Department of Economics
University of Pacific
Spring Semester 2010
Instructor: Jason Lee
ECONOMICS 53
INTRODUCTORY MICROECONOMICS
Tuesday/Thursdays 10-11:50am
Classroom Building 104
Course Objective
This course will serve as a thorough introduction to microeconomic theory and its applications.
Microeconomics is the branch of economics that looks at individual decision making units such
as households and firms and see how they make decisions. Questions such as how do
households determine what goods to purchase and how do firms decide what to produce will be
examined. We will examine various types of market structure: perfect competition, monopoly,
oligopoly and monopolistic competition. Also covered will be instances of market failure. By
the end of the course you should have the ability to understand everyday economic problems, use
economic theory to understand and evaluate public policy proposals, solve problems with clear
solutions, communicate effectively about economic issues and to identify economic issues in the
news.
Prerequisites
The only prerequisite for Econ 53 is solid grasp of basic algebra. Economics is a quantitative
social science and we will rely heavily in this course on graphs, mathematical reasoning and
elementary algebra. The first problem set is designed to familiarize you with some of the basic
math tools that will be required in this class.
Contact Information/Office Hours
Office Hours: Tuesdays 12-1pm and Thursdays 9-10am
Office Location: WPC 200
Email: jawlee@ucdavis.edu
Course Website: http://jasonleeucdavis.weebly.com
Required Text
Karl E. Case, Ray C. Fair and Sharon Oster. Principles of Microeconomics, Prentice Hall, 9th
edition, 2008.
While it would be most beneficial to use the recent edition of the textbook, if you want to use an
older edition you may do so. Note that there will be some topics covered in the class that will
not be in the older editions. The bookstore has packaged the text with a study guide which you
may find useful.
You will be only tested on materials presented in class. While I will follow the textbook closely,
there will be some topics in the book I will not cover and you will not be responsible for.
However, there will also be several topics in which I will cover that is not in your textbook. That
material is fair game for exams.
Grading
Homework: 15 %
Participation/In-Class Group Exercises: 5%
Midterm Exam #1: 20 % (Thursday, February 18)
Midterm Exam #2: 20 % (Thursday, April 8)
Final Exam: 40 % (Tuesday, May 11, 8:00am - 11:00 am)
Problem Sets
There will be 8 problem sets due over the course of the semester.
The problem sets will be graded on a 5 point scale:
5 (excellent), 4 (good), 3 (average), 2 (below average), 0 (incomplete/not turned in).
At the end of the semester, I will drop your lowest HW score. It is very important that you take
these problem sets seriously as they are designed to help you keep up with the material and to
prepare you for the midterms and final exam. It is highly encouraged that you work with others
on the problem sets. However you must submit your own homework in your own words.
Copying the answers from another student is cheating.
The problem sets will be due before class on the following days:
Problem Set #1 due on January 19
Problem Set #2 due on January 28
Problem Set #3 due on February 11
Problem Set #4 due on March 4
Problem Set #5 due on March 25
Problem Set #6 due on April 1
Problem Set #7 due on April 22
Problem Set #8 due on April 29
Class Participation/In-Class Group Exercises
This will be a fast-paced course and regular attendance in lecture is critical to doing well in the
course. While there will be no formal check on class attendance, I will periodically assign inclass group exercises.
Exams
The dates of the midterm exams and the final are listed above. There will be no makeup exams
given. If you miss a midterm exam due to a documented illness, I will weigh the final exam
accordingly. There will be no special accommodation given for the final exam. If you have a
conflict with taking the final exam at the scheduled time you must drop the course.
Grades
It is theoretically possible that everyone in the class could earn an A. However, past history
suggest that it is more likely that I will employ a grade distribution for the class as follows:
20%-25% of the class will receive some form of A’s
35%-40% of the class will receive some form of B’s
25%-30% of the class will receive some form of C’s
The remainder of the class will receive grades of D or below.
Tentative Lecture Schedule and Readings
Date
Topic
Readings
Tuesday, January 12
Chapter 1 & Appendix Ch.1 (p.1822)
Chapter 2
Tuesday, January 19
Thursday, January 21
Tuesday, January 26
Thursday, January 28
Tuesday, February 2
Thursday, February 4
Course Outline; Introduction to
Economics
Opportunity Cost: Scarcity and
Choice
Opportunity Cost
Demand and Supply
Demand and Supply
Applications of Supply and Demand
Elasticity
Consumer Choice
Tuesday, February 9
Thursday, February 11
Tuesday, February 16
Thursday, February 18
Consumer Choice
The Production Process
Short-Run Costs; Midterm Review
Midterm 1
Tuesday, February 23
Thursday, February 25
Tuesday, March 2
Thursday, March 4
March 8-12
Tuesday, March 16
Short-Run Costs
Long-Run Costs
Long-Run Costs
Input Demand: Labor and Land
Spring Break
Input Demand: Capital
Thursday, March 18
Tuesday, March 23
Thursday, March 25
Tuesday, March 30
Thursday, April 1
Tuesday, April 6
General Equilibrium Theory
Monopoly
Monopoly
Oligopoly
Oligopoly
Monopolistic Competition; Midterm
Review
Midterm 2
Externalities and Public Goods
Externalities and Public Goods
Public Finance
Public Finance
Asymmetric Information
Income Distribution and Poverty
Review for Final Exam
Final Exam
Thursday, January 14
Thursday, April 8
Tuesday, April 13
Thursday, April 15
Tuesday, April 20
Thursday, April 22
Tuesday, April 27
Thursday, April 29
Tuesday, May 4
Tuesday, May 11
Chapter 2
Chapter 3
Chapter 3
Chapter 4
Chapter 5
Chapter 6 & Appendix Ch. 6 (p.130133)
Chapter 6
Chapter 7
Chapter 8
Chapter 8
Chapter 9
Chapter 9
Chapter 10
Have Fun!
Chapter 11 & Appendix Ch. 11
(p.236-239)
Chapter 12
Chapter 13
Chapter 13
Chapter 14
Chapter 14
Chapter 15
Chapter 16
Chapter 16
Chapter 19
Chapter 19
Chapter 17
Chapter 18