B5086 - ECONOMICS I - FOUNDATIONS

Learning outcomes

Successful students will acquire a foundational understanding of both microeconomic and macroeconomic analysis, becoming familiar with the tools, methods, and specific language used in the field of economics. They will learn how to formulate, discuss, and communicate economic problems in a clear and competent manner. By the end of the course, they will be capable of comprehending the basic functioning of a market economy and applying microeconomic principles to describe and rationalize the observed behavior of economic agents in everyday life. Furthermore, they will gain an understanding of the fundamental principles of macroeconomics, connecting them to current economic issues (such as unemployment, inflation, or public debt) and will be able to assess the potential for macroeconomic stabilization through the use of fiscal and monetary policy.

Course contents

Part I: Introduction

1. General introduction to economics: what is economics?

2. General introducton to economics: thinking like an economist

3. The working of markets: supply and demand

4. The working of markets: elasticity

Part II: Microeconomics

A. Perfect competition

5. The consumers' choices

6. Firms in competitive markets

7. The efficiency of markets

8. Government policies

B. Market failures

9. Perfect competition and efficiency

10. Market failures and inefficiency

11. Asymmetric information

Part III: Macroeconomics

A. Basic Macro ideas

12. Output, income, and the price level

13. The labour market and the unemployment rate

B. Economic growth and inequality

14. Basic growth theory

15. Inequality

C. Money and finance

16. Savings, investment and financial markets

17. Money supply and money demand

D. Economic fluctuations

18. Business cycles

19. the ISLM model and aggregate demand

20. Aggregate demand and aggregare supply

21. Aggregate demand policies

22. Inflation and unemployment

Part IV: International trade and international macroeconomics

23. International trade

24. Macroeconomics and the open economy

Readings/Bibliography

N. Gregory Mankiw and Mark P. Taylor, Economics (latest edition), Cengage Learning, Andover, UK.

Teaching methods

This is a taught course with lectures. Specific classes for exercises and discussion will also be held.

Assessment methods

The exam consists of a written test on the material covered in class. During the lecture period, the possibility of partial assessment will be offered. Students are required to register in advance for the exam through AlmaEsami according to the general rules of the Department Economics. Grading is on a 30 point basis, with minimum pass grade 18/30 (18-23: sufficient; 24-27: good; 28-30: very good; 30 plus distinction: excellent).

Teaching tools

Traditional lectures will be coupled with active students' participation. Handouts will be available for students.
The course is provided with e-learning support.

Office hours

See the website of Corrado Benassi

See the website of Diego Lanzi