Learning outcomes of the course unit
The course offers an introduction to microeconomics and
macroeconomics. By the end of the course students should be able to
understand the basic principles, concepts and methodologies of the
discipline. The course is designed primarily for students who did not
graduate in economics and need an introductory course.
In order to pass the exam you need to be able to:
Interpret the equation of a line (i.e. slope and intercept)
Manipulate a line (i.e. change the slope or the intercept)
Compute and interpret a growth rate (i.e. percent change)
Read and manipulate a graph in the Cartesian (x,y) space solve systems
of two equations with two unknowns..
derive first and second order derivatives of basic functions
Course contents summary
A one semester introduction to the basic principles of both
microeconomics and macroeconomics. Students will be introduced to the
big questions of Economics and the key ideas that define the economic
way of thinking. They will become familiar with the basic analytical tools
for data representation and economic analysis. Microeconomics topics
will include the basics of supply and demand, the behavior of consumers
and businesses, and how markets operate. Macroeconomic topics will
include the fundamental components of gross domestic product (GDP),
the problems of inflation and unemployment, and the impact of government
fiscal and monetary policies.
The course's intended audience is students who did not graduate in
economics and need an introductory course.
1. WHAT IS ECONOMICS?
1.1 SOME DEFINITIONS
1.2 MICROECONOMICS AND MACROECONOMICS
1.3 TWO BIG ECONOMIC QUESTIONS
1.4 THE ECONOMIC WAY OF THINKING
1.5 POSITIVE VS NORMATIVE STATEMENTS
1.6 ECONOMIC MODELS: WHY?
2. THE REPRESENTATION OF THE ECONOMY
2.1 THE CIRCULAR FLOW
2.2 ECONOMIC AGENTS
2.3 THE ROLE OF THE STATE
2.4 THE OPEN ECONOMY
2.5 (SIMPLE) MATHEMATICAL TOOLS FOR ECONOMIC ANALYISIS
3. MICROECONOMICS – CONSUMER
3.1 CONSUMER BEHAVIOUR
3.2 DEMAND FOR GOODS
3.3 DEMAND AND SUPPLY: EQUILIBRIUM
3.4 PRICE AND INCOME ELASTICITY
4. MICROECONOMICS – THE FIRM
4.1 INTRODUCING SUPPLY DECISIONS
4.2 COSTS AND SUPPLY
4.3 THE PERFECT COMPETITIVE CASE
4.5 IMPERFECT COMPETITION
4.6 FACTOR DEMAND
5 MACROECONOMICS – GENERAL NOTIONS
5.1 NATIONAL ACCOUNTS
6. MACROECONOMICS - AGGREGATE DEMAND AND EQUILIBRIUM IN A
6.1 THE AGGREGATE CONSUMPTION FUNCTION
6.2 THE EQUILIBRIUM IN THE GOODS MARKET
6.3 THE MULTIPLIER
7. MACROECONOMICS - INVESTMENT
7.1 FIRMS’ INVESTMENT DECISION
8. MACROECONOMICS – THE MONEY MARKET
8.1 DEMAND AND SUPPLY FOR MONEY
8.2 MONEY MARKET AND GOODS MARKET
9. MACROECONOMICS - AGGREGATE SUPPLY AND AGGREGATE DEMAND
10. MACROECONOMICS – THE LABOUR MARKET
10.1 THE LABOUR MARKET: LABOUR SUPPLY AND DEMAND
10.2 THE TRADE OFF BETWEEN UNEMPLOYMENT AND INFLATION
10.3 UNEMPLOYMENT AND BUSINESS CYCLE
R. H. Franck "Microeconomics and behaviour", 9th edition, 2015 (chapters 1-6, 8-11).
O. Blanchard, A. Amighini, F. Giavazzi "Macroeconomics: a European perspective", 2013 (chapters 2-5, 7-9).
will be uploaded on Elly platform.
Part I – Microeconomics
Part II – Macroeconomics
Classes will be both theoretical AND applied (exercises and applications
to real world problems)
Assessment methods and criteria
Written exam, carried out remotely, and held on the Elly portal until the state of emergency due to the pandemic has ended. Knowledge and learning ability will be tested in 11 short multiple answer questions, to which 1 point is awarded each, and through a numerical exercise. The exercise is divided into 5 parts to which 2 points are awarded each. In order to pass the exam, a student shall obtain 18 points, while honors are awarded to those students having complied with the requisites necessary to obtain full marks, i.e. 31/30. The exam lasts 60 minutes. It is possible to consult educational material, including the calculator. Each students receives his/her grade by email from the Segreteria Studenti within the two weeks following the exam. The on line registration for the exam is mandatory.
It is also possible to take the exam in two partial tests that will be held during the course. In this case, however, the test consists of 10 multiple choice questions, each of which is worth 1 points, a numerical exercise, divided into 5 parts to which 2 points are assigned each, and an open answer question which is worth 11 points. In order to pass the exam, a student shall obtain 18 points in both the two intermediate tests, and, similarly, honors are given to students who reach the maximum score in both the two intermediate tests, i.e. 31/30. The duration of the intermediate test is 60 minutes. Consultation of the didactic material, including the use of a calculator, is allowed. The results of the intermediate tests are communicated to the students through the Elly platform.