ECN 201HC - Microeconomics Principles: Honors

3 Credits, 3 Contact Hours
3 lecture periods 0 lab periods

The study of individual markets, in which supply meets demand and prices and quantities are determined. Includes an examination of the production possibilities curve, market analysis, consumer theory, theory of the firm, conclusions, and contemporary microeconomic issues. Also Includes additional Honors content.

Recommendation: MAT 092  
Information: Must quality for Honors program and obtain instructor or advisor/counselor approval to register for this course. Honors Content: Intensive research using highest standards and best practices for the discipline, and a significant number/variety of readings of both primary and secondary sources; a high quality, peer reviewed paper or project in a format appropriate for the discipline; presentation of research, in class or to a wider audience.
Gen-Ed: Meets AGEC - SBS; Meets CTE - SBS.

1. Match descriptive changes to graphical changes on a production possibilities curve. 
2. Explain market changes, specifically changes in equilibrium price and quantity brought about by shifts in market demand and market supply.
3. Utilize the law of diminishing marginal utility to illustrate an inverse relationship between price and quantity demand for households, and thus begin to derive the downward sloping demand curve. 
4. Compare different points of production to determine if and when a firm should expand output or shut down, showing that at higher prices firms supply more, and thus begin to derive the upward sloping supply curve.
5. Construct an argument drawing the conclusions that free market firms make the most possible products, make the products that people want, and distribute products to those who want them the most.    
6. Evaluate free market solutions to contemporary microeconomic issues of income distribution, the environment, health care, etc.
7. Students will engage in intensive research using highest standards and best practices for the discipline. 

1. Definition and characteristics
2. Points on, inside, outside
3. Inward and outward shifts

II. Market Analysis

1. Equilibrium, shortage, surplus
2. Shifts in supply
3. Shifts in demand
4. Elasticity
5. Market failures

III. Consumer Theory

1. The law of diminishing marginal utility
2. Utility maximization
3. Derivation of demand

IV. The Theory of the Firm

1. The law of diminishing marginal returns
2. Profit maximization: minimizing costs and maximizing sales
3. Derivation of supply
4. Market structures

V. Conclusions

1. Production
2. Consumption
3. Distribution

VI. Contemporary Microeconomic Issues

1. Income distribution
2. The environment
3. Health care
4. Analysis of other issues