Professional Documents
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FY ECON 502 Fall 14
FY ECON 502 Fall 14
ADA University
School of Business
Mission
ADA
University's
School
of
Business
mission
is
to
prepare
global
and
socially
responsible
graduates
through
excellence
in
applied
learning
and
scholarship
by
bringing
the
world
to
Azerbaijan
and
Azerbaijan
to
the
world.
Vision
ADA
University's
School
of
Business
aspires
to
be
a
globally
recognized
premier
institution
in
the
Caspian
Region
in
the
creation
and
transmission
of
knowledge
and
the
development
of
new
generations
of
leaders,
driving
change
for
the
betterment
of
society.
Through
our
innovative
and
entrepreneurial
spirit
we
foster
ethical
and
social
responsibility.
COURSE
NAME:
Microeconomics
FACULTY
NAME:
Fatih
Yilmaz
NUMBER:
ECON502
OFFICE:
S B337
TIME:
Tue
and
Thu
at
12:00
–
E-MAIL:
fyilmaz@ada.edu.az
13:15
TEL:
(+994
12)
437
3235
ext.
362
LOCATION:
SPIA218
TERM:
Fall
2014
OFFICE
HOURS:
Wednesdays
10
–
11:30
am
TEACHING
ASSISTANT:
???
and
12:30
–
2:00
pm
Course
Description
Microeconomics
can
be
thought
of
as
the
“grammar”
of
economics.
One
would
not
think
of
seriously
studying
say
French
without
an
understanding
of
French
grammar.
By
the
same
logic,
microeconomics
lies
at
the
heart
of
most
economic
analysis.
It
is
the
foundation
for
understanding
public
policy,
international
trade,
labor
economics,
industrial
organization,
natural
resource
and
environmental
economics,
financial
economics
and
many
other
applied
fields.
The
terms,
tools
and
concepts
introduced
in
microeconomics
provide
a
highly
useful
foundation
for
understanding
economics
and
economic
policy.
More
specifically,
the
course
first
develops
simple
graphical
and
mathematical
models
of
decision-‐making
by
individual
economic
agents:
consumers,
workers,
and
businesses.
Students
will
be
able
to
analyze
interactions
among
these
agents
in
product
and
factor
markets
using
concepts
of
market-‐
demand,
supply,
and
equilibrium.
Students
will
also
consider
the
efficiency
of
competitive
markets,
describe
the
conditions
under
which
that
efficiency
may
arise,
and
examine
market
failures
that
occur
when
those
conditions
are
not
present.
Course
Objectives
and
Learning
Outcomes
This
course
aims
to:
1-‐ Establish
some
of
the
central
concepts
of
economic
theory.
2-‐ Provides
a
simple
understanding
of
using
theory
in
policy
analysis.
3-‐ Lay
foundations
for
more
specialized
courses.
After
completing
the
course,
students
should
be
able
to:
1-‐ Enrich
the
economic
theory
tool
kid
to
be
used
in
policy
analysis
of
many
branches
of
economics
–
e.g.
tax
policy,
environmental
economics
policy,
etc.
2-‐ Conduct
simple
policy
analysis
–
e.g.
impact
of
tax
policy
change.
3-‐ Communicate
fluently
and
intelligently
about
economic
issues.
Assessment
of
the
Learning
Objectives/Goals
There
will
be
two
class
meetings
per
week
75
minutes
each,
in
which
I
will
give
formal
presentation
of
theories
using
slides
and
notes.
Monolog
lectures
usually
deliver
poor
learning
outcomes
and
I
will
therefore
encourage
students
to
raise
their
questions,
opinions,
ideas,
discussions,
etc
on
the
topic.
In
fact,
I
would
post
questions,
real
life
examples
to
motivate
a
debate
on
relevant
real
life
issues
related
to
the
class.
Assignments
are
important
part
of
learning
experience
especially
when
the
work
is
done
in
groups
with
active
participation.
Group
discussions
are
very
effective
tools
to
learn
and
think
through
new
concepts.
Assignment
questions
will
contain
theory
questions
as
well
as
case
studies,
which
require
even
more
critical
thinking.
I
also
2
plan
to
hold
optional
review
classes
after
assignments,
before
midterms
and
final
exams
–
as
needed.
Active
learning
also
requires
effective
communication
between
the
class
and
the
instructor.
In
this
regard,
I
encourage
you
all
to
utilize
my
office
hours
or
make
an
appointment
for
other
available
times,
for
your
questions.
You
can
always
email
me
your
questions
and
I
will
also
make
my
self
available
for
your
questions
through
social
media,
twitter.
The
twitter
account
for
this
course
is
@drfatihy
and
please,
use
the
hashtag
#ECON502
for
this
course.
It
is
very
fortunate
that
English
is
the
official
language
of
instruction
at
ADA,
which
opens
doors
of
enormous
FREE
knowledge
resources
to
students.
I
will
introduce
some
of
these
material
in
the
class.
I
will
only
speak
and
write
in
English
during
classes
and
office
hours,
and
similarly
you
are
expected
to
ask
any
course
related
to
class
ONLY
in
English.
Communication
I
will
regularly
post
course-‐related
announcements
on
PowerCampus.
All
course
documents
(syllabus,
assignments,
answer
keys,
extra
readings)
will
be
uploaded
there.
You
are
responsible
to
check
the
site
regularly.
You
can
access
PowerCampus
on
campus
or
off
campus
via
a
remote
connection.
You
can
still
email
me
personally
or
tweet
me
from
@drfatihy
(using
the
hashtag
#ECON502)
should
you
have
any
questions.
Link
for
PowerCampus
is:
http://selfservice.ada.edu.az/Web/Home.aspx
Prerequisite(s)
There
are
no
prerequisites
for
this
course.
However,
principle
level
knowledge
of
microeconomics
is
an
important
asset
as
the
ideas
covered
here
will
be
familiar
to
ECON100.
The
treatment
here
will
be
more
technical,
focusing
more
on
mathematical
interpretation
and
analysis.
High
school
level
algebra
will
be
used
intensively
and
a
background
in
calculus
is
not
required
for
this
course.
Required
Text
Pindyck,
Robert
and
Daniel
Rubinfeld
(2009),
Microeconomics,
7th
edition,
Pearson
Prentice
Hall.
This
book
comes
with
a
Study
Guide
which
provides
an
alternative,
user-‐friendly
interpretation
of
the
topics,
with
a
number
of
practical
exercises.
Both
the
textbook
and
the
Study
Guide
can
be
purchased
from
ADA
Bookstore
at
discounted
prices.
Textbook
is
available
at
ADA
Bookstore.
3
Additional
Resources
Massachusetts
Institute
of
Technology
(MIT)
has
an
open
courseware
in
nearly
all
courses
in
all
fields.
The
link
related
to
our
course
is:
http://ocw.mit.edu/courses/economics/14-‐01sc-‐principles-‐of-‐microeconomics-‐fal-‐
2011/
I
strongly
recommend
you
to
explore
the
lectures,
readings
and
assignments
in
this
website.
Course
Requirements
and
Grading
Course
grades
will
be
based
on
the
following
components:
• Attendance
.......................................................................10%
• Assignments
(4X10%
each)......................................40%
• Midterm
Exam.................................................................20%
• Final
Exam
........................................................................30%
Grading
Scale
I
will
follow
the
grading
scale
suggested
by
ADA
academic
regulations.
Your
course
grade
is
the
sum
of
the
points
you
score
on
the
grading
components
above
each
multiplied
by
their
respective
weights.
A
=
94
–
100%
B-‐
=
80
–
82%
D+
=
67
-‐
69
%
A-‐
=
90
–
93%
C+
=
77
–
79%
D
=
60-‐
66
%
B+
=
87
–
89%
C
=
73
–
76%
F
=
0
-‐
59%
B
=
83
–
86%
C-‐
=
70
-‐
72%
Attendance
I
will
strictly
follow
ADA
Academic
Regulations
for
attendance
policy.
This
policy
excuses
two
(2)
student
absences.
More
than
two
(2)
absences
will
lower
your
attendance
grade.
For
each
additional
absence,
you
will
lose
one-‐fourth
of
the
attendance
grade,
which
makes
10
%
of
the
course
grade.
In
other
words,
you
will
exhaust
all
of
the
10
percent
slated
for
attendance
after
four
(4)
absences
(on
top
of
the
two
excused
ones).
Rare
exceptions
will
apply
only
in
extreme
and
objectively
verifiable
circumstances
and
must
be
discussed
with
the
instructor
before
the
occurrence.
You
are
responsible
for
arriving
on
time
for
classes.
Late
arrival
results
in
disruption
to
class
members
and
is
unfair
to
your
classmates
and
the
instructor.
That
said,
you
have
to
arrive
class
before
attendance
sheet
returns
to
me
after
I
give
it
to
class
in
order
not
to
be
counted
as
absent.
4
Assignments
Assignments
will
mostly
involve
in
solving
models,
evaluating
a
policy
change
mathematically
and
will
also
require
you
to
interpret
the
result.
You
are
encouraged
to
work
in
groups
and
you
can
submit
a
group
assignment.
A
group
can
only
be
maximum
of
two
students
and
bigger
groups
(e.g.
3,4
or
more)
will
NOT
be
allowed.
Both
group
members
will
get
the
same
grade
from
the
exam.
You
are
certainly
allowed
to
work
on
your
own.
I
will
be
very
strict
in
terms
of
due
dates
and
times.
After
5
pm
of
the
due
date
no
assignments
will
be
accepted.
So
please
plan
yourself
ahead
of
time.
Exams
Midterm
and
final
exams
will
NOT
be
multiple-‐choice
questions.
There
will
be
true/false/uncertain,
short-‐answers
(e.g.
conceptual)
and
long-‐answer
(e.g.
solving
a
model
and
interpreting
the
results)
questions.
The
Midterm
will
cover
about
half
of
the
total
class
material.
The
final
exam
WILL
BE
comprehensive;
it
will
be
25
%
from
midterm
material
and
75
%
from
the
final
exam
material.
All
exams
are
closed
book
or
notes.
Only
non-‐programmable
calculators
are
allowed.
No
make
up
exam
will
be
given
except
extraordinary
circumstances.
Tentative
Schedule
of
Classes,
Readings,
and
Assignments
Date
TOPIC
CHAPTER
09-‐Sep
Introduction
-‐
Ten
Principle
of
Economics
11-‐Sep
Preliminaries
1
16-‐Sep
Supply
and
Demand
2
18-‐Sep
Consumer
Behaviour
3
23-‐Sep
Consumer
Behaviour
3
25-‐Sep
Individual
and
Market
Demand
4
30-‐Sep
Production
6
02-‐Oct
Production
6
2-October
-
Assign#1
due
in
the
Class,
covers
ch
1,2,3
&
4
07-Oct
No
Class
-
Gurban
Bayrami
09-‐Oct
Cost
of
Production
7
14-‐Oct
Profit
Maximization
8
16-‐Oct
Competitive
Markets
Analysis
9
21-‐Oct
Catch-‐up
Review
21-
October-Assign#2
due
in
the
Class,
covers
ch
6,7,8
&
9
23-Oct
Midterm
Exam
cover
ch
1-9
28-‐Oct
General
Equilibrium
and
Economic
Efficiency
16
30-‐Oct
General
Equilibrium
and
Economic
Efficiency
16
04-Nov
No
Class
-
Fall
Break
06-Nov
5
11-‐Nov
Monopoly
10
13-‐Nov
Monopoly
10
18-‐Nov
Pricing
with
Market
Power
11
20-‐Nov
Pricing
with
Market
Power
11
25-‐Nov
Oligopoly
12
25-
November-Assign#3
due
in
the
Class,
covers
ch
16,10
&
11
27-‐Nov
Monopolistic
Competition
12
02-‐Dec
Game
Theory
13
04-‐Dec
Game
Theory
13
09-‐Dec
Externalities
and
Public
Goods
18
11-‐Dec
Catch-‐up
Review
12-
December-Assign#4
due,
covers
ch
12,
13
&
18
Final
Exam
Late Assignments
All assignments are to be handed on time. You are expected to deliver a paper
copy of all assignments to the instructor at the designated due date and time.
Late assignments will not be accepted. Should you have any extraordinary
circumstances that impact the completion and delivery of your work, you are
expected to notify the instructor in advance of the due date.
Policy on Make-Ups
- Mid-terms and the final: do not miss them. There are no exceptions for those.
- Cases and project presentations are due on the dates announced and late
submission means no grade for them.
- Requests for make-ups may be granted only under exceptional
circumstances.
- Avoid requests for reasons of personal convenience;
- Any make-ups, if granted, must be taken prior to the next meeting of the
class.
- If you miss a deliverable without prior notice or arrangement, no grade (zero
grades) is automatically assigned to it.
- Please arrive on time to the class. Being late to class without a reason is no
respect to the instructor and student colleagues as it interprets the session.
- Do not eat food in class: please use lounge or other related areas.
- Cell phones, e-mails, and any possible other electronic devices must be
turned OFF while in class and during the test.
6
- Students are expected to talk about class topics and no other topics are to be
discussed.
Academic dishonesty
ADA University has no tolerance for acts of academic dishonesty. Honor Code of
ADA University defines the responsibilities of both students and faculty with
regard to academic dishonesty. By teaching this course, I have agreed to
observe the entire faculty responsibilities described in that document. By
enrolling in this class, you have agreed to observe all student responsibilities
described in that document. Academic dishonesty in this course includes copying
or collaborating during an exam, discussing or divulging the contents of an exam
with another student who will take the test, and use of homework solutions from
another students.
Disability policy
ADA University provides upon request appropriate academic accommodations
for qualified students with documented disabilities. Any student who feels s/he
may need an accommodation based on the impact of a disability should
notify the Office of Disability Services about his/her needs before the start of the
academic term. Please contact Mr. Elnur Eyvazov, Lead Coordinator of the
Office of Disability Services; Phone: 4373235/ext249; Email:
eeyvazov@ada.edu.az.
Instructor’s
Bio
Dr.Yilmaz
received
his
PhD
in
Economics
from
University
of
Calgary
in
July
2014,
where
he
had
taught
several
courses
in
microeconomic
and
macroeconomic
theory
and
applied
econometrics.
His
research
is
specialized
in
public
economics,
applied
econometrics
and
development
economics.
Beside
his
academic
accomplishments,
he
has
been
working
as
a
consultant
for
the
Investment
Climate
Department
at
the
World
Bank
Group,
where
his
main
duty
is
to
provide
rigorous
econometric
research
on
various
taxation
policy
issues.
He
also
holds
an
MA
in
Economics
from
Western
Illinois
University,
USA
(2007)
and
BA
in
Business
Administration
from
Uludag
University,
Turkey
(2004).
He
is
married
with
one
sun.
He
enjoys
playing
squash.
For
more
information
about
him,
please
visit
his
personal
website:
https://sites.google.com/site/mrfatihyilmaz/about
GOOD
LUCK
FOR
THE
SEMESTER!
FY/mi
2014-‐August-‐17
7