Faculty Syllabus

Objectives/Outcomes (established by the instructor): See Review Questions

Grading System: Course evaluation will be based on TWO (2) exams:

Exam I: covers the first half of the course (30 questions worth 4 points each for a total of 120).

Exam II: covers (mostly) the second half (same format, 120 points).

Final course grade*:

            A         180 points (90 or better average)

            B         160 points (80–89 average)

            C         130 points (65-79 average)

            D         100 points (50-64 average)

            F          Below 100 points (< 50 average)

            Borderline cases (D+ and C+) can be moved up one letter grade (C and B) based on attendance and improvement.  Students making 90 or higher on                           exam I, who score lower on exam II will be graded based on points (see above).

*Both exams contain a built in 20 point curve (total possible 240 points).  However, 180/240 points = A, 160/240 = B etc.

See Syllabus Below

Text (Required): Macroeconomics (14th), Roger Arnold. Text is FDA, paid in your tuition

Instructional Methodology: The test material (curriculum) is presented using (1) lectures, and (2) handouts.   

Instructional Videos: Khan Academy

See Syllabus Below

Course Description:  Principles of Macroeconomics deals with consumers, producers, markets, and the effects of government policies on income, output, and employment.  Specifically, Macroeconomics is concerned with Fiscal and Monetary policies which effect unemployment, inflation, and the business cycle.

Review Questions     

Econ 3201

Exam I

The exam covers the following review questions.  To study for the test, you should write out the answers to these questions from your class notes, before the exam.  Then, you need to take the old tests as practice exams.

1.         Define Science, Scientific Method, and Theory, and how do they fit together?    What are Laws, Principles, and Beliefs.  What is a model?

2.         Define and give examples of Opportunity Cost, MB, MC, and Cost-Benefit Analysis.

3.         Define and give examples of Positive and Normative statements.

4.         What are the “Common Fallacies”?

5.         What are Production Possibilities Curves, and which type of costs are   involved?  What are the assumptions and conclusions regarding the two cases?     These curves can be useful in what type of analysis?

6.         Market Analysis:

            a.         Distinguish Demand fromQuantity Demanded.

            b.         Law of Demand vs. Shift Variables.

            c.         Distinguish Supply from Quantity supplied.

            d.         Law of Supply vs. Shift Variables.

            e.         What are Peand Pm?

            f.          Price floors andceilings.

            g.         Surplus and Shortages.

            h.         What are the four Market Possibilities.

7.         Be prepared to make predictions concerning Markets and Events similar to

            The Work Sheet using graphs.

8.         What are the requirements for Perfect Competition according to Smith and

            Slivinske?  What is the definition of Effective Competition?

9.         What are Smith’s “Law of Accumulation” and the “Law of Population”, and      how do they produce Economic Growth?  What parts of the theory are true today

            according to your professor?

10.       Based on your professor’s theory, what are the connections between the Protestant       Reformation (16thcentury), and the Industrial-Scientific Revolution (18th     century)?

11.       Contrast and compare the Political Economy of Mercantilism, with the Laissez-Faire system of Adam Smith.

12.       What has caused the exponential growth in World Population since 1750           according to Dr. Al?

13.       Explain the Malthusian Population Theory including the “checks” on population,             and what was his major misunderstanding (i.e. failed assumption).

14.       Demographic Transition Model:

            a.         What are the areas of the World in each stage?

            b.         What are the population growth rates for each stage?

            c.         What are the comparative economic developments for the stages?

            d.         What factors lead to the decline in CDR’s and CBR’s in stage II and IV

                        respectively?

            e.         What are the differences between Developing, and Developed countries                                    with respect to their Demographic experiences? 

Review Questions

Econ 2301

Exam II

The exam covers the following review questions.  To study for the test, you should write out the answers to these questions from your class notes, before the exam.  

Keynesian Macroeconomics

1.         Define and demonstrate your understanding of the following (including types)     concepts:

            GDP, GDI, Y, C, S, I, G, T, X, M, Yd

2.         What is the basic Macro Model?

3.         Explain Yd= C + S

4.         What is the Keynesian consumption function? The modern consumption             function?

5.         Differentiate between movements along functions, and shifts of functions

6.         Explain autonomous functions (i.e. I, G, etc)

7.         Derive and explain the full Macro model

8.         Explain the derivation of Ye.  Using Y, explain how the economy adjusts when

            Y > Ye, and Y < Ye

9.            Using the Principle of the Multiplier, be able to explain and solve problems using:

            a.         Spending multiplier and formulas

            b.         Tax multiplier and formula

            c.         Balanced Budget multiplier and formula

10.       What are the basic Macro Policy Goals?  And, what is Fiscal policy and how is it          used to solve for the Goals?

11.       What are the types and tools of fiscal policy (and by whom)?

12.       Explain the concept of unemployment, what types, and which types the Government accepts and/or tries to eliminate.  What is Yf?

13.       What are AD, AS, Leakages and Injections?

Money and Banking

14.       What is the Goods Market Equilibrium?  Money Market Equilibrium?

15.       Define M1, M2, M3.  What is Liquidity?

16.       What are Ms, and Md?

17.       What are the two theories regarding Md?

18.       Distinguish between shifts of Mdand movements along Md

19.       What is the relationship between Bond prices (Bp) and Interest rates (i)?  Use   portfolio analysis to predict Mdand changes in i

20.       What is MV = PQ?  What are the theories regarding this equation, their             assumptions, and conclusions?

21.       Using the monetary equations and double entry bookkeeping, show the effects of           new deposits or new reserves on (1) a single banks balance sheet, and (2) the            process of money creation within the entire banking system

22.       Define the following:

            a.         Total Reserves

            b.         Required Reserves

            c.         Excess Reserves

            d.         Secondary Reserves

23.       Using the Asset-Liability Sheets of both commercial banks and the Federal        Reserve bank, be able to explain the different kinds of assets and liabilities.

            Which ones are important for money creation?

24.       Define the types and tools of Monetary Policy.  Who is responsible for monetary           policy, and what is FOMC?

25.       Work through both an expansionary and contractionary monetary policy using the          open market operations, Federal Reserve Banks, and Commercial Banks

26.       What are the legal goals of the Federal Reserve, and how do they square with the          Phillips Curve?

27.       Explain the AD-AS model including the shapes, and shift variables.  What are P             and Yr?

28.       Use the AD-AS model to explain:

            a.         Inflation

            b.         Stagflation

            c.         Supply-Side Economics

29.       What does the Laffer Curve show?

ECON 2301

A. J. Slivinske, Jr., Ph.D.

Spring 2025

Course Information:            

Principles of Macroeconomics

ECON 2301-011

CYP M-Th Rm 2232

ECON 2301-012

RRC M-Th Rm 2226

Instructor Information:

Professor: A. J. Slivinske Ph.D.

Office hours M-Th CYP2231; F 8-11am, by apt.

Office 2128 NRG

Email: alslivin@austincc.edu

Phone 512-223-4765

Course Description:  Principles of Macroeconomics deals with consumers, producers, markets, and the effects of government policies on income, output, and employment.  Specifically, Macroeconomics is concerned with Fiscal and Monetary policies which effect unemployment, inflation, and the business cycle.

Text (Required): Macroeconomics (14th), Roger Arnold. Text is FDA, paid in your tuition

Instructional Methodology: The test material (curriculum) is presented using (1) lectures, and (2) handouts.   

Instructional Videos: Khan Academy

Course Rationale: This course is meant to give students insight into the dynamics of our national economy. The knowledge gained in the course will make students better informed citizens and allow them to follow the debates over national economic policy reported in the news media. This course is also a foundation course that will prepare students to be successful in upper division finance, marketing, business administration, economics, government, and social work courses.

Common Course Objectives/ Student Outcomes (established by the economics department):  Students who complete this course will be able to understand:

• • the meaning of unemployment and inflation data and how that data is collected and computed;
  • the meaning and components of the National Income Accounts, especially GDP, GDI, and the basic Macro model.
  • the meaning of the business cycle and its phases;
  • and to manipulate the basic Aggregate Supply, Aggregate Demand model of the macro economy;
  • how fiscal policy operates, its tools, and its advantages and drawbacks;
  • how a fractional reserve banking system works;
  • how monetary policy operates, its tools, and its advantages and drawbacks.

Objectives/Outcomes (established by the instructor): See Review Questions

Grading System: Course evaluation will be based on TWO (2) exams:

Exam I: covers the first half of the course (30 questions worth 4 points each for a total of 120).

Exam II: covers (mostly) the second half (same format, 120 points).

Final course grade*:

            A         180 points (90 or better average)

            B         160 points (80–89 average)

            C         130 points (65-79 average)

            D         100 points (50-64 average)

            F          Below 100 points (< 50 average)

            Borderline cases (D+ and C+) can be moved up one letter grade (C and B)                          based on attendance and improvement.  Students making 90 or higher on                           exam I, who score lower on exam II will be graded based on points (see                          above).

*Both exams contain a built in 20 point curve (total possible 240 points).  However, 180/240 points = A, 160/240 = B etc.

Course Policies: Attendance is Required.  You are expected to withdraw if you cannot keep up with the material (although I reserve the right to withdraw the student for failure to show progress etc).  Since I will provide most of the course curriculum in class, you will not perform well if you miss class.  Make-up exams are given, only with prior approval by notification of the professor before the exam date.  Any material missed due to absences is the student’s responsibility to make up.

Material presented in class is either:

            1.         important and on the tests (see review questions)

            2.         important and not on the test but is something college students

                        should know.

Scholastic Dishonesty:  Acts prohibited by the college for which discipline may be administered include scholastic dishonesty, including but not limited to cheating on an exam or quiz, plagiarizing, and unauthorized collaboration with another in preparing outside work. Academic work submitted by students shall be the result of their thought, research or self-expression. Academic work is defined as, but not limited to tests, quizzes, whether taken electronically or on paper; projects, either individual or group; classroom presentations, and homework.

Students with Disabilities:  Each ACC campus offers support services for students with documented physical or psychological disabilities.  Students with disabilities must request reasonable accommodations through the office of Student Accessibility Services (SAC) on the campus where they expect to take the majority of their classes. Students are encouraged to do this three weeks before the start of the semester.

ACC Concealed Handgun Policy Online:

            http://www.austincc.edu/campus-carry

Student Accessibility Services: Each campus has support services and you can call 512-223-4726, or reach by Email at: NRGSAS@austincc.edu

Student Technology Support: ACC provides free WiFi 7am-11pm, seven days a week.  Details at: http://www.austincc.edu

College Policies : This will be on Blackboard as an Addendum.

Course Outline/Exam Dates:

I           Introduction (text ch 1 & Appendix A; text ch 2)

                        A         Course requirements and Objectives

                        B         Basic core topics

                        C         Production Theory

            II         Market Analysis (text ch 3-5)

                        A         Demand Theory

                        B         Supply Theory

                        C         Market Equilibrium/Disequalibrium

                        D         Market and Events (applications)

            III        Adam Smith and Classical Economics (handouts)

                        A         Perfect Competition

                        B         Economic Growth

                        C         Economics History

            IV        Economics Growth and Population (handouts)

                        A         Malthusian Model

                        B         Demographic Model

Exam 1            Exam 1 March 12-13

            V         National Income Accounts (text ch 7)

                        A         Model: Y = C + I + G + X-M

                        B         GDP = GDI

                        C         Types of C, I, G, X, M

                        D         Yd = disposible income = C + S

            VI        Basic Keynesian System Basic Model: Y=C+I+G+X-M (text ch10)

                        A         C = f(Yd); C = Co + MPC(Yd); MPC = dC/dYd

                        B         Autonomous I,G,T,X,M, and determination of Ye

                        C         Mulitplier Analysis

VII      Fiscal Policy (text chs 6&11)

                        A         Macro Goals and YF

                        B         Business Cycles

                        C         Types of policies

                        D         Tools of Policy

VIII     Money and Theory (text chs 12, 14, 15)

            A         Ms

            B         Md

            C         Financial Markets

            D         MV = PQ and variations

IX        Commercial Banks (text ch 12)

            A         Money Creation

            B         Fractional Reserve Banking

            C         Money Multipliers

            D         Asset/Liability Sheets

X         Monetary Policy and the Federal Reserve (text chs13&15)

            A         Types of Policy

            B         Tools of Policy

            C         Legal Goals

            D         Phillips Curve

XI        AS and AD and Reality (text ch 8)

            A         AD

            B         AS

            C         Fiscal and Monetary Policy

            D         Inflation, Stagflation (Supply Shocks), and Supply-Side Economics (Laffer Curve).

Exam 2            Exam 2 May 14-15