Republic of the Philippines

PANGASINAN STATE UNIVERSITY

Lingayen, Pangasinan

COLLEGE OF ARTS, SCIENCES, AND LETTERS

First Semester, 2019 – 2020

COURSE CODE: BAC 102 COURSE TITLE: Basic Microeconomics LECTURE: 3 units LABORATORY: 0 unit CREDIT: 3 units
VISION
To become an ASEAN premier state university in 2020.
MISSION
The Pangasinan State University, through instruction, research, extension and production commits to develop highly principled morally upright, innovative and globally
competent individuals capable of meeting the needs of industry, public service and civil society.
INSTITUTIONAL LEARNING OUTCOMES
The Pangasinan State University Institutional Learning Outcomes (PSU ILO) are the qualities that PSUnians must possess. These outcomes are anchored on the following core
values: Accountability and Transparency, Credibility and Integrity, Competence and Commitment to Achieve, Excellence in Service Delivery, Social and Environmental
Responsiveness, and Spirituality – (ACCESS). Anchored on these core values, the PSU graduates are able to:

1. Demonstrate through institutional mechanisms, systems, policies, and processes which are reflective of transparency, equity, participatory decision making, and
accountability;
2. Engage in relevant, comprehensive and sustainable development initiatives through multiple perspectives in decisions and actions that build personal and professional
credibility and integrity.
3. Set challenging goals and tasks with determination and sense of urgency which provide continuous improvement and producing quality outputs leading to inclusive
growth;
4. Exhibit life-long learning and global competency proficiency in communication skills, inter/interpersonal skills, entrepreneurial skills, innovative mind set, research and
production initiatives and capability in meeting the industry requirements of local, ASEAN and international human capital market through relevant and comprehensive
programs;
5. Display, socially and environmentally responsive organizational culture, which ensures higher productivity among the university constituents and elevate the welfare
of the multi-sectorial communities and;
6. Practice spiritual values and morally upright behavior which promote and inspire greater harmony to project a credible public image.
PROGRAM OUTCOMES
Program Outcomes for Business Administration Program Outcomes for Business Administration
Graduates of the BSBA programs are expected to:
 Identify the principles and functions of business
1. Apply the basic concepts that underlie each of the functional areas
 Formulate marketing
of business (marketing, accounting, finance, human resources
 Develop effective and efficient technical strategies
management, production and operations management, information
technology, and strategic management) to business situations.  Prepare financial reports
 Create ideal structure for business recruitment, training and development
2. Use the proper decision tools to critically, analytically, and creatively
 Apply appropriate qualitative and quantitative tool to address a business case problem
solve problems and drive results.
 Conduct planning and problem solving to resolve issues related to a planned business event.
3. Communicate and work effectively with stakeholders.
 Prepare business communications and present business proposals
 Demonstrate competency in business related IT-applications
4. Use information and communication technology (ICT) effectively
 Prepare IT-based business plan (i.e. mktg plan, RST plan, OM plan)
and efficiently.
 Employ IT applications in decision-making
 Establish linkages with community, industry and other stakeholders
 Promote patriotism and nationalism
5. Exercise strong corporate citizenship and social responsibility.
 Advocate health and wellness
 Recognize macro- environmental factors facing business
COURSE INFORMATION

Course Description:

The course deals with fundamental economic analysis of price theory, consumer behavior, output determination, distribution, and other microeconomic theories with emphasis
on mathematical approach in the application of some economic variables.

Course Schedule: II-C BSBA Time: TTh 8:30AM-10:00AM

Course Prerequisite: None II-E BSBA TTh 1:00PM-2:30PM
II-F BSBA TTh 2:30PM-4:00PM

Course Outcome:

Upon completion of the course, the student is expected to:

1. Understand the theoretical and conceptual foundations of microeconomics;
2. Appreciate the synergy between economics and mathematics; and
3. Be able to utilize the methods and tools of microeconomics in actual economic phenomenon and business situations.
 LEARNING PLAN
Teaching and
CO Desired Learning Outcomes No. of
Topics Resources/Materials Learning Assessment
code (LO) Hours
Activities
COURSE ORIENTATION
 State the vision, mission, goals and core
values of the University 1. Vision, Mission, Goals,
 Enumerate and explain the objectives and Guiding Philosophy and
learning outcomes of the AB Economics Core Values of the
University  Syllabus
program  Lecture
2. AB Economics Program  Glass board
 Describe the course information Outcomes  Marker
 Discussion  Oral
1 hour
 Explain the description of the course 3. Course Information  Recitation Recitation
4. Course Description  Eraser
 Examine the outline /plan of the course 5. Course Outcomes
 Comment on the requirements and policies 6. Course Outline
of the course 7. Course Requirements and
 List the references and supplemental Course Polices
readings to be used in the course 8. Course References and
Supplemental Readings
 Familiarize the two-sector model of INTRODUCTION TO
economy leading to the appreciation of MICROECONOMICS AND
microeconomics as the study of interaction REVIEW OF MATHEMATICS
between individuals and firms
1. Science of Economic Analysis  Assigned readings
 Refresh the essential techniques of 2. Two-sector economy (focus of  Glass board
 Lecture  Oral
 Discussion Recitation
CO1 Algebra and Differential Calculus used in Microeconomics)  Marker 3 hours
 Graphical  Board works
microeconomic analysis 3. The Market: Demand and  Eraser
Analysis  Long Quiz
 Have a clear understanding of the Supply overview
concepts: equilibrium and marginal, in the 4. Functions and their graphs
5. The meaning of “Equilibrium”
study of microeconomics
and “Marginal” in
Microeconomics
 Focus on the behavior of the individual THEORY OF CONSUMER
actors in the market particularly in their BEHAVIOR
Budget and Preferences  Lecture
consumption  Oral
 Assigned readings  Discussion
 Explain mathematically and graphically the Recitation
1. Budget Constraint  Glass board  Graphical
 Board works
CO2 concepts which seem to be 2. Budget Line  Marker Analysis 12 hours
 Quizzes
commonsensical in daily economic 3. Taxes, Subsidies, and  Eraser  Business
 Group
activities Rationing Case Analysis
presentation
4. Indifference Curves
 Analyze business situations using these
5. Marginal Rate of Substitution
concepts
 Utility and Choice

6. Utility functions construction

7. Substitutes and Complements
8. Optimal Choice
Preliminary Examination 2 hours
THE DEMAND THEORY
Individual Demand

 Illustrate and explain how individuals make 1. Demand Function and its
 Assigned readings
choices in a wide variety of goods and Inverse  Lecture  Oral
 Glass board
2. Law of Demand  Discussion Recitation
CO3 services  Marker 9 hours
3. Consumer’s Surplus  Graphical  Board works
 Show how individuals respond to changes  Eraser
Analysis  Quizzes
in price and income Market Demand

4. Demand Curve
5. Demand Elasticity
Midterm Examination 2 hours
THEORY OF PRODUCER
BEHAVIOR
Technology

1. Isoquants
 Focus on the behavior of the firms in the 2. Technical Rate of Substitution
market particularly in their production 3. Production Possibility Frontier
 Explain mathematically and graphically the
 Lecture  Oral
concepts which seem to be Profit Maximization  Assigned readings
 Discussion Recitation
commonsensical in daily economic  Glass board
 Graphical  Board works
CO4 4. Isoprofit lines  Marker 12 hours
activities Analysis  Quizzes
5. Short Run and Long Run Profit  Eraser
 Differentiate the behavior of firms operating Maximization  Business  Group
under either monopoly or oligopoly 6. Monopoly and Oligopoly Case Analysis presentation
 Analyze business situations using these
concepts Cost Minimization

7. Isocost lines
8. Short Run and Long Run Cost
Minimization
9. Cost Curves
Semi-Final Examination 2 hours
 Examine the production and supply of THE SUPPLY THEORY  Assigned readings  Lecture  Oral
CO5 9 hours
economic goods  Glass board  Discussion Recitation
  Introduce the concept of production Firm Supply  Marker  Graphical  Board works
function, an abstraction from the production  Eraser Analysis  Quizzes
process. 1. Types of Firms
 Discuss cost and its determinants and 2. Supply Function
determine the gains of a firm. 3. Law of Supply
4. Producer’s Surplus

Industry Supply

5. Industry Equilibrium in the Short

and Long Run
6. Zero Profits
7. Rental Rates and Prices
Final Examination 2 hours
Total number of hours: 54 hours
Course Requirements: Grading System:

1. A student must come to class prepared, by having the assigned The grades for this course will be based on all examinations, quizzes, and class participation. The
course grade will be determined as follows:
readings read ahead of time.
Prelim = 15 % Semi Final = 15 %
2. He/she must attend at least 80% of the total number of hours Midterm Exam = 25 % Final Exam = 25 %
Quizzes = 30 % Quizzes = 30 %
prescribed by the course.
Class Participation= 30 % Class Participation = 30 %
3. He/she must take all quizzes and examinations during the scheduled Total = 100 % Total = 100 %
period.
(1MG + 2FG)/3 = SEMESTER GRADE
4. A student must uphold intellectual honesty especially during
examinations.
COURSE REFERENCES AND SUPPLEMENTAL READING
Main references:

 Varian, Hal R. INTERMEDIATE MICROECONOMICS: A MODERN APPROACH W.W Norton and Company, Inc., New York, 2010
 N. Gregory Mankiw PRINCIPLES OF ECONOMICS, Cengage Learning, 2015
 Medina, Roberto G. PRINCIPLES OF ECONOMICS. 856 Nicanor Reyes Sr. St. Sampaloc Manila: Rex Book Store Inc, 2003
 Robert l. Sexton,EXPLORING ECONOMICS, USA:Cengage learning, 2016
 Roger, Arnold A., PRINCIPLES OF ECONOMICS, 11th Edition, Cengage Learning, Singapore, 2015
 Brue, S.L. et al. ESSENTIALS OF ECONOMICS, 3rdEdition, New York McGraw Hill Irwin, 2014
 Boyes, William and Melvin, Michael, ECONOMICS, 9thEdition, South-Western Cengage Learning, Mason USA, 2014
  Krugman, Paul and Wells, Robin, ECONOMICS, 3rdEdition, Worth Publishing, USA, 2013
 Cowen, Tyler and Tabrrok, Alex, MODERN PRINCIPLES OF ECONOMICS, 2ndEdition, Worth Publishing, USA, 2013
 Cruz, Peer T. INTRODUCTION TO ECONOMICS Quezon City, C & E Publishing Inc., 2011
 Bello, A. et al. ECONOMICS, Quezon City, C & E Publishing Inc., 2009
 Rosser, Mike, BASIC MATHEMATICS FOR ECONOMISTS, Routledge Taylor and Francis Group, New York City

INSTRUCTOR’S INFORMATION

Name: RICHMOND KEITH N. SIMEON Contact Number: 0927 996 2303

Email address: rnsimeon@up.edu.ph Consultation Hours: TUE/THUR 10:00AM-12:00NN

Prepared by: Reviewed by: Recommending Approval: APPROVED BY:

RICHMOND KEITH N. SIMEON POTENCIANO D. CONTE, JR., DBA ERNA M. SALAZAR, MBA LORNA G. URBIZTONDO, Ed.D.
Date: Date: Date: Date: