July 2019

The Hong Kong Polytechnic University

Hong Kong Community College

Subject Description Form

Subject Code BHMH1042

Subject Title Economics and Society (for Non-Business Students)

Level 1

Credit Value 3

Medium of English
Instruction

Pre-requisite / Exclusion
Co-requisite/ BHMH2002 Introduction to Economics
Exclusion

Objectives This subject aims to provide students with the basic concepts and
theories of economics issues from both micro and macro perspectives. It
provides the conceptual framework for students to conduct simple
analysis of economic issues and understand how economics can help an
individual to know more about human behaviour, society, the economy
and the world.

Intended Learning Upon completion of the subject, students will be able to:
Outcomes
(a) define the basic economic concepts and theories from both micro and
macro perspectives;

(b) apply basic economic theories to comment on the effectiveness of

social and government policies to the society;

(c) illustrate simple analysis on the issues related to economics and

social problems;

(d) explain ideas clearly with the use of simple economic diagrams and
examples.

Subject Synopsis/ The Scope of Economic Analysis

Indicative Syllabus Concept of scarcity, choice and opportunity cost; Nature of economics as
a science for understanding human behaviour; The difference between
microeconomics and macroeconomics.

Demand, Supply and the Price Mechanism

The law of demand; Elasticity of demand; The law of supply; Elasticity
of supply; The functions of price and the market system.

Market Structure
Definition of market; General features of perfect competition and
imperfect competition (monopoly, monopolistic competition, oligopoly);
1
 July 2019

Arguments against and for legislation to enhance “competition” and

regulation of monopoly; Production process.

Government Intervention
Role of government; Definition of “market failure” and examples; Tools
of the government intervention and the impact on human behaviour and
resource allocation.

Macroeconomics and National Income

Major macroeconomic issues; Concepts and approaches to national
income accounting; Relationship between national income and social
welfare.

Fiscal Policy and Monetary Policy

Definition of money supply in Hong Kong; Banking system and the
money creation process; Roles of central bank, government spending and
taxation; Demand for money; Determination of interest rate; Monetary
policy; Theories of unemployment, inflation and deflation.

The International Economy

International exchange and gains from trade; Trade restrictions; The
foreign exchange market and alternative exchange rate regimes; Debate
between protectionism and free trade.

Teaching/Learning Lectures will focus on the introduction and explanation of concepts and
Methodology theories supported by hypothetical and real examples wherever
appropriate. Group discussions and activities may be arranged to
stimulate students’ interests or their awareness of practical implications
of some concepts.

Tutorials will provide students with opportunities to deepen their

understanding and to explore further the applications of theories taught.
Activities in tutorials normally include student presentations and
discussions of problem sets.

Assessment A variety of assessment tools will be used to develop and assess students’
Methods in achievement of the subject intended learning outcomes.
Alignment with
Intended Learning Specific assessment % Intended subject learning
Outcomes methods/tasks weighting outcomes to be assessed

a b c d

Continuous Assessment* 50

 Test 20    

 Assignment 1 7    

 Assignment 2 7    

 Tutorial Exercises &

16    
Activities

Final Examination 50    

2
 July 2019

Total 100
*Continuous assessment items and/or weighting may be adjusted by the subject
team subject to the approval of the College Programme Committee.

To pass this subject, students are required to obtain Grade D or above in

both the Continuous Assessment and Final Examination.

Student Study Class contact Hours

Effort Expected
 Lecture 26

 Tutorial 13

Other student study effort

 Self-study 52

 Continuous Assessment 39

Total student study effort 130

Reading List and Recommended Textbook

References
Mclean, William J., & Applegate, Michael (2013). Economics and
Contemporary Issues, International edition. (9th ed.), South-Western.

References

Bade, R., Parkin, M. (2017). Essential Foundations of Economics. (8th

ed.), Boston: Pearson/Addison Wesley.

Boyes, W., & Melvin, M. (2014). Fundamentals of Economics,

International Edition. (6th ed.), South-Western: Cengage Learning.

Mankiw, N. G., Quah, E., & Wilson, P. (2013). Principles of Economics,

Asian Edition. (2nd ed.), South Western: Cengage Learning.

Mastrianna, Frank, V. (2013). Basic Economics, International Edition.

(16th ed.), South-Western: Cengage Learning.

Sexton, Robert L. (2014). Survey of ECON2.(2nd ed.), South-Western:

Cengage Learning.

Tucker, I. B. (2013). Survey of Economics, International Edition. (8th

ed.), South-Western: Cengage Learning.