Economics

To survive, a man must eat - the first rule of continued existence. 'On a decent diet, man can produce just about one horsepower hour of work daily, and with that he must replenish his exhausted body. With what is left over, he is free to build a civilization.' (R.L. Heilbroner, The Economic Problem, p. 8). An economic system is what society relies upon to provide for the material well-being of its members.

Every society must in some way determine what material goods and services its members will produce, (the question of production) and to what extent each person can claim a portion of this flow of output (the question of distribution). There are no divinely correct answers to these unavoidable questions. Each society seeks its own social arrangements. Our Canadian society relies primarily, although not completely, upon a system of variable money prices, a market economy, to resolve the questions of production and distribution.

Much of the study of economics consists of examining the operation of market economies to discover regularities of behaviour, ultimately in the expectation that through better understanding society will be able to remedy undesirable results and achieve better ones. Such a study logically includes looking at the historical evolution of modern economies (economic history), the evolution of man's thinking about economic systems (economic thought), the operation of markets (microeconomics), the aggregate flows of output (macroeconomics), the operation of the money system (money and banking), economic relationships with other societies (international economics) and so on. Instruction on such topics emphasizes understanding.

To achieve understanding means moving into the seemingly abstract realm of theory, analysis and technical terms. Little attention is paid to description or factual memorization. Courses in economics are not designed for social chitchat about current economic problems. The courses do provide a foundation for a better understanding of such problems. Students planning to concentrate on economics will find mathematics a valuable complementary study. Those who dislike mathematics or who do poorly in it usually encounter difficulties in economics.

Disciplinary B.A. Programmes

MINOR in Economics is 24 credits earned as follows:

6	from Economics 1000, (or 1001 and 1011)
18	from Economics, including 6 from the 3/4000 level, chosen in consultation with the Programme Advisor

MAJOR AREA OF STUDY in Economics is 60 credits earned as follows:

24	from Economics 1001 and 1011 (or 1000), 2001, 2011, 2101, 2111, 2701, 3501
6	from Mathematics 1111, 2311
6	from Commerce 2101, Computer Science 1711 or 1611, Mathematics 1121 (or 1131), Mathematics 2221
15	from Economics at the 3/4000 level
9	from complementary courses, chosen in consultation with the Programme Advisor

Note:

Commerce 3411, 3501, 4501, 4511 and 4521 may be designated as Economics electives for students taking a Bachelor of Commerce or a Major, Minor or Honours in Economics.
Economics 3201, 3211, 3601, 3611, 3621, 3711, 3921, 4501, 4511, 4700, 4801, 4811, 4821, 4990, Computer Science 3851, and Religious Studies 3951, 3961 are Commerce electives for students taking a Bachelor of Commerce or a Major or Minor in Commerce.

Note: See also the Interdisciplinary Minor in International Economics and Business

HONOURS PROGRAMME

Honours in Economics may be completed in both Arts and Commerce Degree Programmes. For Honours under the B.A. please see the section below; for Honours under the B.Comm. please see section 7.5.16. Students who plan to pursue graduate studies in Economics are advised to include Economics 4700, 4801, 4811, 4821 and courses in Calculus, Linear Algebra (Mathematics 2221) and Statistics (Mathematics 3311, 3321) from the Mathematics Department. Other courses in Mathematics are also valuable. Students should seek advice from a member of the Department of Economics when deciding on a programme of study.

HONOURS in Economics is 72 credits earned as follows:

51	credits as in the first four lines of the Major, plus:
12	from Economics 4001, 4011, 4700, 4801, 4811, 4821, 4990
9	from Economics at the 3/4000 level or Mathematics and Computer Science (except Mathematics 1001 and 2321; and Computer Science 1611 and 1711) chosen in consultation with the Economics Programme Advisor

Note: The listing of a course in the calendar is not a guarantee that the course is offered every year.

Note: Students must obtain a grade of at least C- in all courses used to fulfill prerequisite requirements. Otherwise, written permission of the appropriate Department or Programme Coordinator must be obtained.

ECONOMICS COURSES

ECON 1000 (6CR)
PRINCIPLES OF ECONOMICS
Format: lecture 3 hours, tutorial 1 hour
Prereq: Students should normally have completed a university preparatory level course in Mathematics
Exclusion: ECON 1001, 1011
This course introduces economic theory and its application in the analysis of economic policy. A wide range of topics is covered including the role of market prices in resource allocation decisions, business cycles (unemployment and inflation), the economic behaviour of firms, sustainable development and the environment, international economic relations, and government debts and deficits. This course is normally the prerequisite for all other courses in Economics.

ECON 1001 (3CR)
PRINCIPLES OF MICROECONOMICS
Format: lecture 3 hours, tutorial 1 hour
Prereq: Students should normally have completed a university preparatory level course in Mathematics
Exclusion: ECON 1000
A general introduction to the study of Economics and the nature of economic problems. Of primary concern is the behaviour of consumers and firms in different markets, and the results of their actions as manifested in production, costs, and prices. Market efficiency and market failure are also examined.

ECON 1011 (3CR)
PRINCIPLES OF MACROECONOMICS
Format: lecture 3 hours, tutorial 1 hour
Exclusion: ECON 1000
A general introduction to the study of Economics and the nature of economic problems. Of primary concern is the determinants of the level of national income, employment, and the accompanying stabilization problems and policies. Topics also include money and banking. international trade, exchange rates, and the problems of inflation.

ECON 2001 (3CR)
INTERMEDIATE MICROECONOMICS I
Format: lecture 3 hours
Prereq: ECON 1000; or ECON 1001; or permission of the Department
A course in microeconomic theory and its applications. Topics include: scope and method of microeconomics; market interactions; supply and demand; consumer behaviour; choices under uncertainty; theory of production and cost; profit maximization and competitive supply; and the analysis of competitive markets and effects of government policies.

ECON 2011 (3CR)
INTERMEDIATE MICROECONOMICS II
Format: lecture 3 hours
Prereq: ECON 2001; or permission of the Department
Microeconomic theory and its applications continued. Topics include: market power; monopoly and monopsony; pricing with market power; monopolistic competition and oligopoly; game theory and competitive strategy; markets for inputs and income distribution; investment, time and capital markets; general equilibrium and economic efficiency; markets and asymmetric information; and externalities and public goods.

ECON 2101 (3CR)
INTERMEDIATE MACROECONOMICS 1
Format: lecture 3 hours
Prereq: ECON 1000 or ECON 1011; or permission of the Department
Theories of national income, employment, inflation, balance of payments, and stabilization policy within the framework of macroeconomic models of a open economy. The focus of the course will be on short-run macroeconomic analysis and policy.

ECON 2111 (3CR)
INTERMEDIATE MACROECONOMICS II
Format: lecture 3 hours
Prereq: ECON 2101; or permission of the Department
A continuation of macroeconomic analysis in the context of the long-run. Topics include long-run consumption functions, investment and real business cycles, economic growth and productivity, and the monetary theories of the classical economists, Keynes, and Friedman.

ECON 2301 (3CR)
ISSUES IN CANADIAN PUBLIC POLICY
Format: lecture 3 hours
Prereq: Six credits from the following departments: Anthropology, Commerce, Economics, Geography, Political Science, or Sociology; or permission of the Department
This course is designed to introduce students to analytical methods used by social scientists examining Canadian social and economic policy. Students will be exposed to these analytical methods while studying issues which perennially arise in discussions of Canadian social and economic policy. Specific topics covered will vary from year to year and might include the following: unemployment and government policy; Canada and the global economy; social security reform; regionalism; education policy; health policy; and inflation and public policy.

ECON 2311 (3CR)
CURRENT DEBATES IN CANADIAN PUBLIC POLICY
Format: lecture 3 hours
Prereq: Six credits from the following departments: Anthropology, Commerce, Economics, Geography, Political Science, or Sociology; or permission of the Department
This course is a critical study of current debates on economic and social policy in Canada. Specific debates covered will vary from year to year, and will be chosen to ensure no overlap with Economics 2301.

ECON 2521 (3CR)
COMMUNITY ECONOMIC DEVELOPMENT
Format: lecture 3 hours
Prereq: ECON 1001 and 1011 (or 1000), or permission of the Department
Exclusion: ECON 3521
Note: This course counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
This course examines the mobilization of economic resources at the community level. Topics may include: goals and objectives of community development, theories of community development, the role of entrepreneurship in the private, public, and voluntary sectors in community development, and techniques for economic analysis at the community level.

ECON 2701 (3CR)
STATISTICS FOR BUSINESS AND ECONOMICS
Format: lecture 3 hours
Prereq: ECON 1000, (or 1001 and 1011), MATH 2311; or permission of the Department
Note: Students may take MATH 3311 and 3321 instead of this course. Honours students are strongly encouraged to do so.
Exclusion: MATH 2321
The application of statistical methods to economic data. Topics include: descriptive statistics, hypothesis testing, analysis of variance, simple regression, multiple regression, non-parametric statistics chi-square tests, index numbers, sampling designs, and time series.

ECON 3101 (3CR)
LAW AND ECONOMICS
Format: lecture 3 hours
Prereq: ECON 1001 and 1011, (or ECON 1000); or permission of the Department
An introduction to the economic analysis of law, the role of economics in legal debates, and the role of law in economic exchange. The course examines economic aspects of social and legal issues and policies in regional, national and international contexts. Topics may include: property, contracts, torts, environmental law, and the economics of crime and punishment.

ECON 3111 (3CR)
HEALTH ECONOMICS
Format: lecture 3 hours
Prereq: ECON 1001 and 1011, (or ECON 1000); or permission of the Department
An introduction to economic issues in the health care system. The course examines applications of economic principles and empirical analysis to the study of health and health policies in Canadian and International contexts. Topics may include: the demand for health care, the supply of health services through health practitioners and hospitals, the economic effects of health insurance, pharmaceutical markets, economic evaluation techniques for health, health technology assessment and public policy formulation.

ECON 3201 (3CR)
MONEY, BANKING, AND THE CANADIAN FINANCIAL SYSTEM: MICROECONOMIC PERSPECTIVES
Format: lecture 3 hours
Prereq: ECON 1000, (or 1001 and 1011); or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
This course covers microeconomic aspects of the Canadian financial system. One main focus of the course is on financial instruments, the markets in which they are traded, and the economic role that these markets play. The other main focus is on Canadian financial institutions, the activities in which they engage, and the economic roles they play.

ECON 3211 (3CR)
MONEY, BANKING, AND THE CANADIAN FINANCIAL SYSTEM: MACROECONOMIC PERSPECTIVES
Format: lecture 3 hours
Prereq: ECON 1000, (or 1001 and 1011); or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
This course covers macroeconomic aspects of the Canadian financial system. These include central banking, and the conduct and mechanics of monetary policy. The international financial system is also covered.

ECON 3501 (3CR)
ECONOMIC GROWTH AND TECHNOLOGICAL CHANGE
Format: lecture 3 hours
Prereq: ECON 1001 and 1011 (or ECON 1000); or permission of the Department
This course covers economic theories of economic growth and technological change and their application in the study of the historical evolution of the world economy. Historical sections of the course will selectively cover materials on Canada, the US, Europe, Asia, and the developing world.

ECON 3531 (3CR)
ECONOMIC GROWTH AND DEVELOPMENT: JAPAN AND EAST ASIA
Format: lecture 3 hours
Prereq: ECON 3501; or permission of the Department
This course focuses on the economic performance of the economies of Japan, China, and other areas of eastern Asia. Economic history and major current events will be covered.

ECON 3551 (3CR)
INTERNATIONAL DEVELOPMENT
Format: lecture 3 hours
Prereq: ECON 3501; or permission of the Department
This course focuses on differences in the patterns of economic development in the world economy. The primary focus is the developing world and on national and international policies designed to improve the global distribution of income. The economic development policies of the World Bank, the International Monetary Fund, and the United Nations will be critically examined.

ECON 3601 (3CR)
PRINCIPLES OF COST-BENEFIT ANALYSIS
Format: lecture 3 hours
Prereq: ECON 2001; or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
This course examines the use of economic theory in the assessment of public sector regulations and projects. Topics include the measurement of social costs and social benefits, shadow pricing, and the choice of discount rate. The course will rely heavily on concrete examples such as transportation infrastructure, medical services, environmental protection and hydro development.

ECON 3611 (3CR)
INDUSTRIAL ORGANIZATION: THEORY
Format: lecture 3 hours
Prereq: ECON 2001 and ECON 2011; or permission of the Department
Exclusion: ECON 3611 (Industrial Organization and Policy in Canada)
An overview of central theories of industrial organization, examining market power, the theory of the firm, and strategic behaviour, within classic and dynamic oligopoly theoretical frameworks. The course makes explicit use of game theoretic techniques where appropriate. Topics may include: collusive and competitive behaviour, non-linear pricing, commitment and repeated games, and entry deterrence.

ECON 3621 (3CR)
INDUSTRIAL ORGANIZATION: POLICY
Format: lecture 3 hours
Prereq: ECON 2001 and ECON 2011; or permission of the Department
The economics of vertical and horizontal restraints. The course provides an introduction to regulatory economics and Canadian and International competition policy. Topics may include policy issues concerning the control of mergers, monopoly, predatory pricing, collusion, resale price maintenance, exclusive dealing, tying, and other contractual agreements including restrictions on contracting agents.

ECON 3711 (3CR)
LABOUR MANAGEMENT RELATIONS
Format: lecture 3 hours
Prereq: ECON 1000, (or 1001 and 1011); or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
An introduction to the history and institutions of the North American industrial relations system. Topics include: labour management techniques used by firms; unions and union strategies; government regulation of pay and working conditions; and the structure of collective bargaining.

ECON 3721 (3CR)
LABOUR ECONOMICS
Format: lecture 3 hours
Prereq: ECON 2001 and 2011; or permission of the Department
An introduction to labour economics. Topics covered include: the demand and supply of labour, the Canadian labour market and income distribution, unemployment, poverty, and discrimination in Canada.

ECON 3801 (3CR)
ENVIRONMENTAL ECONOMICS
Format: lecture 3 hours
Prereq: ECON 1000, (or 1001 and 1011); or permission of the Department
The application of economic analysis in the study of environmental problems. Students will examine when and why markets often fail to allocate sufficient resources to environmental conservation, and will critically assess different policy instruments available to correct for the fundamental "market failure". Using the analytical methods developed in this course, the following type of policies will be examined: measures to control air and water pollution, the disposal of hazardous wastes, the protection of endangered species, and the control of cross border pollution, including the Canadian "Green Plan".

ECON 3821 (3CR)
NATURAL RESOURCE ECONOMICS
Format: lecture 3 hours
Prereq: ECON 2001 and 2011, MATH 1111; or permission of the Department
The application of economic analysis to questions of management, use, and/or conservation of natural resources. Students will be exposed to economic theories used in the study of renewable and non renewable resource industries. Particular attention will be given to resource industries important to the Atlantic Canadian economy (the fishery, forestry, agriculture, mining, and energy).

ECON 3901 (3CR)
INTERNATIONAL TRADE
Format: lecture 3 hours
Prereq: ECON 1000, (or 1001 and 1011); or permission of the Department
Issues examined will include the pure economic theory of international trade and important institutions (the FTA, NAFTA, the EC, GATT, etc.), plus problems and policies associated with trade in goods and services. Students will examine issues such as free trade and protectionism and the gains and losses resulting from globalization.

ECON 3921 (3CR)
INTERNATIONAL FINANCE
Format: lecture 3 hours
Prereq: ECON 1000, (or 1001 and 1011); or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
This course examines the financial side of international trade. The focus is on exchange rates, the balance of international payments, alternative means of adjustment to shocks in the international economy, and international monetary arrangements.

ECON 4001 (3CR)
MODES OF CLASSICAL ECONOMIC THOUGHT
Format: lecture 3 hours
Prereq: 6 credits from ECON 2001, 2011, 2101 and 2111; or permission of the Department
This course focuses on the work of classical economists (especially Adam Smith, David Ricardo, Thomas Malthus) and the economic theories of Karl Marx.

ECON 4011 (3CR)
MODES OF ECONOMIC THOUGHT
Format: lecture 3 hours
Prereq: ECON 2001, 2011, 2101 and 2111; or permission of the Department
This course examines the historical origins of neo-classical, Austrian and Keynesian economics thought.

ECON 4501 (3CR)
PUBLIC FINANCE: TAXATION AND FISCAL FEDERALISM
Format: lecture 3 hours
Prereq: ECON 2001 and 2011; or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
This course examines positive and normative approaches to taxation and fiscal federalism with special emphasis on issues in Canadian Public Finance.

ECON 4511 (3CR)
PUBLIC FINANCE: EXPENDITURES AND DEBT MANAGEMENT
Format: lecture 3 hours
Prereq: ECON 2001, 2011 and 2101; or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
This course examines positive and normative approaches to public expenditures and debt management with special emphasis on issues in Canadian Public Finance.

ECON 4700 (6CR)
ECONOMETRICS
Format: lecture 3 hours
Prereq: MATH 2221, ECON 2701 or MATH 3311 and 3321; or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
An introduction to the measurement of economic relationships.

ECON 4801 (3CR)
ADVANCED ECONOMIC THEORY I
Format: lecture 3 hours
Prereq: ECON 2001, 2011, 2101, 2111, MATH 1121; or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
The course is primarily concerned with developing tools and techniques for analyzing problems in microeconomics. These include modern theories of the consumer and of the firm, general equilibrium, and the welfare theorems. Honours students who wish to pursue graduate studies in economics are strongly advised to take this course.

ECON 4811 (3CR)
ADVANCED ECONOMIC THEORY II
Format: lecture 3 hours
Prereq: ECON 4801; or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
The course is primarily concerned with developing tools and techniques for analyzing dynamic macroeconomic problems. Topics include growth models, overlapping generation models, and real business cycle models. Honours students who wish to pursue graduate studies in economics are strongly advised to take this course.

ECON 4821 (3CR)
UNCERTAINTY AND STRATEGY IN ECONOMICS
Format: lecture 3 hours
Prereq: ECON 2001, 2011, 2101, 2111; or permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
The course examines the roles played by uncertainty and asymmetric information in the allocation of resources. The course also introduces the tools of the game theory, and demonstrates their use in analyzing strategic behaviour in economics. Honours students who wish to pursue graduate studies in economics are strongly advised to take this course.

ECON 4950/4951 (6/3CR)
DIRECTED READINGS ON SPECIAL TOPICS
Format: independent study
Prereq: Written permission of the Department
This course permits a senior student, under the direction of a faculty member, to pursue a programme of independent study in the form of directed readings or directed research on topics not usually covered in other course offerings or permits a more intensive study of topics covered in regular course offerings.

ECON 4980/4981 (6/3CR)
SPECIAL TOPICS IN ECONOMICS
Format: independent study
Prereq: Permission of the Department
A senior course which focuses on topic(s) not covered by current course offerings in Economics or topic(s) not covered in depth by the courses offered.

ECON 4990 (6CR)
HONOURS THESIS
Format: independent study/thesis
Prereq: Written permission of the Department
Note: Counts as a Commerce elective for students taking a Bachelor of Commerce or a Major or Minor in Commerce.
A student fulfilling requirements for an Honours degree may elect to undertake a research and writing project of acceptable scope and quality under the supervision of faculty members in Economics. The student must submit a formal proposal to the Department prior to registration.