APPLIED ENGINEERING ECONOMICS
LEARNING OUTCOMES OF THE COURSE UNIT
The objective of the course is to provide the students with theoretical and analytical skills useful for the understanding of the modern economic environment and the interactions between endogenous and exogenous economic variables. The course also provides students conceptual and analytical tools to understand how modern organizations and institutions operate.
KNOWLEDGE AND UNDERSTANDING: Through the frontal lessons, the student will acquire the methods and knowledge necessary to understand and describe the economic systems. In particular, the student will learn about the market's structure and the way market operate, both in microeconomic and macroeconomic terms. At the end of the course, the student will acquire the main knowledge about the company's economic theory and macroeconomics.
APPLYING KNOWLEDGE AND UNDERSTANDING: The theoretical lessons will be complemented by exercises aimed at highlighting the relationship between theoretical and operational aspects. In particular, through practical classroom exercises, the student will learn how to apply the acquired knowledge in a realistic (economic) context. At the end of the course the student will be able to apply the acquired knowledge to the analysis of the economic context where the company operates.
MAKING JUDGEMENTS: The student must be able to understand and critically evaluate the main economic systems. At the end of the course, the student is expected to be able to make autonomous and aware judgments on micro and macroeconomics issues.
COMMUNICATION SKILLS: The course aims to enhance the communication skills of students by stimulating their ability to provide information, ideas and solutions to real-world problems. Through the frontal lessons and the discussion with the professor, the student will acquire the specific economic vocabulary.
LEARNING SKILLS: Students will be able to critically analyze economic phenomena, and contextualize the logic of micro and macroeconomics. He will also be able to deepen its knowledge through the autonomous consultation of specialized texts, scientific journals or dissertations, even outside the topics explained during the lessons.
COURSE CONTENTS SUMMARY
According to a "micro-macro" approach, the course illustrates in a linear and essential way the fundamental concepts of the economy, which are explained from examples of everyday life and important events at national and international level. Specifically, after a brief introduction about the economic system, the course is structured in two main parts. The first one introduces the main concepts of microeconomics, that is the individual agents operating in the economic system. In particular, the problem of demand and supply of goods and services, the "consumer problem" and business theory will be addressed.
The second part introduces the concepts of macroeconomics, and focuses on the overall economic system in terms of aggregate demand and supply. In particular, in this part of the course the main themes that characterize the economic analysis regarding the determination of national income, employment, general price level and the macroeconomic balance will be addressed.
The suggested book is "Elementi di Economia" (VI edizione, Sloman J. e Garrat D., Casa Editrice Il Mulino). Moreover, the notes of the professor, as well as exercises, teir solutions and all the supporting material used during the lessons will be available for students on the home page of the course on the web platform Elly.In addition, students may refer to the following secondary books:
- Begg D., Vernasca G., Fischer S. e Dornbusch R., “Economia”, McGraw-Hill.
- Sloman J. e Garratt D., "Microeconomia" (IV edizione), il Mulino.
- Blanchard O., Amighini A. e Giavazzi F., “Macroeconomia”, il Mulino.
ASSESSMENT METHODS AND CRITERIA
The final exam consists in a written test and an optional oral test.
The written test, lasting 1,5 hours, covers the whole course program, includes 10 theory questions (1,5 points/question) and 3 exercises (5 points/exercise). Students who must take a further oral examination is at the discretion of the professor. Each student may require to have this oral exam in order to improve the result obtained with the written test.
Only for the student that will attend lectures, it is possible to realize 1 or 2 written tests during the course. The written test or tests will be agreed with students at the beginning of the course, and will have the same structure of the final exam. Students have to register to the exam, exclusively via internet (https://unipr.esse3.cineca.it) until 7 days before the exam.
A non-programmable calculator can be used during the exam, but it is not allowed the use of books, notes and other teaching materials.
During the academic year, 7 exams sill be scheduled (in addition to the written test during the course), divided in three sessions January/February and March/April, June-July, and September. Three exams will be planned in the session immediately after the end of the course (January/February and March/April), two in the remaining sessions.
The course includes both theoretical lessons and exercises, for a total of 63 hours (corresponding to 9CFU). During the theoretical lessons, the main concepts of micro and macroeconomics will be discussed, with the aim of providing a conceptual and operational framework to understand how economic systems operate. During the exercises, the student will have to apply the theoretical concepts to practical exercises or real cases, either autonomously or by group work and under the supervision of the professor. Moreover, before the end of the course, some final exercises will be carried out, consisting in a simulation of the final exam (both in term of duration and structure). During these exercises, the student will be required to work autonomously, and at the end the professor will show the solution.
Non-attending students are recommended to periodically check the available teaching material and the instructions provided by the professor on the Elly web platform, this is e only professor/student communication tool. On this web platform, the slides used during the lessons and any additional material provided by the teacher will be uploaded weekly.
INTRODUCTION: What is economy; The economic Systems.
PART I: MICROECONOMICS: Markets, demand/supply and equilibrium, Individual and market demand, Elasticity, Theory of production, Monopoly, oligopoly, and market structure.
PART II: MACROECONOMICS: Goods and Financial Markets, The Labor Market, The Natural Rate of Unemployment and the Philips Curve, Output and Policy Government, The IS-LM model.