Principles of Microeconomics

EKU 111
Instructor:
I Wayan Sukadana
Lecture Time and Location
EKU 111 A1 Wednesday 08.30 11.00, R.IA 1.1
EKU 111 1H Thursday 12.30 15.00, R.E.III.1
Course Description:
This is a survey course in the theory and application of microeconomics. In contrast with
macroeconomics (EKU 112), microeconomics focuses on individual decision-making and
how it affects people, others and economy as a whole. The course topics focus on
microeconomic issues and problems, such as consumer demand, producer supply,
competition and monopoly, pricing including the poverty issue. The course develops a
theoretical framework for microeconomic analysis and applies this theory to practical
domestic and international economic policy problems.
Learning Objectives:
1. To guide students toward communicating an understanding of how social science
knowledge is established, how this knowledge changes over time and why, the Principles
of Microeconomics course addresses the application of Scientific Method and utilizes
economic models. Students are introduced to the nature of assumptions in economic
modeling and general problems involving comparative statics. This outcome is assessed
primarily through in-class (multiple choice and/or short essay) examinations, but also
through in-class discussion and homework assignments.
2. To guide students toward evaluating evidence and applying it to solving problems
through social science methods, the Principles of Microeconomics course addresses
specific models of price or output determination. For example, students are introduced to
concepts of opportunity cost in order to explain patterns of international trade and 2person exchange. Students are acquainted with market models like the demand and
supply model and asked to explain the impact of various types of public policy (e.g. rent
control, price regulation, etc.), to forecast how exogenous events may affect market
prices and output, discuss how differences in market structure affect price and output,
and explain how consumers make purchasing choices. This outcome is assessed
primarily through in-class (multiple choice and/or short essay) examinations, but also
through in class discussion and homework assignments. Other sections of Principles of
Microeconomics may also assign short papers that require this analysis.
3. To guide students toward communicating an understanding of a body of social science
knowledge and its disciplinary perspective, the Principles of Microeconomics course
follows a cross-disciplinary perspective. Students are introduced to regulatory issues and
expected to explain contemporary events in light of the tools of microeconomic analysis.
These contemporary events typically contain political, sociological and psychological
components. The Principles of Microeconomics course is cumulative, in that the course
builds upon successive sets of material. Students in this course develop a perspective into
how economic analysis flows through a variety of areas. First, concepts of demand and
supply are developed. Following this, students apply these concepts to the workings of
competitive markets. Both long and short run decision making is addressed during this
time. Afterwards, students are introduced to markets characterized by monopoly and

imperfect competition, and then presented with the various regulatory issues that
confront all markets. This outcome is assessed primarily through in-class (multiple
choice and/or short essay) examinations, but also through in-class discussion and
homework assignments.
Textbook:
N. Gregory Mankiw: Principles of Microeconomics, 7th Edition, Thompson Publishers,
2014.
Other References;
Check IMISSU
Grading:
Group Assignments 15%
Personal Assignments 40%
Course Participation 5%
Midterm 20%
Final Exam 20%
Point Range
8,0 10,0
7,5 - 7,9
6,8 7,4
6,2 6,7
5,6 6,1
5,0 5,5
4,0 4,9
0,0 3,9

Grades
A
B+
B
C+
C
D+
D
E

TENTATIVE COURSE OUTLINE TOPICS & CHAPTERS

Pertemuan
Pertemuan 1
Pertemuan 2
Pertemuan 3
Pertemuan 4

Pertemuan 5
Pertemuan 6


Pertemuan 7
Pertemuan 8
Pertemuan 9

Pertemuan 10
Pertemuan 11

Topik
Ten Principles of Economics
Thinking Like an Economist
Interdependence and the Gains from Trade
The Market Forces of Supply and Demand
Elasticity and Its Application
Supply, Demand, and Government Policies
Consumers, Producers, and the Efficiency of Markets
Application: The Costs of Taxation
Application: International Trade
REVIEW
UTS
Externalities
Public Goods and Common Resources
The Design of the Tax System
The Costs of Production

Bab
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 5
Chapter 6
Chapter 7
Chapter 8
Chapter 9


Chapter 10
Chapter 11
Chapter 12
Chapter 13
2


Pertemuan 12


Pertemuan 13


Pertemuan 14

Pertemuan 15
Pertemuan 16

Firms in Competitive Markets

Monopoly
Monopolistic Competition
Oligopoly
The Markets for the Factors of Production
Earnings and Discrimination
Income Inequality and Poverty
The Theory of Consumer Choice
Frontiers of Microeconomics
REVIEW
UAS

Chapter 14
Chapter 15
Chapter 16
Chapter 17
Chapter 18
Chapter 19
Chapter 20
Chapter 21
Chapter 22