Recent developments in contract theory. Includes advanced models of moral hazard, adverse selection, mechanism design and incomplete contracts with applications to theory of the firm, organizational design, and financial structure.
Energy policy is typically evolutionary as opposed to revolutionary. We can look to historical policies to understand how we've inherited the policies governing our energy use today. But looking backward only tells us part of the story. In the face of climate change, we need to look ahead and instead envision a more revolutionary change to our energy systems and the policies that govern them. This class takes you on that journey to energy policies past, present, and future. We look at the political realities of addressing climate change at various scales of governance and work together to craft our own ideal scenarios of what a responsible energy future will be.
This course is an advanced course in macroeconomics that seeks to bring students to the research frontier. The course is divided into two sections. The first half is taught by Prof. Ivn Werning and covers topics such as how to formulate and solve optimal problems. Students will study fiscal and monetary policy, among other issues. The second half, taught by Prof. George-Marios Angeletos, covers recent work on multiple equilibria, global games, and informational fictions.
Topics change from year to year. Most recent topics include: optimal fiscal and monetary policy; optimal capital taxation; time inconsistency and incentive incompatibility of optimal policies; redistribution and political economics; heterogeneous agents and incomplete markets; Real Business Cycle models and new-keynesian models; endogenous growth; aggregate fluctuations and propagation mechanisms; recursive methods and robust control in macro.
This book has been prepared for students taking Agribusiness Management 101 in The Department of Agricultural Economics, Sociology and Education at The Pennsylvania State University.
Table of Contents:
Lesson 1: Economics as Limits, Alternatives, and Choices
Chapter 1: Introduction
Chapter 1.1 - What Is Economics, and Why Is It Important?
Chapter 1.2 - Confronting Objections to the Economic Approach
Chapter 1.3 - How Individuals Make Choices Based on Their Budget Constraint
Lesson 2: The Market System
Chapter 2: Introduction
Chapter 2.1 - How To Organize Economies: An Overview of Economic Systems
Chapter 2.2 - Introducing the Market System
Chapter 2.3 - The Use of Mathematics in Principles of Economics
Lesson 3: Demand, Supply, and Market Equilibrium Chapter 3
Chapter 3: Introduction
Chapter 3.1 - Demand, Supply, and Equilibrium in Markets for Goods and Services
Chapter 3.2 - Shifts in Demand and Supply for Goods and Services
Chapter 3.3 - Changes in Equilibrium Price and Quantity: The Four-Step Process
Chapter 3.4 - Price Ceilings and Price Floors
Chapter 3.5 - Demand, Supply, and Efficiency
Lesson 4: Market Failures: Public Goods and Externalities
Chapter 4: Introduction
Chapter 4.1 - Why the Private Sector Underinvests in Innovation
Chapter 4.2 - How Governments Can Encourage Innovation
Chapter 4.3 - Public Goods
Lesson 5: Elasticity
Chapter 5: Introduction
Chapter 5.1 - Price Elasticity of Demand and Price Elasticity of Supply
Chapter 5.2 - Polar Cases of Elasticity and Constant Elasticity
Chapter 5.3 - Elasticity and Pricing
Chapter 5.4 - Elasticity in Areas Other Than Price
Lesson 6: Utility Maximization
Chapter 6: Introduction
Chapter 6.1 - Consumption Choices
Chapter 6.2 - How Changes in Income and Prices Affect Consumption Choices
Chapter 6.3 - Indifference Curves
Chapter 6.4 - Behavioral Economics: An Alternative Framework for Consumer Choice
Lesson 7: Production, Costs, and Industry Structure
Chapter 7 : Introduction
Chapter 7.1 - Explicit and Implicit Costs, and Accounting and Economic Profit
Chapter 7.2 - Production in the Short Run
Chapter 7.3 - Costs in the Short Run
Chapter 7.4 - Production in the Long Run
Chapter 7.5 - Costs in the Long Run
Lesson 8 : Pure Competition in the Short Run
Chapter 8 : Introduction
Chapter 8.1 - Perfect Competition and Why It Matters
Chapter 8.2 - How Perfectly Competitive Firms Make Output Decisions
Lesson 9 - Pure Competition in the Long Run
Chapter 9 - Introduction
Chapter 9.1 - Entry and Exit Decisions in the Long Run
Chapter 9.2 - Efficiency in Perfectly Competitive Markets
Lesson 10 - Pure Monopoly
Chapter 10 - Introduction
Chapter 10.1 - How Monopolies Form: Barriers to Entry
Chapter 10.2 - How a Profit-Maximizing Monopoly Chooses Output and Price
Lesson 11: The Demand for Resources
Chapter 11 - Introduction
Chapter 11.1 - Demand for Labor
Lesson 12 - Rent, Interest and Profit
Chapter 12 - Introduction
Chapter 12.1 - Time Value of Money
Lesson 13: Agriculture: Economics and Policy
Chapter 13 - Introduction
Chapter 13.1 - Introduction to the Agriculture Economics
Lesson 14 - International Trade
Chapter 14 - Introduction
Chapter 14.1 - Absolute and Comparative Advantage
Chapter 14.2 - What Happens When a Country Has an Absolute Advantage in All Goods
Chapter 14.3 - Intra-industry Trade between Similar Economies
Chapter 14.4 - The Benefits of Reducing Barriers to International Trade
Chapter 14.5 - Protectionism: An Indirect Subsidy from Consumers to Producers
Chapter 14.6 - International Trade and Its Effects on Jobs, Wages, and Working Conditions
Chapter 14.7 - Arguments in Support of Restricting Imports
Chapter 14.8 - How Governments Enact Trade Policy: Globally, Regionally, and Nationally
Chapter 14.9 - The Tradeoffs of Trade Policy
This class examines how and why twentieth-century Americans came to define the ŰĎgood lifeŰ through consumption, leisure, and material abundance. We will explore how such things as department stores, nationally advertised brand-name goods, mass-produced cars, and suburbs transformed the American economy, society, and politics. The course is organized both thematically and chronologically. Each period deals with a new development in the history of consumer culture. Throughout we explore both celebrations and critiques of mass consumption and abundance.
" This course focuses on alternative ways in which the issues of growth, restructuring, innovation, knowledge, learning, and accounting and measurements can be examined, covering both industrialized and emerging countries. We give special emphasis to recent transformations in regional economies throughout the world and to the implications these changes have for the theories and research methods used in spatial economic analyses. Readings will relate mainly to the United States, but we cover pertinent material on foreign countries in lectures."
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.
Applied Macro- and International Economics uses case studies to investigate the macroeconomic environment in which firms operate. The first half of the course develops the basic tools of macroeconomic management: monetary, fiscal, and exchange rate policy. The class discusses recent emerging market and financial crises by examining their causes and considering how best to address them and prevent them from recurring in the future. The second half evaluates different strategies of economic development. Topics covered in the second half of this course include growth, the role of debt and foreign aid, and the reliance on natural resources.
This lesson explains leverage and insolvency and why it is good or bad. [Banking, Money, Finance playlist: Lesson 10 of 24]
This lesson tells how banks can give out loans without ever giving out gold. [Banking, Money, Finance playlist: Lesson 7 of 24]
This lesson talks about how money is created in a fractional reserve banking system. [Banking, Money, Finance playlist: Lesson 4 of 24]
This lesson talks about how money is created in a fractional reserve banking system. [Banking, Money, Finance playlist: Lesson 4 of 24]
This lesson explains reserve requirements and how they limit how much lending a bank can do. [Banking, Money, Finance playlist: Lesson 8 of 24]
This lesson introduces bank notes and how you are more familiar with them than you realize. [Banking, Money, Finance playlist: Lesson 5 of 24]
This lesson discusses government debt and treasuries. It explains what it means that Federal Reserve Notes are issued by the Reserve Bank but are not an obligation on the government. [Banking, Money, Finance playlist: Lesson 12 of 24]
This lesson introduces the ways that banks make money. [Banking, Money, Finance playlist: Lesson 1 of 24]
This lesson is an introduction to the income statement of a bank, and to income statements, in general. [Banking, Money, Finance playlist: Lesson 2 of 24]
Overview: This lesson talks about the pros and cons of various banking systems and talks more about using gold as a standard. [Banking, Money, Finance playlist: Lesson 18 of 24]
This lesson explains the weak points of fractional reserve banking. [Banking, Money, Finance playlist: Lesson 22 of 24]
This lesson continues the discussion of fractional reserve banking. It further discusses the FDIC, deposit insurance and its side effects. [Banking, Money, Finance playlist: Lesson 23 of 24]
This lesson is a summary of thoughts of why Fractional Reserve Banking is a subsidy to banks and allows them to arbitrage the yield curve. [Banking, Money, Finance playlist: Lesson 24 of 24]
Surveys research which incorporates psychological evidence into economics. Prospect theory. Biases in probabilistic judgment. Self-control and mental accounting with implications for consumption and savings. Fairness, altruism, and public goods contributions. Financial market anomalies and theories. Impact of markets, learning, and incentives. Some evidence on memory, attention, categorization, and the thinking process.
This catalog contains educational content originally curated by Boundless. In collaboration with the Boundless team, Lumen Learning imported these OER courses to the Lumen Platform, to ensure they remain freely available to the education community after Boundless ceased operations. Lumen maintains the Boundless content in the same condition it was provided to us. Courses may contain issues with formatting, accessibility, and the degree to which content remains current, accurate, and complete.
Table of Contents
Principles of Economics
The Market System
Introducing Supply and Demand
Consumer Choice and Utility
Elasticity and its Implications
Market Failure: Externalities
Market Failure: Public Goods and Common Resources
Inputs to Production: Labor, Natural Resources, and Technology
Challenges to Efficient Outcomes
Taxes and Public Finance
Income Inequality and Poverty
Introduction to Macroeconomics
Measuring Output and Income
Inflation and Unemployment
Aggregate Demand and Supply
Major Macroeconomic Theories
The Monetary System
The Financial System
Current Topics in Macroeconomics
Open Economy Macroeconomics
Health Care Economics
Natural Resource Economics
There are several hundred thousand Brownfield sites across the country. The large number of sites, combined with how a majority of these properties are located in urban and historically underserved communities, dictate that redevelopment of these sites stands to be a common theme in urban planning for the foreseeable future. Students form a grounded understanding of the Brownfield lifecycle: how and why they were created, their potential role in community revitalization, and the general processes governing their redevelopment. Using case studies and guest speakers from the public, private and non-profit sectors, students develop and hone skills to effectively address the problems posed by these inactive sites.
This is the first edition of the open text book Building a Competitive Investment Climate on First Nation Lands. This textbook is for students who are First Nation and tribal government employees or students who would like to work for or with First Nation and tribal governments. The purpose of this textbook is to help interested First Nation and tribal governments build a competitive investment climate. Work began on this text book in early 2012 with a generous grant from the Donner Canadian Foundation. Financial support was also provided by the First Nations Tax Commission and the Tulo Centre.
Uses a case approach to develop a framework for business analysis. Provides students with tools for business analysis, including strategic, accounting, financial, and prospective analysis. Concepts are then applied to a number of decision-making contexts, such as credit analysis, investor communications, merger analysis, financial policy decisions, and securities analysis. From the Course Description: Course Description The purpose of this class is to advance your understanding of how to use financial information to value and analyze firms. We will apply your economics/accounting/finance skills to problems from today's business news to help us understand what is contained in financial reports, why firms report certain information, and how to be a sophisticated user of this information.
The purpose of this course is to trace the twin paths of capitalism and democracy through American history. This course is premised on the idea that capitalism and democracy are intertwined, though they have often conflicted with one another. It provides students with a brief introduction to the history of capitalism and democracy in Europe and then to explore how they evolved in North America between 1600 and the present. Upon successful completion of this course, students will be able to: define and identify the terms 'capitalism' and 'democracy' in a variety of different modern historical eras; identify and define the historical connections between capitalism and democracy and identify periods of tension between capitalism and democracy, explaining how they both strengthen and weaken one another; identify important events, personalities, and concepts related to American democracy and capitalism; identify and describe the emergence and development of both capitalism and democracy in the United States; identify and describe the different periods of American history as they relate to the concepts of capitalism and democracy. (History 312)
Subject addresses the evolution of the modern capitalist economy and evaluates its current structure and performance. Various paradigms of economics are contrasted and compared (neoclassical, Marxist, socioeconomic, and neocorporate) in order to understand how modern capitalism has been shaped and how it functions in today's economy. Readings include classics in economic thought as well as contemporary analyses. Subject stresses general analytic reasoning and problem formulation rather than specific analytic techniques. May not be used for economics concentration. One economics HASS-D subject may be used as an economics elective for the economics major and minor. This course examines the implications of economic theories for social and political organization in the context of the historical evolution of industrial societies. Among the authors whose theories will be discussed are Ayn Rand, Milton Friedman, Karl Marx, Max Weber, Joseph Schumpeter, and John Kenneth Galbraith. Emphasis will be placed on class discussion of specific texts. Students will be encouraged to ground their views in concrete textual and empirical material and to consider the implications of different arguments for the understanding of personal, political, and economic events today.
This is a course for those who are interested in the challenge posed by massive and persistent world poverty, and are hopeful that economists might have something useful to say about this challenge. The questions we will take up include: Is extreme poverty a thing of the past? What is economic life like when living under a dollar per day? Why do some countries grow fast and others fall further behind? Does growth help the poor? Are famines unavoidable? How can we end child labor - or should we? How do we make schools work for poor citizens? How do we deal with the disease burden? Is micro finance invaluable or overrated? Without property rights, is life destined to be "nasty, brutish and short"? Has globalization been good to the poor? Should we leave economic development to the market? Should we leave economic development to non-governmental organizations (NGOs)? Does foreign aid help or hinder? Where is the best place to intervene?
Small-group study of advanced subjects under staff supervision. For graduate students wishing to pursue further study in advanced areas of urban studies and city and regional planning not covered in regular subjects of instruction. 11.941 and 11.955 are taught P/D/F.
The role of the family in human evolution, and as a symbol in our own social and political lives. Topics include: sex, marriage, and parenting; the labor market; class, race, and ethnicity; and the family's probable future. We begin by considering briefly the evolution of the family, its cross-cultural variability, and its history in the West. We next examine how the family is currently defined in the U.S., discussing different views about what families should look like. Class and ethnic variability and the effects of changing gender roles are discussed in this section. We next look at sexuality, traditional and non-traditional marriage, parenting, divorce, family violence, family economics, poverty, and family policy. Controversial issues dealt with include day care, welfare policy, and the "Family Values" debate.
This course emphasizes dynamic models of growth and development. Topics covered include: migration, modernization, and technological change; static and dynamic models of political economy; the dynamics of income distribution and institutional change; firm structure in developing countries; development, transparency, and functioning of financial markets; privatization; and banks and credit market institutions in emerging markets.
At MIT, this course was team taught by Prof. Robert Townsend, who taught for the first half of the semester, and Prof. Abhijit Banerjee, who taught during the second half. On OCW we are only including materials associated with sessions one through 13, which comprise the first half of the class.
" Topics include productivity effects of health, private and social returns to education, education quality, education policy and market equilibrium, gender discrimination, public finance, decision making within families, firms and contracts, technology, labor and migration, land, and the markets for credit and savings."
This course examines the growing importance of medicine in culture, economics and politics. It uses an historical approach to examine the changing patterns of disease, the causes of morbidity and mortality, the evolution of medical theory and practice, the development of hospitals and the medical profession, the rise of the biomedical research industry, and the ethics of health care in America.
"This course focuses on dynamic optimization methods, both in discrete and in continuous time. We approach these problems from a dynamic programming and optimal control perspective. We also study the dynamic systems that come from the solutions to these problems. The course will illustrate how these techniques are useful in various applications, drawing on many economic examples. However, the focus will remain on gaining a general command of the tools so that they can be applied later in other classes."
Course covers deterministic and stochastic dynamic optimization using dynamic programming analysis.
Deterministic optimization: maximum principle, dynamic programming, calculus of variations, optimal control, dynamic games. Stochastic optimization: stochastic optimal control and dynamic programming, Markov processes, Ito calculus, Markov games. Applications. Dynamical systems: local and global analysis and chaos. The unifying theme of this course is best captured by the title of our main reference book: "Recursive Methods in Economic Dynamics". We start by covering deterministic and stochastic dynamic optimization using dynamic programming analysis. We then study the properties of the resulting dynamic systems. Finally, we will go over a recursive method for repeated games that has proven useful in contract theory and macroeconomics. We shall stress applications and examples of all these techniques throughout the course.
Economics is traditionally divided into two parts: microeconomics and macroeconomics. The purpose of this course is to provide you with a fundamental understanding of the principles of macroeconomics. Macroeconomists study how a country’s economy works and try to determine the best choices to improve the overall wellbeing of a nation. Typical topics include inflation (the overall level of prices), employment, fiscal policy (government taxing and spending), and money and banking (interest rates and lending policies). Individuals and firms need to consider how macroeconomic events will affect their own prosperity. To better define macroeconomics, consider its distinction from microeconomics. Imagine you are attempting to figure out how the price of a certain good has been determined. Microeconomics would focus on how supply and demand determine prices, while macroeconomics would study the determination of prices at all levels. To test particular policies and ideas, or to find out the causes of good macroeconomic performance, we need to have some measure of overall economic activity. For this reason, macroeconomics uses aggregates (totals) to measure key concepts such as national income, output, unemployment, inflation, and business cycles (periodic expansions and contractions of economic activity). By studying macroeconomics and understanding the critical ideas and tools used to measure economic data, you will have a better perspective on the issues and problems discussed in contemporary economics. This course will ask you to think critically about the national and global issues we currently face. It will also introduce the tools and principles you need to draw your own conclusions in an informed manner.
This course will introduce the student to the history of the world's major civilizations from medieval times to the early modern era. The student will learn about the pivotal political, economic, and social changes that took place in Asia, Africa, the Americas, and Europe during this period. By the end of the course, the student will understand how many different civilizations evolved from isolated societies into expansive, interconnected empires capable of exerting global influence. Upon completion of this course, students will be able to: Think critically and analytically about world history in the medieval and early modern eras; Identify and describe the emergence, decline, and main features of the Byzantine Empire; Identify the origins and characteristics of the European medieval period and describe the rapidly changing forces at work in society, the economy, and religion during this time; Identify the origins of the Aztec and Inca civilizations and assess how these empires affected socio-economic development in the Americas; Identify the origins of the Tang and Song dynasties in China and assess the impact of these empires on Chinese government, society, religion, and economy during what scholars refer to as the 'golden age'; Identify the origins of the Mongol Empire, which dominated much of Asia in the twelfth and thirteenth centuries. Students will analyze the nature of this empire created by nomads; Identify the reasons for a changing balance in the world economy in the 1400s and analyze why Europe superseded Asia as the most dominant civilization on the globe; Assess how and why the European Age of Discovery had such a large impact on the New World, Africa, the Middle East, and Asia; Identify the origins and characteristics of the Renaissance and describe its impact on European civilization as a whole; Identify the origins of the Reformation and Counter-Reformation in Europe and assess how this movement altered the social, political, and religious fabric of Europe; Identify the origins of colonial Brazil and New Spain. Students will also be able to assess the impact of Spanish and Portuguese colonization on the New World, Africa, and Europe; Identify the origins of the Ottoman, Safavid, and Mughal empires and assess the unique characteristics of these dynasties and their impact upon Asia and the world; Identify the origins of the Atlantic slave trade, assessing how this forced migration of peoples affected Africa, Africans, Europe, and the New World; Analyze and describe the Asian trading world, the Ming dynasty in China, the ĺÎĺĺĺŤwarring states,' and early modern eras in Japan; Analyze and interpret primary source documents from the medieval period to the early modern era using historical research methods. (History 221)