Econ 110: Principles of Microeconomics, Spring 2004
(Special Version for LLS faculty)
Instructor:
Office:
Phone:
Zaki Eusufzai
University Hall 4219 (Main Campus)
310- 338-2822 ; E-Mail: zeusufza@lmu.edu
Course Description:
This special course has been designed for the LLS faculty. Our focus will be on
Microeconomics. At a superficial level, the goal of this course is to familiarize
you with decision making at the consumer and firm level. As such we will
examine concepts such as the mechanics of individual prices (demand and
supply), price and output determination under perfect competition, monopoly,
monopolistic competition and oligopoly, welfare economics.
However, at a deeper level the goal of this course is to acquaint you with the
economic way of thinking. It is to help you understand that microeconomics can
be used to illuminate real world problems and that the economic way of thinking
does not have to be restricted to market/commercial behavior. Any problem
involving competing goals and choices constrained by limited resources and
available opportunities is fair game for economics.
Throughout the course the emphasis will be on applications of microeconomics
to problems such as regulation/deregulation, rent control, minimum wage laws,
corporate behavior, international trade, environmental problems etc. Other
specific topics include Microsoft as a monopoly, OPEC and US gas prices, the
stock market, electricity prices in California. This course is not a mathematical
one. However, numerical examples will be extensively used in addition to
graphs.
I have been told that this course is the first of its kind. As such much of it will be
conducted on a “trial and error” basis. Any input from you will certainly be
welcome at all times.
Textbook: Principles of Microeconomics , 3rd ed. by Mankiw, G.
Thomson/Southwestern, 2004.
Coursework: There will be 14 lectures altogether. The lectures will be audio
taped and made available over the Internet through the course website. The
course website is at:
http://bellarmine.lmu.edu/~zeusufzai/e110
In addition to the audio recordings the website will have Flash tutorials, online
self testing, practice problems (with solutions) for the core parts of the course.
2
Note: A more elaborate calendar is provided below.
Detailed Calendar
Date
Topic/Book Chapters
01/22
Intro. To Scope/Methods of Economics and Microeconomics
(Chaps. 1&2)
01/29
Introduction to Supply and Demand + Elasticity
(Chaps. 4&5); Mini Case/Example: Price Discrimination
02/05
Price Ceilings, Price Floors and Effects of Taxes (Chap. 6);
Mini Case/Example: Minimum Wage and Popeye’s
02/12
Welfare Economics: Producer, Consumer and Total Surplus
(Chap. 7); Mini Case/Example: International Trade Restrictions
02/19
Consumer Decision Making – Under Certainty and Uncertainty
(Notes); Mini Case/Example: How Las Vegas Works
02/26
Externalities (Chap. 10)
Mini Case/Example: Pollution Permits
03/04
Public Goods (Chap. 11)
Mini Case/Example: How Much is a Life Worth?
03/11
Costs of Production (Chap. 13)
Mini Case/Example: Information Technology
03/18
No Class – Midterm Break
03/25
Monopoly (Chap. 15); Mini Case/Example: Microsoft
04/01
Oligopolies/Game Theory (Chap. 16)
Mini Case/Example: The California Electricity Crisis
04/08
No Class – Holy Thursday
04/15
Competitive Markets and Economic Dynamics (Chap. 14)
Mini Case/Example: Starbucks
3
04/22
* Earnings and Discrimination (Chap. 19)
Mini Case/Example: The Increasing Value of Skills
04/29
*Income Inequality and Poverty (Chap. 20)
Mini Case/Example: The Grameen Bank
05/06
*Frontiers of Microeconomics (Chap. 22)