This course employs a unified framework for understanding local and global economies. Beginning with a study of the macroeconomic environment, it presents a coherent world view of how the world economy works, with the adaptation of the circular flow of income to accommodate the actors, institutions, products, services, and prices that form the full circular flow of the economy. Students will investigate a wide range of related topics including:
- Macroeconomic measurements such as gross domestic product, balance of payments, aggregate demand, aggregate supply, price levels, interest rates, money creation, taxation, and regulation
- Mesoeconomic topics such as industry, region and group interactions, systemic risk, and connections between the macroeconomic environment and microeconomic decision-making
- Microeconomic principles that guide decision-making and activities at the individual organizational or household level
- Models and data interpretation for economic theory and applications, along with research methods in economics
The course has eight sets of module-specific assignments that link the assigned readings to a selection of assignments that will include computational exercises done in teams of two and individual case studies and/or short papers. Through a reading of the assigned texts, the course modules, and the websites, plus completion of all assignments, students will obtain a firm grounding in economic theory and select applications.
Course Learning Objectives
- Define, in their own words, economic theories, analyze qualitative and quantitative economic data, and use descriptive statistics to illustrate economic theories and their applications.
- Locate, compute, and present economic theories, applications, and statistics that are relevant to the analysis of a specific organizational objective, cause, action, event, or group.
- Analyze the primary risks facing an organization and identify mitigating factor(s) for each risk based on the organization's strengths or based on its internal and/or external environments.
- For risks related to ergonomic, ecological, or economic sustainability--namely, the triple bottom line of people, the planet, and profits--identify risks and corresponding mitigants for an organization, using concepts and methods from the externalities, public goods, regulation, and other literatures in economic theory.