This course takes students on a journey through the history of economic thought with the purpose of understanding the relationship between economic theories, policy, and economic outcomes, including the recent financial crisis. This course covers the main schools in the history of the development of economic ideas, beginning with the Classical school (Smith, Ricardo, J.S. Mill, Thornton, Say, and others). It then reviews challenges to the classical school by Marx, Marginalists, and subsequent key figures like Marshall, Walras and the Neoclassicalists. Economic thought associated with the early 20th century transitionalists are briefly addressed (incl., Wicksell, Schumpeter, Fisher, and others). Selective chapters and passages of Keynes’ General Theory are read, focusing in particular on Keynes in areas of investment, interest rate theory and money demand. Post-1945 revisions of Keynes and Neoclassical economics in the form of early and late IS/LM analysis are reviewed, and its main challenges by Friedman (Monetarism), Lucas (Rational Expectations), Real Business Cycle theorists, and Post-Keynesian thought (UK and US). The course concludes with a consideration of efficient markets theory and the views of its critics (Tobin, Hyman Minsky, Shiller, and others). Throughout the course, economic theories will be examined in light of the interrelationships between theory, policies and conditions including responses to the recent 2008 financial crisis.

 

1.  D. P. O’Brien:  “The Classical Economists Revisited,” Oxford Univ. Press, 2004.

2.  J. M Keynes: “General Theory of Employment, Interest and Money,” Prometheus

Books, 2005

3.  Friedman: “Milton Friedman on Economics,” Univ. Chicago Press, 2007

4.  B. Snowdon and H. Vane: “Modern Macroeconomics,” Elgar Publishers, 2005.

 

5.  S. Medema and W. Samuels: “The History of Economic Thought: A Reader,”

Routledge, 2003 (Selections)

6.  Duncan Foley: “Understanding Capital: Marx’s Economic Theory,” Harvard Univ.

Press, 1986.

 

Your final grade will highly depend on your ability to respect deadlines. There is generally NO EXCUSE for not meeting a deadline. However, in exceptional and personal circumstances, if you do have to miss a deadline, you should provide a detailed written explanation WITH SUPPORT, as well as the Dean’s approval. The course grade will be based on class participation, a series of thought questions, a term paper, and a final exam, with the following weights.

 

 

·        Thought questions The course will include a series of thought questions (13-16 in total). Students are required to prepare all thought questions and return at least 8 thought questions throughout the module. Thought questions should be returned (by email) at the latest in the day previous to each lecture. Each course will start with 5-15 min discussion based on the thought question assigned to that day. Thought questions are designed to think in depth about a subject covered by the preceding lecture. Most of the time, there is no right or wrong answer to thought questions. However, students are required to think critically about the issue and provide a 15-20 lines reasoned answer based on their assessment of the readings as well as the lecture.

 

·        Term papers: Students are required to return a term paper of 5-15 pages based on the topics provided in the appendix of this syllabus. Student should sign-up for the topic of their choice on Monday February 27, 2012 (3^rd week of classes). A progress report (e.g., a detailed 1-2 page outline with paper description) will be due on Thursday March 15, 2012 (5^th week of classes).  A first batch of term papers will be due on Thursday April 5 (8^th week of classes) and presented on Monday April 9, 2012 (9^th week of classes). A second batch of term papers will be due on Monday April 9 (9^th week of classes) and presented on Thursday April 12, 2012 (9^th week of classes).

 

·        Final exam: The final exam will consist of 2 or 3 essay questions, to choose from a list of 4-5 questions. The topic will include all material covered in lectures. It will take place during the weekend of April 15, 2012.

 

·        Class participation is required from all students, and consists of actively participating in classroom discussion. Class participation does not just include thought question discussion, but also active participation throughout the lecture.

 

Students are graded on a curve. The average will depend on the level of the class. To pass the course, students need a grade of 70 or more. Letter grades will be assigned according to the following rule:

 

I will not be holding regular weekly office hours, but I am always available for a meeting if you want to further discuss the week’s reading, talk about economics, or get help with an assignment. You can call or email me any time to set a time to meet. In particular, weekdays 10-11:45AM are a good times for appointments.

 

 

 

The topics will be made available for student consideration on first day of class. Sign ups for paper topics no later than end of the first week