Economics 2 (U01149)

? Credit Points : 40 ? SCQF Level : 8 ? Acronym : MSE-2-Econ2

The course is intended to develop a rigorous understanding of core economic models and analysis, together with an ability to apply the analysis in a variety of contexts. The first semester focuses on the economic analysis of risk, information and strategic behaviour with applications to both microeconomic and macroeconomic contexts, such as asset pricing, insurance and credit markets, macroeconomic policy, and oligopoly. The second semester focuses on time and expectations. The topics covered will include intertemporal choice, expectations, and some basic techniques of dynamic modelling. Applications are likely to include consumption and saving behaviour; investment, taxation, public sector debt and deficits, asset markets, economic growth and business cycles. Relevant mathematical and statistical techniques (e.g. the basics of probability theory, simple difference equations, elements of econometric analysis) are developed and applied to economic contexts as an integral part of the course. Students with a weak maths background will need to be prepared to work at developing their maths skills. Learning-by-doing, through problem solving and project work, are an important ingredient of the course, with regular on-line tests to reinforce an active approach to learning. The recommended textbooks are: Besanko and Braeutigam 'Microeconomics: an Integrated Approach' (Wiley) and Mankiw 'Macroeconomics' (Palgrave).

Entry Requirements

? Pre-requisites : U01141 Economics 1A

Variants

? This course has variants for part year visiting students, as follows

Economics 2 (VS1) (Semester 1 (Blocks 1-2))

Subject Areas

Home subject area

Economics, (Management School and Economics, Schedule H)

Delivery Information

? Normal year taken : 2nd year

? Delivery Period : Full Year (Blocks 1-4)

? Contact Teaching Time : 4 hour(s) per week for 20 weeks

First Class Information

Date	Start	End	Room	Area	Additional Information
18/09/2007	10:00	11:00	Lecture Theatre 2, Appleton Tower	Central

All of the following classes

Type	Day	Start	End	Area
Lecture	Tuesday	10:00	10:50	Central
Lecture	Friday	10:00	10:50	Central

? Additional Class Information : Plus one two hour tutorial

Summary of Intended Learning Outcomes

After successful completion of this course the student will have knowledge and understanding of: the economic analysis of risk, information, strategic behaviour, intertemporal choice, basic dynamics, and expectations. Together with the ability to apply this analysis in a variety of economic contexts, including: asset pricing; insurance and credit markets; oligopoly; consumption and saving behaviour; investment; public sector debts and deficits; economic policy; inflation; economic growth and business cycles.
Ability to apply basic mathematical techniques in economic contexts: probability theory; maximization/minimization; simple difference equations; elements of econometric analysis.
General skills developed include: critical analysis and assessment; reasoning adaptably and systematically; problem-framing and problem-solving skills; numeracy and quantitative skills; obtaining and processing information from a variety sources; presentation and communication skills; interpersonal and group skills; computer and IT skills; independent action and initiative; managing tasks and time; coping with stress.

Assessment Information

Completion of formative on-line (multiple choice) tests: 5% point penalty for failure to submit at least 80% of tests.
Semester 1 class exam (multiple choice): 10%
Essay (2000 words; semester 1): 20%
Teamwork project (semester 2): 10%
Degree exam: 60%
Resit exam: 100%