Courses in Economics (Division 358)

A. Introductory Courses

101(201). Principles of Economics I. No credit granted to those who have completed or are enrolled in 400. (4). (SS). (QR/2).
The basic ideas of microeconomics: production, consumption, and the markets for outputs and inputs. The virtues of competitive markets are explored, and the causes and remedies of such market failures as monopoly, indivisibility, spillover costs and inequity are examined.

102(202). Principles of Economics II. Econ. 101. No credit granted to those who have completed or are enrolled in Econ. 400. (4). (SS). (QR/2).
The basic ideas of macroeconomics: employment, inflation, output, and growth. The determinants of the state of the market economy are explored, and the influence of monetary, fiscal, and other public policies are examined.

108. Introductory Microeconomics Workshop. First-year standing and concurrent enrollment in Economics 101. (1). (SS). Offered mandatory credit/no credit.
Discussions of the previous week's Wall Street Journal articles, stressing the use and application of the microeconomic tools being learned in Econ. 101.

109. Laboratory Economics. (4). (SS). (QR/1).
This course introduces students to the subject of economics through experience in a laboratory. By participating in laboratory experiments, then analyzing the results in class discussion and written reports, they learn the principles of economics from their own empirical observation.

195. Seminar in Introductory Economics. (3). (SS).
This first-year seminar focuses on specific topics of current interest in economics. Instructors and topics vary from term to term. The course emphasizes reading, writing, and discussion of economic issues and points of view.

B. Economic Theory and Statistics

401. Intermediate Microeconomic Theory. Econ. 101 and 102, and Math. 115. (4). (SS). (QR/1).
A systematic study of the role of the price system in organizing economic activity and an evaluation of its effectiveness. Analytical tools are developed and applied to the activities of the household, the firm, and to their interactions in the market under varying degrees of competition.

402. Intermediate Macroeconomic Theory. Econ. 101 and 102, and Math. 115. (3). (SS). (QR/1).
A systematic study of the theory of aggregate demand, the degree of utilization of productive capacity, and the general level of prices.

403. Advanced Economic Theory. Econ. 401. (3). (Excl).
The course stresses mathematical techniques which are used in contemporary economic theory and treats economic theory as a subject of intrinsic interest as well as a tool to be used in various empirical areas. The range of possible topics for the course is extremely broad, and coverage during any particular term is determined by the interests of the students and the instructor.

404. Statistics for Economists. Econ. 101 and 102 and Math. 115. No credit granted to those who have completed or are enrolled in Econ. 405 or Stat. 265, 311, 402, 405, or 412. (4). (Excl). (BS). (QR/1).
This course is designed to equip students to read empirical literature in economics and other social sciences. Topics include tabular and regression analysis and emphasize multiple regression.

405/Stat. 405. Introduction to Statistics. Math. 116 or 118. Juniors and seniors may elect this course concurrently with Econ. 101 or 102. No credit granted to those who have completed or are enrolled in Stat. 265, 311, or 412. Students with credit for Econ. 404 can only elect Econ. 405 for 2 credits and must have permission of instructor. (4). (MSA). (BS). (QR/1).
The purpose of this course is to provide students with an understanding of the principles of statistical inference. Topics include probability, experimental and theoretical derivation of sampling distributions, hypothesis testing, estimation, and simple regression. (Students are advised to elect the sequel, Economics 406.)

406. Introduction to Econometrics. Econ. 405 or Statistics 426. (4). (Excl). (BS).
This course, a continuation of Economics 405, is intended to prepare students to conduct empirical research in economics. The classical linear regression model is developed with special emphasis on the basic assumptions of the model, economic situations in which the assumptions are violated, and alternative estimation procedures that are appropriate in these cases. Computer exercises are used to introduce students to special problems encountered in the analysis of economic data.

409. Game Theory. Math. 217. (3). (Excl). (BS).
Parlor games: nim, tic-tac-toe, hex, chess. Fixed points and equilibria. Zero-sum games. Chance and information. Poker. Coordination and cooperation. Bargaining. Evolution of cooperation.

C. Monetary and Financial Economics

310. Money and Banking. Econ. 101 and 102. (3). (SS).
The role of money, banking, and finance in the economy. At the macroeconomic level, we study how monetary policy influences interest rates, prices, and overall economic activity.

411. Monetary and Financial Theory. Econ. 402, and 404 or 405. (3). (Excl).
Modern financial markets and the role of monetary policy in influencing asset prices and the economy. Formal development of monetary and financial economics. Topics include interest rate determination, portfolio theory, regulation of financial institutions, money supply and demand, and monetary policy.

412. Topics in Macroeconomics. Econ. 402. (3). (Excl).
Topics in macroeconomic theory including empirical studies and policy applications.

418. Business Cycles. Econ. 402. (3). (Excl).
An examination of the factors which make for economic instability and of policies to promote stability. Major emphasis is placed on the postwar business cycle in the U.S. The approach is both theoretical and empirical.

435. Financial Economics. Econ. 401 and 405. (3). (Excl).
An introduction to the economic analysis of financial markets and financial decision making. Asset pricing theory, net present value, arbitrage strategies, portfolio management, and financial market behavior. Case studies of current policy.

D. Labor Economics

320. Survey of Labor Economics. Econ. 101 and 102. (3). (SS).
Overview of the economics of labor markets and income distribution (topics covered more intensively in 421 and 422).

421. Labor Economics I. Econ. 401. (3). (Excl).
Analysis of the determination of the levels and distribution of skills, wages, employment, and income in a market economy. Applications of the theories of consumer choice, production, and investment in human capital to a wide range of real-world problems.

422. The Structure of Labor Markets. Econ. 401. (3). (Excl).
Emphasis on institutional complications of labor markets such as trade unionism and discrimination. Intensive investigation of impact of policies concerning collective bargaining, equal opportunity, and unemployment.

E. Industrial Organization and Public Control

330. American Industries. Econ. 101 and 102. (3). (SS).
A survey course which develops an analytic framework for evaluating the performance of major U.S. industries and examines the principal government policy instruments affecting industrial performance.

431. Industrial Organization and Performance. Econ. 401. (3). (Excl).
Theory and empirical evidence on the causes and effects of market power, especially in industrial markets. The focus on the relations between market structure and performance as a guide to policy formation.

432. Government Regulation of Industry. Econ. 401. (3). (Excl).
Analysis of government policies aimed at maintaining desirable economic performance, especially antitrust regulation and public enterprise.

438/Health Management and Policy 661 (Public Health). Economics of Health Services. Econ. 401 or HMP 660. (3). (Excl).
Application of economic analysis to the field of medical care. Use of economics to explain current developments in medical care, more effective use of resources, and predictions of changes in current situation.

F. International Economics

340. International Economics. Econ. 101 and 102. (3). (SS).
A general course with an introduction to the fundamentals of theory, but with major emphasis upon important contemporary policy issues in the field of international economics.

441. International Trade Theory. Econ. 401. (3). (Excl).
The theory of international specialization and exchange; trade, tariffs, and welfare; and selected policy problems in international trade.

442. International Finance. Econ. 402. (3). (Excl).
The foreign-exchange market, balance-of-payments accounting, balance-of-payments adjustment, international investment, and selected policy problems in international finance.

G. Comparative Economic Systems and National Economies

451. Comparative Analysis of Economic Systems. Econ. 401. No credit granted to those who have completed or are enrolled in 350. (3). (Excl).
Selected models, cases, and problems of various economic systems with different arrangements for ownership, resource allocation, and income distribution. Intended for students with a background in microeconomic theory.

453. The European Economy. Econ. 401. (3). (Excl).
A study of the European economy including economic growth, the Common Market, European relations with underdeveloped countries, East-West and trans-Atlantic trade relations, and the technological and managerial gap.

454. Economics of Japan. Econ. 101 and 102. (3). (Excl).
An analysis of the development of the Japanese economy followed by a discussion of the post-war Japanese economic system and the prospects for the future.

455. The Economy of the People's Republic of China. Econ. 101 and 102. (3). (Excl).
Analysis of economic organization, structure, system of planning, economic performance, and problems in China after 1949. The first third of the course is devoted to review of development before 1949.

457. Post-Socialist Transition in Central/Eastern Europe and the Former Soviet Union. Econ. 101 and 102. (3). (Excl).
An introduction to current economics issues of post-socialist transition in formerly socialist countries. Topics of study include macroeconomics stabilization, price liberalization, international trade liberalization, privatization of formerly state-owned enterprises, and the restructuring of social welfare systems. Political factors of the transition are also emphasized.

H. Economic Development

360. The Developing Economies. Econ. 101 and 102. No credit granted to those who have completed or are enrolled in 461. (3). (SS).
Examination of the structure and problems of the low-income nations; an analysis of the economic issues of development policy; and discussion of the economic relationships between the poor and rich nations of the world. Designed for students who wish a relatively nontechnical introduction to the problems of economic development.

461. The Economics of Development I. Econ. 401. No credit granted to those who have completed or are enrolled in 360. (3). (Excl).
Survey of the historical and economic determinants of stagnation and growth in the underdeveloped countries. Emphasis is given to the role of economic analysis and techniques in the planning process.

462. The Economics of Development II. Econ. 401, and 360 or 461. (3). (Excl).
The second of the two term sequence in economic development, following either Economics 360 or 461. Focuses on the applications of economic theory to several specific problems of policy and planning in underdeveloped countries.

466. Economics of Population. Econ. 401. (3). (Excl).
An introduction to the economic approach to the study of human population growth. Its primary aim is to acquaint the student with changing trends in fertility, mortality, migration and family composition, and the implications of these trends for the economy.

I. Environmental Economics

370/NR&E 375. Natural Resource Economics. Econ. 101 and 102. No credit granted to those who have completed or are enrolled in Econ. 471 or 472. (3). (Excl).
Initial emphasis is on economic principles and analytical techniques of significance to natural resources problems. The latter part of the course emphasizes application of economic analysis to actual problems of managing natural resources both public and private.

471/NR&E 571. Environmental Economics. Econ. 401 or NR&E 570. (3). (Excl).
Economic analysis of market failures due to externalities and imperfect transmission of information and of normative recommendations for efficient government intervention to correct the market failures. Positive analysis of government behavior creating and implementing policies for air pollution, water pollution, hazardous wastes and occupational health. The course includes a computer simulation of river pollution, where teams of students assume the role of the Water Basin Authority.

472. Intermediate Natural Resource Economics. Econ. 401 or NR&E 570. (3). (Excl).
An intermediate level review of Natural Resource Economics. Topics include basic optimization techniques, resource scarcity, cost-benefit analysis, depletion of exhaustible resources, harvesting of renewable resources and common property problems.

J. Public Finance

380. Public Finance. Econ. 101 and 102. No credit granted to those who have completed or are enrolled in 481 or 482. (3). (SS).
A survey of government expenditure and revenue issues, designed for students wishing to take a single comprehensive course in the field of public finance. Students wishing to elect two courses in public finance should elect Economics 481 and Economics 482.

481. Government Expenditures. Econ. 401. No credit granted to those who have completed or are enrolled in 380. (3). (Excl).
Normative theory of public expenditures, expenditure decision-making processes, historical trends and determinants of government expenditures, benefit-cost analysis and other techniques of program evaluation, and intergovernmental fiscal relations.

482. Government Revenues. Econ. 401. No credit granted to those who have completed or are enrolled in 380. (3). (Excl).
Historical trends and determinants of government revenues, revenue decision-making processes, social objectives attainable with revenue instruments, and evaluation of major types of revenue (taxes, user charges, borrowing).

K. Economic History

491/Hist. 491. The History of the American Economy. Econ. 101 and 102. (3). (Excl).
Covers American economic history from colonial times to the present, emphasizing the causes and consequences of economic growth, business cycles, and issues of economic equity.

493/Hist. 493. European Economic History. Econ. 101 and 102. (3). (Excl).
A survey of European economic history since 1000 A.D., with most emphasis on the determinants of economic growth in the eighteenth and nineteenth centuries.

494/Hist. 494. Topics in Economic History. Econ. 101 and 102. (3). (Excl).
Study of issues in economic history with emphasis on a particular region of the world, a particular time period, or a topic of current interest. The specific topics vary with the faculty member teaching the course.

496. History of Economic Thought. Econ. 101 and 102. (3). (Excl).
Designed to give the student an overview of the development of economics in the era of modern industrial capitalism, from Adam Smith to the present day. Topics include: 1) classical economics: Adam Smith through Karl Marx; 2) Neo-classical economics: from Jevons, Menger and Walras through Marshall and his followers; 3) critiques of the mainstream; 4) Keynesian economics and the neoclassical synthesis.

L. Other Topics in Economics

395. Topics in Economics and Economic Policy. Econ. 101 and 102. (1-3). (Excl). May be repeated for a total of six credits.
This course focuses on specific topics of current interest in economics and economic policy. Instructors and topics vary from term to term. The course emphasizes applications of economic approaches from a variety of fields to the analysis of real-world economic issues.

398. Strategy. Econ. 101. (3). (SS).
This course is an introduction to the science of strategic thinking and the art of equity. Basics of non-cooperative as well as cooperative game theory are covered via simple cases in business, international crises, mass elections, legislative voting, cost sharing, college admissions, housing lotteries, kidney allocation, etc.

407. Marxist Economics. Econ. 101 and 102. (3). (Excl).
Analysis of economic theories of Karl Marx and their development by later Marxist writers, critical analysis of Marxism, and works in revival of Marxism in recent years.

476/CAAS 457. Political Economy of Black America. Econ. 101. (3). (Excl).
Focuses on the economic life of African Americans in the U.S., including the role of economics in the social construction of race, and the relationship between the evolution of the U.S. economy and the changing status of African Americans.

483/Poli. Sci. 482. Positive Political Economy. Econ. 401. (3). (Excl).
An introduction to positive political economy, analyzing political institutions and their impact on economic policies. The tools of game theory are used to analyze different voting mechanisms, legislative games, the bureaucracy, and interest groups, and to incorporate these political institutions into the analysis of issues such as income taxation and the provision of public goods.

485. Law and Economics. Econ. 401. (3). (Excl).
This course surveys the literature on economic analysis of the common law. Topics to be covered would include (1) property rights and the problem of the commons, (2) the economic efficiency of various approaches to tort (accident) law (such as negligence rules, negligence with contributory negligence bar, strict liability and comparative negligence), (3) economic analysis of contracts, (4) the properties of tax versus liability rule versus regulatory approaches to pollution control, (5) economic approaches to deterrence of crime, and (6) other topics.

486. Law and Economics, II. Econ. 401. (3). (Excl).
Like Econ. 485, this course uses economic theory to analyze economic issues posed by legal rules. The topics covered include questions taken from contract law, law of corporations, mergers/takeovers, personal and corporate bankruptcy, and inter-state legal competition.

490. Current Topics in Economics. Econ. 401, 402, 404 or 405. (3). (Excl).
Sections cover specialized topics and topics that span subfields in economics. The topics are presented at an advanced undergraduate level. Topics vary with the interests of the faculty member teaching the section.

555/Public Policy 555. Microeconomics. Permission of instructor. (4). (Excl).
This course begins a two-term sequence designed to provide students with an understanding of the economic implications of public policies and with analytic tools useful in system design and policy planning. Major topics include production, costs, prices, resource allocation, governmental involvement in economic activity, and the operation of market systems.

556/Public Policy 556. Macroeconomics. (4). (Excl).
The course analyzes the determinants of a country's living standards in the long run and how a country can influence those standards by its saving-investment policies. It explains how business cycles arise and how they can or cannot be stabilized by policy actions. It also analyzes inflation, unemployment, the balance of trade, exchange rates, interest rates, and other widely-watched indicators of economic success. The course gives students a chance to act as policy makers. Students break into small groups, pick a country, and analyze that country's macroeconomic problems: inflation; budget deficits; unemployment; private investments; and trade deficits.

573/Public Policy 573. Benefit-Cost Analysis. Econ. 555. (4). (Excl).
This course teaches students how to evaluate government programs. It covers the mechanics of benefit-cost analysis, how scarce or unemployed resources should be priced, the choice of a proper time discount rate, treatment of income distribution issues, environmental benefits, intergovernmental grants, and regulatory problems. A concluding section handles some methodological issues such as the optimal scale of an investigation and the potentials of social experimentation. An essential part of the course is a term project--each student selects a program and evaluates it.

M. Honors Program, Seminars, and Independent Research

495. Seminar in Economics. Econ. 401, 402, and 404 or 405; and permission of instructor. (3). (Excl). May be repeated for a total of six credits.
Seminar sections cover specialized topics and topics that span the subfields in economics. The topics are presented and discussed at an advanced undergraduate level. The specific topics vary with the faculty member teaching the seminar section.

498. Honors Independent Research. Open only to students admitted to Honors concentration in economics. (1-4). (Excl). (INDEPENDENT). May be repeated for a total of eight credits.
Each student completes a paper for the Honors thesis requirement under the direction of the director of the Honors program in economics and an additional faculty member.

499. Independent Research. Written permission of staff member supervising research, and permission of the economics concentration advisor. (1-4). (Excl). No more than four credits may be used in an economics concentration program. (INDEPENDENT). May be repeated for a total of eight credits.
Student and instructor agree on a substantial piece of work involving reading or research. Evaluation is based on the written work, either papers or examinations.

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