ECO 401-001
Intermediate Microeconomic Theory

Instructor:  Professor John Garen                                                             Spring 2004
Office:  335C Business & Economics                                                     11:00-12:15 T, Th
Hours:  Tu., 12:15 – 1:15 and Th. 2:30 – 3:30                                         BE 306
Phone:  257-3581  
e-mail:  jgaren@uky.edu             Website:  http://gatton.uky.edu/Faculty/garen/index.html


Preliminaries

    This course is the core course in microeconomic theory in the undergraduate economics program.  Its purpose is to develop a deeper understanding of microeconomics and its applications.  This is to enable students:  (1) to do well in future economics courses and, (2) to better understand economic issues.


Course Materials

 Required:  Browning, Edgar and Zupan, Mark, Microeconomics:  Theory and Applications, John Wiley & Sons, 2004, 8th edition.


Exams and Grades

Exams:  Two midterms and one final exam will be given.  Each exam covers approximately one-third of the course and covers material from the lecture and the assigned readings. Exams consist of essay and problem solving questions.  Each exam counts for 28.3% of your grade.  
Homework:   Several homework assignments will be given throughout the term.  Collectively, these count for 15% of your grade.   

    In summary:

Task                       Pct. of Grade
First midterm             28.3%
Second midterm        28.3%
Final exam                 28.3%
Homework                15.0%

    Additionally, at the end of the term, I award bonuses for class participation.  The maximum bonus is small, but can matter for your grade in borderline cases.  




Absences and Make-up Work

Absences and Attendance

    There is no explicit attendance policy for the course, but good attendance is important for doing well in the course.  If you miss a regular class meeting, it is your responsibility to obtain notes and other material from that class period.  Additionally, good attendance can enhance any bonus you receive for class participation.

Make-up Exams

    Students who have a University-excused absence for missing an exam may take a make-up.  Arrangements for a make-up must be made with the instructor as soon as possible.  Make-ups will be scheduled at a time mutually convenient for the student and the instructor.  The instructor reserves the option to schedule make-up exams for the hour following the final.

Make-up Homework

    Make-up for missed homework is allowed only in extraordinary circumstances.  Because homework is assigned well in advance of its due date, a University-excused absence on the due date it not sufficient to merit make-up work for the homework.  One must have a University-excused absence that prevented work on the homework from the period of its assignment to its due date.  Additionally, I release answers keys for homework as soon as feasible after the due date, making it problematic to accept late assignments.   

 
General Course Outline and Readings

Week                Topics                                    Readings

1/14 - 1/17        Introduction                              Ch. 1
1/18 - 1/24        Review of basic concepts;         Chs. 1, 2
                          Supply & Demand

1/25 - 1/31         Consumer Theory                      Ch. 3

2/1 - 2/7             Consumer Theory; Demand        Chs. 3, 4

2/8 - 2/14            Demand; Applications of            Ch. 4, Ch. 5.1, 5.2
                           Consumer Theory

2/15 - 2/18          Applications (cont'd.)                 --

2/19, Thurs.          FIRST MIDTERM                    --

2/22 - 2/28           Production and Costs                Chs. 7, 8

2/29 - 3/6              The Competitive Firm and         Ch. 9
                              Industry

3/7 - 3/13               Applications of The Competitive    Ch. 10.1, 10.2, 10.4,
                               Firm and Industry                          Ch. 15.4

3/14 - 3/20              Spring break                                  --

3/21 - 3/27              Applications (cont’d.); monopoly    Ch. 11        

3/28 - 3/31               Monopoly (cont'd.)                        Ch. 11

4/1, Thurs.                SECOND MIDTERM                    --            

4/4 - 4/10                  Collusion and Cartels;                   Ch. 13.4, 14.2, 14.3,
                                  Natural Monopoly                        15.3

4/11 - 4/17                Input Demand; Applications           Ch. 16.1, 16.5, 18.1,
                                                                                       18.2

4/18 - 4/24                Exchange and Efficiency                  Ch. 6, 19.6, 19.7

4/25 - 5/1                  Externalities and Public Goods        Ch. 20

5/4, Tues.                   FINAL EXAM, 10:30 am               --