Economics 310: Price Theory

Fall  2002

Updated 03/28/03


Textbook: Steven Landsburg, Price Theory and Applications, 5th Edition.


Course Outline and Material

Introduction Lecture Notes

 1.Supply, Demand, and Equilibrium.

Chapter 1 and 2, Lecture Notes

2. Prices, Costs, and the Gains from Trade.

3. Behavior of Consumers

Chapter 3 and 4, Lecture Notes

First Homework, Due Thursday Sept. 19th in class. Answer

Second Homework, Due Thursday Sept. 26th in class. Answer

4. Consumers in the Marketplace.

FIRST EXAM w/Answers

Sample First Exams:  Spring 2002, Fall 2001, Spring 2001, Fall 2001, Spring 2000, Fall 2000, Spring 1999, Fall 1999, Spring 1998 (b), Fall 1998 (b), Spring 1997 (b), Fall 1997.

The exam will cover Chapters 1-4 in Landsburg. The exam will consist of short answer and essay questions and will count for 25% of your grade. The exam is closed book and closed note. Students must bring a blank bluebook and pen to the exam. The exam will last 75 minutes. The remaining class time will be used to go over the answers.

5. The Behavior of Firms

Chapter 5, 6 and 7, Lecture Notes

6. Production and Costs

7. Competition

Pop Quiz with Answer

Third Homework, Due Tuesday November 5th in class.  Answer

SECOND EXAM: Date to be announced

The exam will cover Chapters 5-7 in Landsburg. The exam is closed book and closed note. The exam will count for 25% of your grade.

Sample Second Exams: Fall 2002 Answer, Spring 2002, Fall 2001, Spring 2001, Fall 2001, Spring 2000, Fall 2000, Spring 1999, Fall 1999 (b), Spring 1998, Fall 1998 (b), Spring 1997, Fall 1997.

8. Welfare Economics and the Gains from Trade

The student is responsible for reading Chapter 8 on their own.

9. Knowledge and Information

10. Monopoly.

Chapter 10, Lecture Notes

Economics 310, Price Discrimination Homework  Answer

11. Market Power, Collusion, and Oligopoly (Optional)

Chapter 11, Lecture Notes

FINAL EXAM:

The final exam is comprehensive. All topics will be given equal weight. Students should bring a bluebook, calculator, and pen to the exam.

Sample Final Exams: Spring 2002, Fall 2001, Spring 2001 (b), Spring 2000, Fall 2000 (b), Spring 1999, Fall 1999 (b), Spring 1998 (b,c), Fall 1998, Spring 1997 (b), Summer 1997 (b).

Grading Policy:

Online Grade Roster.

Grading will consist of two in-class tests and a comprehensive final. The two in-class tests will count 25% each and the final 50%. Scores will be normalized before weighting. The final will be cumulative. Tests will consist of short answer and essay style questions. Examinations will only be given at scheduled times. There are no excused missed examinations. Missed examinations will count as a score of 0. Plus/minus grading will not be used.

All examinations are closed book, closed note. Students may bring a calculator into the exam room but the calculator's memory must be purged of all class related material before entering the exam room.

There will be a series of homework assignments and pop quizzes. The homework scores will be added to the score on next test. Students not submitting homework or absent the day of pop quizzes will receive a point deduction on the next test.

For those statistically inclined, your course score determines your grade and is computed using the following formula:

grade1.jpg (11358 bytes)

grade2.jpg (9451 bytes)

The course score shows how well you performed relative to other students' mean performance. A negative score denotes below average student performance. A positive course score denotes above average student performance. For the purpose of assigning grades all sections of the course for the semester are considered as a group.

Grades are assigned using a modified curve. Roughly speaking, A's are earned by all students who average two standard deviation above the mean on the tests and final (a course score of 2). B's are earned by students averaging 1 standard deviation above the mean. C's are earned by students averaging 0 standard deviation below the mean. D's and F's are given to students scoring below -.5 standard deviations from the mean.

The course scores required for each grade are adjusted for the overall performance of all sections in a given semester relative to the historical performance of past classes.

There will be no plus/minus grading.