Intro to Stats Exam 2

Los Angeles Harbor College

Economics-2 (Principles of Macroeconomics) – Fall-2019

Section 14516, Internet

Instructor: Michael Fradkin

E-Mail: [email protected]; typical response time is within 24 hours.

Voicemail: (310) 233-4157 (please repeat your name and the callback number twice, clearly and

slowly when leaving me a message).

Office Hours: Online: Virtual office hours through Canvas messaging capability or alternative

online methods.

In Person: Location - NEA-181

Mondays 12:35pm – 1:10pm

Tuesdays 12:35pm – 6:45pm

Important Dates (as it relates to this class):

Last day to add the class by using a permission number: October 30, 2019

Last day to drop the class without a grade of “W”: October 30, 2019

Last day to drop the class with a grade of "W": December 1, 2019

Please refer to Admissions and Records Office for other important dates.

Please be advised that even though it is the students’ responsibility to drop the class, students may be

withdrawn from the class by the instructor if they do not sign in to the Canvas website during the first week

of class.

Textbook and other materials:

Required: Access to McGraw-Hill Connect homework environment which includes

“Economics” by McConnell, Brue, Flynn, 21st edition e-book.

The access can be purchased directly from the publisher (instructions are available on the

Canvas’s class website) or from the college bookstore with the following information:

180 Day Connect Access Card - ISBN-10: 1264116179 ISBN-13: 9781264116171 360 Day Connect Access Card – ISBN-10: 126411995X ISBN-13: 9781264119950

Course Description:

A course in macroeconomics emphasizing aggregative economic analysis, including money and

banking, national income determination, business fluctuations, and other topics relevant to

macroeconomic analysis.

Note: ECON 001 is not a prerequisite for this course. Students who plan on taking both are

advised to take ECON 002 first.

Prerequisites: Mathematics 115 (Elementary Algebra) or Mathematics 123a (Elementary and Intermediate

Algebra I) and Mathematics 123b (Elementary and Intermediate Algebra II).

Advisories: Mathematics 125 (Intermediate Algebra) or Mathematics 123c (Elementary and Intermediate

Algebra III)

Student Learning Outcomes:

1. Recognize concepts related to basic economic analysis and analyze verbal, graphical (PPC,

Circular Flow, etc.) and tabular information to evaluate the situations in terms of economic

statements related to the ideas of opportunity cost, comparative advantage, future economic

growth, etc.

2. Use supply and demand graphical model to identify impacts of changes in market conditions

and governmental policies on the market price, output, and resource allocation in production of

private and public goods under the market economic system (capitalism).

3. Recognize information pertaining to the various national income accounts and assess the health

of the macro-economy in different stages of the business cycle; calculate the real and nominal

GDP, rates of unemployment and inflation from the presented data.

4. Apply Keynesian economic assumptions and appropriate macro-economic model to answer

questions about presented economic situation; identify appropriate fiscal policy to achieve full

employment, stability and economic growth; evaluate the impact of the fiscal policy on the public

debt.

5. Demonstrate knowledge of the functions of money and the components of the U.S. money

supply; identify various tools of monetary policy the Fed is using to promote macro-economic

stability and relate the effectiveness of monetary policy mechanisms to changes in actual GDP

and price level.

Canvas: Canvas website is set up for this course. Canvas platform will be used as a delivery venue for the

class material and a route for communication. Tests/quizzes will be distributed on Canvas as well.

If you are not familiar with Canvas please visit the help page at

http://www.lahc.edu/harboronline.html

Please use Canvas messaging capability as well as its discussion tool to communicate with

classmates and the instructor.

See note about Canvas’s gradebook accuracy under the grading scale on the next page.

Homework: The homework will be completed online on the Connect platform; please see Canvas’s class site

for the detailed procedure on the homework completion. Access to Connect costs $70 for one

semester (if purchased directly from the publisher) and includes the required textbook in e-

book format. Complimentary access to Connect is provided to all students for the first two weeks

of class; it is the students’ responsibility to purchase the access code thereafter.

In most cases (with an exception of the exam weeks), there will be two multi-part homework

assignments per week. Please observe the posted deadlines; no late homework will be accepted.

Please do not wait until the last minute; start assignments as soon as those become open. There

will be no time extension for any reason including technical difficulties (unless confirmed by

Connect staff as being originated on their side). By doing your homework you get a double

benefit: the grade credit and preparation for the tests.

One lowest homework score will be dropped from the final grade calculation.

Participation: Continuous participation is CRUCIAL to student success. One instance of not signing in to the

Canvas website or Connect homework site during any seven consecutive days constitutes the

basis for excluding from the class or may adversely affect the class grade. The instructor may but

doesn't have to drop students for no participation; it is always the students’ responsibility to

drop the class.

There will be class discussions conducted on Canvas throughout the course. Participating in

discussions is a required activity; points assigned for discussions partaking are part of the course

grading structure.

Communication:

All electronic student-instructor communication for this class will be done through the Canvas

website (preferable) or via college-issued email accounts each student was assigned. In order not

to miss any important announcement it is highly recommended that you link your school email to

your personal one. This will effectively have all the messages sent to your college account being

forwarded to your personal mailbox. Additionally, please make sure the email listed under your

Canvas account is the current email address you check on a continuous basis.

Quizzes: There will be two graded quizzes in this class. The syllabus/class information quiz is designed to

test your knowledge of the class rules, procedures, and expectations. The quiz will be distributed

on Canvas (see the weekly calendar below for the deadline).

The SLO quiz is designed to assess students' understanding of one of the course’s Student

Learning Outcomes (see above). The quiz will be distributed on Canvas towards to the end of the

class; the dates will be announced.

Tests: There will be two midterm exams and the final exam in this class. Exams are distributed on

Canvas. The exams are made of four or five parts, depending on the number of topics tested. Each

part is time-limited and can be taken separately. The lowest part scores of each exam will be

dropped from the exam grade calculation; the remaining scores are added together. The weeks of

the tests are listed in the course plan below. Tests are typically available for taking over a two- or

three-day period; exact dates will be announced. There will be NO make-up tests for any reason

other than verified medical necessity or other documented emergency covering at least the last

day of the test. Permission must be granted prior to taking a make-up exam. If you miss a test,

it is given a score of zero.

Grading Policy:

Syllabus quiz: 12 points 1.2 % of the final grade

Homework: 252 points 25.2% of the final grade (21 pts per HW; twelve best)

Class Discussions: 21 points 2.1% of the final grade (7 pts per discussion; three best)

First Midterm Exam: 280 points 28% -- (5 parts; 70 pts per part; four best parts)

Second Midterm Exam: 210 points 21% -- (4 parts; 70 pts per part; three best parts)

Final Exam: 210 points 21% -- (4 parts; 70 pts per part; three best parts)

SLO Quiz: 15 points 1.5% of the final grade --------------------------------------------------------------------------------------------------------------------------------------------

Total: 1000 points

Grading Scale: A 900-1000 points

B 800-899 points

C 700-799 points

D 600-699 points

F < 600 points

* Note on Canvas’s gradebook accuracy: due to the low score adjustments for the exams and

homework (discussed above), Canvas’s gradebook won’t accurately reflect your overall in-

class standing. In order to evaluate your true up-to-date grade, you will need to make low score

adjustments to your assignments. If you ever have any difficulty with estimating your on-going

class standing please ask me for help.

Class Policies:

1. The college makes every effort to create a free and encouraging learning environment for

students but we need your cooperation in achieving our mutual educational goals. Please read

LACCD's Standards of Student Conduct published in the College's catalog. Those rules outline

students' expected behavior and are strictly enforced.

2. No plagiarism or any other form of academic dishonesty will be tolerated in this class. If

students are caught cheating on any assignment, including homework and exams, their

grades will be severely affected and other unpleasant repercussions will follow. Any cheating

offense will, at a very bare minimum, bring the score of the whole assignment (exam or

homework) down to zero; no make-up work will be allowed. The homework won’t be a subject

of the lowest score drop policy; instead, the lowest score of another (valid) assignment will be

deducted, which will significantly reduce the available points. Additionally, the event will be

reported to Social Sciences Division Department Chair and VP of Student Services for

disciplinary action. Class suspension or expulsion from the college will not make anyone’s life

any easier.

3. It is expected that students will demonstrate respectful behavior and will not interfere with

class activities in any way. When making comments on the Canvas discussion board please be

mindful of your classmates who may not share exactly the same point of view: we are here to

exchange opinions, not to confront each other.

Students with disabilities: Please communicate to the instructor if you will require any special accommodations during class

and/or tests. A note from the SPS department will be necessary to provide the appropriate

assistance. Get your appointment with SPS staff early; don’t wait until after the first exam.

Weekly Calendar:

Chapter numbers and pages shown refer to the 21st edition of the textbook; the e-book version of

the textbook is available through Connect.

Dates shown identify the beginning of the week for which the study plan is outlined.

Week 1 Part 1 October 21, 2019 Ch1 p2-8 and Appendix HW1

 The Economic perspective: scarcity and opportunity cost. Theories, principles, and models; ceteris paribus. Economic branches, positive and normative statements. Individual’s economizing problem.

 Graphs: building and reading, quick math review.

Part 2 Ch1 p9-15, Ch40 p806-812, 817 HW2

 Syllabus Quiz (check Canvas for the deadline)

 Society’s Economizing Problem; economic resources: land, labor, capital and entrepreneurship.

 Production Possibility Curve; unemployment, economic growth, and the future.

 The economic basis for trade: absolute advantage vs. comparative advantage.

 Gains from trade. Trade barriers and export subsidies.

Week 2 Part 1 October 28, 2019 Ch2, Ch4 p82-83 HW3

 Economic systems: market and command; characteristics of the market system. Fundamental questions: what to produce, how to produce, who gets products…

 The “invisible hand.” Circular flow model.

 Public goods; quasi-public goods (page 95).

Part 2 Ch3 and Appendix p69-71 HW4

 Markets.

 Demand: Law of Demand, changes in demand vs. quantity demanded.

 Supply: Law of Supply, changes in supply vs. quantity supplied.

 Market equilibrium; changes in demand and supply, and equilibrium.

 Applications: government-set prices; price floors and price ceilings.

 Changes in Supply and Demand.

Week 3 Part 1 November 4, 2019 Ch26 p517-519, Ch27 HW5

 Performance and policy.

 Assessing the economy’s performance. Gross Domestic Product. Calculation of GDP: the expenditures approach. GDP components.

 Other National Accounts. Nominal vs. Real GDP. Shortcomings of GDP.

Part 2

 Midterm-1

Week 4 Part 1 November 11, 2019 Ch26 p519-521, Ch28 HW6

 Economic growth; saving and investment. Production Possibilities model revisited.

 Modern economic growth. Accounting for growth. Productivity growth.

Part 2 Ch26 p522-526, Ch29 HW7

 Uncertainty, expectations and shocks. Sticky prices.

 The business cycle. Unemployment. Inflation.

Week 5 Part 1 November 18, 2019 Ch30 HW8

 Basic macroeconomic relationships. Income-consumption and income-savings relationships. Average and marginal propensities to spend/save. Non-income determinants of consumption/saving.

 The interest rate-investment relationship, real vs. nominal interest rate, investment demand curve. Introduction to multipliers.

 Overview of macroeconomic models: classical vs. Keynesian. Classical model: origin, premises, and problems. Great Depression.

 Basis of the Aggregate Expenditure Model.

Part 2 Ch32 HW9

 AD-AS model. Effects of changes in AD and AS. Real life complications. Recessions.

 Equilibrium and changes in equilibrium.

Week 6 Part 1 November 25, 2019

 Midterm-2

Part 2 Ch33 HW10

 Fiscal policy: expansionary and contractionary. Built-in stability.

 Laffer curve. Current issues and concerns. Social Security and Medicare. Health care reform and its finances.

 The U.S. Public Debt.

Week 7 Part 1 December 2, 2019, 2019 Ch34 HW11

 Money: functions and components. Money supply and gold standard.

 Federal Reserve and the banking system: composition and functions. USA financial crisis and the “great recession”. Historic perspective.

Part 2 Ch35 HW12

 Commercial bank functions and operations.

 Money creation by banking system through lending. Reserves and monetary multiplier.

Week 8 Part 1 December 9, 2019 Ch36 HW13

 Interest rates overview: nominal vs. real. Fisher’s equation. Demand for money concept. Bond price vs. interest rate.

 Monetarism - monetary policy at work: restrictive and expansionary. Liquidity trap.

Part 2

 Final Exam

Standards of Student Conduct A student enrolling in one of the Los Angeles Community Colleges may rightfully expect that the faculty and

administrators will maintain an environment in which there is freedom to learn. This requires that there be

appropriate conditions and opportunities in the classroom and on the campus.

As members of the College Community, students should be encouraged to develop the capacity for critical

judgment; to engage in sustained and independent search for truth; and to exercise their rights to free inquiry and

free speech in a responsible, non-violent manner.

Students shall respect and obey civil and criminal law, and shall be subject to legal penalties for violation of laws

of the city, county, state, and nation. Student conduct in all of the Los Angeles Community Colleges must

conform to District and College rules and regulations. Violations of such rules and regulations, for which students

are subject to disciplinary action, include, but are not limited to the following:

Board Rule 9803.10. Willful disobedience to directions of College officials acting in the performance of their

duties.

Board Rule 9803.11. Violation of College rules and regulations including those concerning student organizations,

the use of College facilities, or the time, place, and manner of public expression or distribution of materials.

Board Rule 9803.12. Dishonesty, such as cheating, or knowingly furnishing false information to the Colleges.

Board Rule 9803.13. Unauthorized entry to or use of the College facilities.

Board Rule 9803.14. Forgery, alteration, or misuse of College documents, records or identification.

Board Rule 9803.15. Obstruction or disruption of classes, administration, disciplinary procedures or authorized

College activities.

Board Rule 9803.16. Theft of or damage to property belonging to the College, a member of the College

Community or a campus visitor.

Board Rule 9803.17. The malicious or willful disturbance of the peace or quiet of any of the Los Angeles

Community Colleges by loud or unusual noise or any threat, challenge to fight, fight, or violation of any rules of

conduct as set forth in this Article. Any person whose conduct violates this section shall be considered to have

interfered with the peaceful conduct of the activities of the college where such acts are committed.

Board Rule 9803.18. Assault or battery, abuse, or any threat of force or violence directed toward any member of

the College Community or campus visitor engaged in authorized activities.

Los Angeles Harbor College Academic Senate

Plagiarism Policy

The following is a general campus policy and more specific examples may be devised by discipline. This

policy is based on the following resources: Harris, R. (2001). The Plagiarism Handbook: Strategies for

Preventing, Detecting, and Dealing with Plagiarism. Los Angeles, CA: Pyrczak Publishing.

The Standards of Student Conduct in the Los Angeles Harbor College Catalog includes Board Rule

9803.12 which states, "dishonesty, such as cheating, or knowingly furnishing false information to the Colleges"

shall be subject to disciplinary action.

Definition: Plagiarism is a student's failure to distinguish his or her own words and ideas from those of a source

the student has consulted. Ideas derived from another, whether presented as exact words, a paraphrase, a

summary or quoted phrase, must always be appropriately referenced to the source, whether the source is printed,

electronic, or spoken. Whenever exact words are used, quotation marks or an indented block indicator of a

quotation must be used, together with the proper citation in a style required by the professor. Usually, three or

more words in a row copied from a source without a citation constitutes plagiarism.

Examples:

Ex. 1. Common knowledge -- John Kennedy was assassinated in 1963 does not require a source, for example. (If

a source is used, cite it.)

Ex. 2. If you have a question about whether it is plagiarism, be sure to include the quotation marks and

citation information.

Penalty: The penalty process is decided by the instructor and departmental policies with the following suggested

progressive discipline guidelines: warning, rewrite assignment, zero points on assignment, or Administrative

discipline.

Appeals: Appeals should be directed to the Division Chair for further action as required by due

process.

Los Angeles Harbor College Mission: Los Angeles Harbor College promotes access and student success through associate and transfer

degrees, certificates, economic and workforce development, and basic skills instruction. Our

educational programs and support services meet the needs of diverse communities as measured

by campus institutional learning outcomes.

Title IX Message

Title IX of the 1972 Education Amendment along with District Board Rule XV and Policy protects students and

staff alike from discrimination based on sex, including Sexual Harassment and Sexual Assault which are forms of

Sexual Misconduct. Under Title IX, all people in the educational environment must be treated equitably,

regardless of sex, sexual orientation or expression, and/or transgender identity.

If you have experienced or learned of a possible violation of Title IX and/or would like to know about

reporting options, resources, including confidential services, the law, or District policy, please do not hesitate to

contact the College Title IX Coordinator or access the Title IX webpage through the link below:

Mercy Yanez, Dean of Student Services | Email: [email protected] I Phone: (310) 233-4342

Additional information also is available through the college Title IX

webpage: https://effectiveness.lahc.edu/student_services/titleIX/SitePages/My_Options.aspx