Professor Robert J. Lemke
Department of Economics and Business
Lake Forest College
Fall 2008
Contact Information:
Office: 418 Young Hall
Phone: 847-735-5143 (office); 847-457-3219 (home); 847-224-8928 (cell)
E-mail: lemke@lakeforest.edu
Webpage: http://campus.lakeforest.edu/~lemke/
Class Webpage: http://campus.lakeforest.edu/~lemke/fiys197/index.html
Class Lectures and Office Hours
Section 1 meets MWF in Young Hall 309 from 9:00 - 9:50.
Section 2 meets MWF in Young Hall 309 from 10:00 - 10:50.
Weekly Problem Session: Mondays, Young Hall 411 from 12:00 - 12:50My office hours are 11:00 to 12:00 on Mondays, Wednesdays, and Fridays in Young Hall 418, but you may stop by my office anytime. The best way to contact me is by e-mail (lemke@lakeforest.edu). You can also phone my office (847-735-5143), my home (847-457-3219), or my cell (847-224-8928).
Course Description
FIYS 197: Foundations of Economic Thinking An introduction to how economists think about economic problems and issues. Standard micro and macro topics will be covered, including consumer and firm behavior, financial incentives, aggregate demand and supply, production, employment, globilization, and growth. Economic foundations will be applied to domestic and international economic policy issues. FIYS 197 satisfies the ECON 110 requirement for economics and business majors and minors.During the course of the semester, we will study the three basic economic questions of any economy: what is produced, who produces it, and who consumes it? These three questions go to the heart of most economic questions, especially issues concerning efficiency and equality. In addition to these three classic questions of economics, economists are keenly interested in behavior (which is what makes economics a social science). Economists think about how economic agents (firms, workers, consumers, nations, etc.) respond to incentives. We will spend considerable time discussing incentives and how policy can elicit certain behaviors once a general framework of economic incentives is understood. In addition to studying individual behavior, we will also discuss macroeconomic theories and policy presecriptions.
Although the economic content of FIYS 197: Foundations of Economic Thinking is very similar to the economic content of ECON 110: Principles of Economics, FIYS 197 only satisfies the ECON 110 requirement for economics or business majors (or minors). In general, therefore, FIYS 197 satisfies the FIYS and Intensive Writing GEC requirements, and students should generally not think of FIYS 197 as being the same as ECON 110. Moreover, one should not take FIYS 197 in order to "double-count" one's FIYS course for a major prerequisite even if one is fairly sure of wanting to major in economics or business. Quite the opposite actually. In addition to covering the ECON 110 curriculum, our classtime (and out-of-classtime) will also need to be devoted to FIYS concerns, such as taking a tour of the library, learning about plagerism rules, etc. The FIYS 197 curriculum also requires much more reading and writing compared to the standard ECON 110 curriculum. On the plus side, because of its smaller class size (14 vs. 32), there are more instructional options for FIYS 197. One technique that will be employed is less reliance on in-class lecture than the typical ECON 110 course. Students who are not willing to work through material on their own or in study groups should certainly opt for a more typical ECON 110 class. FIYS 197 is probably best suited for someone who is interested in economics but is unlikely to major in economics or business or someone who has passed one of the two (micro and macro) AP economics tests.
Objectives and Expectations
I have several objectives concerning the material and expectations concerning your work and participation in this class.
- In terms of this being an FIYS class, my immediate goal is to welcome all of the students to Lake Forest College, to assist in advising so that each student has a class schedule that she or he is excited about and that helps each student achieve his or her academic goals, and to address any concern anyone might have regarding their new life as a college student. There are also several FIYS events that this class will participate in. This course is your introduction to college and, in particular, to Lake Forest College. We will spend time as a class discussing and experiencing what it means to be a responsible student at Lake Forest College.
- In terms of this being an economics course, my goal is to cover all (or at least most) of the material that is contained in a standard ECON 110: Principles of Economics class. In addition to coming to learn certain material and ideas, however, I hope that each student develops an economic "brain" and makes substantial progress toward thinking like an economist. The "foundations" covered in this course will hopefully last forever.
- This is a writing intensive course. My aim is to have every student writing at the collegiate level by the end of the semester. My expectation is that you will push yourself to become the best writer possible. This means taking the time and giving the effort needed to write, edit, re-write, and re-edit your work. We will also discuss issues of plagiarism.
- In addition to be writing intensive, we will read several books that will help develop your thinking, especially on economic matters. I expect everyone will do all of the reading and all of the assigned homework. This course, because of its discussion nature, requires everyone to do the work. You must read, write, and attempt homework problems in a timely fashion.
Required Reading
The text for the class is Timothy Taylor's Principles of Economics. It is important to get the complete book -- do not get the micro and/or macro splits. I encourage every student to purchase the text as it is extremely cheap compared to other principles books. That said, the book and study guide are available online for free if you are willing to put up with advertisements in your book and the eye strain that accompanies reading the book on a computer screen. (The study guide is available only online.)
Taylor's home page is http://timothytaylor.net/economics.htm, from which you can navigate to the text. Alternatively, you can go directly to http://www.freeloadpress.com/ to register and download the text. The publisher sent me the following information regarding downloading the text: Taylor Download Directions (Word File). Be sure to have access to the book by the time you arrive on campus in August. My advice is to purchase the bound version of the book in July to avoid the college rush. I would appreciate comments from students regarding this text. Please let me know if you would have preferred a tradition textbook.
There are three economics books that we will read as a class over the course of the semester. Each is available in the bookstore on campus, but you are free to purchase them elsewhere. You will also need to purchase a copy of a writing style guide which you are expected to retain for your four years at Lake Forest College. These books are:
- Capitalism and Friedman, 40th Aniversary Edition, Milton Friedman, (University of Chicago Press, 2002, 1962 original publication date) ISBN: 0-226-26421-1.
- Equality and Efficiency: The Big Tradeoff, Arthur Okun, (The Brookings Institution Press, 1975) ISBN: 0-8157-6475-8.
- Naked Economics: Undressing the Dismal Science, Charles Wheelan, (W.W. Norton & Company, 2002) ISBN: 0-393-32486-9.
- A Pocket Style Manual, 5th Edition, Diana Hacker, ISBN: 0-312-45275-6.
Summer Assignments
Grading Policy
Your grade will depend on four personal papers (12%; 3% each), one midterm paper (8%), one end-of-term policy paper (15%), the presentation of your policy paper (5%), problem sets (15%), three midterm exams (30%; 10% each), and a final exam (15%). Anyone who is habitually absent or distruptive will have his or her grade lowered exponentially. The relationship between your weighted score and your grade for the class will follow the standard 90, 80, 70, 60 schedule with pluses and minuses being assigned as usual. Late assignments/papers will not be accepted for graded credit.
Weekly Schedule
Although there will be some exceptions, the class will run on the following schedule. On Friday, all work to be done for the following week will be announced. Monday will start with a problem set question-and-answer session. We will then start lecture/discussion on that week's topic. Wednesday will be devoted to lecture/discussion. We will finish up the lecture/discussion on Friday if necessary and will then engage in a class discussion that applies the week's topic to various policy issues. In general, problem sets will be assigned on Friday and due the following Friday. Most tests will also fall on a Friday. The due dates for the writing assignments are given below. Because of the unique time constraints for this class -- FIYS demands plus the entire ECON 110 curriculum -- we will frequently find it necessary to meet for additional time outside of class. Students are expected to attend these meetings. In particular, we will use the lunch hour on Monday (Young Hall 411, 12:00 - 12:50) to review homework problems, and end-of-the-semester student presentations will be held outside of classtime.
Problem Sets
Problem sets will typically be assigned on Friday and due the following Friday. You can work in groups to solve the problems, but each person must submit his or her own hand-written answers.
Exams
You will not be allowed to use notes for any of the exams. All exams will contain short-answer/essay questions and number problem. Exam dates are September 26, October 24, and November 21. The final will be from 1:30 to 4:30 on Tuesday, December 16 for Section 1 and from 1:30 to 4:30 on Saturday, December 13 for Section 2. If you miss an exam due to sickness, you must contact me immediately to reschedule the exam. If you will be away from campus on an exam day for a College-sanctioned event, you must see me at least two weeks prior to the exam to reschedule. If you are allowed extra time or special conditions for taking exams, it is your responsibility to schedule and discuss any special accomodations with me at least two weeks before the exam.
The Writing Center
This is a writing intensive course. In order to help you with your writing assignments, I ask that you show a draft of each paper you write to the Writing Center before handing it in to me. You should schedule an appointment with the Writing Center at least 72 hours before each paper is due in order to give yourself time to incorporate their suggestions.
Personal Papers
You will write 4 short personal papers. Use one-inch margins, double spacing, and 11 point Times Roman font. Do not exceed 1 page for the first two assignments. You can write up to 2 pages for the last two assignments.
- Letter to Future Self: Think ahead three years years and eight months. You are about to graduate from Lake Forest College. Write a letter to your future self. What promises do you want to make now to your future self? Due: September 8.
- College Choice: Write a one-page description of why you chose Lake Forest College. In saying why you chose Lake Forest College, you should mention the other colleges you were considering, what characteristics of colleges were important to you, and how you ended up choosing Lake Forest College over the others. Due: September 15.
- Letter of Recommendation: Think ahead three years. You are a senior at Lake Forest College who is applying to graduate school. Acting as a professor at Lake Forest College, write a letter of recommendation on your behalf for admittance to graduate school. Due: September 22.
- Letter to the Editor: Write a letter to the editor of the Stentor on any academic issue facing Lake Forest College that is important to you. (We will not be submitting them to the Stentor, unless you choose to do so on your own.) Due: September 29.
Midterm Paper
Write a summary paper on any economic issue of your choice that both presidential candidates have weighed in on. This is an issues aper. After introducing the issue, you should present each candidate's position and each candidate's response to the other candidate's position. You can also weigh in with your own opinion.
Your paper should be six to eight pages with one-inch margins, double spaced, and 12 point Times Roman font. Be sure to include a title, and center your page numbers at the bottom of each page. Include references, which can extend to a ninth page. As you are taking statements and ideas from media sources, be sure to provide a complete set of references. You need to have at least six references. Do not plagiarize! References, tables, and/or graphs do not count against your page limit. Due: October 17. The complete set of directions and rubric for grading the midterm paper is here: Rubric for Midterm Paper.
Final Paper
Write a policy paper on any economic issue of your choice. Present the topic/issue completely. Then present a detailed plan to address the issue. In addition to presenting the plan, defend your plan against attacks from people who disagree with you. Thus, you need to have some knowledge and some foresight of how others see the issue and potential solutions. Warning: You want to limit the scope of your plan. It would be impossible to write about the U.S. healthcare system, whereas it may be possible to write about extending Medicaid to working families.
Your paper should be twelve to fifteen pages with one-inch margins, double spaced, and 12 point Times Roman font. Be sure to include a title, and center your page numbers at the bottom of each page. Include references, which can extend to a sixteenth page. As you are taking statements and ideas from media sources, be sure to provide a complete set of references. You need to have at least eight references. Do not plagiarize! References, tables, and/or graphs do not count against your page limit. Due: November 26. The complete set of directions and rubric for grading the final paper is here: Rubric for the Final Paper.
You will present your final paper to the class in December. Your presentation must use PowerPoint and be between 13 and 17 minutes, not including questions. The complete set of directions and rubric for grading the presentation is here: Rubric for Presenation of Final Paper.
Lecture Schedule
Production & Exchange Sept 1 - 5 Chpt. 1, 2, 3 Demand & Supply Sept 8 - 12 Chpt. 4, 7 Microeconomic Theory Sept 15 - 19 Chpt. 8, 9, 10, 11, 12 Exam One Sept 26 Public Policy Sept 29 - Oct 3 Chpt. 13, 14, 15, 16 Financial Markets, Information, & Uncertainty Oct 6 - 10 Chpt. 18, 19 Globilization & International Trade Oct 13 - 17 Chpt. 6, 25, 34 Exam Two Oct 24 Macroeconomic Ideas Oct 27 - 31 Chpt. 21, 22, 23, 24 Fiscal Policy Nov 3 - 7 Chpt. 26, 27, 28 Monetary Institutions & Policy Nov 10 - 14 Chpt. 29, 30, 31, 32, 33 Exam Three Nov 21