Economics 311Money and Income

Introduction

Spring 2002

Department of Economics

College of Business and Economics

California State University-Northridge

Professor Kenneth Ng

Administrative Details (2)

Textbook: Robert Barro, Macroeconomics, 5e.

Course will follow Barro closely. Subject matter,

notation, etc.

Administrative Details (1) Adding and dropping.

All sections currently full. TTR drop/add during the first two weeks. Will add up to the enrollment limit as spaces

become available on Tuesday of the 3rd and 4th week of class.

Concurrent Enrollment and Open University Students will be added on the Thursday of the 3rd week of class—space permitting.

Administrative Details (3) Class website: ng.csun.edu.

Reading List. Exam Archive. Assignments. Slides from lectures.

Slides will be updated immediately following class. Grade Roster.

Grading Grade is based on 2 exams plus a final.

Weighting: Exams 25% each. Final 50%. The final will be comprehensive. Before each exam there will be at least two

homework or other types of exercise. The assignments will be worth 10 points each. Points will be added to the next exam before

computing the curve. 5 points deducted for not completing

assignment.

The Curve Grades in the class will be mean based.

Letter grade is determined by how well each student performs relative to the average performance of all students in the class.

Roughly speaking, 1/3rd of the class will receive an A or B, 1/3rd a C, and 1/3rd (including those who do not complete the class) a D or F.

Scores on the three exams including homework will be averaged into a course score using the formula:

score) final lized(.5)(norma

score) exam 2nd alized(.25)(norm

score) examfirst alized(.25)(norm Score Course

The Curve (2)

Each exam’s normalized course score measures how far a score is from the mean score of all students taking the exam and is computed using the formula:

•A Normalized Exam Score of 0 is the mean.

•A positive Normalized Exam Score is a score above the mean.

•A negative Normalized Exam Score is a score below the mean.

deviation Standard

Mean)- Score (StudentsScore Exam Normalized

How to get a good grade in this class

Follow a cycle of preparation and review. Before each new section of material give Barro a quick read. Attend lecture. After each lecture download the Powerpoint slides and

review. Make sure that you understand everything discussed in class.

Somewhere in the middle of a section of material download the sample exams. Choose a few questions and try to answer them under exam like conditions.

Complete all assignments. Scoring 10 points from homework assignments prior to each

exam is equivalent to improving one letter grade. Missing both assignments prior to an exam is equivalent to

lowering you grade by 1+ letter.

Course Objective (1)

Will develop a general purpose macro-economics model of an economy.

Concentrate on 3 key decisions made by economic agents: Work/Leisure-Chapter 2 Consumption Now vs. Consumption Later-Chapter 3 Money-Chapter 4

Combining these 3 decisions generates the Basic Market Clearing Market -Chapter 5.

Course Objectives (2)

Use the Basic Market Clearing Model to engage in economic analysis. If there is a change in the world what effect will it have

on the economy.Changes in the world.

• Government Policy-Taxes, Money Supply, and Regulation.

• Natural Disaster-Earthquake, Terrorist Attack.Effect on the Economy.

• Output-GNP, GNP per capita.• Employment/Unemployment.• Prices-Inflation/Deflation.

Reading Assignment for Thursday

Chapter 1 in Barro.No Class on Thursday.