Syllabus / reading list - Ka-fu Wong - The University of Hong Kong

THE UNIVERSITY OF HONG KONGFACULTY OF BUSINESS AND ECONOMICSSchool of Economics and FinanceECON1001: Introduction to Economics ISummer 2013July 2 – August 24Instructor:Email:Dr. Ka-fu WONGkafuwong@econ.hku.hkCourse webpage: Accessible through HKU portal (HKU portal username and passcode required)COURSE INFORMATION:Course Overview: Economics is the study of human action. To understand how people can cooperate insocial orders, and why they often cannot, we need to have a framework for understanding human action andits consequences. Economics provides one such framework. This is a course in microeconomics: the theory ofconsumers, firms, prices, and markets. Microeconomics has been applied to wide range of issues, from whatdetermines the price of consumer goods, to such things as how people vote, how much education they acquire,and how many children they have.The purpose of this course is to actively engage students in the discovery of the economic content of everydaylife. We will explore a range of topics and applications concerning how individuals make decisions about whatto consume, produce, buy and sell, and how they interact with other consumers, producers, buyers and sellers inthe marketplace. We will also address the role of government in the system, and policy areas such as regulation,antitrust, taxation, poverty and welfare.Course Objectives:1. To develop literacy in microeconomics.2. To introduce the use of microeconomic models to analyze the choice of individuals, the supply decisionsof firms, and the market outcome of supply and demand interaction.3. To introduce the strategic behavior and interactions among individuals.4. To gain an appreciation of the problems facing economic policymakers and the impact of regulations onthe economy.5. To prepare students for their subsequent study of courses in Economics and Finance.Textbook: Wong, Ka-fu (2012): Principles of Microeconomics, book draft to be made available chapter bychapter, in pdf format, via the course webpage.Mode of delivery: This course is web-based. There will be no face-to-face instructions. Video lectures willbe made available, released in accordance with the suggested study schedule. On-line tutorials will be given inthe form of electronic forums.Likely successful students of this course Due to the web-based nature, success in this course requiresstrong self-discipline and motivation. Due to the shorter duration than a regular semester, students shouldplan to spend at least 20 hours per week in studying this course. Imagine, the same amount of materials thatare covered in 12 weeks in a regular semester are now covered in 7 to 8 weeks. If the course is offered in aregular semester, a typical hard-working student will spend 3 hours attending the lecture, and another 9 hoursreviewing the materials and doing assignments, i.e., a total of 12 hours per week. Given the same coverage inapproximately half the duration, we should expect to spend double the amount of time per week in studyingthis course, i.e., 24 hours per week. Because the course moves very fast, students should get help from theinstructor via email or electronic forums as soon as they see difficulty in learning the concepts.1

COURSE INTENDED LEARNING OUTCOMES (CILOs)On completion of this course, students should be able to:CILO1. Explain observed decisions of firms, decisions of consumers, and market outcome.CILO2. Analyze the effect of government policy on decisions of firms, decisions ofconsumers, and market outcome.CILO3. Understand and evaluate the economic analyses of others.TEACHING AND LEARNING ACTIVITIES (TLAs)TLA1.TLA2.TLA3.Video lectures:Instructors will give lectures on major concepts and issues, via pre-recorded videos.Homework:Students will be asked to work on weekly assignments as a review of the concepts.Consultation:Instructor will discuss and answer questions by email or a forum in the class website.ASSESSMENTAssessmentWeightA1 Final exam (Saturday, August 24, 2013, 9:30a.m. to 11:30a.m. @HKU campus) 70%A2 Weekly assignments (online) 30%A3 Participation in discussion forum (bonus) 5%Final exam: The exam will last for two hours and has to be taken in person at HKU campus on Saturday,August 24, 2013, 9:30a.m. to 11:30a.m. (venue to be announced). The format will be short-answer questions.Weekly assignments (online): One or two online quizzes (usually consisted of 10 questions, by chapters)will be posted in the course website on every Monday, to be due on the following Monday. The coverage of thequizzes will be in line with the suggested study schedule.Participation in discussion forum (bonus): Occasionally, additional questions or activities are posted inthe discussion forum. Students will be informed by email to participate in the discussion. Participation is notcompulsory. However, a maximum of 5% bonus points may be awarded to students based on both the qualityand frequency of participation.Relationship Among Intended Learning Outcome, Teaching And Learning Activities And AssessmentsCILO Teaching and Learning Activities (TLA) Assessment (A)1 2 3 1 2 31 2 3 STANDARDS OF ASSESSMENTGrades are assigned based on standard referencing, instead of distribution referencing. With standard referencing,the assignment of grades are not constrained by a pre-assigned grade distribution. That is, student’sperformance and score range are mapped into the different grades. It is perfectly possible that all studentsreceive grade A if they all have outstanding performance in various assessments. Equally possible is that allstudents receive grade F if none of them meet the standard set out in various assessments.Grade A B C D FPerformance Outstanding Proficient Competent Adequate FailScore Range 100-80 79-70 69-60 59-50

SUGGESTED STUDY SCHEDULEWeek Topic1 (Jul 02 to Jul 06) Thinking like an Economist (Chapter 1)2 (Jul 07 to Jul 13) Comparative advantage: the basis for exchange (Chapter 2)3 (Jul 14 to Jul 20) Supply and demand (Chapter 3)Elasticity (Chapter 4)4 (Jul 21 to Jul 27) Demand: the benefit side of the market (Chapter 5)Perfectly competitive supply: the cost side of the market (Chapter 6)5 (Jul 28 to Aug 03) Efficiency and exchange (Chapter 7)The quest for profit and the invisible hand (Chapter 8)6 (Aug 4 to Aug 10) Monopoly and other forms of imperfect competition (Chapter 9)Strategic choice in oligopoly, monopolistic competition, and everyday life (Chapter 10)7 (Aug 11 to Aug 17) Externalities and Property Rights (Chapter 11)8 (Aug 18 to Aug 24) Revision and Final Exam (August 24)3