Develops facility with concepts, language, and analytical tools of economics. Covers microeconomics, macroeconomics, and international trade and payments. Emphasizes integration of theory, data, and judgment in the analysis of corporate decisions and public policy, and in the assessment of changing US and international business environments. Restricted to Sloan Fellows. The fact of scarcity forces individuals, firms, and societies to choose among alternative uses -- or allocations -- of its limited resources. Accordingly, the first part of this summer course seeks to understand how economists model the choice process of individual consumers and firms, and how markets work to coordinate these choices. It also examines how well markets perform this function using the economist's criterion of market efficiency. Overall, this course focuses on microeconomics, with some topics from macroeconomics and international trade. It emphasizes the integration of theory, data, and judgment in the analysis of corporate decisions and public policy, and in the assessment of changing U.S. and international business environments.

Autarky describes a situation when countries are completely closed to trade. In this video, we explore what happens to the domestic price of a good, consumer surplus, and producer surplus, when an autarkic country opens to trade.

This is the full course material for a Principles of Macroeconomics Course. It includes study notes, lecture notes, and video lectures.

This course covers, with a focus on both theory and empirics, advanced topics in international trade (as well as inter-regional trade and economic geography). It includes the study of positive issues, such as: Why do countries trade? What goods do countries trade? What are the implications of openness for the location of production, industries, occupations, and innovative activity? And, what impedes trade and why do some countries deliberately erect policy impediments to trade? The course also concerns normative issues, such as: Is trade openness beneficial to a representative agent? And, Are there winners and losers from trade and if so, can we identify them? Throughout, these issues are approached in neoclassical settings as well as those with market failures, at the industry-level as well as the firm-level, and in the presence of both mobile and immobile factors (e.g., foreign direct investment (FDI), offshoring of tasks, multinational firms and immigration).

This introductory survey course is intended to develop an understanding of key issues and dilemmas of planning in non-Western countries. The issues covered by the course include state intervention, governance, law and institutions in development, privatization, participatory planning, decentralization, poverty, urban-rural linkages, corruption and civil service reform, trade and outsourcing and labor standards, post-conflict development and the role of aid in development.

The development and evolution of labor market structures and institutions. Particular focus on competing explanations of recent developments in the distribution of wage and salary income and in key institutions and organizational structures. Special attention to theories of worker motivation and behavior, the determination of wages, technology, and social stratification.

This curriculum covers a broad range of economic concepts and models. Students will learn foundational concepts like scarcity, opportunity cost, marginal analysis, and distinguishing between positive and normative claims. Core microeconomic topics include supply and demand, elasticity, market efficiency, consumer/producer surplus, and government intervention. Macroeconomic topics span GDP, unemployment, inflation, business cycles, growth, fiscal policy, monetary policy, and stabilization tools.

The microeconomics section builds an understanding of how individual buyers and sellers interact in markets. Students analyze supply and demand equilibria, surpluses, and shortages. Elasticity concepts are applied to understand how quantity supplied and quantity demanded respond to price changes. Market outcomes are evaluated using consumer/producer surplus and efficiency criteria. The effects of government price controls and taxes are analyzed.

The macroeconomics portion develops models to explain economy-wide outcomes. Students learn to calculate GDP, unemployment rates, inflation, and price indices. The AD-AS model illustrates macro equilibrium and the causes of business cycles, inflation, and stagnation. The Keynesian and Neoclassical frameworks are compared. Fiscal and monetary policies are explored as stabilization tools, with analysis of their mechanisms, limitations, lags, and appropriate applications.

International economics connects micro and macro concepts. Using theories of comparative advantage, students evaluate the impacts of trade and trade policies on consumers, producers, and the macroeconomy. The determinants of exchange rates and trade balances are analyzed.

This curriculum provides both theoretical frameworks and practical applications of economics. Students build analytical and mathematical skills for modeling and evaluating economic outcomes. Policy tradeoffs are examined from multiple perspectives. Upon completion, students will be equipped with core microeconomic and macroeconomic ways of thinking to apply in their careers and lives.

Principles of Macroeconomics 2e covers the scope and sequence of most introductory economics courses. The text includes many current examples, which are handled in a politically equitable way. The outcome is a balanced approach to the theory and application of economics concepts. The second edition has been thoroughly revised to increase clarity, update data and current event impacts, and incorporate the feedback from many reviewers and adopters.Changes made in Principles of Macroeconomics 2e are described in the preface and the transition guide to help instructors transition to the second edition.

By the end of this section you will be able to:

Explain how exchange rate shifting influences aggregate demand and supply
Explain how shifting exchange rates also can influence loans and banks

By the end of this section, you will be able to:

Asses the complexity of international trade
Discuss why a market-oriented economy is so affected by international trade
Explain disruptive market change

By the end of this section, you will be able to:

Identify at least two advantages of intra-industry trading
Explain the relationship between economies of scale and intra-industry trade

Principles of Microeconomics is an introductory undergraduate course that teaches the fundamentals of microeconomics. This course introduces microeconomic concepts and analysis, supply and demand analysis, theories of the firm and individual behavior, competition and monopoly, and welfare economics. Students will also be introduced to the use of microeconomic applications to address problems in current economic policy throughout the semester.

In this video, walk through the solution to a question on the effect of tariffs from the 2012 AP(R) Microeconomics exam.

When governments impose restrictions on international trade, this affects the domestic price of the good and reduces total surplus. One such imposition is a tariff (a tax on imported or exported goods and services). See how a tariff impacts price, consumer surplus, producer surplus, tax revenue, and deadweight loss in this video.