Economics Syllabus

1 University of Missouri-Columbia Department of Economics Economics 1014, Principles of Microeconomics Fall 2007 Instructor: Dr. M. Pantal Department of Economics 13 Professional Building Syllabus Description This course is about decision making. It provides a framework for understanding business decisions and personal choices. In particular, Microeconomics explains the decisions made by individual consumers, producers, workers, savers, and investors. We discuss the purpose of economic transactions and introduce the role of markets as a mechanism for allocating goods, services, and natural resources to alternative uses.

Class Meetings (Please check your schedule for information regarding your lab section) 9:00 a.m. – 9:50 a.m. on Monday and Wednesday in Conservation Auditorium from Monday, August 20 through Thursday, December 6, except Monday, September 3 (Labor Day) and November 17 - 25 (Thanksgiving recess). Other Important Dates o Monday, September 24: Last day to drop the course without a grade o Monday, October 29: Last day to withdraw from the course (Note: For more important dates, please visit http://registrar.missouri.edu/General_Resources/Dates_and_Deadlines.h tm)

Required Materials o Textbook N. Gregory Mankiw

Principles of Microeconomics Fourth Edition Thomson/South-Western Publishers o Aplia Registration This software offers textbook-correlated, auto-graded problem sets and interactive tutorials. It also gives access to high quality interactive assignments that are both engaging and thought-provoking. This semester, there will be 10 mandatory Aplia assignments. Please look at the due dates for each of these assignments as soon as possible. o Reader Current and Classic Readings for Microeconomic Literacy Edited by Ronald M. Harstard and Sharon Ryan. 2

(Note: The required materials are not available from the University bookstore. They come as a bundle that must be purchased online from the following site: http://economics.missouri.edu/courses/FS2007/1014_textbooks.shtml . You may also go on http://www.aplia.com now to register on Aplia. Enter your information exactly the way it is in “myZou”. The course key is 56LY-MTLB-T9SL. All students have

the option to purchase each item separately. If you wish to charge your online purchase on your student account, rather than using a credit card, please go to the Department of Economics at 118 Professional Building.) Communication Primary source of information: Your TA Scheduling Conflict: The Head TA (George Chikhladze, [email protected])

Secondary Source of Information: Me o Office Hours: 12:00 p.m. – 01:00 p.m. on Monday and Wednesday o Appointment (if office hours are not convenient) o Phone: 884-6526 o E-mail: [email protected] All Information: www.missouri.edu/~pantalm and http://courses.missouri.edu/

Evaluation Lab quizzes : 100 points Applia Assignments : 100 points Exam 1 (Tuesday, September 25, 8:00 – 9:00 p.m.) : 100 points Exam 2 (Tuesday, October 30, 8:00 – 9:00 p.m.) : 100 points Exam 3 (Wednesday, December 12, 6:00 – 8:00 p.m.) : 200 points Final Course Grade 600 – 582 : A+ 581 – 558 : A 557 – 540 : A539 – 522 : B+ 521 – 498 : B 497 – 480 : B479 – 462 : C+ 461 – 438 : C 437 – 420 : C419 – 402 : D+ 401 – 378 : D 377 – 360 : D359 – 000 : F Test Policies (Valid for all exams, quizzes, and Applia Assignments) o All tests are mandatory. o No make up will be given for missed quizzes or “forgotten” Applia Assignments. 3 o The head TA may decide to arrange make up exams for students with scheduling conflicts. o Scantron forms without the requested administrative information will be penalized. Class Schedule

Week Topics Readings Aug. 20 – Aug. 24 Administrative Issues Microeconomic methodology Chapters 1 and 2 Aug. 27 – Aug. 31 Interdependence and the gains from trade Chapter 3 September 3 No class (Labor Day)

Chapter 4

Sep. 4 – Sep. 7 How markets work Chapter 4 Sep. 10 – Sep. 14 Elasticity and its application Chapter 5 Sep. 17 – Sep. 21 Effect of government policies Chapter 6 September 24 Review Chapters 1 - 6 Sep. 25, 8:00 p.m. Exam 1 Chapters 1 - 6 Sep. 26 – Sep. 28 Welfare Economics Chapter 7 Oct. 1 – Oct. 5 Welfare Economics Chapter 7 Oct. 8 – Oct. 12 The cost of taxation Chapter 8 Oct. 15 – Oct. 19 International Trade Chapter 9 Oct. 22 – Oct. 26 Market Failure Chapters 10 - 11 October 29 Review Chapters 7 - 11 Oct. 30, 8:00 p.m. Exam 2

Chapters 7 - 11 Oct. 31 – Nov. 2 The costs of production Chapter 13 Nov. 5 – Nov. 9 The costs of production Chapter 13 Nov. 12 – Nov. 16 Perfect competition Chapter 14 4 Nov. 19 – Nov 23 No Class (Thanksgiving recess) Chapter 15 Nov. 26 – Nov 30 Monopoly Chapter 15 Dec. 3 – Dec. 6 Introduction to game theory Chapter 16 Dec. 12, 6:00 p.m. Exam 3

Chapters 1 - 16

Aplia Assignments (Each assignment will automatically vanish at 11:45 p.m. on its due date) Assignment Due Thinking Like an Economist II September 1 Interdependence and the Gains from Trade I September 8 The Market Forces of Supply and Demand I September 15 Elasticity and its Applications I September 22 Supply, Demand, and Government Policies I October 6 Consumers, Producers, and the Efficiency of Markets I October 13 Application: The Cost of Taxation II October 20 Application: International Trade II October 27 Externalities II November 10 Firms in Competitive Markets I November 17 Monopoly I December 1 Reader Assignments (Questions about each assignment will be asked on the quiz following the assignment’s due date) Assignment Due The Hot Major for Undergrads is Economics, page 1 August 25

How Much is Your Time Worth?, page 155 September 1 To Reduce the Cost of Teenage Temptation, Why Not Just Raise the Price of Sin?, page 53 September 15 How an Earnings Tax Harms Cities Like St. Louis and Kansas City, page 119 September 22 I, Pencil, page 305 October 6 Policy Debate: Should There be a Market for Organs?, page 313 October 6 SURVEY: GLOBALIZATION – Profits Over People, page 135 October 20 Imports Help Consumers – If Not Politicos, page 141 October 20 Balancing Act: Lives vs. Regulations, page 129 October 27 Why Popcorn Cost More at Movies, page 181 December 1 Honesty Academic honesty is fundamental to the activities and principles of a university. All members of the academic community must be confident that each person’s work has been responsibly and honorably acquired, developed, and presented. Any effort to 5 gain an advantage not given to all students is dishonest whether or not the effort is successful. The academic community regards academic dishonesty as an extremely serious matter, with serious consequences that range from probation to expulsion. When in doubt about plagiarism, paraphrasing, quoting, or collaboration, please ask me.

Important Notes for Students with Special Needs (1) Students having disabilities which might affect their work (in or out of class) should check with me as soon as possible. MU can make a variety of arrangements that help insure equal opportunity. It is your right and I am glad to work with you on this. (2) Keep in touch with MU’s Office of Disability Services, A038

Brady Commons, 882-4696. For information on resources for students with disabilities, click on “Disability Resources” on MU’s homepage. (3) If you have emergency medical information, or if you need special arrangements in case the building must be evacuated, please inform me immediately. You may talk with me privately after class, or at any other time that is convenient for you.