ECONOMICS 111-101 CRN 33250

MWF 10-10:50 AH 2401

PRINCIPLES OF MACROECONOMICS

Fall 2016

INSTRUCTOR: M. A. Pettit
Office Hours: AH 2140 11:00 to 1:00 p.m. MW and by appointment
mpettit@siue.edu 650-2583
COURSE OBJECTIVES/ STUDENT OUTCOMES:
To understand fundamental and macroeconomic concepts and methodology.
To master the use and grasp the importance of economics in everyday life.
To achieve a level of economic literacy that can be used appropriately in intelligent, thoughtful
dialogue about current
macroeconomic conditions and policies.
To further develop a taste and respect for education, new experiences, and real human contact.
TEXT: Macroeconomics, 2017, 6th edition, Hubbard & OBrien
Additional on-line activities will be assigned and available through the St. Louis Federal
Reserve Bank.
CLASSROOM POLICIES:
You must select a seat and sit in same seat ALL SEMESTER. Students must maintain a pattern of
attendance.
Students may not use/view phones during class.
No phones in lap or on desk.
Those texting/viewing or using laptops for non-class activities will be asked to leave.
EVALUATION:
Students must take ALL FOUR exams in order to receive a grade (A, B, C, D, or F) for course.
Students who do not take exam 1 OR exam 2 will be withdrawn (WR) from course. Student
may no longer attend class/ must contact advisor and financial aid office.
Students who do not take exam 3 OR exam 4 (final) will receive an UW (calculated as F in
GPA) for coursesee advisor and financial aid office for impact on future semesters.
Exam
Exam
Exam
Exam

1
2
3
4 (Final:

25%
25%

*Final course grade is based on

a strict average.
25%

Not comprehensive)
100%

25%

Exams will be multiple choice. Students must purchase their own scantron exam sheets in
the University Bookstore.
EXAMINATION POLICY:
Students must attend and take exams in their assigned (registered) sections.
Exam dates are clearly designated. There are no additional opportunities to take scheduled
exams. Plan accordingly. Students missing an exam are required to meet with me within
24 hours of missed exam to discuss the impact.

 Exams will be returned and discussed at the next class meeting.

All students must remain for the entire class period when exams are returned and reviewed.
All exams with attached scantrons collected at end, students failing to return both receive a
0.
Keep a record of each exam score so you know your status in the class at all times.

COURSE OUTLINE AND ASSIGNMENTS:

(Monday date)
WEEK
ASSIGNMENT

TOPICS

August 22

Introduction to Economics /The Production Possibilities Frontier

Chapter 1,2

August 29

Fundamental Economic Questions / Capitalist Ideology

Chapter 1,2

Sept. 7--Wed.
The Circular Flow Model /
Demand / Supply / Shifts
Chapter 2, 3
Working with Graphs: Appendix to Chapter 1, pages 27-34
Sept. 12

EXAMINATION # 1 (Monday)

Sept. 19

Market Equilibrium / Price Floors and Price Supports

Sept. 26

The Public Sector / The Federal Budget

Chapter 16.6
State and Local Finance / National Income Accounting

Chapter 4

(pages 581-586)
Oct. 3

Gross Domestic Product: How are we doing?

Nominal and Real Measures / GDP Exclusions

Oct.10

EXAMINATION # 2 (Monday)

Oct. 17

Macroconomic Goals

Chapter 8

Chapter 10
Productivity and Long-Run Economic Growth

(pages 312-322)
Oct. 24
Oct. 31
Nov. 7
Nov. 14

Measuring the Macroeconomy: Unemployment

Defining and Measuring Inflation

Chapter 9
Chapter 9

EXAMINATION # 3 (Monday)
Aggregate Demand / Aggregate Supply
The Real Business
(pages 389-407)

Cycle

Nov. 28

The Structure of the FED / Money Creation

Dec. 5

Monetary Policy/ Why are Central Banks Independent?

Chapter 12
Model:
Shocks
Chapter 14
Chapter 15

Monetary vs. Fiscal Policy

December 15, 2016 (Thursday) 10:00 a.m. FINAL EXAM
Final held in same classroom, AH 2140

How to do your best in Econ 111:

Ground Rules

Know the Course Policies and

1) Read assigned text material before class.

You do not need to take notes or outline. Read for ideas and
look at models.
2) Come to every class. Take lecture notes that include all power
points,
verbal explanations, additional data and examples. If all you
do is
copy the slides you will have an incomplete set of study
materials.
3) Come to every class. There are no excused absences. If you
must miss for
any reason it is your responsibility to get a complete set
of missed notes from
a classmate. Meet some people before you need them. There
are no lecture notes available from me or posted on blackboard.
4) Come to every class. All questions for all 4 exams will come from
material
presented and discussed at length in class. Please ask as many
questions as
necessary.
5) Come to every class and take good notes!!! No sleeping. No
texting or
updating Facebook. You are not permitted to visibly waste
tuition and tax
dollars in this classroom.
6) Come to every class. There is no review session or materials
provided before
each of the 4 exams. Reviews and summaries are done in class
on a
continuing basis as we move through course topics.
7) There are no make-up exams.
Please consider the
consequences before
scheduling appointments/entertainment and making plans to
travel.

8) There is no extra-credit of any type. Please focus on daily

class attendance
and study your notes daily to prepare for each of the 4 exams.
Study together.
Ask friends/family to quiz you on terms and concepts. Well
begun is half done.
An ounce of prevention is worth a pound of cure.
9)

Do the on-line activities when assigned. These will be

announced and a
hardcopy password with instructions will be distributed in
class. These
activities provide another way to study and reinforce the
concepts. Do them.
Succeed.