Professors. J. Richard Aronson, Ph.D. (Clark); Shin-Yi Chou, Ph.D. (Duke); James Dearden, Ph.D. (Penn State), chair, department of economics; Mary E. Deily, Ph.D. (Harvard); Thomas J. Hyclak, Ph.D. (Notre Dame); Arthur E. King, Ph.D. (Ohio State); Judith A. McDonald, Ph.D. (Princeton); Vincent G. Munley, Ph.D. (S.U.N.Y.); Anthony P. O’Brien, Ph.D. (Berkeley); Larry W. Taylor, Ph.D. (North Carolina); Robert J. Thornton, Ph.D. (Illinois); Todd A. Watkins, Ph.D. (Harvard).
Associate Professors. Frank R. Gunter, Ph.D. (Johns Hopkins); Chad Meyerhoeffer, Ph.D. (Cornell);
Assistant Professors. Ernest Kong Wah Lai, Ph.D. (Pittsburgh); Alberto Lamadrid, Ph.D. (Cornell); Alex Nikolsko-Rzhevskyy, Ph.D. (Houston); Muzhe Yang, Ph.D. (Berkeley).
Active Emeriti. Nicholas W. Balabkins, Ph.D. (Rutgers); Alvin Cohen, Ph.D. (Florida); Jon T. Innes, Ph.D. (Oregon).
Though economics is variously defined, modern-day definitions generally suggest that it is the study of the principles that govern the efficient allocation of resources. One of the greatest of the 19th century economists who did much to uncover these principles suggested a broader definition. Alfred Marshall described economics as “a study of mankind in the ordinary business of life and a part of the study of man.” This dual nature of economics, technical and humanistic, is reflected in the fact that at Lehigh the economics major is available to students in the College of Arts and Sciences as well as in the College of Business and Economics.
College of Business and Economics
Major in Economics
Students in the College of Business and Economics electing to major in economics must take the college core courses listed in the College of Business and Economics section of this catalog. They must also take ECO 119 and at least 12 credit hours of 200- and 300-level economics courses beyond the core requirements. These courses may be chosen so as to form an area of specialization or to provide a broad exposure to the various aspects of the discipline. In any case, students should consult with the major advisor in forming their programs.
Major in Business Economics
The business economics major prepares students for careers as business consultants or analysts by teaching the application of microeconomic theory to the analysis of critical business issues. The emphasis is on rigorous, quantitative business analysis through the use of theoretical and mathematical models and econometric analysis of data. Students electing the major in business economics must take the college core courses, ECO 245, ECO 322, ECO 333, two elective courses from an approved list, and a course involving student research on a problem identified by an external client. Students should consult with the major advisor in forming their program.
Minor in International Economics
The minor in International Economics aims to prepare non-economics majors in the CBE, as a complement to their major programs, with a fundamental understanding of international trade, finance and economic development, and to develop skills in applying economic analysis to international economic issues and social problems. This minor is open to any CBE undergraduate student not majoring in economics or business economics.
International Economics Minor Requirements: (12 credits)
ECO 119 – Intermediate Macroeconomic Analysis (3)
ECO 339 – International Trade (3) or ECO 340 – International Finance (3)
Two additional courses(at least one at the 300 level) from the following list:
ECO 203 – Microfinance: Financial Inclusion of the Poor
ECO 209 – Comparative Economic Systems
ECO 303 – Economic Development
ECO 339 – International Trade
ECO 340 – International FinanceECO 342 – Economic Development in China
ECO 345 – Political Economy of Iraq
Minor in Public Policy Economics
The minor in Public Policy Economics aims to prepare non-economics majors in the CBE, as a complement to their major programs, with a fundamental understanding of the main economic policy issues and the role of government in markets, and to develop skills in applying economic analysis to the development of public policies and potential solutions to social problems. This minor is open to any CBE undergraduate student not majoring in economics or business economics.
Public Policy Minor Requirements: (12 credits)
ECO 119 – Intermediate Macroeconomic Analysis
ECO 353 – Public Finance: Federal
Two of the following:
ECO 235 – Labor Economics
ECO 311 – Environmental Economics
ECO 312 – Urban Economics
ECO 336 – Business and Government
ECO 354 – Public Finance: State and Local
ECO 365 – Business, Government & Macroeconomic Policy
ECO 368 – Health Economics
Or approval by Minor Advisor
College of Arts and Sciences
Major in Economics
The B.A. major in economics is designed to prepare students for graduate study in economics or law, and for entry into careers in business, government or service organizations. The requirements for the economics major are:
The economics core (16 credits): ECO 1, ECO 105 or 146, ECO 119, ECO 029 and ECO 045.
Collateral calculus courses (7 or 8 credits): MATH 51 and 52 or MATH 21 and 22. MATH 51 and 52 are terminal math classes for students planning on careers in fields that are primarily non-quantitative. MATH 21 and 22 are for students considering careers or graduate programs that require a stronger math background.
Five elective courses in economics at the 200- or 300-level (15 credits). Students may count only two 200-level courses toward the completion of the economics major.
To take economics courses numbered 100 or above, students must pass the CBE’s Excel competency exam; contact the Rauch Center for Business Communications for more information.
Students are free to select any five economics courses to meet their elective requirements. However, the faculty of the economics department has developed recommended course clusters to meet the differing needs of students. These include course recommendations for those interested in:
Graduate study in economics
Careers in consulting and financial services
International economics and global markets
Political economy and public policy
Interested students are encouraged to consult with the major advisors in the economics department to select elective courses that match their needs and interests.
Honors in Economics
Economics majors who wish to be considered for departmental honors must consult with their major advisor and request such consideration by the beginning of their senior year. The criteria for departmental honors are:
Completion of the major program with at least 33 credits of economics and a grade point average in those courses of 3.5 or better.
Submission of an acceptable research paper to the Departmental Honors committee. This paper must report on original research conducted by the student. An economics faculty member will direct the honors paper. Students who successfully complete the paper will receive independent study credit, which can be applied to economics major requirements. The committee will notify students of submission deadlines and other requirements for satisfying this criterion.
Minor in Economics
A minor in economics consists of 12 credit hours beyond ECO 1. Required courses in the minor are: ECO 105 or 146, 119 or 029, and two elective courses. Elective courses must be chosen from among the 200- and 300-level economics offerings with at least one 300-level elective. ECO 371 does not count towards the minor. This minor is available only to students in the College of Arts and Sciences and in the College of Engineering and Applied Science. Interested students should contact the minor advisor.
ECO 1. Principles of Economics (4)
A one-semester course in the principles of economics. General topics covered are: supply and demand; pricing and production decisions of firms; the role of government in the economy; the determination of national income; money and banking; monetary and fiscal policy; and government finance. (SS)
ECO 029. Money, Banking, and Financial Markets (3)
The nature and functions of money. Global money and financial markets. The role of commercial and central banks. Effects of the interest rate, exchange rate, and the money supply on the economy. Examination and evaluation of current and past monetary policies. Prerequisite: ECO 1. (SS)
ECO 045. Statistical Methods (3)
Descriptive statistics, probability and probability distributions, sampling, estimation, hypothesis testing, chi-square tests, simple regression and correlation. (ND) Note: CBE students may not take MATH 12 as a replacement for ECO 045.
ECO 64. (AAS 64, HIST 64). Plantation to Ghetto (2)
Examination of topics in the economic history of African Americans from the 1500s to the present. Explores the slave trade, slavery, the post-Civil War South, the black family, migration, urbanization, and race and poverty. Prerequisites: ECO 1 recommended. (SS)
ECO 105. Intermediate Microeconomic Analysis (3)
Determination of prices in terms of the equilibrium of the business enterprise and consumer choice in markets of varying degrees of competition; analysis of market structures; determination of wages, rent, interest and profits. Prerequisite: ECO 1 and MATH 51 or 21 or their equivalents. Not available for credit to students who have taken ECO 146. (SS)
ECO 111. (ES 111). Introduction to Environmental Economics (4)
An examination of the interactions between our economic systems and the environment. Pollution as a consequence of human activity within a framework for analyzing the relationships between environmental quality, scarcity of resources and economic growth. How to develop appropriate policies to deal with these issues. Prerequisite: ECO 1. (SS)
ECO 119. Intermediate Macroeconomic Analysis (3)
Macroeconomic measurement, theory and policy. The use of alternative macroeconomic models to analyze the level of national income, inflation, unemployment, economic growth; the balance of payments, and exchange rate determination. Prerequisite: ECO 1. (SS)
ECO 130. (WS 130) Economics of Race and Gender (2)
The question of the role of race and gender in economic decision-making is explored. Various types of discrimination are discussed in an economic framework and possible remedies are evaluated. The historical role of race and gender in the economy is also discussed. Prerequisite: ECO 1. (SS)
ECO 131. The Canadian Economy (2)
This course analyzes the economic challenges facing the Canadian economy. Some of the issues include: Canada’s record on inflation and unemployment; the distribution of income; the role of natural resources; and Canada’s health-care and educational systems. Canada’s monetary and fiscal policies, and Canada’s performance in the international economy will also be examined. Prerequisite: ECO 1. (SS)
ECO 134. Evolution of the Automobile Industry (2)
This course traces the development of the automobile industry from its origin at the turn of the century to the present. Topics include: the Model T and mass production; the development of installment purchases; dealer-company relations; worker-company relations; the rise of imports; and the decline of traditional mass production. Prerequisite: ECO 1. (SS)
ECO 146. Applied Microeconomic Analysis (3)
The application of economic analysis to managerial and public policy decision-making. Prerequisites: ECO 1, MATH 21 or equivalent course, and ECO 045. Not available for credit to students who have taken ECO 105. (SS) Note: MATH 12 does not serve as a pre-requisite for ECO 146.
For Advanced Undergraduates and Graduate Students
Economics 203. Microfinance: Financial Inclusion for the Poor (3)
Non-technical survey of the global microfinance industry, which provides financial services to the poor on a large scale, mostly in developing nations. Historical origins and industry evolution. Nature and developmental role of microenterprises and informal finance. Methods and technologies used by microfinance institutions (MFIs). Case studies of leading MFIs and the lives of their clients. Policy and regulatory environments. Debates over profiting from the poor, and over health and environmental goals. Conflicting evidence on economic and social impact. Meetings with practitioners. (SS) Prerequisite: Eco 1.
ECO 209. Comparative Economic Systems (3)
An analysis of the micro- and macro-economic, institution and political dimensions of various economic systems, with particular emphasis on former centrally planned economies in their transition to a market orientation. Prerequisite: ECO 1. (SS)
ECO 210. Economic Evolution (3)
Structural changes, social transformation, and sources of the long-term growth of the U.S. economy. Prerequisite: ECO 1. (SS)
ECO 231. Business History (3)
The historical context of the development of the modern business firm in the United States. The roles of entrepreneurship, economic structure, technology, and government policy in the shaping of current business practices. Prerequisite: ECO 1. (SS)
ECO 234. Labor-Management Relations (3)
An analytical study of the U.S. system of industrial relations, including the evolution of the labor movement, worker choice on the issue of union representation, the process of collective bargaining, and the impact of collective bargaining on the management of the firm. Prerequisite: ECO 1. (SS)
ECO 235. Labor Economics (3)
The economic analysis of labor markets, with emphasis on labor supply and demand, wage and employment theory, and the economics of unionism and other labor market institutions. Prerequisite: ECO 1. (SS)
ECO 237. Transportation Economics (3)
The principles of transportation in theory and practice. Transport models and their relationship to economic activity. Analysis and evaluation of transportation policies, industry structure and performance. Prerequisite: ECO 1. (SS)
ECO 240. Ireland’s Public Sector (3)
This course focuses on public sector programs—and the method used to finance them—in Ireland and compares their structure to that found in both the United States and other countries of Western Europe. Topics include: the policy of neutrality and military (peace-keeping) operations; environmental protection; social welfare programs; health care; education at the primary, secondary and tertiary levels; and key infrastructure areas such as urban planning and transportation systems. Special attention is devoted to how membership in the European Union has impacted the evolution of these programs in Ireland. Prerequisite: ECO 1. (Offered only through Lehigh in Ireland Study Abroad Program). (SS)
ECO 245. Statistical Methods II (3)
This course is a continuation of Economics 045, and gives broader coverage of linear regression and the construction of empirical models. Topics include the analysis of variance, simple and multiple regression, index numbers, forecasting, nonparametric methods, and statistical methods for quality control. Prerequisites: Economics 045, or a comparable course in introductory statistics. (ND)
ECO 246. Business Cycles and Forecasting (3)
A study of short-term business fluctuations, growth, forecasting and stabilization. Prerequisites: ECO 1 and a course in statistics. (ND)
ECO 259. Athletic Complex Design (3)
This course is for students to participate in cross discipline Integrated Learning Experience (ILE) research projects. The twin purposes of the course are to provide real-world, team-oriented learning experiences and to apply economic analysis in evaluating the costs and benefits of newly proposed, or renovations and expansions of, existing athletic facilities. Prerequisite:, ECO 105 or ECO 146. (SS)
ECO 273. Community Consulting Practicum (3)
This course involves teams of students in community-oriented research projects. The twin purposes of the course are to provide real-world, team-oriented learning experiences and to provide a resource for local governments and community organizations that would allow them to draw upon the expertise of our students as consultants in analyzing problems and formulating policy. Prerequisite: ECO 1. (SS)
ECO 303. Economic Development (3)
Economic development, economic growth and their political environment are discussed in detail. The principal economic development theories are examined. These theories are used to examine a variety of development issues including planning, poverty, rural-urban relationships, physical and human capital accumulation, international trade, and the environment. Emphasis on institutions and development policy. Prerequisite: ECO 105 or 146. (SS)
ECO 311. Environmental Economics (3)
Resource allocation implications of environmental degradation. Analysis of the benefits and costs associated with alternative pollution control programs and strategies. Prerequisite: ECO 105 or 146. (SS)
ECO 312. Urban Economics (3)
The analysis of economic problems related to urban areas; the nature and function of cities; the economic and spatial characteristics of urban activity. Prerequisite: ECO 105 or 146. (SS)
ECO 313. History of Economic Thought (3)
A survey of the important historical writings that form the foundation of today’s mainstream economic theory. Emphasis is on the period from 1750 to 1950 and on such notable economists as Smith, Ricardo, Walras, Marshall, and Keynes. Prerequisite: ECO 105 or 146 or 119. (SS)
ECO 314. Energy Economics (3)
The economic theory of natural resource allocation over time. Economics of exhaustible and renewable resources. Environmental effects of energy production and consumption. Government regulation of the energy industry. Computer models for energy system forecasting and planning. Prerequisite: ECO 105 or 146. (SS)
ECO 315. Industrial Organization (3)
Structure of American industry. Development of economic models to describe behavior in markets with varying degrees of competition. Technological innovation, relationship between industry concentration and rates of return on capital, role of information and advertising, dynamics of monopoly and oligopoly pricing. Prerequisite: ECO 105 or 146. (SS)
ECO 322. Competitor and Market Analysis (3)
Competitors, partners, and firms and governments strategically interact. This course uses game theory to analyze issues like pricing by competitors, vertical integration and contracting issues in supplier-buyer relationships, collective actions and joint ventures, and research and development programs. Students use both mathematical models and cases to analyze these interactions. Prerequisites: ECO 105 or 146, ECO 045 and MATH 21, 31 or 51. (SS)
ECO 323. Evolution of Business Strategy (3)
Analyzes how business firms have adapted to changes in technology, relative factor prices, globalization, and the extent of government intervention in the market. Material will be presented through discussion of case studies from the nineteenth and twentieth centuries. Prerequisite: ECO 1. (SS)
ECO 324. The Economics of the Sports Industry (3)
This course analyzes the role of basic economic forces in shaping today’s sports industry. Topics include: competition in the market for professional franchises; public subsidies for stadiums and arenas; compensation of professional athletes; the NCAA as an economic enterprise; and the impact of athletics on a university’s budget. Prerequisite: ECO 105 or 146. (SS)
ECO 325 (MKT 325). Quantitative Marketing Analysis (3)
This course explores economics and management science approaches to improve marketing decision making and marketing interactions in such areas as strategic marketing, e-marketing, advertising, pricing, sales force management, sales promotions, new products, and direct marketing. The development, implementation, and use of quantitative models are emphasized. Cases are used to illustrate how these models can be applied. Students have the opportunity to learn how to use and evaluate models through spreadsheet-based assignments. Prerequisites: MKT 111, ECO 045, ECO 105 or 146, and MATH 21, 31, 51, or 81.. (SS)
ECO 327. Real Options and Investment Strategy (3)
This is an introductory course in financial economics. It focuses on the principles underlying financial decision-making, with applications to stocks, bonds, and real estate. It is intended for students with strong technical backgrounds who are comfortable with mathematical arguments. The course is divided into three main parts: deterministic finance, single-period uncertainty finance, and options theory. Prerequisite: FIN 323. (ND)
ECO 332. Monetary-Fiscal Policy (3)
Monetary, credit and fiscal policies of governments and central banks with particular reference to the policies of the United States Treasury and the Federal Reserve System. Prerequisite: ECO 119 or 029. (SS)
ECO 333. The Economics of Business Decisions (3)
Students analyze business problems using economic logic and techniques like mathematical programming, marginal analysis, and decision making under risk and uncertainty. New topics like asymmetric information and the analysis of organizations are introduced. Case studies are emphasized. Prerequisites: ECO 105 or 146, ECO 045, ECO 245, and MATH 21, 31,51 or 81. (SS)
ECO 336. Business and Government (3)
Analysis of government involvement in the private sector. The problems of monopoly, oligopoly, and externalities in production and consumption. Optimum responses to market failure and analysis of the performance of actual government policies. Prerequisite: ECO 105 or 146. (SS)
ECO 339. International Trade (3)
The theory of international trade; the theory of tariffs; United States commercial policies; the impact of growth and development of the world economy. Prerequisite: ECO 105 or 146. (SS)
ECO 340. International Finance (3)
Analysis of balance of payments and disturbances and adjustment in the international economy; international monetary policies. Prerequisite: ECO 119 and 029. (SS)
ECO 342. Economic Development in China (3)
An examination of the economic, political and social forces at work in the development process in China since 1949. Special emphasis on post-1978 market reforms, the rural-urban divergence, the role of foreign trade and investment, the accumulation of human capital, and the deterioration of the physical environment. Course concludes with a detailed discussion of possible futures of the Chinese economy. (SS)
ECO 345, Political-Economy of Iraq (3)
An examination of the economic, political and social forces at work in Iraq with emphasis on the post-2002 period. Major topics include petroleum production and transport, corruption, education and other forms of human capital accumulation in an Islamic state, the agricultural transition, the rural-urban divergence, the economic impact of the ongoing conflict, unemployment and underemployment, poverty and population, the economic and political role of the state owned enterprises, entrepreneurship and the informal economy, traditional banking and micro-finance, and the inconsistencies between current political and economic development policies. Course concludes with a discussion of the possible futures for the Iraqi economy. Prerequisite: ECO 303 OR Eco 105 and Eco 119 OR permission of instructor.
ECO 343. European Economic Integration (3)
Study of the problems of economic integration throughout Europe, especially in the Post-Cold War era among Western, Central and Eastern European nations. Prerequisite: ECO 209 (may be taken concurrently with permission of instructor). (SS)
ECO 346. Numerical Methods for Business Decisions (3)
This course provides a connection between textbook economics/finance and the problems of real world business. It emphasizes practical numerical methods rather than mathematical proofs. Problems in finance are emphasized. The course teaches students how to use EXCEL macros and advanced VBA (the industry standard) programming techniques to model and manipulate financial data. Prerequisite: FIN 323. (ND)
ECO 351. Introduction to Mathematical Economics (3)
Application of mathematical techniques to economic problems of optimization and to economic models. Prerequisites: ECO 105 or 146 and 119 and MATH 21, 31, 51 or 81. (ND)
ECO 352. Advanced Statistical Methods (3)
Advanced probability theory, probability and sampling distributions, and classical statistical inference. Index numbers, multiple regression, correlation, and analysis of variance. Spectral analysis, Box-Jenkins auto-regressive and moving average stochastic processes. Prerequisites: ECO 105 or 146 and a course in statistics. (ND)
ECO 353. Public Finance: Federal (3)
A course dealing with the expenditures and revenues of the federal government. Major topics include public choice theory, benefit-cost analysis, the theory of public goods, the economics of taxation, and the design of tax structures. Prerequisite: ECO 105 or 146. (SS)
ECO 354. Public Finance: State and Local (3)
A course dealing with the expenditures and revenues of state and local governments. Major topics include the theory of fiscal federalism, intergovernmental fiscal transfers, the design of state and local tax structures, capital budgeting and debt finance, pension funds, and school finance. Prerequisite: ECO 105 or 146. (SS)
ECO 357. Econometrics (3)
Problems in construction, evaluation and use of econometric models. Applications based on research and case studies. Prerequisites: ECO 105 or 146 or 119, ECO 045 or equivalent course in statistics, and ECO 245. (ND)
ECO 358 (IE 358). Game Theory (3)
A mathematical analysis of how people interact in strategic situations. Applications include strategic pricing, negotiations, voting, contracts and economic incentives, and environmental issues. Prerequisites: ECO 105 or 146 and MATH 21, 31, 51 or 81. (SS)
ECO 362. Martindale Research Seminar (1-3)
This course prepares students to undertake research on various topics in business and/or economics. Admission to this course is limited to student associates of the Martindale Center for the Study of Private Enterprise. Consent of the instructor is required. Course may be repeated for credit up to a maximum total number of 3 hours credit. This course does not count towards an Economics major or minor. (ND)
Eco 365 Business, Government, and Macroeconomic Policy (3)
This course analyzes particular domestic and foreign macroeconomic policy episodes. Through the case study method, the course provides both an historical and an international context for understanding current macroeconomic policy issues. Prerequisite: Eco 29 or Eco 119 or permission of instructor. (SS)
ECO 368. Health Economics (3)
Supply and demand in the health service markets for the U.S. and Canada. Unique features of health care which interfere with competitive market allocation and pricing. Overview of insurance systems and other payment methods. Prerequisites: ECO 105 or 146 and a course in statistics. (SS)
ECO 371. Special Topics in Economics (3)
Study in various fields of economics, designed for the student who has a special interest in a subject not included in the regular course schedule or for the student interested in pursuing a significant supervised research project in economics. Students interested in enrolling in this course must submit a written proposal to a member of the faculty with expertise in the proposed subject area and to the department chair prior to the registration period for the relevant semester. Prerequisite: ECO 105 or 146 or 119. This course may count towards the ECO major only once; it does not count towards the ECO minor. (ND)
ECO 401. Basic Statistics for Business and Economics (3)
Descriptive statistics, probability and probability distributions, estimation, hypothesis testing, correlation and regression, chi-square analysis, and analysis of variance. Computer applications.
ECO 402. Managerial Economics (3)
Application of economic and statistical analysis to managerial decision-making. Business and economic forecasting. Empirical estimation of demand, production, and cost functions. Resource allocation and pricing strategies in various market structures. Decisions under risk and uncertainty. Government regulation of business. Cases. Prerequisite: Calculus and ECO 401 or equivalent.
ECO 411. History of Economic Thought (3)
Selected topics in the history of economic thought, with special attention to the origins of modern economic theory. Prerequisite: a graduate course in economic theory.
ECO 412. Mathematical Economics (3)
Applications of various mathematical techniques in the formation and development of economic concepts and theories. Prerequisite: consent of the instructor.
ECO 413. Advanced Microeconomic Analysis (3)
A survey of methods of decision-making at the microeconomic level; price theory and econometric applications. Prerequisite: ECO 402 or equivalent.
ECO 414. Advanced Topics in Microeconomics (3)
Resource allocation and price determination. Theories of choice of consumers, firms, and resource owners under various market forms. Prerequisites: ECO 413 or equivalent.
ECO 415. Econometrics I (3)
Computer applications of standard econometric techniques using regression analysis in a single-equation context. Discussion of problems of multicollinearity, heteroscedasticity and autocorrelation. An introduction to simultaneous equation models, identification and estimation problems. Prerequisite: ECO 401 or equivalent.
ECO 416. Econometrics II (3)
Mathematical and statistical specification of economic models. Statistical estimation and tests of parameters in single and multiple equation models. Prediction and tests of structural change. Prerequisites: ECO 415 or equivalent and calculus.
ECO 417. Advanced Macroeconomic Analysis (3)
Macroeconomic theory and policy. Emphasis on theoretical models and policy implications.
ECO 418. Advanced Topics in Macroeconomics (3)
Models of employment, income and growth in monetary economies. Policies for economic stability and growth. Prerequisite: ECO 417 or equivalent.
ECO 425. Cost-Benefit Analysis (3)
Theory and methods of cost-benefit analysis; efficiency and equity as criteria in program evaluation; proper measurement of market and non-market costs and benefits; consideration of risk, uncertainty, appropriate discounting techniques, and distributional consequences; applications to the evaluation of health care policies and therapies. Prerequisites: ECO 401 and ECO 402 or equivalents; ECO 357 or ECO 415; statistical software beyond EXCEL; or instructor permission.
ECO 429. Monetary Theory (3)
The role of money in the economy from theoretical and empirical perspectives. The influence of money and prices, interest rates, output, and employment.
ECO 430. Public Finance (3)
The economics of public spending and taxation; principles of government debt management; theories of budgeting and cost-benefit analysis and public choice.
ECO 436. Economic History of the United States (3)
Analysis of the colonial economy, transition to industrialization, and the role of trade and transportation in America’s development. A consideration of the importance of slavery to the 19th-century American economy and other New World economies. Origin and development of banking and financial markets. Prerequisites: ECO 401 and ECO 402 or equivalents.
ECO 440. Labor Economics I (3)
The economics of labor markets and various labor-market institutions with emphasis on current theoretical and empirical research. Topics include labor supply and demand, human capital, the structure of labor markets, labor market regulation, information and job search, labor mobility, unionism, and labor market discrimination. Prerequisites: ECO 401 and ECO 402 or equivalents.
ECO 441. Labor Economics II (3)
An examination of empirical research in labor economics, focusing on topics such as human resource management and internal labor market outcomes, wage and income inequality and poverty, unemployment, and other issues current in the literature. Prerequisites: ECO 402 and ECO 415 or equivalents.
ECO 447. Economic Analysis of Market Competition (3)
Mathematical models based on game theory and industrial organization. Cases are used to analyze the strategic interaction of firms and governments as competitors and partners. Prerequisites: ECO 402 or equivalents; 2 semesters of calculus; or instructor permission.
ECO 451. Urban Economics (3)
The application of traditional and spatial economics to the location of economic activity focusing on the urban economic problems of business location, housing, land value, land use, and intra-urban transportation.
ECO 453. Government Regulation of Business (3)
Analysis of the economic justification for government regulation of private enterprise. Topics include antitrust policy, utilities, and health, safety, and environmental regulation. Prerequisite: ECO 402 or equivalent.
ECO 454. Economics of Environmental Management (3)
Economic theory of natural resources. Optimal policies for the development of renewable and nonrenewable resources and environmental quality. Prerequisite: ECO 402 or equivalent.
ECO 455. Health Economics I (3)
Economic theory and empirical analysis of health production, the demand for health services, and health insurance. Implications for the current institutional structure of health care and health delivery systems will also be discussed. Additional topics and extensions will be selected based on developments in the literature. Prerequisite: ECO 402 and ECO 415 or equivalents.
ECO 456. Industrial Organization (3)
The goal of the course is to review theoretical and empirical attempts by economists to understand market structures lying between the extremes of perfect competition and monopoly. The course will focus first on describing the current U.S. industrial structure and reviewing models of imperfect competition. The course then shifts to a closer study of individual firm behavior. The final segment of the course is an overview of two significant relationships between government and industry caused by the existence of imperfect competition.
ECO 457. Bio-Pharmaceutical Economics (3)
Characteristics of the market for pharmaceuticals; barriers to entry, competition and innovation; pricing and regulation; physician prescribing behavior; commercialization and financing of biotech startups; international comparisons of public policy. Prerequisites: ECO 401 and ECO 402 or equivalents or instructor permission.
ECO 460. Time Series Analysis (3)
Classical decomposition of time series, trend analysis, exponential smoothing, spectral analysis and Box-Jenkins autoregressive and moving average methods.
ECO 461. Forecasting (3)
Methods of economic and business forecasting.
ECO 463 (IE 458). Topics in Game Theory (3)
A mathematical analysis of how people interact in strategic situations. Topics include normal-form and extensive-form representations of games, various types of equilibrium requirements, the existence and characterization of equilibria, and mechanism design. The analysis is applied to micro-economic problems including industrial organization, inter-national trade, and finance. Prerequisites: Two semesters of calculus, ECO 412 and ECO 413, or permission of the instructor.
ECO 464. Applied Econometrics I (3)
This course focuses on the identification of causal relationships using cross-sectional and panel data. The objectives are to 1) familiarize students with identification assumptions for causal inference; and 2) enable students to select appropriate econometric tools for empirical economic problems and policy evaluation. Topics include robust inference and bootstrap; instrumental variables and generalized method of moments (GMM); quantile and nonparametric regression methods; treatment effect analysis, and models for discrete choices, panel data, and social interactions. Prerequisite: ECO 416 or equivalent.
ECO 465. Applied Econometrics II (3)
Econometric analysis of skewed and truncated distributions, discrete outcomes, and missing or incomplete data. The first part of this course will involve the functional specification and testing of appropriate estimators in these situations, while the second part of the course will focus on conducting causal inference using nonlinear models in the presence of unobserved heterogeneity. Emphasis will be given to common applications in health and labaor economics. Prerequisite: ECO 416 or equivalent.
ECO 466. Health Economics II (3)
Selected topics in the literature on health economics with an emphasis on the application and evaluation of econometric techniques and identification strategies. Both demand and supply side issues will be addressed. Examples of the former include the demand for health, health insurance and health care services, while examples of the latter include the regulation of supplier behavior and industrial organization issues. Prerequisites: ECO 402 and ECO 416 or equivalents.
ECO 471. International Economic Development (3)
An introduction to the basic theoretical concepts in international economic development and an evaluation of their application by means of a representative sample of the literature.
ECO 472. International Trade Theory (3)
Theories of comparative advantage, factor price equalization, trade and welfare, tariffs, trade, and factor movements. Prerequisite: ECO 413 or consent of the chair.
ECO 473. International Monetary Economics (3)
Theory of the balance of payments, the microeconomics of international finance, various approaches to balance-of-payments adjustments, theories of foreign exchange-rate determination, and macroeconomic policy under fixed and flexible exchange rates. Prerequisite: ECO 417 or consent of the chair.
ECO 480. Economics of Technological Change (3)
Explores theoretical models and empirical evidence on the economics of innovation and technical change. Includes examination of: the role of technology in competitiveness, industrial structure, and economic growth; alternative models of the innovative process; incentives for and other conditions affecting research and development; the evaluation of the justifications for government support of R&D. Prerequisite: ECO 402 or equivalent.
ECO 490. Master’s Thesis
ECO 492. Special Topics in Economics (1-3)
Extended study of an approved topic not covered in scheduled courses. May be repeated for credit.
ECO 496. Doctoral Pre-Dissertation Research Project (up to 9 credits)
Independent study on a topic that is being pursued to fulfill the third year paper requirement, and has been approved by the student’s interim advisor.
ECO 499. Dissertation