George Herbert Walker School of Business & Technology

Undergraduate Course Syllabus

COURSE:

ECON 2030 Principles of Macroeconomics

Location:

Leiden

Term: Spring 2014 Day(s): Thursday Time: 15.00-17.30

The Instructor: Name: Availability Mobile Phone: Email:

Mr. Randy Bootland, MBA Before and after class, always by phone or e-mail 06- 44959723 bootland@webster.edu

About the instructor Randy Bootland is a Canadian who has been living and working in the Europe since 1987. He has taught over 200 courses and given more than 2.000 classes at the BA, MA and MBA levels in North America, Europe and Asia. He also coaches young entrepreneurs to begin socially responsible businesses. He earned an MBA from York University in Toronto and was selected to participate in an exchange program in Paris (ESSEC). His business experience includes working as a communications specialist for an enterprise and development center at one of Canada's leading universities, functioning as the marketing coordinator/associate director for a local campus of a global university, and serving as a strategic advisor for a world renowned architectural firm with operations in five countries. He is a graduate of the Canadian Securities course, a registered stockbroker in Canada and a lifelong investor in the stock market.

THE COURSE

Course Definition (source: Webster University Undergraduate Catalogue) Covers economic activity and growth, determination of income, employment, output, inflation, aggregate demand and supply, money and banking, monetary and fiscal policies, and international economic issues. Prerequisite: n.a.

Course Content The course is taught by relating economic theory to current developments in the world of global business. The following topics will be explored in depth: GDP Production & Growth Employment & the Labor Force Inflation Savings, Investment, The Financial System Stock Markets The Monetary System Money Growth Exchange Rates The Influence of Monetary & Fiscal Policy Trade Deficits Budget Deficits The Financial Crisis Common Currency Areas European Monetary Union

Learning Outcomes Outcome Expectation

1. The student can describe Students can describe scarcity, marginal analysis, opportunity introductory economics terms and cost, the difference between macroeconomics and concepts. microeconomics, and the ceteris paribus assumption. 2. The student is can utilize a The student can visually represent the tradeoff between goods Production Possibilities Frontier to using the production possibilities frontier, evaluate different represent the fundamental combinations on the frontier, and justify its concave shape. The concepts of scarcity, opportunity student can also describe events that might shift the frontier. cost, and comparative advantage. 3. The student can utilize the Students can describe the difference between supply and demand, Demand and Supply model to factors that influence both supply and demand, and how the two represent the behavior of work together to determine market prices and quantities markets. observed. Given a market event, the student can model the change and determine the qualitative impact on price and sales. 4. Students are familiar with basic national income accounting measures 5. Students are familiar with inflation Students can define national income accounting measures particularly GDP, RGDP, and Per Capita RGDP. They can also discuss the calculation and drawbacks of these measures. Students understand the derivation of measures of the price level (e.g. CPI), their use in calculating inflation and in correcting other times series numbers for inflation. Students also understand the basic causes and consequences of inflation. Students understand the calculation of the unemployment rate including the definition of the civilian labor force.

6. Students are familiar with unemployment

Students also can describe the different types of unemployment (i.e. structural, cyclical, seasonal, and frictional), problems with the unemployment rate, and the concept of full employment. 7. Students can derive and utilize Students can justify the shapes of the AD and AS curves (including the Aggregate Demand and assumptions regarding the AS curve made by differing schools of Aggregate Supply model thought.) The student can also utilize the model to evaluate the qualitative impact of economic shocks on the price level and RGDP. Students can discuss the use of Fiscal Policy as both a countercyclical tool as well as a method of promoting growth in long-run supply. Students can describe the relationship between Fiscal Policy and the federal budget and the implications of the federal debt on the macroeconomy. Students can explain the use of Monetary Policy as a countercyclical tool. This includes the role of the Central Bank and the banking sector in the conduct of monetary policy. Students can discuss the role of expectations in the ineffectiveness of monetary policy in producing long-term economic growth. This should include a basic understanding of Adaptive and Rational Expectations. Students can to justify the flow of trade based on the concept of Comparative Advantage. They can describe forms of trade protection and the impact of trade protection on national welfare. Students can define the Balance of Payments accounts. And discuss the role of international flows of goods, services, and investments in the determination of exchange rates.

8. Students are familiar with Fiscal Policy

9. Students are familiar with Monetary Policy

10. Students are familiar with basic international economics.

General Skills - where applicable all Webster courses will address: Writing skills. Presentation skills. Team working skills. Multicultural skills. Note: Webster has adopted the APA style for citations in all papers and in all departments. All students are encouraged to be consistent with this in their writing.

Materials (Textbook) - Students should either source the textbook themselves, or place an order with the Webster Librarian at least two weeks before term begins. Economics: Special Edition with Global Economic Watch, N. Gregory Mankiw and Mark P Taylor, 2nd EDITION

Required Material CASES Is the Polder Model Sinking? Eurozone Crisis US Debt Ceiling: caught in a Quagmire of Debt Declining Chinese Growth Rate

GRADING
Letter Grades: A (4.0), A- (3.67) B+ (3.33), B (3.0), B- (2.67) C+ (2.33), C (2.0), C- (1.67) D+ (1.33), D (1.0) F (0.0) Other Designations: I ZF IP W NR Z Incomplete work An Incomplete which was not completed within one year of the end of the course. Course in progress. The student withdrew from the course Not reported for the course. A temporary designation given by the registrar indicating that the final grade has not been submitted by the instructor. When the final grade is filed in the office of the Registrar, that grade will replace the Z. Instructors guidelines for Letter grades mean that in the opinion of percentage equivalent of the letter the instructor the work was: grade: A (96-100), A- (91-95) B+ (86-90), B (81-85), B- (76-80) C+ (71-75), C (66-70), C- (61-65) D+ (56-60), D (51-55) F (0-50) Superior work. Good work. Satisfactory work. Passing, but less than satisfactory. Unsatisfactory. No credit is granted.

ASSESSMENT: the Instructor will evaluate students work as follows:

Description: Active Participation Six Weekly Presentations Four Case Assignments Mid-term Exam Final Exam Percentage: 10% 30% 20% 20% 20% Date due

Students and Instructors will be asked to evaluate the course in a form to be handed out during week 7 of the term.
Study load: Students are expected to spend approximately 17 hours per week (21 hours including class time) on this course.

Assessment Tool

(++ = key tool; + = secondary tool,)

Five Weekly Presentations 25% Five Case Assignments 25% Mid Term Exam 20% Final Exam 20%

Active Participation 10%

Learning Specifics Learning Outcome 1 Learning Outcome 2 Learning Outcome 3 Learning Outcome 4 Learning Outcome 5 Learning Outcome 6 Learning Outcome 7 Learning Outcome 8 Learning Outcome 9 Learning Outcome 10 General Skills Presentation skills Writing skills Team work skills Cross-cultural skills + ++ ++ ++ + ++ ++ ++ ++ ++ ++ ++ + + + + + + + + + + ++ + + ++ + + + ++ + ++ ++ + + + ++ + ++ + ++ + ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++ ++

Activities
Case studies, Project groups, Videos, Group activities, Internet searches, Simulation games, Business Plan, Excursions, Student presentations, Mid-term exam, Final paper, Final Exam.

ACADEMIC POLICIES
University policies are provided in the current course catalog and course schedules. They are also available on the university website. This course is governed by the Universitys published policies. Please use the following link to see a complete overview of Webster Leidens Policies and Procedures: http://www.webster.nl/students/policies/academicpolicies Academic Honesty: The University is committed to high standards of academic honesty. Students will be held responsible for violations of these standards. Please refer to the universitys academic honesty policies for a definition of academic dishonesty and potential disciplinary actions associated with it. Drop / Withdraw: Please be aware that, should you choose to drop or withdraw from a course; the date on which you notify the University of your decision will determine the amount of tuition refund you receive. Please refer to the university policies on drops and withdrawals (published elsewhere) to find out what the deadlines are for dropping a course with a full refund and for withdrawing from a course with a partial refund. Special Services: If you have registered as a student with a documented disability and are entitled to classroom or testing accommodations, please inform the Instructor at the beginning of the course of the accommodations you will require in this class so that these can be provided. Disturbances: Since every student is entitled to full participation in class without interruption, disruption of class by inconsiderate behavior is not acceptable. Students are expected to treat the instructor and other students with dignity and respect, especially in cases where a diversity of opinion arises. Students who engage in disruptive behavior are subject to disciplinary action, including removal from the course. Student Papers Retained: Student assignments and/or projects will be retained by the University for the purpose of academic assessment. Contact Hours: It is essential that all classes meet for the full instructional time as scheduled and that is: 43 contact hours for undergraduate semester classes (includes 8 hours project work); 32 contact hours for undergraduate term classes; 36 contact hours for graduate level classes. A class cannot be shortened in length. If a class session is cancelled for any reason, it must be rescheduled. Study Load per course: 8-week classes - students are expected to spend approximately 17 hours per week (21 hours including class time). 16-week classes students are expected to spend approximately 7,5 hours per week (10 hours including class time). Attendance, Participation, Assignments: Students are required to attend all classes and participate actively. Grading will partly reflect this. Class participation accounts for roughly 20% of the total grade. All classes include assignments (such as presentations or papers). Students must report to the instructor all assistance they received and all sources they used in carrying out their assignments. Otherwise they will fail the course and may also face other penalties. Auditors: are expected to attend all classes and actively participate in all aspects of the course, including mid-term and final exams, and will be provided with a Certificate of Achievement. First Class: The first session of a course is very important and cannot be missed. Therefore, in accordance with student guidelines on attendance, the instructor can request that students missing the first class without valid reason, and without having obtained permission beforehand, be dropped from the course. For this course, the instructor has requested that this rule is enforced. YES / NO ? Partial Absence: At the discretion of the Instructor, grading can be reduced for students who regularly arrive late for class and/or leave class early.

Pass/Fail Option (for undergraduate students only):

In limited situations it is possible to take elective courses on a pass/fail basis rather than being graded with an A, B, C, D, or F grade. Students who wish to be graded on a Pass/Fail basis, and whose instructor agrees to this, must submit their request in writing (e-mail is fine) to their advisor by the end of the second week of class.

Exam Office Policy (for undergraduate students): The University applies strict deadline regulations. Deadlines are set by
the instructor and are listed (date and time) in the course syllabus. All written assignments weighted 20% or more must be submitted not to the instructor but to examoffice@webster.nl. Assignments received after the deadline will be subject to a penalty: if received after the deadline but within 24 hours, the University recommends instructors to downgrade the assignment by one letter grade. The Exam Office does not accept assignments in undergraduate programs that are submitted more than 24 hours after the deadline, and consequently these will receive a failing grade. Faculty may, under documented circumstances and with the consent of the academic director, accept late work to be graded. If students cannot meet the deadline for valid reasons (beyond the students control, such as illness or other extenuating circumstances), the student must submit a Request for Extended Deadline form which can be downloaded from the student section on the website. Based on the reason and evidence given, the instructor is alerted and decides, in consultation with both the advisor and Head of Department, on a new deadline. Normally extensions are approved for a maximum of two weeks. Exams: Students must seek permission from the Academic Director in order to take either mid-term or final exams on a date other than that set by the Instructor. Incomplete Work Incompletes (grades of "I") will only be allowed if agreed with the instructor and officially documented with an Agreement to Complete form (available from your advisor). If no such agreement has been documented, incomplete grades will automatically revert to F two weeks after the end of term. Instructors are actively encouraged not to accept students' work after the end of term. If a student's work has been delayed by causes beyond his/her control, an agreement to complete will normally be for a period of two weeks. Further extensions require the approval of the academic director; graduate-level integrated studies (coded 6000) will be exempt from this rule. It is the student's responsibility to complete the course within the specified time.

Plagiarism is using another persons words or ideas without telling the reader. This applies not only to books and articles, but
also to sources from the internet, or copying work from your fellow students. Those who are discovered cheating or plagiarizing will normally receive a failing grade for the entire course and may even be subject to dismissal. Please dont fall into this trap. Use in-text citations and include a bibliography in all your papers. (For more information, use the link to Policies and Procedures above). Please respect your sources, your audience and yourself. Note: WIKIPEDIA is NOT a source for academic referencing and can only be used in conjunction with other source referencing.

WEEKLY SCHEDULE
Homework, subjects to be dealt with in the lesson, assignments, presentations, and examinations

Total study load for a semester course is 10 hours a week, with approx. 7,5 hours a week for self-study. Term courses (8 weeks) require 21 hours a week, with approx. 17 for self-study. Public holidays in Spring 2014: Good Friday Friday 18 april 2014 Easter Monday Monday 21 april 2014 Date: Lesson 1
Prepare for this session

Thursday, January 16, 2014

Time:

15:00 - 17:30

Whats Up with the Global Economy & Measuring a Nations Income Read Chapter 23, Answer Questions p. 503 #s 1 - 6, 8 pp. 504 - 505 #s 1, 3, 4, 6, 10, 11

Date: 2 Lesson
Prepare for this session

Thursday, January 23, 2014 Measuring the Cost of Living

Time:

15:00 - 17:30

PRESENTATION: Favorite Economics Story in the News Read Chapter 24, Answer Questions: pp. 521 - 522 #s 1 - 5 p. 522 #s 4, 5, 6, 7, 8, 9

Date: Lesson 3
Prepare for this session

Thursday, January 30, 2014

Time:

15:00 - 17:30

Production & Growth, (Un)Employment PRESENTATION: Inflation & Unemployment Analysis. Five Suggestions to Reduce Inflation/Stimulate Employment, Country of Choice Read Chapters 25 & 28, Answer Questions: p. 548 #s 1 - 8 p. 612 #s 1 - 7 pp. 612 - 613 #s 1, 3, 4, 6, 7

Date: 4 Lesson
Prepare for this session

Thursday, February 6, 2014

Time:

15:00 - 17:30

***CASE: Is the Polder Model Sinking?*** Read: Is the Polder Model Sinking? CASE

Date: Lesson 5
Prepare for this session

Thursday, February 13, 2014

Time:

15:00 - 17:30

Central Bank System, Monetary Policy, Money Supply Growth & Inflation PRESENTATION: Profile of a Central Bank. Description of major activities undertaken during past five years, Central Bank of Choice Read Chapters 29 & 30, Answer Questions: p. 639 #s 1 - 10 & pp. 662 - 663 #s 1 - 4 pp. 639 - 640 #s 1, 2, 3, 14 pp. 663 - 664 #s 4, 6, 10, 11, 13

Date:

Thursday, February 20, 2014

Time:

15:00 - 17:30

Lesson 6 ***CASE Bernankes Dilemma*** Project Week Prepare for Read: Bernankes Dilemma CASE
this session

Date: Lesson 7
Prepare for this session

Thursday, February 27, 2014 ***Mid-term Exam***

Time:

15:00 - 17:30

Chapters 23, 24, 25, 26, 28, 29, 30 plus questions from both cases

Date: Lesson 8
Prepare for this session

Thursday, March 6, 2014 ***CASE Eurozone Crisis*** Read: Eurozone Crisis CASE

Time:

15:00 - 17:30

Date:

Midterm papers are required to be emailed directly to: examoffice@webster.nl by DATE and by 17:00 hours. Week of March 10-14, 2014

Spring break (no classes)

Date: Lesson 9
Prepare for this session

March 20, 2014

Time:

15:00 - 17:30

***CLASS RESCHEDULED for Websters 30th Anniversary***

Date: Lesson 9
Prepare for this session

Thursday, March 27, 2014

Time:

15:00 - 17:30

Stock Markets, The Financial System, Savings, Investment, Government Debt PRESENTATION: Cyprus Bailout Case Presentation Read Chapter 26, Answer Questions: p. 570 #s 1 - 7 pp. 571-72 #s 1, 3, 4, 5, 6, 9, 11, 12, 13 Thursday, April 3, 2014 Time: 15:00 - 17:30

Date: Lesson 10
Prepare for this session

***CASE US Debt Ceiling: Caught in Quagmire of Debt*** Read: US Debt Ceiling: Caught in Quagmire of Debt Case

Date: Lesson 11
Prepare for this session

Thursday, April 10, 2014

Time:

15:00 - 17:30

Exports, Imports, Trade, Balance of Payments, Exchange Rates, Purchasing Power Parity PRESENTATION: Currency Wars Case Presentation Read Chapter 31, Answer Questions: p. 684 #s 1, 2, 4, 5 pp. 684 - 685 #s 1, 2, 7, 8, 9, 12 Thursday, April 17, 2014 Time: 15:00 - 17:30

Date: Lesson 12
Prepare for this session

***CASE Declining Chinese Growth Rate*** Read: Declining Chinese Growth Rate Case

Date:

Thursday, April 24, 2014

Time:

15:00 - 17:30

Lesson 13 Euro & Common Currency Areas, Debates over Macroeconomic Policy, Project Week EXAM REVIEW

Prepare for this session

Read Chapter 38, Answer Questions: p 864 #s 1 - 7 pp. 864 - 865 #s 4, 5, 6, 8 Read Chapter 39, Answer Questions: p. 880 #s 2, 6

Date: NO CLASS
Prepare for this session

Thursday, May 1, 2014

Time:

15:00 - 17:30

***PLEASE NOTE CLASS RESCHEDULED TO PROJECT WEEK, APRIL 24***

Date: Lesson 14
Prepare for this session

Thursday, May 8, 2014 ***FINAL EXAM***

Time:

15:00 - 17:30

Chapters 31, 37, 38, 39 plus questions from both cases

Final papers are required to be emailed directly to: examoffice@webster.nl by DATE and by 17:00 hours.

Additional Information on the course:

Irregular class dates: No class on Thursday, March 20, 2014 (Websters 30th Anniversary celebration); the class is rescheduled for Thursday, February 20, 2014 (during the first Project Week)

The schedule may be adjusted to meet the needs of the students The syllabus may be revised at the discretion of the instructor CONNECTIONS: A Webster.edu account is set up for each student and all Webster email correspondence to students will be sent to students Webster.edu addresses.