Principles of Economics: Macroeconomics
Longwood University
Spring 2014
Professor:
Prof. e-mail:
Section:
Classroom:
Office hours:
Office:
Texts:
Dr. Scott Wentland
wentlandsa@longwood.edu
ECON 218 – 02
Hiner 213
Tuesdays 2:15 p.m. – 3:30 p.m. & 8:45 p.m – 9:45 p.m.
Wednesdays from 2:15 p.m. – 4:30 p.m and by appointment
Hiner 208
1Cowen, Tyler and Alex Tabarrok (2013). Modern Principles: Macroeconomics.
Worth Publishers.
Course Introduction & Objectives
This primary object of this course is to introduce macroeconomics, the branch of
economics that studies what we call “the economy.” At the conclusion of this course, all students
will introduced to and understand a range of macroeconomic topics, including national income
(GDP), inflation, unemployment, business cycles, and even the stock market. In this course we
will examine these topics (among many others) to help you understand the economy and the
world around you. Successful students will leave this course with a general understanding of the
topics above and demonstrate an ability to use specific models to show how the economy works.
The course will begin by reviewing some microeconomics in an effort to build a bridge
between microeconomics and macroeconomics. The purpose of devoting the beginning of the
class to microeconomic principles is to relate what we learn in microeconomics (about prices,
supply and demand, etc.) to the ‘bigger picture’ about markets more generally. The rest of the
course will cover traditional macroeconomic principles and government policy. We will use
Cowen and Tabarrok’s Modern Principles: Macroeconomics textbook to explore numerous
facets of the economy, including GDP, economic growth, inflation, unemployment, business
fluctuations, and government (monetary and fiscal) policy.
Longwood Catalog: ECONOMICS 218. Principles of Economics (Macro Emphasis). Study of
the economy as a whole. Topics include the determination of a general price level for the
economy, determinants of inflation, unemployment, interest rates, and Gross Domestic Product.
For example, this course addresses how the Federal Reserve uses monetary policy to manipulate
economic activity, inflation, and interest rates. 3 credits.
Grades
A ≥ 90
B ≥ 80
C ≥ 70
D ≥ 60
F < 60
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This textbook is an online textbook that is included as part of your course fee that you pay when you sign up for
Aplia. A hard copy can be mailed to you by Aplia for a relatively small additional fee.
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Grading breakdown:
Midterm Exam I
Midterm Exam II
Final Exam
Aplia Assignments
25%
25%
25%
25%
Midterms
The midterm exams will cover material from Part I and Part II of the course respectively
and will not be cumulative (though some material will build). As you will see in the Course
Outline below, the first exam is primarily a review of microeconomic topics, along with topics
related to the financial system. Both midterms may include multiple choice, short answer, and/or
essay questions and will be taken on the dates in the Course Outline section below.
Final Exam
The final examination will primarily cover material from Part III of the course (although
there will be some overlap with Part II, since Ch. 12 will also be covered on the final exam). It is
not comprehensive insofar as it will not have detailed questions specific to Parts I and II
material, but some questions may still require a general understanding of Parts I and II. The final
will be on Tuesday, April 29 in Hiner 213 at 6:30pm.
Aplia
All students are required to register for Aplia, which is an interactive website similar to
Canvas, though a lot more versatile. There will be assignments/quizzes posted there each week,
customized to the class lectures and readings. Assignments due dates are listed below under
“Course Outline.” The textbook is online and available through Aplia once you sign up. Most of
Aplia’s cost is to pay for the online textbook, which Aplia will mail to you for a small additional
fee. One of the advantages of Aplia (and having an online book) is that it is cheaper than most
textbooks for most other courses.
All assignments and quizzes completed through Aplia will make up 25% of your total
grade, as much as any exam. Not only is Aplia an excellent way for you to practice and master
the material before exams, but it also has weight significant enough to help lift up your grade to
where you would like it to be. Instructions to sign up for Aplia will be given to you at the
beginning of the course and will also be available on Canvas under the “Syllabus” tab.
Attendance
My attendance policy will follow that of Longwood University as detailed in the college
handbook with one addition. Attendance is mandatory. Longwood’s policy states:


Instructors have the right to lower a student’s course grade by no more than one letter
grade if the student misses 10% of the scheduled class meeting times for unexcused
absences.
Instructors have the right to assign a course grade of “F” when a student has missed a
total (excused and unexcused) of 25% of the scheduled class meeting times.
Note that absences will hurt your grade.
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Other Course Policies
Make-up and extra credit policy: I will allow each student to drop their two lowest Aplia
assignments (including missed assignments). This should buffer against the occasional unusual
circumstance, or just a bad day. At some point during the semester most students miss an
assignment due to illness, special event, or some other unforeseen circumstance. This is precisely
what the two drops (or freebies) are for.
Also, there will be no extra credit assignments. Unhappy with their grades, many students
typically approach me near the end of the semester and ask for an extra credit assignment. I view
extra credit as unfair to those who initially put the time and effort into good grades on the
quizzes and exams. So, my advice to students is this: get your credit while it lasts!
Longwood e-mail, Canvas, and Aplia: You will be required to check your Longwood
University e-mail, Canvas, and Aplia on a daily basis (if you do not already do so). I will
disseminate course information using both outlets, including announcements, course content, and
grades. If you have any questions or problems about accessing these, please see me or IT
Services.
Academic Dishonesty Policy: Cheating in any form will not be tolerated in the College of
Business and Economics. If the instructor determines that a student has cheated on an
assignment, the grade of “F” may be assigned for the entire course. “Cheating” is the use of
unauthorized resources and/or work of another including but not limited to homework, tests,
papers, presentations and exams. Unless specifically instructed otherwise, students are to
assume that all coursework is to be the work of the individual student alone. If a student is
unsure as to whether collaboration is permitted, the professor should be contacted in advance of
performing the work.
If you are found guilty of cheating, you will receive an F in the class. You may also have
your name forwarded to the honor board. Please do not put yourself in a position that could
result in these penalties.
Bad Weather Days: If you are unsure if classes will be taught on days/weeks when weather is
especially bad, please e-mail me. With an online course this should not be much of an issue, but
there may be an instance where internet is down due to bad weather. In the unlikely scenario that
you have not heard from me during bad weather periods, then the assumption should be that my
internet is down and I will contact you as soon as I am back online.
Please do not put off doing assignments until the last minute, because you will put
yourself into a situation where bad weather could affect your internet provider and ultimately
your ability to do the assignments. It will be each student’s responsibility to download
homework assignments early (when appropriate) and to identify potential backup internet
providers (like at a local library or coffee shop).
Other policies: Policies not explicitly stated in this syllabus are delegated to the Longwood
University student and faculty handbooks, but are subject to change at the instructor’s discretion.
These policies include, though are not limited to, Longwood’s policies regarding to disability,
plagiarism, attendance, and classroom conduct. The Longwood University Honor Code will be
enforced. A statement of this code can be found in your student handbook. If you are a student
with a disability and you need academic accommodations, please see me and contact the
Learning Center.
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Course Outline
*How to read this: each day below lists the topic and reading that is suggested for students to complete
each week. Students tend to get the most out of the lecture when they read the assignment beforehand,
which I strongly recommend.
Part I – Bridging Microeconomics and Macroeconomics:
Understanding Spontaneous Order, Markets, and the Financial System
Week One (Jan. 14)
reading:
Big Ideas in Economics & Supply and Demand Review
Macroeconomics – Chapters 1 & 3
Fri. Jan. 17: Sign up for Aplia and complete first assignment
Week Two (Jan. 21)
reading:
Spontaneous Order: Prices as Information
Macroeconomics – Chapters 3 & 4
Wed. Jan. 22: Aplia Assignments for Ch. 1 & 3 Due
Week Three (Jan. 28)
reading:
Savings, Investment, and the Financial System
Macroeconomics – Chapter 9
Wed. Jan. 29: Aplia Assignments for Ch. 4 Due
Week Four (Feb. 4)
reading:
Investing, Stocks, and the Efficient Markets Hypothesis
Macroeconomics – Chapter 10
Wed. Feb. 5: Aplia Assignments for Ch. 9 and 10 Due
Week Five (Feb. 11)
Midterm #1 (covers Ch. 1, 3, 4, 9, & 10)
Part II: National Income, Economic Growth, Unemployment, and the Budget:
The Economy in the Long Run
Week Five (Feb. 11)
reading:
Gross Domestic Product and Measuring National Income
Macroeconomics – Chapter 6
Week Six (Feb. 18)
reading:
The Wealth of Nations, Growth, and Institutions
Macroeconomics – Chapter 7
Wed. Feb. 19: Aplia Assignment for Ch. 6 Due
Week Seven (Feb. 25)
reading:
Economic Growth and Capital: The Solow Model
Macroeconomics – Chapter 8
Wed. Feb. 26: Aplia Assignment for Ch. 7 Due
Week Eight (Mar. 4)
SPRING BREAK – NO CLASS
Week Nine (Mar. 11)
reading:
Unemployment and Labor Force Participation
Macroeconomics – Chapter 11
Wed. Mar. 12: Aplia Assignment for Ch. 8 Due
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Week Ten (Mar. 18)
reading:
The Federal Budget: Taxes and Spending
Macroeconomics – Chapter 17
Wed. Mar. 19: Aplia Assignment for Ch. 11 Due
Week Eleven (Mar. 25)
reading:
Inflation & the Quantity Theory of Money
Macroeconomics – Chapter 12
Wed. Mar. 26: Aplia Assignment for Ch. 17
Mon. Mar. 31: Aplia Assignment for Ch. 12
Week Twelve (Apr. 1)
Midterm Exam #2 (covers Ch. 6, 7, 8, 11, 12, and 17)
Part III: The Business Cycle and Government Policy:
The Economy in the Short-Run
Week Thirteen (Apr. 8)
reading:
Business Fluctuations: The Economy in the Short-Run
Macroeconomics – Chapter 13
Week Fourteen (Apr. 15)
reading:
Money, the Federal Reserve, and Monetary Policy
Macroeconomics – Chapter 15 and 16
Wed. Apr. 16: Aplia Assignment for Ch. 13 Due
Week Fifteen (Apr. 22)
reading;
Fiscal Policy and the Great Recession
Macroeconomics – Chapter 18
Wed. Apr. 23: Aplia Assignment for Ch. 15 & 16
Fri. Apr. 25: Aplia Assignment for Ch. 18
Exam Week (Apr. 29)
Final Exam at 6:30pm (covers Ch. 12, 13, 15, 16, 18)
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