That's  me ;-)

Economics & Statistics

 Winter term 2021/22 - 18 October 2021
ECONOMICS I -- Introduction to Economics, National Accounting and Microeconomics -- EFA 3rd semester WS 2021/22

Additional Information: This class takes place in the classroom at Hochschule Bremen. There will be no online streaming nor any recording.
(The tests will be online-tests in AULIS taken by the students in the classroom during class time).

Basic Information

Literature

Interactive Participation

Preliminary schedule:    (there may be changes to the schedule during the class; the exact dates will be published once the timetable is published)

7th. ed.:

No week date / week starts: presentation Unit - topics (Preliminary Schedule) prepare for this session Material
   

Current

Issues

 

 

 

 

 

 


Übersicht: Konjunkturprognosen für Deutschland Die Vorhersagen der Wirtschaftsschätzer
(Tagesschau).

Joint Economic Forecasts (english)
----------------------------------------->
 

MEMORANDUM 2021
Corona – Lernen aus der Krise! Alternativen zur Wirtschaftspolitik

 On 14 October 2021 the Joint Economic Forecast Autumn 2021 was published:

Crisis Is Gradually Being Overcome – Align Action with Lower Growth

  

On Nov 11 2020 the Council of Economic Experts published its annual report 2020/21:

Overcoming the Coronavirus Crisis Together;
Strengthening Resilience and Growth

Weitere Infos zum Thema (in German):
- Übersicht: Konjunkturprognosen für Deutschland - Die Vorhersagen der Wirtschaftsschätzer (Tagesschau)
- https://www.tagesschau.de/wirtschaft/jahresgutachten-bundesregierung-101.html

1
1

18 Oct

 

Introduction: Basic problems

(In classs: Teamwork (houses) about Mankiws "Ten Principles of Economics" &
Part from B. Obama "The Audacity of Hope" (p. 176-184)

(ggf. Einstieg auf Deutsch mit EFA-Themen:
- eure Fragen
- Studienkommission
- Symposium
- wer noch nicht hat, bitte an der unverbindlichen Vor-Abfrage für die Auslandsstandort 2022/23 teilnehmen, Danke.

Reader 2021

- Welcome.ppt
- "Basic Concepts"
- Economics @ Wikipedia
 
- Social market economy (explainity® explainer video)

2
1
-- " --  

PART A: INTRODUCTION
Mankiws "Ten Principles of Economics" 
1: Introducing economics
Economic systems
Objectives of economic policy and political systems.
 

read 10 principles,
prepare tasks for ME (=Module Exercise)

Hierarchy of goals in market economies
- "Wall Street" @ Wikipedia

- See also the
quotations of T. Friedman

Please use the online resources, tests and case studies on the Sloman webpage (see above)

3
2
25 Oct (no pres. 1)

Mankiws "Ten Principles of Economics" 
1: Introducing economics
Economic systems
Objectives of economic policy and political systems.
 

Outlook to Part D:
Foundations of Macroeconomics

in ME part (see table below):
houses' Solutions to the "Problems and Applications"
about Mankiws "Ten Principles of Economics"
-> please upload your documents to AULIS

We are going to finish the 10 principles of Economics that everyone has read!             => please (p)review the "Board Pictures / pdf files" in our AULIS group

Feel free to prepare questions!

I assume that the first 3 market failures are clear (if not: ask), we will talk about the forth: "instabilities"

Afterwards we are going to address the objectives / Hierarchy of goals in market economies and compare economic systems (chapter 1 of Sloman)

Review: Academic Literature & Library
- EconLit
- Econbiz.de
- OECD iLibrary: http://www.oecd-ilibrary.org/
- Web of Science: http://isiknowledge.com/wos
To access the databases you need a VPN connetion

RefWorks:
- RefWorks @ SuUB
- Youtube-Channel | http://www.youtube.com/user/ProQuestRefWorks
  Learn RefWorks, Sharing and collaboration

Example from another class: Corrected Version of a Reference List

4
2
-- " --  

Houses please prepare:
Presentation methods and strategies
(What makes a good presentation?)

 

14 The National Economy
National Accounting, Concepts (and Critiques) of GDP 

 

We are going to discuss chapter 14
=> please read 14.1 and 14.2 in our book.

Watch the following screencasts:
- The circular flow of income

We'll discuss 14.2 the circular flow of income in class and derive the the (three ways of) measurment of the GDP (14.3)

German National Accounting @DeStatis: Important economic indicators & publications
- current figures: "GERMAN ECONOMY (previous) quarter"
- National Accounts at a glance

- GDP to NNY and summary of National Income accounting

- Eurostat with National Accounts
- Economic indicators at the OECD
- OECD iLibrary - The OECD's Online Library of Statistical Databases, Books and Periodicals (accessible from the campus net - or via VPN) OECD-report: „How's Life? 2020: Measuring Well-being

5
3
1 Nov Topics of our first test

• Mankiw principles 1-7, esp. the
Economic dogmata / Different viewpoints: Neo-Liberal <> Interventionists
Hierarchy of goals in (social) market economies

• Chapter 14: Definitions about GDP, components
   * MC in the presentation
   * Simple calculation of GDP

Basic ideas of the ECG (Economy of the common good)

14 The National Economy
National Accounting, Concepts

Critiques of GDP:

SUSTAINABILITY
of the economic development

Global goals for sustainable development
-> German federal Government

 

+++ OECD Centre +++
----------------------------------------------
- How's Life? 2020: Measuring Well-being
- How`s Life? -- Germany
- OECD Better Life Index (map)

Today we'll finish our discussion of National Accounting (GDP, ...) and afterwards are going to ask ourselves:

Is GDP really an apt measure of Welfare
...quality of life, sustainable development ...?

Please watch the following videos (before class!)
- What if the common good was the goal of the economy? | Christian Felber | TEDxVienna
- How can countries measure the well-being of their citizens? (TED institute)

 

Other aspects of Economic theory:
Watch the following screencasts and if needed find more information in the text (book, chapter 14):

- Economic growth and the production possibility curve
- Economic growth and the business cycle

- What if the common good was the goal of the economy? | Christian Felber | TEDxVienna (ME s.b.)

- How can countries measure the well-being of their citizens? (TED institute)

"Monitoring economic performance, quality of life and sustainability" by the German Council of Economic Experts in association with the french Council of Economic Analysis - Joint Report 2010 requested by the Franco-German Ministerial Council to Chancellor Mrs. Angela Merkel and french President Nicolas Sarkozy (deutsche Übersetzung: Wirtschaftsleistung, Lebensqualität und Nachhaltigkeit: Ein umfassendes Indikatorensystem). This report (and request) was based on the ...
-> Report of the commission on the measurement of economic performance et social progress 2009
- Joseph Stiglitz - Problems with GDP as an Economic Barometer
- Amartya Sen: Beyond GDP, measures of welfare and sustainability (2/7 ..)

The German Statistical Office (DeStatis) publishes Environmental indicators and also an "Indicator Report 2016: Sustainable Development in Germany", also see "Wie misst man Wohlstand?"

6
3
-- " --

 


15 Macroeconomic Issues and Analysis: an Overview

Balance of Payments:
- Current German BoP (German)
- OECD Stats

- Aggregate demand and supply and the price level
- Demand-pull and cost-push inflation
- Exchange rates

German balance of payments in 2019: Please read page 17 and the "Major items of the balance of payments" p. 28

 
7
4
8 Nov
test 1


15 Macroeconomic Issues and Analysis: an Overview

Balance of Payments:
- Current German BoP (German)
- OECD Stats

- Aggregate demand and supply and the price level
- Demand-pull and cost-push inflation
- Exchange rates

German balance of payments in 2019: Please read page 17 and the "Major items of the balance of payments" p. 28

Review Introduction and National Accounting -
YOUR questions
8
4
-- " --  

PART B: FOUNDATIONS OF MICROECONOMICS

2: Supply and demand

The Demand Curve
Shifts in the Demand Curve
The Supply Curve
Shifts in the Supply Curve

(just a reminder: there are many textbook-resources available online) --> Link to chapter 2

9
5
15 Nov  *** This class will be ONLINE, Zoom Link will be in AULIS ***

2: Supply and demand (2.1 and 2.2)

- The Market Equilibrium

 
10
5
-- " --  -- " -- 2: Supply and demand    

11
6
22 Nov
test 2

3: Markets in Action -> Elasticity

- Elasticity: Introduction (mp4)
- Elasticity: Measuring price elasticity of demand by the arc method (mp4)
please note that in the arc method we do NOT use the midpoint, but the START value (=before the price change)!

- Elasticity: Demand and consumer expenditure (mp4)
- Elasticity: Measuring elasticity by the point method (mp4)

Topics of test 2:
Objectives (as summarized in the “Hierarchy of goals”
-> Magic square -> Calculations of unemployment rate
Sustainability
• Recommendations of the Stiglitz-report
• ECG (Economy of the common good)
Chapter 2 (Sloman) (chapter 2.1 and 2.2)
12
6
-- " --

Pres. 2  

there might be NO CLASS due to our EFA-SYMPOSIUM

25. - 26. Nov ALL EFA students have to attend the ->
EFA-Symposium

3: Markets in Action -> Elasticity (we will not dicuss supply elasticities explicitely, but this video might be helpful anyway
- Elasticity: Price elasticity of supply (mp4)

- Elasticity: Price elasticity and time (mp4))
- Incidence of taxation: The effect of indirect taxes on market price and quantity (mp4)
- Incidence of taxation: Elasticity and the incidence of taxation (mp4)
 
13
7
29 Nov

Pres. 3

3: Markets in Action -> Elasticity
(in the ME we might do task 13 from the
EconomicsExamExamples_Micro.doc)

 

 

 

PART C: MICROECONOMICS
4: Background to demand

 - Speculation (mp4)
(we will not dicuss agriculture explicitely, but these 2 videos might be helpful anyway
- Agriculture: The justification for intervention in agricultural markets (mp4)
- Agriculture: Intervention in agricultural markets (mp4))

- Utility analysis: Utility (mp3)
- Utility analysis: Utility and consumer surplus (mp3)
(Note: There are interesting videos about Indifference analysis which we are only going to discuss briefly)

External links:
ERS Glossary,  Price Elasticity of Demand, Income Elasticity, Excel-File with empirically measured Elasticities (xls 13 MB, zip 1,3 MB) from Defra
14
7

-- " --

(no Pres. 4)

4: Background to demand

The production process 

Please watch the relevant videos ("Audio animations") in the textbook resources of our book (-> chapter 5)

Topics of our third test (21 December)

• chapter 2 complete
• chapter 3.1 (=elasticity!) and 3.3
• chapter 4.1: marginal and total utility and 4.3 risk & insurance

15
8

6 Dec

test 3
5: Background to supply
    5.1 -> 5.2 Production -> Costs
    ... - 5.5 Costs and Revenue 
Please watch the relevant videos ("Audio animations") in the textbook resources of our book 

Review of old exams

... and why not enjoy: Deck the Halls with Macro Follies

16
8

-- " --

(no Pres. 5)

5: Background to supply
    5.2 - 5.5 Costs and Revenue

Please watch the relevant videos ("Audio animations") in the textbook resources of our book   
17
9
     13 Dec  

5: Background to supply
    5.6 Profit Maximization

Please watch the relevant videos ("Audio animations") in the textbook resources of our book:
- Perfect competition: Introduction
- Perfect competition: Short-run supply curve of the firm under perfect competition
- Perfect competition: The industry supply curve under perfect competition
 
18
9
-- " --   6: Profit maximising under perfect competition and monopoly

Please watch the relevant videos ("Audio animations") in the textbook resources of our book:
- Perfect competition: Long-run equilibrim under perfect competition
- Perfect competition: Long-run industry supply curve under perfect competition
- Monopoly: Monopoly demand

Topics of our test 4 (18 January)
• chapter 5: all parts that we discussed
• chapter 6:
     6.1 (overview)
     6.2 PC: assumptions, profit maximizing quantity
            advantages and disadvantages
19
10
       20 Dec

Pres. 6

test 4

6: Profit maximising under perfect competition and monopoly
Please watch the relevant videos ("Audio animations") in the textbook resources of our book
- Monopolistic competition
- Monopolistic competition: long-run equilibrium
- Oligopoly
 
20
10
-- " --   7: Profit maximising under imperfect competition

Please watch the relevant videos ("Audio animations") in the textbook resources of our book
- Oligopoly: Dominant firm price leadership
- Oligopoly: Assumptions about rivalsí behaviour: the Cournot model
- Oligopoly: Assumptions about rivalsí behaviour: The kinked demand curve theory

 
21
11

10 Jan

HAPPY new Year 2022!

(no Pres. 7) 7: Profit maximising under imperfect competition
       Oligopoly -> Game Theory
Please watch the relevant videos ("Audio animations") in the textbook resources of our book
- Game theory
- Price discrimination

- Movie "A beautiful Mind" about John F. Nash
  Scene from the movie - Nash finding his idea
- The Prisoners' Dilemma
- "Split or Steal" and "From Stealing to Trust"

Bundeskartellamt - Control of abusive practices - Ban on cartels
Information brochure: Effective cartel prosecution - Benefits for the economy and consumers
Examples: 1) do you like a coffee? 2) Bundesliga 3) cars & steel 4) Deutsche Bahn AG to make changes to ticket sales

22
11
-- " --  

(7) ... imperfect competition - Oligopoly -> Game Theory

8: Alternative theories of the firm

 Review / Repetition and questions - chapters 4-7 (and also 1 (Mankiw) - 3)


Topics of our test 5 (1 February)
• chapter 6:
     (6.2 PC in comparison with )
     6.3 Monopoly           incl. Welfare effects
• chapter 7

23
12
17 Jan

Pres. 8

test 5

8: Alternative theories of the firm
 Please watch the relevant videos ("Audio animations") in the textbook resources of our book  
24
12
-- " -- Pres. 9 9: The theory of distribution of income  Please watch the relevant videos ("Audio animations") in the textbook resources of our book  
25
13
24 Jan Pres. 10 10: Inequality, poverty and policies to redistribute incomes  Please watch the relevant videos ("Audio animations") in the textbook resources of our book  
26
13
-- " -- no  pres. 11

11: Markets, efficiency and the public interest

-> Evaluation: Please participate

Please watch the relevant videos ("Audio animations") in the textbook resources of our book

Topics of our test 6 (15 February)
• chapter 8 - 11 (parts discussed in class)
• general review: principal objectives of this class. Welfare: measurement and discussion at different topics of the class

27
14
31 Jan

Pres. 12

test 6

12. Environmental Policy  Please watch the relevant videos ("Audio animations") in the textbook resources of our book

The German Statistical Office (DeStatis) publishes Environmental indicators and also an "Indicator Report 2016: Sustainable Development in Germany".
Just published: the OECD Better Life Index

We discussed the topics for the exam in class. The resulting file "Contents_of7th_edition EFA Micro.doc" will be available in our AULIS group.
Review: (Contents_of7th_editionEFA_Final2017_30min.doc)
 

28
14
-- " --

Really maximizing the Well-Being of all:

"The Economy of the common good"

(no Pres. 13)

Review, questions + outlook:
Review of old exams

13. Government Policy towards Business

Review and conclusion + YOUR questions
Exam preparation - summary and questions

 Please watch the relevant videos ("Audio animations") in the textbook resources of our book

 Some Videos "Fight of the Century" / Fear the boom and the bust
- "Fear the Boom and Bust" a Hayek vs. Keynes Rap Anthem
- Fight of the Century: Keynes vs. Hayek Round Two
and more information like "The Tale of the Dueling Economists".
Texts of the videos

Videos about economic approaches: "60 Second Adventures in Economics" (Open University)

review 2019

Climate change

Critiques of GDP:
ECG

 

Global #WeekForFuture #ClimateStrike
Climate week 25-29 November 2019
Global Strike 4 Future - November 29, 2019
(Germany: Tagesschau or Vorlesungen zum Klimaschutz an der Alanus Hochschule)

Planetary Emergency Plan (Club of Rome)

19 The Relationship between the Money and Goods Markets 

WTO:
- Carbon Pricing (World Bank), Carbon Pricing
- State and Trends of Carbon Pricing 2019
-
Report of the high-level commission on carbon prices

Economy for the Common Good
A Common Standard for a Pluralist World?
International Conference at Hochschule Bremen: Programme

 

The "Module Exercise" takes place every week <45-90 minutes every week integrated into our class on Mondays > We formed 6 HOUSES which are assigned tasks for the next session and is expected to present the results (=prepared as joint homework)
The module exercise is part of your individual workload, it isn't marked and the lecturer won't deliver new information; he will only moderate the sessions. The tasks of the module exercise normally refer to the topics discussed in the last week(s). The numbers in the table below normally refer to the chapter in the textbook (Sloman: "End of chapter questions"). At the end of the module exercise there is room for general questions about the topics, terms, ... .

The exercises discussed in the module exercise are relevant for the exam. If the students deliver results or approaches to the solution, we'll discuss the correct solution in class. If no approaches are presented, the task will not be discussed in class but nevertheless stay relevant for the exam.

Houses:

Date:

 


All students

Alfa
Bravo
Charlie
Delta
Echo
Foxtrot
 

Names of students:
please register in AULIS

Sait
Kura
Betri
Marvin
Anton
Gideon
Ayite
Konstantinos
Karen
Ines
Dilan
Frida
Tony
Mirjeta
Hauke
Briseida
Vinda
Laura
Tobi
Lukas
Dennis
Nozomu
Yesuonori
Fatlind
Ricardo
Melany
Lisa
Greta
18 Oct (in class)

Mankiws "Principles" & - presentation in class:
-> What's it about?
-> own example

1-2
3-4
5-6
7-8
9-10
Obama text

please prepare for:

25 Oct

 

Mankiw: "Problems and Applications"
reminder: presentation by the houses (=homework) -> please upload your documents to AULIS

Sloman p 29 (End of chapter 1 questions) 5 and 6
13-15
10-12
7-9
4-6
1-3
1 Nov
Mankiw: "Problems and Applications"
No. 17 ONE example ! + No. 17 ONE example ! + No. 17 ONE example ! + No. 17 ONE example ! + No. 17 ONE example ! + No. 17 ONE example !


8 Nov

Critiques of GDP - Measuring Sustainable Development

(See also the Joint Report for the
Franco-German Ministerial Council: "Monitoring economic performance,
quality of life and sustainability
"), esp. the dashboard on p. 27

In the Report of the "Stiglitz-Sen-Fitoussi commission" on the "Measurement of economic performance and social progress" (2009) the authors deliver 12 recommendations. Each house is requested to present a brief (~ 5-7 min.) summary of two recommendations -------->

In the Executive summary (p.7-18) each recommendation is described in one paragraph but you are also requested to refer to the more detailed part of the report or/and other sources.

1) Recommendations 1 and 2

2) Select one macroeconomic indicator of your choice and briefly present the development of this indicator on 1 or 2 slides (up to 5 minutes)

(each house should present for a maximum of 10 minutes)

1) Recommendations 3 and 4

2) Select one macroeconomic indicator of your choice and briefly present the development of this indicator on 1 or 2 slides (up to 5 minutes)

(each house should present for a maximum of 10 minutes)

1) Recommendations 5 and 6

2) Select one macroeconomic indicator of your choice and briefly present the development of this indicator on 1 or 2 slides (up to 5 minutes)

(each house should present for a maximum of 10 minutes)

1) Recommendations 7 and 8

2) Select one macroeconomic indicator of your choice and briefly present the development of this indicator on 1 or 2 slides (up to 5 minutes)

(each house should present for a maximum of 10 minutes)

1) Recommendations 9 and 10

2) Select one macroeconomic indicator of your choice and briefly present the development of this indicator on 1 or 2 slides (up to 5 minutes)

(each house should present for a maximum of 10 minutes)

1) Recommendations 11 and 12

2) Select one macroeconomic indicator of your choice and briefly present the development of this indicator on 1 or 2 slides (up to 5 minutes)

(each house should present for a maximum of 10 minutes)

 

Discussion of the "common good economy" approach
based on your research.

What if the common good was the goal of the economy? | Christian Felber (TEDxVienna) [up to 12:45]
Texts from
Reader 2020

Read the text about "The Economy of the common Good"
+ present and discuss the THREE most important issues from your viewpoint
+ what are the functions of the CG balance?
+ describe some firms, universities and/or communities
Read the text about "The Economy of the common Good"
+ present and discuss the THREE most important issues from your viewpoint
+ what are the functions of the CG balance?
+ describe some firms, universities and/or communities
Read the text about "The Economy of the common Good"
+ present and discuss the THREE most important issues from your viewpoint
+ what are the functions of the CG balance?
+ describe some firms, universities and/or communities
Read the text about "The Economy of the common Good"
+ present and discuss the THREE most important issues from your viewpoint
+ what are the functions of the CG balance?
+ describe some firms, universities and/or communities
Read the text about "The Economy of the common Good"
+ present and discuss the THREE most important issues from your viewpoint
+ what are the functions of the CG balance?
+ describe some firms, universities and/or communities
Read the text about "The Economy of the common Good"
+ present and discuss the THREE most important issues from your viewpoint
+ what are the functions of the CG balance?
+ describe some firms, universities and/or communities
  tasks from last (2) week(s)
-- " --
-- " --
-- " --
-- " --
-- " --
-- " --
 

EoC Chapter 2
(=End Of Chapter questions)

1 (recommended to ALL students)
2
4
3 and 5

6- and 8

7 (recommended to ALL students)

 

we'll do task 4 of VWL1-MicroExamWS11-12.doc in class

EoC Chapter 3
all students task 2 !

3-1
3-4
3-5
3-6
3-7
3-8
  In class:
- 4.1 to 4.4
4-8
4-7
4-6
4-2, 4-4 - use (own) illustrations for your answer
4-1
Describe the income and the substitution effect using figures like 4-16 to 4-18
 

EoC Chapter 5
ALL students: questions 1 & 2

3
4
5
6
7
8
  EoC Chapter 6
ALL students: question 1
2
3
4
5
6
7
  no homework, we'll do exercises from chapter 6, tasks: 2, 3, 6 and 8
Additionally we will discuss task 6 from the
Microeconomics WS 05/06 EFA 3 (90 min)
all houses should please prepare the tasks all houses should please prepare the tasks all houses should please prepare the tasks all houses should please prepare the tasks all houses should please prepare the tasks all houses should please prepare the tasks
NN no homework, we'll do exercises in class -> VWL1-MicroExamWS11-12.doc   all houses should please look at the whole exam - we'll roll the dice which house presents which task ;-) all houses should please look at the whole exam - we'll roll the dice which house presents which task ;-) all houses should please look at the whole exam - we'll roll the dice which house presents which task ;-) all houses should please look at the whole exam - we'll roll the dice which house presents which task ;-) all houses should please look at the whole exam - we'll roll the dice which house presents which task ;-) all houses should please look at the whole exam - we'll roll the dice which house presents which task ;-)
NN

Review of old exams

Example of a final test (30 min)

Review of old exams, e.g. the exam of Microeconomics WS 14/15          
NN YOUR questions            

 

Top

Links:

 Quotations form the book of Thomas Friedman: "The World is flat":
- For some, particularly among the older generations, this was an unwelcome transformation. Communism was a great system for making everyone equally poor. In fact, there was no better system in the world for that than Communism. Capitalism made people unequally rich, and for some who were used to the plodding, limited, but secure Socialist lifestyle--where a job, a house, an education, and a pension were all guaranteed, even if they were meager--the fall of the Berlin wall was deeply unsettling. (p. 51/52)
- ... to some degree Mikhail Gorbachev's hapless efforts to reform something that was unreformable brought communism to an end. But if I had to point to one factor as first among equals, it was the information revolution that began in the early- to mid-1980s. Totalitarian systems depend on a monopoly of information and force, and too much information started to slip through the Iron Curtain, thanks to the spread of fax machines, telephones, and other modern tools of communication. (p 54)

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Hochschule Bremen
Fachbereich Wirtschaft
VWL und Statistik