Course Description: Economics 212 Principles of Economics II (3 semester hours)

Explores the role of markets in capitalistic economies, the theory of consumer choice, and production cost. Also includes the economics of the firm, an examination of government regulation of business, the operation of resource markets and the determination of income distribution, and international trade. Prerequisite: Economics 211.

Instructor: David Fuqua
Phone: 594-2279 cell
Campus voice mail: 452-8600 Ext 2571
E-Mail: davidfuqua@comcast.net

Textbook: Economics, by William A. McEachern

General Education To provide information which enables students to identify and

Goals analyze the social aspects of culture and cultural heritage.

To provide information which enables students to recognize, describe, and explain social institutions, structures, and processes and the complexities of a global culture and diverse society.

To explore the relationship between the individual and society as it affects the personal behavior, social development and quality of life of the individual, the family, and the community.

To examine the impact of behavioral and social scientific research on major contemporary issues and their discipline’s effects on individuals and society.

To analyze and communicate the values and processes that are used to formulate theories regarding the social context of individual human behavior in the social and behavioral sciences.

Outcomes: This course focuses on one particular social aspect of our culture: the economic system. More specifically, it concerns the process of exchange, which is central to that system and the markets, which are the primary mechanisms for that exchange. Upon successful completion of this course, the student will be aware of the properties of the exchange process which will make it advantageous, whether that exchange occurs between individuals, between individuals and firms, or between nations. The student will also understand how the efficiency associated with the market mechanism is affected by the degree of competition among the producers and the size of the producing firms and will recognize how these are related to issues involving the government regulation of business. Similarly, the student will understand how efficiency and the equity of income distribution are influenced by the degree of competition, which exists among the buyers and sellers in resource markets such as those, which exist in labor.

Other Goals: To expose students to systems of mathematical logic. To ensure that students develop effective written communication skills. To encourage the development of skills for identifying problems and selecting appropriate means for solving them. To foster the development of critical skills that will encourage student growth in the areas of personal assessment and the evaluation of values.

Attendance: Attendance will be taken at each class meeting. The class meets once a week and attendance is strongly encouraged. I recognize that work conflicts occur frequently with some evening students, so I recommend communicating with a fellow student who can take notes and keep you informed on homework, reading assignments, and test reviews.

Assessment: Student performance will be assessed by the use of three major examinations. These exams will include brief discussion, short answer, and multiple choice. In addition, the creation of graphs and solution of math problems will be included.

Grading: 90% 3 Exams (Final is not comprehensive)
                10% participation/homework/readings
                100%

Homework questions will be assigned and answered in class. The purpose of homework is to monitor student progress over key economic concepts. Students will be prepared to participate each class meeting. Additionally, articles are randomly assigned during the semester. We will discuss these in class. They are opportunities for students to participate in class discussions and improve your participation grade.

Make-Up Exams: The student is strongly encouraged to take all exams at the appointed time. If you have a work conflict please let me know in advance. Make up exams can be scheduled with approval of the instructor. Legitimate reasons for missing an exam will be considered.

Disabilities: In compliance with the Americans Disabilities Act, it is the student’s responsibility to contact his/her instructor concerning any special accommodations required for completion of course requirements. The Office of Disability Services is located in C206B.

Non Discrimination Policy It is the intent of Volunteer State Community College to fullycomply with Executive Order 11246, as amended, the Veterans Readjustment Act of 1974, as amended, and all regulations implementing those laws and orders for the promotion and ensuring of equal opportunity for all persons without regard to race, color, religion, sex, national origin, age, disability, political affiliation, sexual orientation, or status as a qualified disabled veteran or veteran of the Vietnam era. It is the intent of VSCC to be free of discrimination or harassment on the basis of sex, race, religion, color, national origin, age, disability, political affiliation, sexual orientation, veteran status, or physical appearance. It is the intent of VSCC to fully comply with Titles VI and VII of the Civil Rights Act of 1964, as amended and the CRA of 1991, Title IX of the Education Amendments of 1972, as amended, the Equal Pay Act of 1963, as amended, the Age Discrimination in Employment Act of 1976, the Age Discrimination Act of 1975, and the Pregnancy Discrimination Act and the Americans with Disabilities Act of 1990, applicable state statutes and all regulations promulgated pursuant thereto.

Important Dates
January 19^th Holiday (College closed)
 March 1-6 Spring Break (classes do not meet)
April 9-10 Good Friday (College closed)
April 26- May 1 Final Exams

Topical Outline  
Elasticity of Demand and Supply (Chapter 5)
A. Calculation and interpretation
B. Price elasticity of demand and total revenue
C. Determinants of Price Elasticity of Demand
D. Price elasticity of supply
E. Calculation and interpretation
F. Income elasticity of demand
G. Cross price elasticity

Consumer Choice and Demand (Chapter 6)
A. The Law of Diminishing Marginal Utility
B. The substitution and income effect.

Production and Cost in the Firm (Chapter 7)
A. Explicit and implicit costs
B. Law of Diminishing Marginal Returns
C. Costs in short run
D. Costs in long run
E. Economies and diseconomies of scale

Perfect Competition (Chapter 8)
A. Perfect competition matrix
B. Short Run profit Maximization/minimize losses
C. Long Run

Monopoly (Chapter 9)
A. Monopoly matrix
B. Barriers to entry
C. Costs and Profit maximization
D. Allocation of resources
E. Price discrimination

Monopolistic Competition and Oligopoly (Chapter 10)
A. Monopolistic competition and Oligopoly matrix
B. Short Run profit maximization
C. Long Run
D. Models of Oligopoly
E. Kinked demand model
F. Oligopoly and economic efficiency

Resource Markets (Chapter 11)
A. The demand and supply of resources
B. Calculation of Marginal revenue product
C. Shifts in the demand for resources

Labor Markets and Labor Unions (Chapter 12)
A. Labor supply and Utility Maximization
B. Wage determination
C. Unions and Collective bargaining

International Trade (Chapter 19)
A. The reasons for international trade
B. Theory of comparative advantage
C. Gains from international trade
D. Effects of trade restrictions
E. Protectionism