EC204: Economics 2

Jo Turrall
Module Leader

30 CATS - Department of Economics

Introduction

From this module students can develop a deeper understanding of economic concepts introduced in analysis. It will also introduce to new concepts in both micro and macroeconomic analysis and in the analysis of public policy issues such as market failure and counter-inflation policy.

Principal Aims

The module aims to enable students to develop a deeper understanding of economic concepts introduced in first–year analysis and to introduce new concepts in both micro and macroeconomic analysis. New concepts include material drawn from general equilibrium, welfare economics, game theory, modern macroeconomic theory, monetary policy, and macro-labour models. The module aims to introduce students to the analysis of public policy issues such as market failure and counter-inflation policy.

Principal Learning Outcomes

Subject knowledge and understanding:...demonstrate knowledge of macroeconomic policies and understand the role of theory in analysing their effectiveness.

Subject knowledge and understanding:... abstract and simplify economic problems through the application of theoretical models.

Key Skills:... communicate knowledge and understanding of economics in written, spoken, graphical and in mathematical forms.

Subject knowledge and understanding:...apply rigorous knowledge of theoretical models which underlie economic analysis.

Subject knowledge and understanding:...understand the uses, applications and limitations of theoretical models.

Subject knowledge and understanding:...demonstrate knowledge of microeconomic policies.

Cognitive Skills:...analyse competing models and hypotheses in a critical way.

Key Skills:...present the output of their own work to an audience.

Key Skills:...conduct individual and collaborative research into an Economic topic, using world wide web and library resources.

Cognitive Skills:...analyse and formulate models for understanding and solving problems.

Subject-Specific/Professional Skills:...select and apply appropriate economic models and techniques to particular problems especially those of a policy nature.

Subject-Specific/Professional Skills:...produce concise and analytical reports relating to economic problems and issues.

Subject knowledge and understanding:...understand key concepts and principles in intermediate microeconomics and macroeconomics.

Syllabus

The module will typically cover some of the following topics:

Microeconomics: consumer theory, preferences, indifference curves, budget constraints, optimisation, revealed preference, Hicksian and Slutsky analysis. Choice under uncertainty: expected value and expected utility, insurance, asymmetric information including moral hazard and adverse selection. The analysis of general equilibrium and welfare economics. Consideration of the economics of public policy issues such as externalities and public goods. Game theoretic approaches to oligopoly, entry and other strategic areas in industrial and business economics. Macroeconomics The three equations underlying modern macroeconomic theory and policymaking. Monetary policy. The open economy. Macro-labour models.

Context

Core Module

V7MR - Year 2, V7ML - Year 2, V7MP - Year 2, LM1D (LLD2) - Year 2, GL11 - Year 2, L1L8 - Year 2, R9L1 - Year 2, R3L4 - Year 2, R4L1 - Year 2, R2L4 - Year 2, R1L4 - Year 2, L1CC - Year 2, L1CA - Year 2, R2L5 - Year 2, R4LA - Year 2, R1L5 - Year 2

Optional Module

LA99 - Year 2

Pre or Co-requisites

Any of:

EC106-30 Introduction to Economics OR

EC107-30 Economics 1 OR

EC108-30 Macroeconomics 1 AND EC109-30 Microeconomics 1 OR

EC131-15 Economics for Business AND EC229-15 Economics of Strategy AND IB121-15 Business Statistics (with a mark of at least 60%) AND IB122-15 Business Analytics (with a mark of at least 60%)

Summary:

Modules: EC106-24 or EC107-30 or (EC108-30 and EC109-30) or (EC131-15 and EC229-12 and EC229-15 and IB121-15 and IB122-15)

Restrictions

May not be combined with modules EC202-30 or EC201-30

Assessment

Assessment Method: Coursework (40%) + Centrally-timetabled examination (On-campus) (60%)
Coursework Details: Centrally-timetabled examination (On-campus) (60%) , Participation in and engagement with Support and Feedback classes (10%) , Test 1 (15%) , Test 2 (15%)
Exam Timing: Summer