6319.22 - Principles of Economics

Course number
Principles of Economics
Pass grade in Mathematics B at the upper secondary level.
The purpose of this course is to provide an introduction to fundamental economic topics and concepts, as well as to introduce economic thought to the students.
The course content consists of both microeconomic and macroeconomic topics, where both areas have equal weights. The content listed below, has been divided into these main topic areas. Microeconomics: This part of the course focuses on principles of economics relevant to decision making of households, firms, and society. The main topics are: - Supply and demand (e.g., consumers, firms, and the efficiency of markets). - Market intervention (e.g., market failure, and externalities). - Market structures. Macroeconomics: In macroeconomics we focus on the economy as a whole and analyse measures such as total production in the economy, employment, interest rates, inflation, among many others. The main topics are: - Macroeconomic data (e.g., those listed above). - Macroeconomics in the long run (e.g., production, growth, savings, investment, and the financial sector). - Macroeconomics in the short run (e.g., aggregate supply and aggregate demand, monetary policy, and fiscal policy).
Learning and teaching approaches
Lectures and classes. Solving problems individually and in groups. Assignments and presentations.
Learning outcomes
After successfully completing this course, the student will have acquired the following skills: Knowledge: - to describe fundamental economic concepts, that have been covered in the course. - To understand and describe fundamental economic methods and theories, that have been covered in the course. - To explain and discuss the economic intuition behind the theoretic results, that have been covered by the course. Qualifications: - To apply the concepts, results and methodology covered by this course when applying simple economic reasoning. - To perform an economic analysis of a concrete problem by using the concepts and methods taught in this course. - To argue whether an analysis should have a short-term or a long-term focus. Competence: - To acquire the competence at the level presented in the course, also in relation to further study in economics - To apply the knowledge and competence acquired in this course when analysing a problem not directly included in the course content but is nevertheless closely related to those covered in the course.
Assessment method
Oral Examination of 30 min. Students will have 30 min. to prepare exam answers, during which time it will be allowed to have access to textbook(s) and lecture materials. They will not have access to the internet. Students are required to have two group presentations, which have been approved by the lecturer, in order to attend the exam.
Marking scale
Herit Vivi Bentsdóttir Albinus