted.
On your 7th absence you will be assigned an “F” for the course unless you withdraw
through the Registrar’s Office. However, before you decide to withdraw this class, please talk
to me first. Because it is rude and distracts your classmates and the professor, tardiness is
strongly discouraged, and students who arrived late to class should speak to me after class to
be sure that they have been marked present.
2
Assignments
Assignments are due at the end of your class on the listed date to me. No late assignments
will be accepted. Only documented special circumstances (i.e. illness) will exempt you from
this rule. If you know in advance that you will not be able to hand in an assignment on time
(i.e. you will miss class), you must speak to me before the assignment is due and hand it in
early. I will drop your lowest homework score to allow for some flexibility. Thus you will
have 3 assignments that count towards your final grade.
Note: I strongly suggest to type homework. Graphs and calculations may be handwritten. I
suggest handwriting graphs as a form of practice for the exams.
Note: You must do your own work. Turning in identical homework will result in a zero for
both parties. Similar homework will receive a warning the first time and a zero each
additional time for both parties.
Grades
You have the opportunity to earn 5 scores of up to 100 points each as follows:
Homework
(Recall that only your top 3 scores count)
Midterm Exam I
Midterm Exam II
Final Exam x 2
Your final exam counts twice as much as a single midterm or the homework.
The lowest of these five scores will be dropped and the remaining 4 will each count for 25%
of your grade. Thus if your low score is the final, its weight will be halved (the final cannot
be dropped entirely).
Grading Scale
%
93-100
90-92.9
87-89.9
83-86.9
80-82.9
77-79.9
73-76.9
70-72.9
67-69.9
63-66.9
60-62.9
Below 60
Grade
A
AB+
B
BC+
C
CD+
D
DF
3
I reserve the right to lower these cut-off points (i.e. increase the letter grades for percentages),
but I will not raise the cut-off points (i.e. make it harder to get good grades).
Scholastic Dishonesty
For the purpose of this class, students may work together on homework provided the
following rules are followed: Any collaboration MUST be noted at the end of your
homework and each student must individually write up each homework assignment.
Anyone committing scholastic dishonesty on an exam will receive an F for the class.
Schedule: (Subject to change)
Dates
Topics
Notes
Sep. 5 (W)
Sep. 7 (F)
Sep. 10 (M)
Sep. 12 (W)
Sep. 14 (F)
Sep. 17 (M)
Sep. 19 (W)
Sep. 21 (F)
Sep. 24 (M)
Sep. 26 (W)
Sep. 28 (F)
Oct. 1 (M)
Oct. 3 (W)
Oct. 5 (F)
Oct. 8 (M)
Oct. 10 (W)
Oct. 12 (F)
Oct. 15 (M)
Oct. 17 (W)
Oct. 19 (F)
Oct. 22 (M)
Oct. 24 (W)
Oct. 26 (F)
Oct. 29 (M)
Oct. 31 (W)
Nov. 2 (F)
Nov. 5 (M)
Nov. 7 (W)
Nov. 9 (F)
Nov. 12 (M)
Nov. 14 (W)
Nov. 16 (F)
Nov. 19 (M)
Introduction
Syllabus, HW #1
Review of Microeconomics
Ch 1 - Ch 6
Measuring Total Production and Income Ch 7
GDP Calculation
Ch 7
Real vs. Nominal GDP
Ch 7
Unemployment
Ch 8
Consumer Price Index
Ch 8
Effects of Inflation
Ch 8
Economic Growth
Ch 9
Market for Loanable Funds
Ch 9, HW #2 Assigned
Guest Lecture
Long-Run Economic Growth
Ch 10
Economic Growth in the U.S.
Ch 10 HW #2 Due
What Determines Economics Growth Ch 10
Columbus Day – No Class
Catch-up/Review
Over Chapters 7-10
Midterm I
Over Chapters 7-10
Output and Expenditure
Ch 11
Multiplier Effect
Ch 11
The Aggregate Demand Curve
Ch 11
AD and AS Analysis
Ch 12
Aggregate Supply
Ch 12
Macroeconomic Equilibrium
Ch 12
Money and Banks
Ch 13
The Federal Reserve System
Ch 13
The Quantity Theory of Money
Ch 13 HW 3 Assigned
Monetary Policy
Ch 14
Monetary Policy by Fed
Ch 14
Catch-up
HW 3 Due
Veterans Day – No Class
Review
Over Chapters 11-14
Midterm II
Over Chapters 11-14
Fiscal Policy
Ch 15
4
Dates
Topics
Notes
Nor. 21 (W)
Nov. 23 (F)
Nov. 26 (M)
Nov. 28 (W)
Nov. 30 (F)
Dec. 3 (M)
Dec. 5 (W)
Dec. 7 (F)
Dec. 10 (M)
Dec. 12 (W)
Fiscal Policy by Government
Thanksgiving – No Class
Inflation and Unemployment
The Phillips Curve
Open Economy
Foreign Exchange Market
The Int’l Financial System
Current Exchange Rate System
Catch-up
Review
Ch 15
Dec. 14 (F)
Final exam
5
Ch 16
Ch 16
Ch 17 HW 4 Assigned
Ch 17
Ch 18
Ch 18
HW 4 Due
Over Chapters 15-18
Over Chapters 15-18