ECO 122 Microeconomics


Campus Location:
Georgetown, Dover, Stanton, Wilmington
Effective Date:
2020-51
Prerequisite:
ENG 090 or ENG 091, MAT 010, SSC 100 or concurrent
Co-Requisites:

none

Course Credits and Hours:
3.00 credits
3.00 lecture hours/week
0.00 lab hours/week
Course Description:

This course covers the basic principles of supply and demand as they impact the American economy. Special emphasis is placed on those national policy decisions that influence individual consumers and American businesses.

Required Text(s):

Obtain current textbook information by viewing the campus bookstore online or visit a campus bookstore. Check your course schedule for the course number and section.

Additional Materials:

None

Schedule Type:
Classroom Course
Hybrid Course
Online Course
Disclaimer:

None

Core Course Performance Objectives (CCPOs):
  1. Describe economics and differentiate macroeconomics from microeconomics. (CCC 1, 2, 5)
  2. Explain how supply and demand influence market transactions. (CCC 1, 2, 4, 5)
  3. Examine the possible outcomes, such as scarcity, achieved by redirecting market forces through controlling prices. (CCC 1, 2, 3, 4, 5, 7)
  4. Analyze the factors surrounding the principle of price elasticity. (CCC 1, 2, 5, 6)
  5. Assess the key factors that affect household consumption decisions. (CCC 3, 4, 5, 6)
  6. Examine the relationship between the distribution of income and the consumption opportunities available to different households. (CCC 1, 2, 3, 5, 6)
  7. Describe the different legal forms of business organization and the various conditions and opportunities they face. (CCC 4, 5, 6)
  8. Evaluate the process by which business firms assess output and pricing decisions using marginal analysis. (CCC 2, 5, 6)
  9. Assess the sources of market failure and government interventions and different forms of government revenue. (CCC 2, 3, 4, 5, 6)
  10. Evaluate the principle factors contributing to the federal budget deficits or surpluses, the federal debt, and the prevailing arguments about their probable consequences. (CCC 1, 3, 4, 5, 6)
  11. Examine the relationship between global trade and other contemporary global economic issues, including their impact on the United States economy. (CCC 1, 2, 3, 4, 5, 6)

See Core Curriculum Competencies and Program Graduate Competencies at the end of the syllabus. CCPOs are linked to every competency they develop.

Measurable Performance Objectives (MPOs):

Upon completion of this course, the student will:

  1. Describe economics and differentiate macroeconomics from microeconomics.
    1. Define the study of economics.
    2. Compare and contrast macroeconomics and microeconomics.
  2. Explain how supply and demand influence market transactions.
    1. Identify and describe the major determinants of individual supply and demand.
    2. Examine the major assumptions that economists make about human (economic) behavior.
    3. Analyze the major obstacles and pitfalls in economics while detailing the major social-scientific principles.
  3. Examine the possible outcomes, such as scarcity, achieved by redirecting market forces through controlling prices.
    1. Analyze the economic problem of scarcity while interpreting the various methods used to cope with scarcity.
    2. Evaluate how scarcity affects key economic concepts and decisions.
  4. Analyze the factors surrounding the principle of price elasticity.
    1. Describe diminishing returns and increasing opportunity costs.
    2. Examine the impact of diminishing returns and increasing opportunity costs on production possibilities of scare resources.
  5. Assess the key factors that affect household consumption decisions.
    1. Describe an individual and a household example of a microeconomic tradeoff problem.
    2. Assess the importance of weighing the benefits and costs of tradeoffs and other economic decisions.
    3. Analyze the importance of incentives in considering economic behavior.
    4. Evaluate factors that influence decisions in household consumption.
  6. Examine the relationship between the distribution of income and the consumption opportunities available to different households.
    1. Explain the relationship between income and wealth.
    2. Describe the distribution of income and wealth in the United States.
    3. Discuss the major household characteristics that influence the distribution of income.
    4. Define poverty, and explore the relationship among race, marital status, and poverty.
    5. Identify and describe the three key factors that determine a family's income.
    6. Examine the major ways that the levels of governments in the United States seek to redistribute income.
  7. Describe the different legal forms of business organization and the various conditions and opportunities they face.
    1. Identify and describe major business firms in the American economy.
    2. Examine the key characteristics of types of businesses, including public, private, and non-profit organizations.
  8. Evaluate the process by which business firms assess output and pricing decisions using marginal analysis.
    1. Explain the value of production costs as opportunity costs.
    2. Define and differentiate between types of explicit and implicit opportunity costs that enter into production decisions.
    3. Compare and contrast the different views of accountants and economists regarding costs and profits.
    4. Evaluate how an investment that yields an accounting profit can be viewed as a net loss.
    5. Define marginal product and detail its behavior in shaping production (output) when capital is held constant (fixed).
    6. Compare and contrast fixed costs and variable costs.
    7. Examine and differentiate average total cost and marginal cost.
    8. Describe and illustrate the typical behavior of the different types of cost curves: average fixed cost, average variable cost, average total cost, and marginal cost.
  9. Assess the sources of market failure and government interventions and different forms of government revenue.
    1. Describe the characteristics of a competitive market.
    2. Identify various types of market strategies.
    3. Explain the relationship between a competitive firm's marginal revenue curve and its demand curve.
    4. Evaluate, using both total and marginal analysis, the production decision of a competitive firm seeking profit maximization.
    5. Explain why a competitive firm's marginal cost (MC) curve is also its supply curve.
    6. Analyze monopoly as it relates to market power.
    7. Examine the circumstances that cause monopolies to occur.
    8. Compare and contrast monopoly power compared to competition.
    9. Characterize the impact of product development and marketing on the output and profitability of monopolistically competitive firms.
    10. Compare the characteristics of oligopolies with the other types of markets.
    11. Explore duopoly, collusion, and cartel as aspects of oligopolistic and monopolistic behavior.
    12. Assess the tensions or conflicts that make collusion between oligopolistic firms difficult to achieve.
    13. Evaluate the use of price wars, research and development (R&D), and other oligopoly games.
  10. Evaluate the principle factors contributing to the federal budget deficits or surpluses, the federal debt, and the prevailing arguments about their probable consequences.
    1. Discuss the relationship between fiscal policy and the existence of budget deficits and budget surpluses.
    2. Explore the recent history of federal budget surpluses versus deficits in the United States.
  11. Examine the relationship between global trade and other contemporary global economic issues, including their impact on the United States economy.
    1. Analyze the importance of international trade to the United States economy.
    2. Differentiate imports from exports and their relationship to the balance of trade while identifying the largest trading partners in the United States.
Evaluation Criteria/Policies:

Students must demonstrate proficiency on all CCPOs at a minimal 75 percent level to successfully complete the course. The grade will be determined using the Delaware Tech grading system:

92 100 = A
83 91 = B
75 82 = C
0 74 = F

Students should refer to the Student Handbook for information on the Academic Standing Policy, the Academic Integrity Policy, Student Rights and Responsibilities, and other policies relevant to their academic progress.

Final Course Grade:

Calculated using the following weighted average

Evaluation Measure

Percentage of final grade

4 Exams (Summative) (Equally Weighted)

60%

Project/Paper (Summative)

20%

Formative: Assignments and Discussion Boards

20%

TOTAL

100%

Core Curriculum Competencies (CCCs are the competencies every graduate will develop):
  1. Apply clear and effective communication skills.
  2. Use critical thinking to solve problems.
  3. Collaborate to achieve a common goal.
  4. Demonstrate professional and ethical conduct.
  5. Use information literacy for effective vocational and/or academic research.
  6. Apply quantitative reasoning and/or scientific inquiry to solve practical problems.
Program Graduate Competencies (PGCs are the competencies every graduate will develop specific to his or her major):

None

Disabilities Support Statement:

The College is committed to providing reasonable accommodations for students with disabilities. Students are encouraged to schedule an appointment with the campus Disabilities Support Counselor to request an accommodation needed due to a disability. A listing of campus Disabilities Support Counselors and contact information can be found at the disabilities services web page or visit the campus Advising Center.

Minimum Technology Requirements:
Minimum technology requirements for online, hybrid, video conferencing and web conferencing courses.