University home » University Calendar » Courses » Faculty of Business and Economics » Economics

Economics

Stage I

Note: Students intending to advance beyond Stage I should include MATHS 108 or 150 in their first year programme.

Microeconomics

Offers an introduction to the workings of market systems. This course deals with the economic behaviour of consumers and firms, covering analysis of demand and supply of goods, services and resources within an economy. The framework developed is used to examine and evaluate the operation of the market mechanism for various market structures and government policies.

Restriction: ECON 191

Macroeconomics

Analyses aggregate economic activity in the national economy and its interrelationships with the rest of the world. Emphasis is placed on basic principles involved in the determination of the level of national output, the aggregate price level, and the money supply. Alternative explanations of key macroeconomic problems and relevant economic policies are compared. The theoretical concepts are illustrated from a range of New Zealand and international applications.

Understanding the Global Economy

Economics affects our daily lives and the global environment in many ways. Through the media we are constantly made aware of price increases, interest rate changes, exchange rate movements and balance of payments problems, growth and recessions, standard of living comparisons, regional trading agreements. What does it all mean and how does it all work?

Restriction: May not be taken by students with a concurrent or prior enrolment in Economics courses

Business Economics

Introduction to economic analysis, with an emphasis on firms and their operating environment. Pricing and output decisions and cost and profit determination in competitive, imperfectly competitive, and monopolistic markets. Macroeconomic factors and policies affecting business activity in a small open economy.

Restriction: ECON 101, 111

Stage II

Note: Students intending to major in Economics must include ECON 201 and 211 in their programme.

Microeconomics

Study of the allocation of scarce resources among competing end uses. Intermediate-level analysis of the economic behaviour of individual units, in particular consumers and firms. Although the focus is on perfectly competitive markets, attention is also given to other types of markets. Analysis also includes concepts of expected utility and uncertainty, and welfare economics.

Prerequisite: ECON 101 and MATHS 108 or 150 or 153

Managerial Economics

An applied economics course which shows how various concepts and techniques drawn from economics, finance, mathematics and statistics can be used to develop and use computer-based models in decision-making, particularly in an uncertain environment.

Prerequisite: ECON 101 or 191, and 111

Macroeconomics

Provides an introduction to the dynamic microfoundations of macroeconomics, and demonstrates how we can utilise these foundations (i) to understand the trends and fluctuations of macroeconomic aggregates like national output, unemployment, inflation and interest rates, and (ii) to predict the outcome of alternative government policies related to current economic problems of New Zealand and the rest of the world.

Prerequisite: ECON 111 and MATHS 108 or 150 or 153

Game Theory and Economic Applications

An introduction to the fundamental concepts of non-cooperative and cooperative game theory: the concept of strategy; two person constant sum non-cooperative games and the minmax value; n-person non-cooperative games and Nash equilibrium; examples and applications in auctions, bargaining and other economic models, political science and other fields; the idea of backward induction and sub-game perfection; introduction to games in coalitional form; the core and the Shapley value.

Prerequisite: ECON 101 or 191 and MATHS 108 or 150 or 153 or PHIL 101

Introduction to Econometrics

An introduction to model building and empirical research methods in economics. Emphasises the use and interpretation of single equation regression techniques in formulating and testing microeconomic and macroeconomic hypotheses. Cross-section and time series modelling, as well as qualitative choice models will be covered. There will be examples of the uses of econometrics in a variety of areas through statistical analysis, problem solving and econometric estimation using a statistical computer package.

Prerequisite: ECON 101 or 191 or 111 and MATHS 108 or 150 or 153 and STATS 101 or 102 or 108 or 125 or 191

Development of the International Economy

The development of the international economy and changing economic relationships that have taken place since the late nineteenth century. The causes and consequences of growing interdependency among nations are examined. Changing patterns of trade and migration of capital and labour are analysed, as are cyclical and secular trends in output, employment and investment. The focus is on the development of institutions as well as the economic and social conditions that induce and validate change.

Prerequisite: ECON 101 or 191, and 111

International Economics

An introduction to issues in international trade and finance. Important issues for the international economy and the development of conceptual frameworks for understanding and analysing these issues will be discussed. Topics include: theories of international trade, exchange rate regimes, international capital flows and speculation, multilateral and regional trade agreements, issues in trade policy and the political economy of trade policy.

Prerequisite: ECON 101 or 191, and 111

Special Topic

Prerequisite: ECON 101 or 191, and 111

Stage III

Advanced Microeconomics

Advanced treatment of aspects of general equilibrium and game theory. Applications of this basic theory to the analysis of topics in uncertainty, contracts, auctions, oligopoly, and information economics.

Prerequisite: ECON 201

Economics of Labour Markets

The application of economics to issues that confront policy makers all over the world. Covers the workings of labour markets and teaches how to use economic frameworks to judge the appropriateness of education, training, employment, taxation, immigration and other labour market policies.

Prerequisite: ECON 201

Law and Economics

Economic analysis of law and organisation, and the application of economics to property rights, patents and natural resource management. Includes: contracts, transaction cost analysis, classical contracting, long-run contracts, enforcement, role of market forces, risk aversion, remedies for breach, economic theory for torts, negligence rules, strict liability, multiple torts, product liability. Special topics may include: crime, insider trading, and business law.

Prerequisite: COMLAW 101 or LAW 101, and ECON 201

Firms and Markets

An introduction to Industrial Organisation, the analysis of markets with imperfect competition. Industrial Organisation is concerned with the interdependence of market structure, firm behaviour and market outcome. Basic concepts of game theory will be systematically introduced and applied to study strategic firm behaviour in a variety of general and more industry-specific market settings. In each case, we will analyse the implications of the market behaviour for consumers and society and explore the potential role for public policy with instruments like regulation, competition policy and patent policy.

Prerequisite: ECON 201

Macroeconomic Theory and Policy

This course is designed to teach students modern macroeconomic analysis and focuses on the standard dynamic general equilibrium model, which is central to current macroeconomic research. Students are given a careful introduction to the overlapping generations version of this model and shown how this model can be adapted in different ways to address a wide variety of economic issues and policy questions.

Prerequisite: ECON 211

Econometrics

Development of the linear regression model, its basis, problems, applications and extensions. Attention is also given to techniques and problems of simultaneous equations modelling, time-series analysis and economic forecasting.

Prerequisite: ECON 201 or 211, and ECON 221 or STATS 207 or 208 or 210

Applied Econometrics

Provides a basic understanding of some of the econometric methods and models. Applications of basic linear regression, including: demand systems, time-series analysis including unit roots and co-integration, simulation and resampling methods. Also includes practical computing classes.

Prerequisite: ECON 201 or 211, and ECON 221

International Trade

The main theories of international trade in goods and services, and of international movements of capital and labour. Partial equilibrium and general equilibrium analysis of the major instruments of trade policy, their economic effects, and the issues created by their use in practice. The economics of regional trading arrangements, such as free trade areas, customs unions and common markets.

Prerequisite: ECON 201

International Economic Policy

An analysis of current international economic policy issues, including their implications for New Zealand. A variety of approaches are used, including issue-based analysis of key international economic policy problems, comparative analysis of regional trading arrangements, and a case study that focuses on international economic policy issues related to a selected region.

Prerequisite: ECON 241 or 341 or 352

East Asian Growth and Trade

A study of the economic factors underlying the dynamic trade and growth performance of the major economies of contemporary East Asia, and of the impact of their development on New Zealand's international trading environment. Study of individual East Asian economies is strongly emphasised.

Prerequisite: ECON 201

Financial Economics

A study of the modern literature on corporate finance, investments and derivative securities. An analysis of consumption and investment decisions in the presence of time and risk, asset pricing models and market efficiency. The term structure of interest rates and various issues in debt and equity financing. The use of derivative securities, eg, forwards and/or options to manage exchange rate risk.

Prerequisite: ECON 201

International Finance

A study of the modern literature on exchange rate markets, exchange rate determination and the implications of exchange rate movements for various economic issues. Students will gain an understanding of why exchange rates change, of financial market arrangements, and of the reasons for, and implications of, recent events in international financial markets.

Prerequisite: ECON 201 and 211

Public Economics

A study of the role of the state in a modern mixed economy; its roles, measurement and accountability. Topics include: welfare theory, theory of public goods, cost-benefit analysis, budgetary issues, taxation theory and practice, insurance markets, and social insurance.

Prerequisite: ECON 201

Energy and Resource Economics

Examines the economics of resource use with a particular emphasis on world oil markets and issues surrounding energy security. Energy markets are analysed with an emphasis on the electricity market. Issues surrounding energy economics and climate change, energy efficiency and policy measures to promote renewable energy sources are also discussed.

Prerequisite: ECON 201

Environmental Economics

An overview of the theory and empirical practice of economic analysis as it is used in evaluating environmental problems. Topics include: static and dynamic efficiency; environmental policy (pollution and economic efficiency); analysis of economic instruments, such as tradable property rights and pollution taxes; the allocation of non-renewable and renewable resources; and contemporary issues of growth, trade and the environment, sustainable development, and climate change.

Prerequisite: ECON 201

Special Topic

Foundations of Economic Analysis

A grounding in the quantitative methods of economic analysis with application to commonly used formal models in microeconomics, macroeconomics and econometrics. The emphasis will be on the unifying structure of the theory with a systematic treatment of the mathematical techniques involved. Preparation for continuing study in economic theory and econometrics.

Prerequisite: ECON 201

Postgraduate 700 Level Courses

Microeconomic Theory 1

Advanced treatment of traditional topics from "core" microeconomics, including consumer theory and duality, expected utility theory, general equilibrium, game theory and the economics of information.

Industrial Organisation

Industrial Organisation (IO) is concerned with the interdependence of market structure, firm behaviour and market outcome. Concepts of game theory will be systematically introduced and applied to study strategic firm behaviour in a variety of general and more industry-specific market settings. In each case, we will analyse the implications of the market behaviour for consumers and society and explore the potential role for public policy with instruments like regulation, competition policy and patent policy.

Labour Economics and Human Resources

An advanced survey with emphasis on microeconomic modelling, econometric analysis and policy applications. Topics include: labour force participation, investment in education, returns to education, unemployment, collective bargaining and wage dispersion, discrimination, modelling risk, crime and illegal labour markets, migration, and labour market outcomes of immigration.

Macroeconomics 1

This is a core course in macroeconomic theory which addresses fundamental problems including economic growth, consumption and saving decisions, investment, unemployment, and fiscal policies in the context of mainstream models of the economy.

Macroeconomics 2

This is an advanced course in dynamic macroeconomic modelling, with an emphasis on applications. Models of business cycles, growth, unemployment, and government policy are covered, drawing from papers at the current research frontier. Students will learn to apply these methods to analyse contemporary economic problems in New Zealand and other countries.

Monetary Economics

Examines a number of advanced topics in monetary economics. Topics include: relations of money, prices and output, macroeconomic models with money, monetary policy, roles of central banks, and monetary business cycles.

Econometrics 1

Core econometrics including theory and applications. The development of the classical linear regression model and extensions to the most general case. Applications to types of linear models involving cross-section and time-series data, and simultaneous equation models. The method of maximum likelihood, other extrema estimators and associated methods of testing.

Econometrics 2

An overview of time series econometrics, designed to introduce a range of material in stationary and nonstationary time series including: modern model determination methods, unit root and cointegration theory, non-linear time series analysis and continuous time models. Students will be introduced to practical time series forecasting methods.

Microeconometrics

Empirical analysis of microeconomic data, covering theoretical and practical issues. Model design, identification, estimation and hypothesis testing in a range of microeconomic contexts to provide a basis for the analysis of public policy and/or commercial decisions.

Topics in International Trade

Advanced treatment of selected developments in international trade theory, current trade policy issues, and trade policy modelling.

Trade Policy

Economic analysis of current trade policy issues, with an emphasis on the theoretical, empirical and policy dimensions of international trade negotiations in the WTO, and the spread of preferential trading arrangements such as free trade areas.

The European Economies

International trade and monetary issues involved in integration in Western Europe and transition in Eastern Europe. History of the facts, theory of preferential liberalisation and analysis of the Single Market programme, Common Agricultural Policy, regional policy and competition policy. An analysis of monetary issues: optimum currency areas, history of monetary integrations in Europe, analysis of the EMU, ECB and fiscal federalism.

Advanced International Finance

A study of open-economy macroeconomic topics (theoretic, empirical and policy oriented), including models of exchange rate behaviour.

Public Economics and Policy 1

Fundamental theorems of public economics, market failure, public choice theory, and distribution; the role of the economist in the making of public policy in a modern mixed economy, ideologies and critiques of the market model, the economics of the welfare state, welfare and tax reform in New Zealand, and applied poverty issues.

Public Economics and Policy 2

Theoretical foundations of equity, taxation in partial and general equilibrium, limitations of private insurance markets, health insurance; interpreting the government's budget, social insurance, the economics of an ageing population, pensions, savings issues, annuities and old age care, intergenerational and intra-generational equity issues.

Health Economics

Economic aspects of health and health services. Analysis of expenditure on healthcare. The structure and financing of health services and health reform. Cost benefit and cost-effectiveness and analysis in healthcare. Specific healthcare issues in the New Zealand health system.

Economics of Development

Contemporary issues in development economics. Topics include: the way economists' approaches to leading development issues have evolved to the present; and leading development issues, including sources of economic growth, the role of population, human capital and innovation, labour and migration, international trade and foreign aid, and strategies for sustainable economic development. There is emphasis on the 'Newly Industrializing Countries' and other Third World developing countries.

Trade and Development

Focuses on the link between trade and development and contemporary issues relating to trade strategies and structural adjustment policies with particular emphasis on developing countries.

The History of Economic Thought

Covers a selection of topics in the history of economic ideas, including classical economics, post-classical microeconomics and macroeconomics including Keynesian, Austrian, institutional economics and behavioural economics. Topics in twentieth century economics and twentieth century debates on international monetary reform will be given emphasis.

Economics of the Environment

Economics of natural resource use and policy. Externality, welfare economics, price theory. Sustainability, future generations and equity. Environmental macroeconomics, trade. Non-market valuation methods, species preservation. International issues.

Experimental Economics

Experiments provide an important link between economic theory and observation. This course will (1) undertake a systematic evaluation of the existing experimental literature with emphasis on game theoretic experiments; (2) instruct students on how to design suitable experiments to test a theoretical conjecture; (3) teach students how to collect and analyse data in a controlled setting and (4) help students begin doing actual research.

Microeconomic Theory 2

A variety of topics from theoretical microeconomics at the advanced level.

Regulation and Competition Policy

This course discusses utility regulation linked to the economics of telecommunication, electricity, water and gas. It introduces the economic principles of competition policy and discusses them with the most recent regulation and competition policy cases in New Zealand and elsewhere.

Energy Economics

Discusses regulation and market design issues for energy and carbon markets. Natural resource economics and electricity markets are covered in depth. Peak oil issues are discussed as well as the economics of climate change.

Special Topic

Honours Dissertation

Restriction: ECON 789

To complete this course students must enrol in ECON 788 A and B

Dissertation (MCom/MA)

To complete this course students must enrol in ECON 790 A and B

Thesis for MCom/MA

To complete this course students must enrol in ECON 794 A and B

---

Source: The University of Auckland 2013 Online Calendar
Last updated on: Thursday 1 November 2012
Viewed on: