Department of Management and Humanities

Course Outline

GDB1023/GCB2023 Economics
May 2016 Semester
Lecturer:
Office Phone No.:
Office Location:
Email Contact:
Graduate Assistant:

Dr. Lai Fong Woon

05-3687743
Room 21-03-14

Objectives:

On completion of this subject a student should be able to:

1. Describe microeconomics and macroeconomics concepts based on the
rational optimizing economic behaviour of individual consumers, producers
and government as a whole.
2. Explain key theoretical frameworks and manipulate simple micro-economics
and macroeconomics models in both diagrammatic and quantitative terms.
3. Evaluate the functioning and limitations of contemporary market system in
terms of its capacity to efficiently and equitably allocate economics
resources.
4. Demonstrate the capacity to apply, relevant micro and macro models and
methodology in economic problem
solving.
5. Examine government economic policies and identify their objectives and
their effects on business and society.

Synopsis:

This subject introduces the student to the microeconomic and macroeconomics

concepts and models of microeconomics and macroeconomics analysis and to
demonstrate their applications in the business environment use in order to gain
a better understanding of economic policies, problems and issues.

Learning method:

Each week students are expected to attend 3 hours of lecture. Students should
independently reinforce the learning by referencing at least the designated
topic in the prescribed textbook and attempt all assigned exercise questions
prior to attending the proceeding lecture sessions. If so instructed, students
shall read all the assigned topics or articles prior coming to the class in order to
actively participate in class discussion.

Assessment:

Coursework:
Test 1
Test 2
Project/Assignment
Final Exam:

laifongwoon@petronas.com.my
Mr. Mustajab Ahmed Soomro

Pre-requisite(s):

None

Email: mustajab.soomro@gmail.com

15%
15%
30%
40%

Textbook:

1. Schiller, Bradley R. (2014), Essentials of Economics, 9th ed. McGrawHill.

Main Reference:

1. Mankiw, N. Gregory (2012), Principles of Economics, 6th Edition, Cengage

Learning
2. Parkin M (2010), Economics, 9th Edition, Pearson Education Inc.
3. McConnell C.R. and Brue S.L. (2008), Economics, 17th Edition, McGraw Hill
Publishing

Department of Management and Humanities

Course Outline
Lecture topics and schedule:
Subject Planning:
1

10

11

12

13

14

Topic
Introduction to Economics

The Challenge of Economics

Supply and Demand

The Mechanisms of Choice

Theory of Demand and Supply

The Law of Demand and Supply

Equilibrium
Consumer Demand
Determinants of Demand and The Demand Curve
Price Elasticity
Supply Decisions
The production Function and Cost of Production
Law of Diminishing Returns
Competition
Market Structure and Perfect Competition
Profit Maximization and Supply Behavior
Monopoly

Market Power

Price and Output

Test 1

Chapter
1

Government Intervention

Public Goods

Externalities
The Business Cycle

GDP Growth

Unemployment and Inflation

Aggregate Supply and Demand

Model and Macro Failure

Competing Theories of Short-Run Instability

Fiscal Policy

Components of Aggregate Demand

The Nature of Fiscal Policy and Fiscal Restraint

Money and Banks

Uses of Money and The Money Supply

Creation of Money and The Money Multiplier

Monetary Policy

The Federal Reserve (Central Banking) System

Monetary Tools
Economic Growth

short-run and long-run elements of economic growth

measures of growth, sources of productivity growth,

and growth-fostering government policies
Test 2
International Trade

Trade Balances

Motivation to Trade and Comparative Advantages

Protectionism

10
11

12

13

14

15

17