Web Site: Browse to myweb.astate.edu/crbrown/2313.html to visit the ECON 2313 Home Page. The web site is best viewed by Internet Explorer 6.0 or higher. The course home page contains class announcements, links to course materials (such as PowerPoint slides used during lectures), and links to articles or other materials relevant to the course.CRN 10582Syllabus ECON 2313-002Spring semester, 2012Course: Principles of MacroeconomicsLearning Objectives: (1) Developing a Strong Foundation in the Social Sciences - Students will be able to explain the processes and effects of individual and group behavior; (2) To achieve an understanding of fundamental principles of economics such as opportunity cost, the law of demand, and comparative advantage; (3) to obtain familiarity with basic measures of aggregate economic activity such as gross domestic product, the unemployment rate, and the money supply; (4) to comprehend the essential features of the principal (competing) theories of aggregate output (or income) and employment, inflation, exchange rates and the balance of trade; and (5) to appreciate the link between macroeconomic theory and policy.1Professor:Christopher Brown209 Delta Center870-972-3737 (tel.)870-972-3417 (fax)[email protected] Office Hours: 1:30 to 3:00 p.m. MTRWText:Campbell McConnell, Stanley Brue, and Sean Flynn, Macroeconomics, 19th edition, Loose Leaf plus Connect Access, New York, McGraw Hill Irwin, 2012. ISBN: 0077337816.McGraw Hill -CONNECT: Your textbook should come packed with McGraw-Hill CONNECT. CONNECT is an interactive learning system. You will be completing homework assignments online using CONNECT. You will obtain your homework scores, solutions, and feedback at this set as well. CONNECT also provides you with access to the McConnell, Brue, and Flynn e-text. To get started in CONNECT, go to www.mcgrawhillconnect.com/ . To view a PowerPoint tutorial on using CONNECT, browse to myweb.astate.edu/crbrown/connect.pptx . Note that you will be unable to complete required homework unless you purchase Connect access.1 Other concepts (learning objectives) are: opportunity cost; demand and supply; price determination; national income and product accounts; business cycles; unemployment; inflation; aggregate demand and supply; money and the banking system; the federal budget; monetary policy;fiscal policy; national/public debt, and; international trade and finance. 1CRN 10582Examinations and Grades: The final grade is determined on the basis of the student’s performance on four (4) examinations and homework assignments completed using CONNECT. Exams will consist of multiple questions. The various components have the following weights in the determination of the student’s final average:ItemWeight(Percent)Homework 20Exam 1 15Exam 2 15Exam 3 20Final Exam 30Total 100%The following scale will be applied to determine the student’s final grade:Range(Percent) Grade88-100 A77-87 B65-76 C50-64 DBelow 50FWeb Site: Browse to myweb.astate.edu /crbrown/2313.html to visit the ECON 2313 Home Page. The website is best viewed by Internet Explorer 6.0 or higher. The course home page contains class announcements, links to course materials (such as PowerPoint slides used during lectures), and links to articles or other materials relevant to the course. Make-up Policy: Should a student be forced to miss an examination, the student should make every effort to notify the professor in advance of the exam to be missed. If unable to contact the professor (by phone or e-mail) prior to the exam, the student should contact the professor as soon as possible. Presuming the student has made a good faith effort to notify the instructor, and if the student can present a credible excuse for his or her absence, then a make-up exam will be arranged. Cell Phones: Be sure to turn off your cell phone during lectures. Students are warned that surreptitious texting may result in chastisement and/or public humiliation.2CRN 10582Schedule of Topics, Reading Assignments, and ExaminationsDate TopicReadingAssignmentJan 18 IntroductionJan 20 The Economic Perspective Ch. 1, pp. 3-10Jan 23 Society’s Economizing Problem Ch. 1, pp. 10-14Jan 25 Unemployment, Growth, and the Future Ch. 1, pp. 14-21Jan 27 The Market System and the Circular Flow Ch. 2Jan 30 Demand and Supply Ch. 3, pp. 47-56Feb 1 Labor Day HolidayFeb 3 Market Equilibrium; Effects ofPrice Ceilings and FloorsCh. 3, pp. 47-74Feb 6 Market Failures, Public Goods, and ExternalitiesCh. 5Feb 8 Exam 1Feb 10 Gross Domestic Product (GDP):The Expenditure ApproachCh. 7, pp. 129-135Feb 13 GDP: The Income Approach Ch. 7, pp. 136-140Feb 15 Nominal versus Real GDP Ch. 7, pp. 141-148Feb 17 Business Cycles Ch. 9, pp. 170-173Feb 20 Unemployment Ch. 9, pp. 173-178Feb 22 Inflation Ch. 9, pp. 179-189Feb 24 The Consumption and Saving Schedules Ch. 10, pp. 191-198Feb 27 The Theory of Investment Ch. 10, pp. 199-204Feb 29 The Multiplier Effect Ch. 10, pp. 204-210Mar 2 Exam 2Mar 5 The Aggregate Expenditures Model Ch. 11, pp. 211-225Mar 7 Equilibrium versus Full Employment GDPCh. 11, pp. 225-232Mar 9 Aggregate Demand and Supply Ch. 12, pp. 233-244Mar 12 Demand-Pull, Cost-Push InflationCh. 12, pp. 244-253;Appendix to Ch. 12Mar 14 Fiscal Policy Ch. 13, pp. 257-269Mar 16 The U.S. Public Debt Ch. 13, pp. 269-278Mar 19-24Spring BreakMar 26 The Functions and Measurement of MoneyCh. 14, pp. 280-286Mar 28 The Federal Reserve andthe Banking SystemCh. 14, pp. 287-290Mar 30 The Financial Crisis of 2007-2008 Ch. 14, pp. 290-298Apr 2 Bank Money Creation Ch. 15, pp. 299-309Apr 4 The Monetary Multiplier Ch. 15, pp. 309-313Apr 6 Exam 3Apr 9 Theory of the Interest Rate Ch. 16, pp. 314-319Apr 11 Tools of Monetary Policy Ch. 16, pp. 319-328Apr 13 Monetary Policy, Real GDP, Ch. 16, pp. 328-3403CRN 10582and the Price LevelDate Topic ReadingAssignmentApr 16 The Economic Basis for Trade Ch. 20, pp. 398-407Apr 18 Effects of Import Tariffs, Quotas,Subsidies, and other Nontariff BarriersCh. 20, pp. 408-414Apr 20 Arguments for Trade Restrictions Ch. 20, pp. 414-423Apr 23 The Balance of Payments Ch. 21, pp. 424-429Apr 25 Flexible Exchange Rates Ch. 21, pp. 429-434 Apr 27 Fixed Exchange Rates; Managed FloatsCh. 21, pp. 434-438Apr 30 The Causes of U.S. Trade Deficits Ch. 21 pp. 438-444May 2 Final Examination, Comprehensive 22 12:30-2:30