STANDARD COMPETENCIES:

 

 1.   Demonstrate awareness of economic concepts including saving and investment, market forces, national income accounting and the nature of the relationship between the public and private sectors of the economy.

 2.   Manifest the ability to recognize, collect and analyze objective performance data employing the scientific method.  Further, understand and use models that project possible economic outcomes.

 3.   Show understanding of the fundamental significance of the effective and efficient use of society's scarce resources.

 4.   Demonstrate an understanding of International Interdependence and the possible economic consequences of varied courses of action.

 5.   Demonstrate the ability to select and apply contemporary forms of technology to solve problems or compile information.

 6.   Read, analyze and apply written materials to new situations.

 7.   Write and speak clearly and logically in presentations and essays.

 TOPICAL OUTLINE:

 

 I.      An Overview

         A.      What Economics is all About

         B.      The Problems of Scarcity

         C.      Supply and Demand and the Market Process Private Sector

         D.      Supply and Demand and the Market Process Public Sector

         E.      Introduction to Government Spending and Taxation

 II.     National Income Accounting

         A.      GNP Analysis

         B.      Income vs. Expenditures Approach

         C.      Comparative International GNP Statistics

         D.      Shortcomings of GNP Accounting

         E.      Suggested New Output Measuring Systems

 III.    Unemployment

         A.      Causes of Unemployment

         B.      Types of Unemployment

         C.      Social Costs of Unemployment

         D.      Solutions to Unemployment

 IV.     Inflation

         A.      Causes of Inflation

         B.      Types of Inflation

         C.      Cures of Inflation

 V.      The Stabilization Problem

         A.      The Business Cycle (Keynes, Marx, Friedman)

         B.      The Great Depression

         C.      The Circular Flow Concept

         D.      Government Policies and the Business Cycle

         E.      Saving and Investment Importance

 VI.     The Adjustment Process

         A.      John Maynard Keynes

         B.      Keynesian vs. Classical Capitalist Approaches to Business Cycle

         C.      The Consumption Function

         D.      Average and Marginal Propensities to Consume and Save

         E.      The Multiplier

 VII.    Fiscal Policy

         A.      Fiscal vs. Monetary Policy as a Means of Controlling the Business Cycle

         B.      Past Record of Fiscal Policy Implementation

 VIII.   Money and Banking

         A.      History of Money

         B.      Overview of Monetary Policy

         C.      Roles of Banks in the Economy

         D.      The Federal Reserve System

 IX.     Monetary Policy

         A.      Monetary vs. Fiscal Policy as a Means of Controlling the Economy

         B.      Monetary Policy Applications

 X       Economic Growth Analysis and Policy

         A.      Productivity

         B.      Underdeveloped Nations

 XI.     International Trade

         A.      Free Trade vs. Protectionism

         B.      Economic Reasons for Trading

 XII.    International Finance

         A.      Trade Agreements

         B.      Devaluation and Revaluation

 XIII.   Comparative Economics Systems

         A.      Rationale for Planned Economy

         B.      Soviet Model

         C.      Chinese Model

         D.      Japan Inc.

         E.      Western European Mixed Economics