Introductory description

To introduce quantitative economics to students with a relatively strong mathematical background and to extend this
analysis through the use of mathematics. The focus is mainly on economic theory but "real world" applications of relevant theories may also be examined.

Module web page

Module aims

Outline syllabus

This is an indicative module outline only to give an indication of the sort of topics that may be covered. Actual sessions held may differ.

The focus is mainly on economic theory but "real world" applications of relevant theories will also be examined, subject to time limitations. The module will typically cover the following topics:

Term 1: microeconomics, which is concerned with the economic behaviour of individual consumers and producing firms, and their interaction in markets for goods, services and factors of production, strategic interaction and the analysis of externalities and public goods.

Topic-1: Introduction: What is Economics? (Parkin: Chapter 1&2)
Topic-2: Demand and Supply (Parkin: Chapter 3 )
Topic-3: Consumer Choices (N&S: Chapter 3&4 and Parkin: Chapter 9)
Topic-4: Uncertainty and Information (Parkin: Chapter 20 )
Topic-5: The Firm: Production (N&S: Chapter 9 and Parkin: Chapter 11 )
Topic-6: The Firm: Cost (Parkin: Chapter 11 )
Topic-7: The Market: Perfect Competition (Parkin: Chapter 12 )
Topic-8: The Market: Monopoly (Parkin: Chapter 13 and N&S: Chapter 14)
Topic-9: The Market: Oligopoly and Game Theory (N&S: Chapter 8 &15)
Topic-10: Public Goods and Externality (Parkin: Chapter 16&17 )

Term 2: macroeconomics, which is concerned with aggregate economic variables or the workings of the national economy as a whole: aggregate output (Gross Domestic Product or GDP), employment and unemployment, inflation, interest rates, the balance of payments, exchange rates, etc., and with government economic policies to influence these variables.

Topic-1: Introduction to Macroeconomics: (Lecture notes + Rochon & Rossi Ch.1 & 2, + Gandolfo Ch.1)
Topic-2: National Accounts, Alternative Measurements (Lecture notes + Miles, Scott & Breedon Ch.2 + Rochon & Rossi Ch. 7 & 8 + Mankiw Ch.3)
Topic-3: Income Distribution, Demand Side & Supply Side of Economy (AD/AS) (Lecture notes, Blanchard, Amighini and Giavazzi Ch. 8 + Rochon & Rossi Ch.7 + Mankiw Ch. 3 & 10 & 11 & 12)
Topic-4: Money, Banking & Financial System (Lecture notes + Rochon & Rossi Ch.4 & 5 & 6 & 15 + Mankiw Ch. 4 & 11 & 12 + Blanchard, Amighini and Giavazzi Ch.5 & 6 & 14)
Topic-5: Shocks & Fluctuations Using IS-LM model, The Great Depression, Economic & Financial Crises (Lecture notes + Mankiw Ch.12 + Blanchard, Amighini and Giavazzi Ch.20)
Topic -6: Inflation, Unemployment and Phillips Curve (Lecture notes + Mankiw Ch. 5 & 7 & 14 + Rochon & Rossi Ch.8 + Blanchard, Amighini and Giavazzi Ch.7 & 9 & 10, Carlin & Soskice Ch.2)
Topic -7: The 3-Equation Model and Macroeconomic Policy (Lecture notes + Carlin & Soskice Ch.3)
Topic -8: Economic Growth, Capital Accumulation, Population Growth, Technological Advancement (lecture notes + Mankiw Ch.8 & 9 + Rochon & Rossi Ch.10 + Blanchard, Amighini and Giavazzi Ch.11 & 12 & 13)
Topic -9: Open Economy Model (Lecture notes + Mankiw Ch.6 & 13 + Amighini and Giavazzi Ch.6)

Learning outcomes

By the end of the module, students should be able to:

• Demonstrate knowledge of economic behaviours, outcomes, trends, developments, phenomena, institutions and policies
• To demonstrate the capacity for abstract reasoning and to simplify economic problems through the application of theoretical models

Indicative reading list

The micro lectures will be teaching from a mix of two textbooks.

1. Microeconomics, Global Edition by Michael Parkin (12th Edition) Microeconomics Theory:
2. Basic Principles & Extensions by Walter Nicholson and Christopher Snyder (12th Edition)

The Macroeconomics lectures are based on a combination of the following books/textbooks:
1- Macroeconomics, Macmillan Education by N. Gregory Mankiw (9th Edition)
2- Economics Dynamics, Springer by Giancarlo Gandolfo (3rd Edition)
3- An Introduction to Macroeconomics, A heterodox approach to economic analysis by L.P. Rochon & S. Rossi (Edward Elgar publishing)
4- Macroeconomics, Understanding the Global Economy by D. Miles, A. Scott, F. Breedon (3rd Edition) Macroeconomics, Institutions, Instability, and the Financial System by W. Carlin & D. Suskice

View reading list on Talis Aspire

Subject specific skills

Students will have the opportunity to develop skills in:
Analytical thinking and communication
Analytical reasoning
Critical thinking
Strategic thinking
Problem-solving
Abstraction
Policy evaluation
Analysis of incentives
Analysis of optimisation

Transferable skills

Students will have the opportunity to develop skills in:
Numeracy and quantitative skills
Written communication
Oral communication
Information technology
Mathematical, statistical and data-based research skills