EPOKA UNIVERSITY
FACULTY OF ECONOMICS AND ADMINISTRATIVE SCIENCES
DEPARTMENT OF ECONOMICS
COURSE SYLLABUS
2023-2024 ACADEMIC YEAR
COURSE INFORMATIONCourse Title: MICROECONOMICS II |
| Code | Course Type | Regular Semester | Theory | Practice | Lab | Credits | ECTS |
|---|---|---|---|---|---|---|---|
| ECO 202 | B | 4 | 4 | 0 | 0 | 4 | 5 |
| Academic staff member responsible for the design of the course syllabus (name, surname, academic title/scientific degree, email address and signature) | Dr. Arjona Çela acela@epoka.edu.al |
| Main Course Lecturer (name, surname, academic title/scientific degree, email address and signature) and Office Hours: | M.Sc. Jonida Rada jballiu@epoka.edu.al , Thursday 10:00 - 12:00 |
| Second Course Lecturer(s) (name, surname, academic title/scientific degree, email address and signature) and Office Hours: | NA |
| Language: | English |
| Compulsory/Elective: | Compulsory |
| Study program: (the study for which this course is offered) | Bachelor in Economics (3 years) |
| Classroom and Meeting Time: | D-203, Monday at 08:40 |
| Teaching Assistant(s) and Office Hours: | NA |
| Code of Ethics: |
Code of Ethics of EPOKA University Regulation of EPOKA University "On Student Discipline" |
| Attendance Requirement: | 75% |
| Course Description: | Microeconomics II: The aim of this course is to examine the analytical framework used in microeconomics. New concepts are illustrated with entertaining and informative examples, both verbal and numerical. In addition, several purely ‘micro’ topics are illustrated with ‘macro’ applications. On the successful completion of this unit, students should have a clear understanding of the basic principles of microeconomics and with the aid of simple mathematical tools, be able to solve specific problems and answer questions appropriate to this level. Topics include supply, demand and equilibrium, the behavior of consumers, the behavior of firms, production and costs, competition welfare economics, knowledge information, monopoly, market power, collusion and oligopoly, the theory of games, external costs and benefits, common property and public goods, the demands for factors of production, the market for labor, risk and uncertainty. |
| Course Objectives: | This course builds on the microeconomic principles studied in the Level I courses and provides an analysis of how the market system functions as a mechanism for coordinating the independent choices of individual economic agents. It develops a basis for evaluating the efficiency and equity implications of competition and other market structures, and a perspective on the appropriate role of government. Included are the study of consumer choice, production and cost, market structure, and market failure. |
|
BASIC CONCEPTS OF THE COURSE
|
| 1 | Consumer surplus |
| 2 | The market demand |
| 3 | Overview of market equilibrium |
| 4 | Technology and production |
| 5 | Profit maximization |
| 6 | Cost minimization |
| 7 | Firm supply and industry supply |
| 8 | Oligopoly |
|
COURSE OUTLINE
|
| Week | Topics |
| 1 | Introduction & Syllabus Review |
| 2 | Consumer Surplus - Chapter 14: Consumer surplus is defined as the difference between what consumers are willing to pay and the actual price paid for a commodity. It is measured by the area below the demand curve and above the price line. Page (251-269) |
| 3 | Market Demand - Chapter 15: The market demand is the total quantity of a good or service demanded by all potential buyers. The market demand curve is the relationship between the total quantity demanded of a good or service and its price, holding all other factors constant. Page (270-291) |
| 4 | Overview of Market Equilibrium - Chapter 16: A market is in equilibrium when total quantity demanded by buyers equals total quantity supplied by sellers. Page (292-314) |
| 5 | Practical Session |
| 6 | Technology and Production - Chapter 18: A technology is a process by which inputs are converted to an output. Usually several technologies will produce the same product. Page (332-344) |
| 7 | Profit Maximization - Chapter 19: The goal of the firm is to maximize profits. Profit is defined as the difference between total revenue and total cost. Page (345-363) |
| 8 | Practical Session |
| 9 | Midterm Exam |
| 10 | Cost Minimization - Chapter 20: Cost minimization is a basic rule used by producers to determine what mix of labor and capital produces output at the lowest cost. In other words, what the most cost-effective method of delivering goods and services would be while maintaining a desired level of quality. Page (364-377) |
| 11 | Cost Curves - Chapter 21: To produce more output in the short run, the firm must employ more labor, which means that it must increase its costs. The long-run average cost curve is the relationship between the lowest attainable average total cost and output when both the plant size and labor are varied. Page (378-394) |
| 12 | Firm Supply/Industry supply - Chapter 22: A supply curve for a firm tells us how much output the firm is willing to bring to market at different prices. But a firm with market power looks at the demand curve that it faces and then chooses a point on that curve (a price and a quantity). Page (395-412) |
| 13 | Oligopoly - Chapter 27: An oligopoly is an industry consisting of a few firms. Particularly, each firm's own price or output decisions affect its competitors' profits. Page (522-537) |
| 14 | Overview of the Term - Review of the chapters: theory and exercises |
| Prerequisite(s): | NA |
| Textbook(s): | Intermediate Microeconomics: A Modern Approach, Hal R. Varian 9th edition, 2019 |
| Additional Literature: | Principles of Microeconomics, Global Edition(13th Edition), by Karl E. Case, Ray C. Fair, Sharon E. Oster, 2019 by Pearson |
| Laboratory Work: | NA |
| Computer Usage: | NA |
| Others: | No |
|
COURSE LEARNING OUTCOMES
|
| 1 | Solve the firm's cost minimization problem to derive input demands and compute the cost function |
| 2 | Use the cost function to solve the perfectly competitive firm's profit maximization problem and derive supply |
| 3 | Evaluate the impacts of changes in exogenous variables on the optimal behavior of consumers and firms and the resulting impacts on utility and profits |
| 4 | Use equilibrium analysis to understand the links between individual behavior and market-level outcomes in competitive markets |
| 5 | Assess and quantify the impacts of public policies on competitive markets |
| 6 | Evaluate the implications of departures from perfect competition, such as markets with externalities, public goods, monopolies, or imperfect competition |
|
COURSE CONTRIBUTION TO... PROGRAM COMPETENCIES
(Blank : no contribution, 1: least contribution ... 5: highest contribution) |
| No | Program Competencies | Cont. |
| Bachelor in Economics (3 years) Program | ||
| 1 | Students define the fundamental problems of economics | 5 |
| 2 | Students describe key economic theories | 5 |
| 3 | Students critically discuss current developments in economics | 4 |
| 4 | Students appropriately use software for data analysis | 3 |
| 5 | Students critically contextualize the selection of an economic problem for research within scholarly literature and theory on the topic | 3 |
| 6 | Students apply appropriate analytical methods to address economic problems | 5 |
| 7 | Students use effective communication skills in a variety of academic and professional contexts | 3 |
| 8 | Students effectively contribute to group work | 4 |
| 9 | Students conduct independent research under academic supervision | 3 |
| 10 | Students uphold ethical values in data collection, interpretation, and dissemination | 4 |
| 11 | Students critically engage with interdisciplinary innovations in social sciences | 3 |
| 12 | Student explain how their research has a broader social benefit | 5 |
|
COURSE EVALUATION METHOD
|
| Method | Quantity | Percentage |
| Midterm Exam(s) |
1
|
40
|
| Lab/Practical Exams(s) |
4
|
5
|
| Final Exam |
1
|
40
|
| Total Percent: | 100% |
|
ECTS (ALLOCATED BASED ON STUDENT WORKLOAD)
|
| Activities | Quantity | Duration(Hours) | Total Workload(Hours) |
| Course Duration (Including the exam week: 16x Total course hours) | 16 | 4 | 64 |
| Hours for off-the-classroom study (Pre-study, practice) | 16 | 2 | 32 |
| Mid-terms | 1 | 12 | 12 |
| Assignments | 0 | ||
| Final examination | 1 | 17 | 17 |
| Other | 0 | ||
|
Total Work Load:
|
125 | ||
|
Total Work Load/25(h):
|
5 | ||
|
ECTS Credit of the Course:
|
5 | ||
|
CONCLUDING REMARKS BY THE COURSE LECTURER
|
|
As we conclude this course on Microeconomics II, it's essential to reflect on the topics and concepts we have explored together. The principles and models you have studied are not just academic exercises; they are tools that economists use to understand and address real-world problems. Throughout this course, we have emphasized the practical application of microeconomic theories. Whether it was through solving complex problems, discussing contemporary economic issues, or engaging in case studies, you have seen how these theories apply to real-world situations. I would like to extend my gratitude to each of you for your active participation and enthusiasm throughout this course. |