ECON 190-02: Principles of Microeconomics-Honors

Dominican University

Spring 2005

 

Instructor: Dr. Carol Tallarico

Office: FA 111

Office Phone: 708-524-6478

Cell Phone: 708-351-8961

Email: ctalla@dom.edu

Office Hours:  Tuesday and Thursday by appointment.

 

Course Description: An introduction to economic theory and economic analysis of firm decisions under different market structures.

 

Expected learning outcomes:

By the end of the semester a successful student should

  1. Be able to analyze changes in the goods market through the use of supply and demand diagrams.
  2. Be able to explain the market effects of government price controls such as price floors and ceilings.
  3. Understand the effects of externalities on market outcomes.
  4. Be able to describe the differences between perfect competition, monopolistic competition, oligopoly and monopoly and how the market structure impacts market efficiency.
  5. Be able to calculate elasticity and the costs of production.

 

Pre-requisites: None

 

Meeting Times: This class meets Tuesday & Thursday 3:15pm-4:30pm.

 

Instructional Method: This course will be taught primarily through lecture, with some in class discussions and problem solving.

 

Texts:

Required Texts:

Mankiw, N. Gregory.  Principles of Microeconomics.  3rd edition. Mason, Ohio: Thomson-Southwestern Publishers, 2004.

 

Mankiw, N. Gregory.  Study Guide to accompany Principles of Microeconomics.  3rd edition. Mason, Ohio: Thomson-Southwestern Publishers, 2004.

 

 

 

 

 

 

 

Grading:

You are expected to attend class and are responsible for all material that is covered in class that might not be included in the book or may be slightly different from what is included in the book.  Please ask questions if any of the material is unclear. If you would like to meet with me sometime outside of class I would be more than happy to schedule an appointment. 

 

Grading Scale:

 

90%-100%      A

80%-89%        B

70%-79%        C

60%-69%        D

0%-59%          F

 

Pluses and minuses will be based on course participation and attendance.

 

Grading Policy:                                         

 

Quiz 1 (Ch. 4):                                                                                     5%

Quiz 2 (Ch. 5):                                                                         5%      

Midterm 1 (Ch. 1, 2, 4, 5, 6):                                                               20%

ERMS Paper (Ch. 10):                                                             10%

Quiz 3 (Ch. 13):                                                                                   5%

Quiz 4 (Ch. 14):                                                                                   5%                  

Midterm 2 (Ch. 7, 8, 10, 11, 13):                                                         20%

Final (Ch. 1, 2, 4, 5, 6, 7, 8, 10, 11, 13, 14, 15, 16, 17):                      30%

 

If performance on the final is a significant improvement over other grades it will be given more weight when calculating final grades.

 

If a student is absent for a quiz or midterm the weight of the missed examination will be placed on the final.  So there will be no make-ups for anything but the final!!!

Course Schedule:

(Note: All dates are subject to change and the instructor’s discretion.)

 

Class 1 (Jan 13):                                            Discussion of Syllabus, Lecture Ch. 1

                                                                   

Class 2 (Jan 18):                                            Lecture Ch. 1 & 2

 

Class 3 (Jan 20):                                            Ch. 1 & 2 Assignments

 

Class 4 (Jan 25):                                            Lecture Ch. 4

 

Class 5 (Jan 27):                                            Lecture Ch. 4

                                                                   

Class 6 (Feb 1):                                             Ch. 4 Assignments

 

Class 7 (Feb 3):                                             Lecture Ch. 5, Quiz 1 (Ch. 4)

 

Class 8 (Feb 8):                                             Ch. 5 Assignments           

 

Class 9 (Feb 10):                                           Lecture Ch. 6, Quiz 2 (Ch. 5)

 

Class 10 (Feb 15):                                         Ch. 6 Assignments

                                                                   

Class 11 (Feb 17):                                         Midterm I (Ch. 1, 2, 4, 5, 6)

                                                                   

Class 12 (Feb 22):                                         Lecture Ch. 7

                                                                   

Class 13 (Feb 24):                                         Lecture Ch. 8

                                                                   

Class 14 (Mar 1):                                          Ch. 7 & 8 Assignments

 

Class 15 (Mar 3):                                          Lecture Ch. 10 & 11

                                                                   

                                  Spring Break (Mar 8, 10)

 

Class 16 (Mar 15):                                         Ch. 10 & 11 Assignments

                                                                   

Class 17 (Mar 17):                                         Lecture Ch. 13

                                                                       

Class 18 (Mar 22):                                         Ch. 13 Assignments

 

                                   Easter Break (Mar 24)

                                                                   

Class 19 (Mar 29):                                         Quiz 3 (Ch. 13)

 

Class 20 (Mar 31):                                         Midterm II (Ch. 7, 8, 10, 11, 13)

 

Class 21 (Apr 5):                                           Lecture Ch. 14, ERMS Paper Due

                                                                   

Class 22 (Apr 7):                                           Ch. 14 Assignments

 

Class 23 (Apr 12):                                         Lecture Ch.15, Quiz 4 (Ch. 14)

                                                                     

Class 24 (Apr 14):                                         Lecture Ch.15, Ch. 15 Assignments

 

Class 25 (Apr 19):                                         Lecture Ch. 16

 

Class 26 (Apr 21):                                         Ch. 16 Assignments

                                                                   

Class 27 (Apr 26):                                         Lecture Ch. 17

 

Class 28 (Apr 28):                                         Ch. 17 Assignments

 

Final Exam Week (May 2-6)                          Comprehensive Final Exam

 

Assignments:                                             

 

Ch. 1 (Ten Principles of Economics):                Review Questions 2, 7, 9, 10

                                                                        Problems: 4, 5, 6, 11

 

Ch. 2 (Thinking Like an Economist):                  Problems 3, 4, 5, 6, 7,

 

Ch. 4 (The Market Forces of S & D):               Problems 1, 2, 3, 5, 7, 8, 9, 11

 

Ch. 5 (Elasticity & Application):                        Problems 2, 3, 8, 10, 11

 

Ch. 6 (S, D, & Government Policies):              Problems 3, 6, 7, 9

 

Ch. 7 (Consumers, Producers & Efficiency): Problems 3, 4, 5, 6

 

Ch. 8 (Costs of Taxation):                                 Problems 1, 4, 13

 

Ch. 10 (Externalities):                                       Problems 3, 5, 7, 11

 

Ch. 11 (Pub. Goods & Common Resources):   Problems 3, 8, 11

 

Ch. 13 (Costs of Production):                                       Problems 2, 4, 5, 10, 11

 

Ch. 14 (Firms in Competitive Markets):            Problems 2, 3, 5, 6, 7

 

Ch. 15 (Monopoly):                                          Problems 1, 8, 10, 12

 

Ch. 16 (Oligopoly):                                           Problems 2, 5, 8

 

Ch. 17 (Monopolistic Competition):                  Problems 4, 11

 

 

ERMS Paper:

 

We’ve talked about the concept of externality in Ch. 10 and how taxation or regulation can lead to a reduction of negative externalities.  There are definite negative externalities associated with air pollution.  In order to reduce pollution the Environmental Pollution Agency often uses cap-and-trade programs rather than taxes.  These two approaches to reducing pollution are both pretty well outlined in your book (Figure 4, pg. 216). 

 

Your assignment is to research the ERMS cap and trade market to control air pollution that has been formed to control VOC emissions in the Chicago area. The Illinois EPA has a very extensive website which explains the basic working of this market.  In a 3-5 page double spaced paper written in Times New Roman 10-12 point non-bolded or italicized font with one inch margins you are to write a description of the basic market rules and if you think this market is a better option than traditional or tax based regulation.

 

In your paper you should explain how the market will lead to reduced emissions, what effects this will have on the negative externality of air pollution, and finally if you think the cap-and trade approach is a good system for reducing pollution.  I am most interested in your analysis and opinions of the market, so this should be the largest portion of the paper.