ECON 0110 (10823): INTRODUCTORY MACROECONOMICS

T H 12:00 TO 12:50 LAWRN 121

SPRING 2014: TERM 2144
JAN. 2014 APRIL 2014
INSTRUCTOR:

TEXT:

DR. JAMES L. KENKEL

412-563-4128
Office Hours: TU & TH:

4709

WWPH

kenkel@pitt.edu

8 AM to 9:15 AM and 11 AM to 11:50 AM

Macroeconomics, A Contemporary Introduction, William A. McEachern,

10th Edition, Thompson Southwestern.
Only the textbook is required. None of the extra products associated with the
book are required. Earlier editions are OK, but some of the chapters have been
renumbered.

GRADING SYSTEM:

Mid-term exam 1:
Mid-term exam 2:
Final exam:
Total

Approximately 240 points

Approximately 240 points
Approximately 520 points
______________________
1,000 points

GRADE SCALE :
A+: 975 TO 1000

A:

925 TO 974

A-:

900 TO 924

B+:

875 TO 899

B:

825 TO 874

B-:

800 TO 824

C+:

775 TO 799

C:

725 TO 774

C-:

700 TO 724

D+:

675 TO 699

D:

625 TO 674

D-:

600 TO 624

EXTRA CREDIT:

There is no extra credit available in this course.

STRUCTURE OF THE COURSE

Two hours of lecture and one hour of recitation per week.
Mid-term Test 1:
Multiple choice and true-false questions worth approximately 250 total
points. You will need a calculator.
Mid-term Test 2:
Multiple choice and true-false questions worth approximately 250 total
points. You will need a calculator.
Final exam: Multiple choice and true-false questions worth approximately 500 total points.
You will need a calculator.

No quizzes or tests in recitations.

Your test and exam grades will be posted on Courseweb. After your grades have been
posted, you have 10 days to request a correction. Otherwise, your grade will remain
unchanged.
TEACHING ASSISTANTS :
MR. YIMING LIU

4512 WWPH

yil116@pitt.edu

412-648-1795

MR LEONARDO ORTEGA

4519 WWPH

lgo5@pitt.edu

412-648-2824

MS. YINGJUN SU

4910 WWPH

yis17@pitt.edu

412-649-1792

MR. RICHARD SVOBODA

4521 WWPH

rts33@pitt.edu

412-648-7039

RECITATIONS :
1.
(11426)
2.
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3.
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4.
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5.
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M
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T
T
W
W
W
TH
TH
TH
TH
TH
F
F

10:00
11:00
12:00
10:00
11:00
1:00
10:00
11:00
12:00
9:00
10:00
11:00
1:00
2:00
9:00
10:00

CL 249
CL 249
CL 249
CL 226
CL 226
WWPH 5404
CL 335
CL 335
CL 335
CL 226
CL 226
CL 226
BENDM G31
BENDM G31
WWPH 4900
CL 349

SVOBODA
SVOBODA
SVOBODA
SU
LIU
LIU
SU
SU
SU
SVOBODA
LIU
LIU
ORTEGA
ORTEGA
ORTEGA
ORTEGA

CL = CATHEDRAL OF LEARNING
WWPH = POSVAR HALL
BENDM = BENEDUM HALL

SYLLABUS AND LECTURE NOTES ARE ON COURSEWEB

All class material is available on Courseweb. To get access to the material, proceed as
follows:
1.
2.
3.
4.
5.

Log onto Courseweb at courseweb.pitt.edu

Click on the appropriate course.
Click on "Course Documents"
Under "1. All course documents" you should see all the course materials listed.
Click on any item and print out the material.

If you wish, you might want to reformat the lecture notes to condense them to save paper.
PEOPLESOFT NUMBER:
Your tests will be multiple choice and your answers will be recorded on scantrons. In order for
the computer to record your scores, you must fill in your PEOPLESOFT NUMBER on the
scantron. The following instructions show how to access your PEOPLESOFT NUMBER.
HOW TO ACCESS YOUR PEOPLESOFT NUMBER
1.
Login to my.pitt.edu
2.
Login with your user name and password
3.
Click on the link PittPAY Login at the right of the screen
4.
Your seven-digit Peoplesoft ID number will appear directly next to your name at the top left of
the page (below the Pitt seal) in the gold band
If you cannot find your number, let me know because I have access to the numbers for all
students enrolled in the class.

WHAT IS MACROECONOMICS?
The course helps explain how the US economy works. Topics covered include factors which
influence the level of output and our standard of living in the economy; determinants of the
inflation rate & unemployment rate; the stock market, the bond market, the behavior of interest
rates, the social security system, the US tax system, theories which explain the consumption
and saving behavior of households, the behavior of business firms, how the Federal
government influences the economy, the deficit and national debt, the money supply, the
banking system, the Federal Reserve System, and how fiscal policy and monetary policy
influence the economy.
STUDY TIME REQUIREMENTS
There is a lot of material to be covered in this course. Be prepared to spend a couple of hours
per day reading the book or you will find yourself hopelessly behind at test or exam time.
PREREQUISITES
No Economics prerequisites.
Good knowledge of college algebra.
Calculus is not required.
THE TEXTBOOK
Some lectures present material not covered in the book.
The syllabus shows what material will be covered in each lecture.
CLASS PREPARATION
Read the assigned sections of the text before coming to class. Many lectures cover topics not
covered in your book.
Take lots of notes.
COURSEWEB:
The syllabus, lecture notes, practice homeworks and practice tests are posted on Courseweb.
ALL the lecture notes are posted under Course Documents. That is, even the syllabus is
listed under Course Documents.
MISSING A TEST OR EXAM
Dates for the mid-term exams are tentative and may be moved back slightly depending on how
quickly we have covered the assigned material. The exact date for each test will be
announced in class at least one week in advance.
You need a valid reason to delay an exam, (serious illness, death in the family, etc.) Contact
me in class, by e-mail, or by phone BEFORE the exam, so we can discuss a suitable
arrangement for a make-up exam. If you need to miss a test or exam, you MUST eventually
give me some documentation to justify your excuse.

TESTS AND EXAMS ARE CLOSED BOOK:

You will need a calculator.

RECITATIONS
1.
The syllabus shows what will be covered during each recitation.
2.
TAs may cover new material not covered in class lectures.
3.
TAs will answer questions about the practice homework problems, if asked.
4.
No quizzes or tests will be given during recitations.
GETTING HELP
If you need help, first see me in the classroom just before or after class. Usually I can answer
your questions in a minute or two. Alternatively, for help, contact me or your TA during our
office hours, by telephone, by e-mail, or make an appointment.
ADD-DROP A COURSE:
Enrollment Forms and Drop Forms are available in the Registration Office, G-1 Thackeray Hall.
COURSE WITHDRAWAL:
To withdraw from a course after the official end of the add/drop period, you must process a
Monitored Withdrawal Request form. It can be obtained through the deans office in
Thackeray Hall (412-624-6480). Approval for you to withdraw from a course is at the discretion
of the dean. There is no tuition reimbursement associated with a course withdrawal.
W, G, AND I GRADES
INSTRUCTORS CANNOT GIVE W GRADES; YOU MUST SEE THE DEAN. The University
has cut-off dates for W grades.
G grades are given only when students who have been attending a course and have been
making regular progress are prevented by EXTENUATING CIRCUMSTANCES (usually illness)
from completing the course after it is too late to withdraw. CAS requires that G grades be
completed within the next term.
I:

I grades are for graduate thesis research.

UNIVERSITY POLICIES:
ACADEMIC INTEGRITY
It is your responsibility to do your own work. Do not look around during tests and keep your
work covered. Honest conduct means that one neither take credit for the work of others nor
knowingly allow others to do so. Cheating on exams and quizzes is forbidden, and suspected
violations will be dealt with in accordance with the University's Guidelines on Academic
Integrity.
Students in this course will be expected to comply with the University of Pittsburgh's Policy on
Academic Integrity. Any student suspected of violating this obligation for any reason during the
semester will be required to participate in the procedural process, initiated at the instructor level, as
outlined in the University Guidelines on Academic Integrity. This may include, but is not limited to, the
confiscation of the examination of any individual suspected of violating University Policy. Furthermore,
no student may bring any unauthorized materials to an exam, including dictionaries and programmable
calculators.
Disability Services
If you have a disability that requires special testing accommodations or other classroom modifications,
you need to notify both the instructor and Disability Resources and Services no later than the second
week of the term. You may be asked to provide documentation of your disability to determine the
appropriateness of accommodations. To notify Disability Resources and Services, call (412) 648-7890
(Voice or TTD) to schedule an appointment. The Disability Resources and Services office is located
in 140 William Pitt Union on the Oakland campus.
Copyright Notice
Course materials may be protected by copyright. United States copyright law, 17 USC section 101, et
seq., in addition to University policy and procedures, prohibit unauthorized duplication or
retransmission of course materials. See Library of Congress Copyright Office and the University
Copyright Policy.
Statement on Classroom Recording
To ensure the free and open discussion of ideas, students may not record classroom lectures, discussion
and/or activities without the advance written permission of the instructor, and any such recording
properly approved in advance can be used solely for the students own private use.

ECON 0110 (10823): INTRODUCTORY MACROECONOMICS

T H 12:00 12:50 LAWRN 121
JAN. 2014 APRIL 2014
THE LISTED MID-TERM TEST DATES ARE TENTATIVE. THE ACTUAL DATES WILL BE
ANNOUNCED IN CLASS AT LEAST ONE WEEK IN ADVANCE.
DATE TUE TH
SUBJECT
JAN

INTRODUCTION, TOPICS STUDIED IN MACRO

CH 1, 3, 5
NO RECITATION DURING FIRST WEEK
____________________________________________________________________
JAN 14
16
MACROECONOMIC POLICY GOALS, ECONOMIC FALLACIES,
TYPES OF ECONOMIC STATEMENTS
CH 1, 3, 5
NO RECITATION THIS WEEK
____________________________________________________________________
JAN 21
23
PRODUCTION POSSIBILITY CURVE,
OPPORTUNITY COST
CH. 2
RECITATION:
DIFFERENT ECONOMIC SYSTEMS
CH. 2
____________________________________________________________________
JAN 28
30
GAINS FROM TRADE, COMPARATIVE ADVANTAGE
INTERNATIONAL TRADE
CH. 2, 17
RECITATION:
SAME
____________________________________________________________________
FEB 4
6
BUSINESS FIRMS, TAXES, STOCKS, BONDS, PRESENT VALUE:
CH. 3, 12 & NOTES
RECITATION:
PRODUCTION POSSIBILITY CURVE
COMPARATIVE ADVANTAGE
____________________________________________________________________
FEB 11
13
LEGAL ORGANIZATION OF BUSINESS FIRMS, TAXES, STOCK
MARKET, BOND MARKET, PRESENT VALUE, SOCIAL SECURITY,
U.S TAX SYSTEM
CH. 3 & KENKEL NOTES
RECITATION:
MEASURING GDP CH. 7
____________________________________________________________________
FEB 18
20
COMPONENTS OF NOMINAL GDP
REAL GDP
CH. 6
RECITATION:
SAME
____________________________________________________________________
FEB 25
27
UNEMPLOYMENT & INFLATION
CH. 6, 7, 16
RECITATION:
SAME
____________________________________________________________________
MAR 4
MID-TERM EXAM 1
(DATE IS TENTATIVE)
ALL MATERIAL UP TO AND INCLUDING INFLATION
YOU WILL NEED A CALCULATOR
____________________________________________________________________

MAR

THE CONSUMPTION FUNCTION

RECITATION:
SAME

MAR 11

13

SPRING BREAK

CH. 9

NO CLASSES

____________________________________________________________________
MAR 18
20
AGGREGATE EXPENDITURE AND EQUILIBRIUM OUTPUT
EXPENDITURE MULTIPLIERS
CH. 9
RECITATION:
SAME
____________________________________________________________________
MAR 25
27
THE FEDERAL BUDGET AND FISCAL POLICY
CH. 11, 12
RECITATION:
EXPENDITURE MULTIPLIERS
____________________________________________________________________
APR 1
3
THE FEDERAL BUDGET AND FISCAL POLICY
CH. 11, 12, 16
TIMING PROBLEMS WITH FISCAL POLICY, AUTOMATIC STABILIZERS,
REFINANCING THE DEBT, SUPPLY SIDE ECONOMICS, THE LAFFER
CURVE
RECITATION:
EXPENDITURE MULTIPLIERS
____________________________________________________________________
APR 8
MID-TERM EXAM 2
(DATE IS TENTATIVE)
CUMULATIVE INCLUDING EXPENDITURE MULTIPLIERS
YOU WILL NEED A CALCULATOR
APR
10
MONEY AND THE BANKING SYSTEM
CH. 13, 14
____________________________________________________________________
APR 15
17
THE FEDERAL RESERVE SYSTEM
CH. 13, 14
RECITATION: SAME
____________________________________________________________________
FINAL EXAM
NOTE THAT THE EXAM IS AT A SPECIAL TIME
TUESDAY, APRIL 22
8:00 TO 9:50 AM
REGULAR CLASSROOM
FINAL EXAM IS CUMULATIVE (APPROXIMATELY 70 MULTIPLE CHOICE QUESTIONS)
(FINAL EXAM TOTAL = APPROXIMATELY 500 POINTS)
YOU WILL NEED A CALCULATOR.