Economics
Undergraduate e-mail: ugrad@econ.ucsb.edu
Graduate e-mail: grad@econ.ucsb.edu
Web site: http://www.econ.ucsb.edu
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Department Chair: Robert T. Deacon
Profiled Faculty: Theodore C. Bergstrom, Ph.D., Stanford University, Professor (microeconomic theory, public economics, evolutionary economics)
Susan Block, M.B.A., University of Wisconsin, Lecturer (accounting, finance)
Henning Bohn, Ph.D., Stanford University, Professor (macroeconomics, fiscal and monetary policy, international economics)
Robert L. Crouch, Ph.D., University of Essex, Professor (economic theory)
William S. Comanor, Ph.D., Harvard University, Professor (industrial organization, applied microeconomics)
Robert T. Deacon, Ph.D., University of Washington, Professor (natural resource economics, public finance)
Stephen J. DeCanio, Ph.D., Massachusetts Institute of Technology, Professor (economics of the global environment, economic history, econometrics and statistics, applied microeconomics)
H. E. Frech, III, Ph.D., UC Los Angeles, Professor (industrial organization, economic theory, health economics, political economy)
Edward Funkhouser, Ph.D., Harvard University, Assistant Professor (development economics, labor economics)
Rodney J. Garratt, Ph.D., Cornell University, Associate Professor (economic theory, monetary theory, public finance)
Coby Harmon, C.P.A., B.A., UC Santa Barbara, Lecturer (accounting)
Charles D. Kolstad, Ph.D., Stanford University, Professor (environmental and resource-energy economics, industrial organization)
Clement G. Krouse, Ph.D., UC Los Angeles, Professor (industrial organization, capital theory)
Stephen LeRoy, Ph.D., University of Pennsylvania, Professor (macroeconomics, monetary economics, finance)
Donald R. Loster, C.P.A., B.S., Woodbury College, Lecturer (accounting)
John Marshall, Ph.D., Massachusetts Institute of Technology, Professor (economic theory, economics of uncertainty)
Carol McAusland, Ph.D., University of Michigan, Assistant Professor (international trade, environmental economics, natural resources)
Rajnish Mehra, Ph.D., Carnegie Mellon University, Professor (capital markets, corporate finance, international finance, capital and growth theory)
Lloyd J. Mercer, Ph.D., University of Washington, Professor (economic history, water resource economics, microeconomic theory)
Hyungsik Roger Moon, Ph.D., Yale University, Assistant Professor (economic theory, applied econometrics)
W. Douglas Morgan, Ph.D., UC Berkeley, Professor (public finance, applied microeconomics, water-resource economics)
Mary J. Nisbet, Ph.D., University of Glasgow, Senior Lecturer with Security of Employment (finance, accounting)
Glenn Owen, C.P.A., B.A., UC Los Angeles, Lecturer (accounting)
Llad Phillips, Ph.D., Harvard University, Professor (labor economics, econometrics, economics of criminal justice)
Christopher Proulx, Ph.D., University of Michigan, Assistant Professor (game theory, bargaining and experimental economics)
Cheng-Zhong Qin, Ph.D., University of Iowa, Associate Professor (microeconomics, game theory)
Henry Sander, C.P.A., B.A., University of Connecticut, Lecturer (accounting)
Jati K. Sengupta, Ph.D., Iowa State University, Professor (econometrics, operations research, economic development)
Perry Shapiro, Ph.D., UC Berkeley, Professor (microeconomic theory, public economics, econometrics)
Jon Sonstelie, Ph.D., Northwestern University, Professor (urban economics, public finance)
Douglas Steigerwald, Ph.D., UC Berkeley, Associate Professor (econometrics, macroeconomics)
Charles Stuart, Ph.D., University of Lund, Professor (public finance, economic theory, law and economics)
Richard B. Watson, Ph.D., UC Santa Barbara, Lecturer (natural resource economics, accounting, economic theory)
Alec P. Alexander, Ph.D., UC Berkeley, Professor Emeritus (microeconomics, organization theory)
Mortimer Andron, Ph.D., University of Illinois, Professor Emeritus (finance, investments)
M. Bruce Johnson, Ph.D., Northwestern University, Professor Emeritus (microeconomics, industrial organization)
William F. Kennedy, Ph.D., University of Wisconsin, Professor Emeritus (history of economic thought, business ethics)
Walter J. Mead, Ph.D., University of Oregon, Professor Emeritus (natural resource economics)
John E. Pippenger, Ph.D., UC Los Angeles, Professor Emeritus (open economy-macroeconomics, monetary economics)
John G. Traller, C.P.A., M.B.T., University of Southern California, Lecturer Emeritus (accounting)
Harold L. Votey, Jr., Ph.D., UC Berkeley, Professor Emeritus (economics of criminal justice, international trade, economic development)
The undergraduate programs in economics, business economics, and economics/mathematics are designed to serve several objectives. Completed in combination with other courses in the College of Letters and Science, the majors provide the opportunity for general cultural and intellectual development. They are particularly useful as preparation for professions such as law, journalism, and accounting. The economics and economics/mathematics majors provide a solid foundation for graduate study in economics or administration, and the business economics major is a good basis for graduate work in administration and management.
Academic counseling is available for undergraduates from the undergraduate advisor and peer advisors, and for graduate students from the advisor for graduate affairs. Undergraduate Study in Economics, published annually for majors and prospective majors, addresses questions most frequently asked by students in each major offered by the Department of Economics. Brochures describing the M.A. and Ph.D. programs in economics are also available.
The Department of Economics encourages majors to participate in the Education Abroad Program (EAP) and the University of California, UCSB Washington Center option. In most cases, EAP courses can be substituted for equivalent offerings of the Department of Economics to fulfill major requirements.
Students with a bachelor's degree in economics who are interested in pursuing a California Teaching Credential should contact the credential advisor in the Graduate School of Education as soon as possible.
The senior honors program in the Department of Economics
encourages seniors to excel in economics and provides a means of recognizing
outstanding scholastic achievement. Students who have completed at least
105 quarter units with a minimum grade-point average of 3.50 may apply
for the program. This program requires a faculty-supervised senior honors
project. Specially designed advance topic seminars are offered to provide
support for these projects. Upon successful completion of the honors project,
students will be eligible for "Distinction in the Major" status upon graduation.
For details and application forms, contact the Undergraduate Office, North
Hall 2121.
Before admission to the economics or business economics major, students must complete all economics preparation for the major courses with a grade-point average of 2.70 or above; these courses may not be taken on a passed/not passed basis. Students may declare a pre-economics/business economics major after they have completed at least three courses required for the pre-major with at least a 2.70 grade-point average in all pre-major courses completed at that time. Students who declare the pre-major are responsible for satisfying degree requirements in effect at the time they declare the major. Pre-major status does not, however, guarantee admission to full major status. Students must maintain a continuous 2.00 grade-point average in all major courses (preparation and upper-division) while attending the University of California. At its discretion, the department may discontinue students from the major who do not maintain the continuous 2.00 grade-point average in all pre-major and major courses. When preparation requirements are satisfied, students must complete a change of major petition, available in the Economics Undergraduate Office.
Preparation for the major. To qualify for admission into the economics major, students must complete Economics 1, 2, 3A, 3B, and PSTAT 5E with a grade-point average of 2.70 or above. In addition, students must complete Mathematics 34A-B or 3A-B and Writing 109AC or 109EC or 109SS with a grade of C or above. (Note: Mathematics 3A-B are prerequisites to some upper-division economics courses.) Upper-division students transferring to the major may take Economics 109 rather than Economics 1 and 2. See the economics undergraduate advisor for further details.
Upper-division major. Thirty-six upper-division units in economics, including Economics 100A or 104A, 100B or 104B, and 101 or 105, are required. Students may choose the remaining 24 units from upper-division economics courses with at least four of the six upper-division electives selected from the following list: Economics 111, 112A-B, 113A-B, 114, 115, 116, 117A, 119, 120, 122, 128, 130, 133, 135, 140A, 150, 155, 160, 171, 175, 180, 181. The following restrictions apply to the major: Economics 109 may not be used to fulfill upper-division requirements; credit is not allowed for both Economics 100A and 104A, 100B and 104B, or 101 and 105. A maximum of 12 units of Economics 199 will apply to the upper-division major.
Bachelor of Arts-Business Economics
Preparation for the major. Preparation for the major course and grade-point average requirements are identical to those required for the economics major outlined above.
Upper-division major. Forty upper-division units in business economics, including Economics 100A or 104A, 100B or 104B, 101 or 105, and 134A are required. Two upper-division electives must be chosen from the following: Economics 106, 116, 117A, 119, 130, 133, 134B, 135, 140A-B, 150, 155, 171, 175, 180, 181, 185. Additionally, four upper-division economics electives must be completed including at least two from the following: Economics 106, 116, 117A, 118, 119, 130, 132, 134B, 135, 136A-B-C, 137A-B, 138A-B, 139, 140A-B, 150, 155, 170, 171, 175, 180, 181, 182, 185. The same course(s) may not be used to fulfill requirements in both sections listed above. The following restrictions apply to the major: Economics 109 may not be used to fulfill upper-division requirements; credit is not allowed for both Economics 100A and 104A, 100B and 104B, or 101 and 105. A maximum of 12 units of Economics 199 will apply to the upper-division major.
The emphasis will appear on the student's official transcript. The degree is listed as a bachelor of arts in business economics.
Preparation for the major. See the preparation for the major requirements for the business economics major. Economics 3A-B are prerequisites to the upper-division accounting courses.
Upper-division major. Forty-eight upper-division units in economics, including the following required courses: Economics 100A or 104A, 100B or 104B, 101 or 105 and 134A. Two upper-division economics electives must be chosen from the following: Economics 106, 116, 117A, 119, 130, 133, 134B, 135, 140A-B, 150, 151, 155, 170, 171, 175, 180, 181, 185. In addition, Economics 118, 136A and 137A must be taken along with any three classes from the following list: 132, 136B-C, 137B, 138A-B, 139, 182.
Bachelor of Arts-Economics/Mathematics
Preparation for the major. Before admission to
the economics/mathematics major, students must complete all preparation
for the major courses with a grade-point average of 2.50 or above; these
courses may not be taken on a passed/not passed basis. The following courses
are required: Economics 1 and 2 (or 109); Mathematics 3A-B-C, 5A-B-C, and
8; and PSTAT 5E. Upper-division students transferring to the major may
substitute Economics 109 for Economics 1
and 2.
Note: Physics 1 or 6A is prerequisite to Mathematics 5A-B-C.
Upper-division major. Forty-four upper-division
units are required, including the following courses: Economics 104A-B,
105, Mathematics 108A-B, 117. Students must also complete Economics 140A-B
and 12 upper-division economics elective units. Economics 109 cannot be
used to fulfill the upper-division requirements. Students should consult
closely with their advisor in the Department of Economics or Mathematics
to assure an appropriate program of study.
Applicants must fulfill University requirements for admission to graduate status described in the section "Graduate Education at UCSB" in addition to the departmental requirements for admission detailed below.
Admission
An undergraduate major in economics is not required for admission to the graduate program. However, the department does require that specific courses, particularly economic theory, be passed with distinction. One quarter of statistics and at least two quarters of calculus are required. One year is recommended. With departmental consent, students with inadequate preparation in economics or mathematics may be admitted, but they will be required to remedy any deficiencies by taking appropriate undergraduate courses.
The Graduate Record Examination (GRE) is required of all applicants to the graduate program. Applicants whose native language is not English are required to take the Test of English as a Foreign Language (TOEFL) unless their language of undergraduate or graduate instruction was English. The minimum score for consideration is 550 when taking the paper-based test or 213 when taking the computer-based test, taken within two years of their application to UCSB.
Degree Requirements
The M.A. may be obtained under either of the two plans described below, both of which require passing a comprehensive examination. There is no thesis option for the M.A. in economics. There is no language requirement for the M.A. degree. Well-prepared students can obtain the M.A. in one year. Plan A is designed for students who wish specifically to acquire the M.A. degree; Plan B is designed for students in the Ph.D. program who wish to acquire the M.A. degree.
Plan A: Thirty-six units of coursework, including 20 units of core courses-Economics 205A-B, 208, and 240A-B-that must be passed with a grade of B or better in each course, along with 16 units of elective field courses. Students who wish to obtain the M.A. with an emphasis in business economics must complete the same 20 units of core courses with a grade of B or better in each course, and take Economics 234A-B, 240C, and 273A as additional required courses. Plan A, with or without the emphasis in business economics, requires successful completion of a comprehensive oral examination that covers microeconomic theory, quantitative methods, and either macroeconomics or an elective field at the discretion of the student. (Note: All graduate students who follow the comprehensive exam option are required to complete a minimum of 24 units of graduate-level units in courses numbered 200-299 or 596.)
Plan B: Thirty-six units of core courses must be completed with a grade of B or better: Economics 204A-B, 210A-B-C-D, 241A-B-C. The Ph.D. preliminary examinations in microeconomic theory and econometrics must be passed with an M.A. Pass or better in order to receive a master of arts degree.
Five-Year Combined Bachelor of Science Engineering/Master of Arts Economics-Business Economics Emphasis
A program which combines a B.S. in any engineering major (including computer science) with a master of arts in economics with an emphasis in business economics provides an opportunity for outstanding engineering undergraduates to earn both degrees in five years. Information about these programs is available in the College of Engineering Undergraduate Office or from the Department of Economics Graduate Office. Interested students should inform the Engineering Undergraduate Office of their interest in the program at the end of the sophomore year in order to plan their upper-division classes appropriately.
Doctor of Philosophy-Economics
Admission
An undergraduate major in economics is not required, but the department does require that specific courses, particularly economic theory, be passed with distinction. Prospective students are advised to take as much mathematics as possible: a mathematical statistics course, a year of calculus, and a course in matrix algebra are indispensable. An additional year of calculus and some coursework in linear algebra are highly recommended. Applicants with distinguished records in economics or other fields who lack some prerequisites may be admitted to the Ph.D. program, but they are required to make up deficiencies through appropriate coursework. This coursework is determined on an individual basis and completed in the student's first year. Then the student proceeds in the Ph.D. program.
The Graduate Record Examination (GRE) is required of all applicants to the graduate program. Applicants whose native language is not English are required to take the Test of English as a Foreign Language (TOEFL) unless their language of undergraduate or graduate instruction was English. The minimum score for consideration is 600 when taking the paper-based test or 250 when taking the computer-based test, taken within two years of their application to UCSB. Successful applicants typically score above 620, or 260 when taking the computer-based test.
Master's degree students in economics at UCSB are admitted to the first-year Ph.D. sequence by a selection committee that meets in June. Successful applicants have distinguished grades in all of their master's coursework. The same committee reviews the records of Ph.D. students who are making up prerequisites by taking undergraduate and master's courses and determines their eligibility to begin the first-year Ph.D. sequence.
Degree Requirements
Ph.D. students must successfully complete one year of required courses in microeconomic theory (Economics 210A-B-C-D), macroeconomic theory (Economics 204A-B), and econometrics (Economics 241A-B-C). The microeconomic theory and econometrics courses must be completed with a grade of B or better in each course. The macroeconomics courses must be passed with a grade of B+ or better in each course. At the end of the first year, students must pass preliminary examinations in microeconomics and econometrics. Grading categories for the preliminary examinations are Fail, M.A. Pass, Ph.D. Pass, and Ph.D. Pass with Distinction. To proceed in the Ph.D. program, students must receive a Ph.D. Pass or better. Those receiving an M.A. Pass or better on both examinations are entitled to the master of arts degree, as long as they fulfill the Plan B requirements for the M.A. degree specified above.
Having succeeded in passing the preliminary examinations,
students take eight elective courses including course sequences in two
fields during the second and third years. The fields are industrial organization,
macroeconomic theory and policy, public finance, finance, mathematical
economics, econometrics, labor economics, and environmental economics and
natural resources. In the third year, students write papers that launch
their dissertation research. When they complete the papers and defend proposals
for the rest of their dissertation in an oral qualifying examination administered
by their doctoral committee, they advance to candidacy for the doctorate,
an important milestone. The goal is to reach that point within three years.
The normal time for completion of the Ph.D. is five years; a few students
finish in four years.
1. Principles of Economics-Micro
(4) Bergstrom, Crouch
Not open for credit to students who have completed
Economics 109.
An introduction to microeconomic analysis. Economic theory
related to demand, production, competitive and noncompetitive product markets,
input markets, and welfare. Applications of microeconomic theory including
its use in evaluating and forming public policy.
2. Principles of Economics-Macro
(4) Crouch, Morgan
Prerequisite: Economics 1. Not open for credit to
students who have completed Economics 109.
An introduction to macroeconomic analysis. Analysis of
income, employment, and the price level. Applications of macroeconomic
theory including its use in evaluating and forming public policy.
3A-B. Financial Accounting
(4-4) Nisbet, Loster, Sander
Prerequisites: Economics 3A is a prerequisite for
3B; Economics 1 and 2 are strongly recommended.
A two-quarter series providing an introduction to the
purposes, conceptual framework, measurement principles and reporting issues
of accounting. Particular emphasis will be placed on the links between
accounting, economics, and finance.
100A. Intermediate Microeconomic Theory
(4) Garratt, Trejo, Stuart, Bergstrom
Prerequisites: Economics 1 and 2, or 109; PSTAT 5E;
Mathematics 34A-B or equivalent. Credit not given for both Economics 100A
and 104A.
Economic theory relating to demand, production, and competitive
product markets with emphasis on applications of theory.
100B. Intermediate Microeconomic Theory
(4) Bergstrom, Deacon, Garratt, Proulx
Prerequisite: Economics 100A. Credit not given for
both 100B and 104B.
Economic theory relating to imperfectly competitive product
markets, input market, and welfare, with emphasis on applications. Includes
an introduction to game theory.
101. Intermediate Macroeconomic Theory
(4) Morgan
Prerequisite: Economics 100A; Economics 100B strongly
recommended. Credit not given for both 101 and 105.
Contemporary analysis of income, employment, price level,
and public policy using static general equilibrium framework with emphasis
on applications of theory. Long term economic growth is also covered.
104A. Intermediate Microeconomic Theory
(4) Qin
Prerequisites: Economics 1 and 2, or 109; Mathematics
3A-B; Mathematics 3C or consent of instructor. Credit not given for both
Economics 104A and 100A.
Economic theory relating to demand, production, and competitive
product markets, using techniques from the calculus.
104B. Intermediate Microeconomic Theory
(4) Qin
Prerequisite: Economics 104A. Credit not given for
both Economics 104B and 100B.
Economic theory relating to imperfectly competitive product
markets, input markets, and welfare, using techniques from the calculus.
Basic capital theory and game theory are covered.
105. Intermediate Macroeconomic Theory
(4) Staff
Prerequisites: Economics 1 and 2, or 109; Mathematics
3A-B-C. Not open for credit to students who have completed Economics 101.
Contemporary analysis of income, employment, and price
level and public policy using a static general equilibrium framework with
emphasis on pure theory and use of techniques from the calculus.
106. Managerial Economics
(4) Sengupta
Prerequisites: Mathematics 3A-B or 34A-B, and Economics
100A-B or 104A-B.
Economic principles will be applied to practical decision-making
situations. Methods of price and output determination, capital budgeting,
and choices under uncertainty. Methods of economic analysis and their application
will be emphasized.
109. Introduction to Economics
(4) Watson, Phillips
Prerequisites: not open to students who have taken
Economics 1 and 2. Open to upper-division students only. 2 units of credit
will be allowed for Economics 109 if credit has already been given for
Economics 1 or 2 or the equivalent. Economics majors are advised to take
Economics 1 and 2 for a more thorough background for the major. Does not
count as an upper-division major elective.
Intensive study of economic principles.
111. Economic History of Ancient Civilization
(4) Mercer
Prerequisites: Economics 1 and 2, or 109.
A survey of the economies of the ancient Near East, Egypt,
Greece, and Rome with emphasis on important issues in their economic history.
112A. European Economic History to 1850
(4) Mercer
Prerequisites: Economics 1 and 2, or 109.
Analysis of the economic development of Europe from the
Middle Ages through the English Industrial Revolution.
112B. European Economic History Since 1850
(4) Mercer
Prerequisites: Economics 1 and 2, or 109.
Analysis of the economic development of Europe since
the English Industrial Revolution.
113A. Economic History of the United States to 1900
(4) Mercer
Prerequisites: Economics 1 and 2, or 109.
Key issues and episodes in American economic history,
such as the sources of economic growth, slavery and the nineteenth century
southern economy. Populism and the rise of regulation, and macroeconomic
history.
113B. Twentieth Century United States Economic History
(4) Mercer
Prerequisites: Economics 1 and 2, or 109.
A survey of United States economic development in the
twentieth century with emphasis on issues related to the growth, instability,
and distribution of income. The impact of public policy on economic growth,
instability, and income distribution will be an important theme of the
course.
114. Economic Development
(4) Funkhouser
Prerequisite: Economics 100A.
Applications of economic theory to the problems of developing
nations.
115. Environmental Economics
(4) Kolstad
Prerequisite: Economics 100A or consent of instructor.
Same course as Environmental Studies 175.
Course provides a rigorous treatment of environmental
economics. Topics include welfare analysis, ethical dimensions of economic
criteria for protecting the environment, measuring the demand for environmental
goods, property rights, economic incentives, including marketable permits
and emission fees, and regulating risk.
116. Organization of Industry
(4) Krouse, Comanor
Prerequisite: Economics 100B or 104B.
Analysis of competition, monopolistic competition, oligopoly,
and monopoly theories and practices.
117A. Law and Economics I
(4) Frech
Prerequisite: Economics 100B or 104B.
Application of economic analysis to the law. Includes
an introduction to common law, constitutional law, and legal processes.
Topics may include property law, contract law, and tort law.
118. Financial Accounting Analysis and Planning
(4) Block, Watson, Loster, Maass
Prerequisites: Economics 2, and 3B; PSTAT 5E.
An economic analysis of financial statements in a macroeconomic
environment. Topics include evaluation of short term and long term liquidity,
profitability, capital structure and the forecast of earnings and financial
position using financial and economic models.
119. United States Business History
(4) Mercer
Prerequisites: Economics 1 and 2, or 109.
A survey of the development and change of business organization
in the United States in the context of the growth and development of the
economy and changes in society. Particular attention is paid to the relationship
between business and government.
120. Urban and Regional Economics
(4) Sonstelie
Prerequisite: Economics 100B or 104B.
Economic analysis applied to current urban and regional
problems.
122. Natural Resource Economics
(4) Deacon
Prerequisite: Economics 100B or 104B or consent of
instructor. Same course as Environmental Studies 179.
Microeconomic theory and capital theory applied to problems
of conservation and management of natural resources. Analysis of public
policy with special emphasis on non-renewable energy resources, management
of forests, deforestation and species extinction, and use of fish and game
resources.
128. Literature and Economics
(4) DeCanio
Prerequisite: Economics 1.
Issues in history, political economy and social theory
as reflected in major works of literature. Content and readings will vary
from quarter to quarter. Extensive writing by students will be required.
129. Public Choice
(4) Shapiro
Prerequisites: Economics 100A-B.
Public choice theory examines the relationships between
markets and competitive political processes in a free society. This course
will present a simplified treatment of the major theoretical political-economic
models that have been developed in this area of social science.
130. Public Finance
(4) Morgan, Stuart
Prerequisites: Economics 100B or 104B and Economics
101 or 105.
Fiscal theory and policy. Incidence and effects of taxation,
government expenditure programs, and benefit cost analysis.
132. Auditing
(4) Loster
Prerequisite: Economics 118 and 136A-B-C.
Developing an understanding of concepts and practices
for audits of financial statements. Studying professional standards , ethics,
and legal liability. The audit process is covered in depth: planning, internal
control, audit risk, materiality, evidence, program design, sampling, completing
the audit, and reporting.
133. Topics in Macroeconomic Theory
(4) Bohn
Prerequisites: Economics 100A-B and 101 or Economics
104A-B and 105.
Topics may include fiscal policy and government budget
deficits, monetary policy and inflation, investment and economic growth,
theories of the business cycle, rational expectations and the Lucas critique,
optimal taxation and the time consistency of government policies. Content
may vary from year to year.
134A. Financial Management
(4) Marshall, Sonstelie, Block
Prerequisites: PSTAT 5E; Economics 100B or 104B; Economics
101 or 105.
Discounting of certain future cash flows. Principles
of evaluation of investment projects. Demand and supply of investment funds.
Risk and the valuation of asset prices. Analysis of a firm's debt and dividend
policies; the effect of taxes and inflation on these policies.
134B. Financial Management
(4) Block, LeRoy
Prerequisites: PSTAT 5E; Economics 100B or 104B; Economics
134A.
This course is devoted to the testing and application
of theories developed in Economics 134A. The specific characteristics and
uses of warrants, options, futures, bonds, and stocks are studied. The
microcomputer lab may be used for homework projects.
135. Monetary Economics
(4) Bohn
Prerequisite: Economics 101 or 105. Economics 134A
recommended.
Survey of monetary theory, the banking system and the
supply of money, monetary policy, and current issues.
136A-B-C. Intermediate Accounting
(5-4-4) Staff
Prerequisites: Economics 3A-B and 118 for 136A. Economics
136A for 136B. Economics 136A-B for 136C.
An in-depth analysis of recognition, measurement, classification,
and valuation issues in financial reporting within the framework of generally
accepted accounting principles. Case studies and microcomputer analysis
software will be integrated into the course.
137A-B. Managerial Accounting
(4-4) Watson, Loster, Maass
Prerequisites: Economics 1, 2, 3A-B. Not open for
credit for students who have completed Economics 137.
A two-quarter series covering the theory and application
of managerial accounting concepts. The course investigates the interaction
between economic theory, financial accounting, and management decision
making for planning and control.
138A. Income Taxation
(4) Traller
Prerequisites: Economics 3A-B.
Provides an in-depth understanding of federal income
taxes as applied to individuals, with an introduction to the taxation of
corporations and partnerships. Exploration of the interrelationships between
taxation issues for these entities along with the need for and role of
tax planning.
138B. Income Taxation
(4) Traller
Prerequisites: Economics 138A.
Provides an in-depth understanding of federal income
taxes as applied to corporations, partnerships and fiduciaries, and an
introduction to international and estate and gift taxation. Emphasis on
tax planning, using case studies and tax research.
139. Advanced Accounting
(4) Harmon
Prerequisite: Economics 136A-B-C.
Accounting for business combinations and preparation
of consolidated financial statements, partnership formation, operation
and liquidation, troubled debt restructuring, foreign currency translation
and transactions, and principles of fund accounting.
140A. Introduction to Econometrics
(4) Steigerwald
Prerequisites: Economics 100B or 104B; 101 or 105;
and Mathematics 3B; PSTAT 5E.
Estimation and hypothesis testing in classical linear
regression models as well as violations of each classical assumption. Discrete
dependent variable models and systems of simultaneous equations are also
covered.
140B. Introduction to Econometrics
(4) Steigerwald, Moon
Prerequisites: Economics 140A.
Time-series econometrics including stationary ARMA models,
estimation and hypothesis testing in the presence of unit roots, and financial
models with conditional heteroskedasticity.
143. Mathematical Economics
(4) Sengupta
Prerequisites: Economics 104B and 105.
Application of mathematics to selected topics in micro-
and macroeconomic theory.
150. Labor Economics
(4) Funkhouser
Prerequisite: Economics 100B or 104B.
This course analyzes the determinants of labor supply
and labor demand, the decision to invest in schooling, on-the-job training,
and other forms of human capital, and the impact of trade unions and racial
and sexual discrimination in the labor market.
155. Economics of Insurance
(4) Marshall
Prerequisites: Economics 100B and PSTAT 5E.
Topics may include behavior under uncertainty, markets
in contingent claims, insurance law and institutions, insurance as financial
management, valuation of insurance companies, regulation of insurance,
disaster insurance, health insurance, moral hazard, adverse selection,
public policy toward insurance.
160. Economics of Crime and Justice
(4) Phillips, Votey
Prerequisites: Economics 1 and 2, or 109.
Examines social policy to minimize the losses to crime
and the costs of crime control. Develops the economics of crime generation,
law enforcement, prosecution, corrections, and punishment.
170. Health Economics
(4) Frech
Prerequisites: Economics 100A-B or 104A-B and PSTAT
5E.
Application of economic and statistical principles to
health. Topics may include the determinants of health, demand for health
care and health insurance, competition and monopoly in health care and
insurance of health care, HMOs and managed care plans, public policy and
international comparisons.
171. Competitive Strategies
(4) Proulx
Prerequisites: Economics 100A, 100B, 101, 118, 134A,
and PSTAT 5E. Students may be concurrently enrolled in Econ 134A.
Application of game theory and strategic thinking to
the analysis of competitive situations.
175. Regulation of Economic Activity
(4) DeCanio
Prerequisites: Economics 100A-B.
Risk management, global environmental protection, and
selected topics in economic regulation.
180. International Trade
(4) Kjeldsen, McAusland
Prerequisite: Economics 100B or 104B.
International trade theory and policies with examples
from current issues and problems.
181. International Finance
(4) Kjeldsen, Moon
Prerequisite: Economics 101 or 105.
International money and capital markets and their impact
on the domestic and world economies; international financial institutions
and policies.
182. International Accounting and Financial Management
(4) Nisbet
Prerequisites: Economics 118 and 134A.
Accounting and financial management issues in the multinational
enterprise including the global development of accounting and disclosure
practice, international reporting and the management of global enterprise
resources.
183. Economics of Entrepreneurship
(4) Carrington
Prerequisite: Economics 100B.
Study of entrepreneurs as risktakers, innovators, combiners
of resources, and managers, and of the legal and institutional environments
that encourage (and discourage) such activity.
185. Management of Information
(4) Block, Owen
Prerequisites: Economics 1 or 109 and 3A-B.
This course explores the management of information systems
in large organizations. Emphasis is placed on the formation and implementation
of organizational strategy as well as management control. Assumes no prior
knowledge of computer-based information systems.
190. Selected Studies in Foreign Economies
(4) Staff
Prerequisites: upper-division standing and consent
of instructor. May be repeated to a maximum of 12 units provided subject
content is different.
An analysis of the economy of a particular country.
191AA-ZZ. Special Topics in Economics
(4) Staff
Prerequisites: open to economics majors only. May
be repeated for credit to a maximum of 8 units. Up to 8 units may be applied
to the major providing letter designations are different.
Lectures in special areas of interest in economics. Consult
the department office regarding proposed course topics.
194AA-ZZ. Group Studies
(1-4) Staff
Prerequisites: upper-division standing and admission
by special arrangement. Subject to departmental approval, students may
repeat this course up to 12 units; however, only 4 units may count toward
the major.
Intensive study and research on a topic in economics
selected by the student with the guidance and approval of a faculty member.
195H. Senior Honors Seminar-Accounting
(4) Staff
Prerequisite: consent of instructor. May be repeated
once for credit.
Seminar format for accounting students to discuss advanced
accounting theory and concepts. FASB pronouncements selectively reviewed
for their conceptual background; students will research current agenda
items before the FASB. Guest speakers from various accounting professions
will supplement the lectures.
196H. Senior Honors Seminar
(4) Leroy
Prerequisite: admission to Department of Economics
senior honors program. May be repeated once for credit.
Advanced topics in economic theory and policy. Weekly
seminar discussions led by various members of the economics faculty.
199. Independent Studies in Economics
(1-5) Staff
Prerequisites: Students must (1) have attained upper-division
standing in the major; (2) have a minimum 3.0 grade-point average for the
preceding three quarters; (3) have completed at least two upper-division
courses in economics. Students are limited to 5 units per quarter and 30
units total in all 98/99/198/199/199RA courses combined. Only 12 units
of Economics 199 may apply toward the major. Consent of department and
instructor.
Coursework shall consist of academic research supervised
by a faculty member. This course is not intended for internship credit.
199RA. Independent Research Assistance in Economics
(1-5) Staff
Prerequisite: students must (1) have attained upper-division
standing; (2) have a minimum 3.0 grade-point average for the preceding
three quarters; (3) have completed at least two upper-division courses
in economics; (4) have consent of instructor and no more than 30 units
total in 98/99/198/199/199RA courses combined.
Coursework shall consist of faculty supervised research.
204A. Macroeconomic Theory
(4) Bohn
Prerequisites: Economics 210A-B.
Introduction to modern macroeconomics. Study of economic
growth and dynamic optimization. Representative agent, overlapping generations
and monetary models will be covered.
204B. Macroeconomic Theory
(4) Staff
Prerequisite: Economics 204A.
Modern business cycle analysis, fiscal and monetary policy
in a dynamic framework.
205A-B. Economic Decisions
(4-4) Comanor
Prerequisites: knowledge of differential calculus
and economic theory. Economics 100A-B, 101, or equivalent courses.
This course presents the basic concepts of microeconomics
by emphasizing their application to actual situations and their use in
problem-solving. It covers the theory of choice in the first term and the
theories of the firm and of markets in the second.
206. Operations Research
(4) Sengupta
Prerequisite: Economics 205A, 205B, or consent of
instructor.
Topics in applied methods of operations research selected
from stochastic programming, efficiency measurement, inventory control,
and queuing.
208. Topics in Macroeconomic Theory and Policy
(4) Staff
Prerequisites: Economics 100A-B and 101, or equivalent.
Keynesian, New-Classical, New-Keynesian theory of income
determination, and policy prescriptions thereof. Additional topics include
rational expectations and policy effectiveness, introduction to the intertemporal
approach in macroeconomics, modern business cycle theory, and theory and
evidence on economic growth.
209. Introduction to Operations Management
(4) Sengupta
Prerequisite: Mathematics 3B or equivalent.
Linear and non-linear programming, queuing theory, inventory
theory, and other topics in operations research with applications to business
and economics.
210A. Microeconomic Theory
(4) Frech, Krouse
Prerequisites: Mathematics 3A-B-C and Economics 104A-B
or equivalent.
Methodology, theory of markets, exchange, competitive
equilibrium, monopoly, price discrimination, oligopoly, asymmetric information.
210B. Microeconomic Theory
(4) Garratt
Prerequisites: Mathematics 3A-B-C or equivalent and
Economics 104A-B or equivalent.
Theory of firms and consumers. Profit maximization, cost
minimization, duality, utility maximization, revealed preference, consumers'
surplus.
210C. Microeconomic Theory
(4) Qin
Prerequisites: Economics 210A-B.
General equilibrium theory. Topics include market exchange,
Walrasian equilibrium, stability, fundamental theorems of welfare economics,
bargaining foundations of Walrasian equilibrium, public goods and Lindahl
equilibrium, private provision of public goods, externalities and Coase
theorem.
210D. Microeconomic Theory
(4) Marshall
Prerequisite: Economics 210C.
Capital theory and uncertainty. Expected utility, risk
aversion, general equilibrium over states and over time, capital asset
pricing model.
214A. Economic Development
(4) Funkhouser, Sengupta
A study of problems faced by the less developed countries.
Elements of new growth theory. Endogenous growth and learning by doing.
Topics considered include population growth, labor supply, capital accumulation,
openness in trade, and technological change.
216A-B. Organization of Industry
(4-4) Comanor, Krouse, Frech
Prerequisite: for Economics 216C, Economics 216A-B
or consent of instructor.
Theoretical and empirical analyses of "imperfect" competition.
Individual or firm optimization and market equilibrium are considered.
Topics include oligopoly, monopolistic competition, information, determinants
of market structure, complex pricing, vertical relations. Antitrust, regulatory,
and government ownership policies will be examined.
229. Macroeconomics Theory and Policy
(4) Bohn
Prerequisites: Economics 204A and 204B, or consent
of instructor.
Recent theoretical developments and macro-econometric
practices in modern macroeconomic analysis. Topics include the rational
expectations revolution, modern consumption theory, business cycles, optimal
monetary and fiscal policy, efficient financial markets, and recent debate
on the monetary transmission mechanism.
230A-B. Public Finance
(4-4) Bergstrom, Shapiro, Sonstelie, Stuart
A. Public goods, taxation, and expenditure theory.
B. Topics vary: public debt management and fiscal policy;
advanced topics in public expenditure and taxation theory; analysis of
collective choice, political processes, and group decision-making.
230C. Public Finance
(4) Sonstelie
Prerequisites: Economics 230A-B or consent of instructor.
Reading and discussion of selected topics and recent
literature in public finance and public economics. Emphasis on the development
of dissertation research topics. Student presentations required. Course
outline and readings will vary from quarter to quarter.
234A. Introduction to Finance
(4) Mehra
Basic principles of financial management and an introduction
to the subjects covered in subsequent courses in the Economics 234 sequence.
Topics include financial planning, investment criteria, capital structure,
and principles of asset valuation.
234B. Theory of Finance
(4) Mehra
Rigorous treatment of asset pricing theory. The economics
of intertemporal choice and choice under uncertainty are developed and
applied to financial markets. Theories of asset pricing are covered including
the capital asset pricing model, arbitrage pricing theory, and option pricing
theory.
235A. Money and Finance
(4) LeRoy
Prerequisite: Economics 210A-B, 204A, or consent of
instructor.
Individuals' optimal consumption/portfolio choice under
uncertainty and implied asset valuation. Rigorous treatment of both the
traditional linear asset pricing relations; mean-variance CAPM and APT,
and the equilibrium valuation; consumption-based intertemporal asset pricing
models.
235B. Money and Finance
(4) Mehra, LeRoy
Prerequisites: Economics 210D; Economics 204A or 208;
Economics 235A.
Covers the integration of dynamic capital theory and
the theory of finance, multiperiod general equilibrium pricing models and
tests of those models.
235C. Topics in Finance
(4) Staff
Prerequisite: Economics 235A-B.
Reading recent papers in finance and conducting original
research.
236. International Financial Management
(4) Nisbet
Prerequisites: Economics 234A-B or consent of instructor.
Financial management and reporting in an international
context, including the role of the multi-national corporation in global
markets, international financial reporting and investment and planning
in the MNC.
237. Financial Management
(4) Watson
Prerequisite: consent of instructor.
An introduction to concepts from accounting, economics,
and finance crucial to understanding the operation of business firms in
a market economy. Topics include costs, profits, supply, demand, inflation,
capital markets, present value, risk, debt, equity, balance sheets, and
income statements.
240A. Introduction to Econometrics
(4) Shapiro
Prerequisite: PSTAT 5E or equivalent. Not open for
credit to students who have completed Economics 207.
Review of probability and statistics followed by either
regression theory and application or baysesian decision theory. Regression
theory covers the subject through Gauss-Markov theorem. Discussion of the
theory and application of diagnostic statistical tests.
240B. Econometrics with an Emphasis on Cross Section
Analysis
(4) Shapiro, Frech
Prerequisites: Economics 240A. Not open for credit
to students who have completed Economics 247.
Extension to multiple regression analysis. Study of various
problems, such as heteroskedasticity, serial correlation, and non-orthoganal
errors. Emphasis on nested hypothesis testing.
240C. Econometrics with an Emphasis on Time Series
and Forecasting
(4) Phillips
Prerequisite: Economics 140A, 240B, or 241C. Not open
for credit to students who have completed Economics 246.
Time series econometrics with an emphasis on business
forecasting. Study of various methods of econometric forecasting including
statistical decision theory, Box-Jenkins, adaptive methods, single and
simultaneous structural equation models.
241A. Econometrics
(4) Bohn
Prerequisites: Mathematics 3A-B-C or equivalent.
Elements of probability and statistics for econometrics.
Probability density functions, moment-generating functions, central limit
theorems, method of maximum likelihood.
241B. Econometrics
(4) Shapiro
Prerequisite: Economics 241A.
Discussion of specific problems that arise in the course
of estimating economics models, such as the use of dummy variables, heteroscedasticity,
multicollinearity, autocorrelation and an introduction to simultaneous
equation estimation.
241C. Econometrics
(4) Moon
Prerequisite: Economics 241B.
Covers extension of the general linear model, simultaneous
equations estimation, identification, dynamic model structure, and limited
dependent variable estimation. Emphasis is given to both theoretical development
and applications of the basic theory.
242. Game Theory
(4) Qin
Prerequisites: Economics 210B-C, Mathematics 118 or
consent of instructor. Not open for credit to students who have completed
Economics 244B.
Cournot-Nash equilibrium, bargaining theory, value, and
their modern variations including Bayesian-Nash equilibrium and evolutionary
stable strategy. Nonequilibrium solution concepts (dominance and rationalizability).
Applications to oligopoly, signaling, principal-agent problem, and organization
or firms.
243. Computational Laboratory in Economics
(4) DeCanio
Introduction to computational economics. Laboratory in
social science models. Agent-based modeling, complexity in organizations
and markets, evolution and genetic algorithms, the emergence of order,
and the policy implications of computational economics. Research project
required.
244. Mathematical Economics
(4) Sengupta, Proulx
Prerequisites: Economics 201 or 249, Economics 210A-B-C-D,
Mathematics 118 or consent of instructor. Not open for credit to students
who have completed Economics 244A.
Economic efficiency and stability in general equilibrium
models, theory of the core and competitive markets, turnpike theorems in
optimal growth theory and selected topics from recent developments in mathematical
economics.
245A. Econometric Theory
(4) Steigerwald
Prerequisites: Economics 241C.
Advanced econometric theory including: asymptotic theory;
geometry of least squares; generalized and simulated method of moments
estimators; and semiparametric and nonparametric estimators.
245B. Econometric Theory
(4) Steigerwald
Prerequisites: Economics 241C.
Methods of time-series analysis including: stationary
VARMA models; spectral analysis; EM algorithm; unit-root processes and
cointegration; fully-modified estimators; error-correction models; and
conditional heteroskedasticity models.
245C. Econometric Theory
(4) Moon
Prerequisites: Economics 241C.
Limited-dependent variables and panel data. Methods for
qualitative variables and truncated and censored samples; analysis of covariance
and variance components techniques for continuous panel data; analysis
of discrete-state, discrete-time and discrete-state, continuous-time models.
249. Dynamic Optimization
(4) Garratt
Prerequisite: Economics 210B, Mathematics 118 or consent
of instructor. Not open for credit to students who have completed Economics
201.
An introduction to the dynamic optimization techniques
of the calculus of variations and optimal control theory. Focus on continuous
time planning problems in a deterministic setting. Applications include
natural resource extraction, energy production, human capital accumulation,
and insurance.
250A-B-C. Labor Economics
(4-4-4) Funkhouser, Trejo, Phillips
A. Theory and estimation of input demand; econometrics
of demand systems; household production models.
B. Labor market equilibrium; implicit contracts theory;
information and uncertainty in labor market; union behavior.
C. Theory and estimation of labor supply models; human
capital and income distribution; labor mobility; economics of discrimination.
260A. Natural Resources
(4) Deacon, Kolstad
Capital theory and welfare economics applied to the primarily
dynamic questions concerning the use of nonrenewable resources such as
minerals, the use of renewable resources such as fisheries and forests,
and the preservation of species and natural environments.
260B. Environmental Economics
(4) Kolstad
The primarily static theory of externalities and their
correction. Covers basic theory of public bads and externalities, regulation
theory related to environmental problems and applications, the valuation
of environmental goods, transboundary pollution, and international trade
and the environment.
273A-B-C. Managerial Accounting
(4-4-4) Nisbet, Watson
A. A course concerned with financial statements that
are made available to creditors, stockholders, and other interested parties.
The goal is to engender a knowledge of the measurement methods used by
accountants and the ability to evaluate these methods.
B. The use of accounting as an instrument of financial
planning and control. The goal is to build up an appreciation of the importance
of planning and control within a business organization and an understanding
of the methods and procedures used in practice and of the problems encountered
in their use.
C. A course building on Economics 273A designed to assist
the external user of financial statements to best use these data in the
decision making process. To that end, the process of adjusting the statements
to improve the measurements and the tools available to analyze the statements
are used.
280A. Theory of International Trade
(4) McAusland
Topics include the sources of gains from trade and comparative
advantage, static and dynamic trade models, trade under increasing returns
to scale and imperfect competition, and strategic trade policy.
280B. International Finance
(4) Staff
Prerequisite: Economics 204A.
Topics include current account dynamics, international
risksharing, the transmission of business cycles, the determination of
exchange rates, and sovereign debt.
281. Monetary Economics
(4) Staff
Prerequisite: Economics 204A.
Examines the role of money in facilitating exchange,
the links between the money supply and other macroeconomic aggregates,
and the effects of monetary policy.
292. Field Research in Economics
(1-12) Staff
Directed field research on a topic in economics.
293. Third Year Graduate Seminar
(4) Staff
Students present and discuss their original research
papers.
294. Microeconomics Seminar
(4) Staff
Current topics in microeconomics.
295. Macroeconometrics
(4) Staff
A seminar course with invited speakers on the topics
of econometrics, finance, international economics, and macroeconomics.
297. Seminar on the Teaching of Economics.
(2) Morgan
Prerequisite: graduate standing.
Seminar and laboratory work covering the planning, presenting,
and evaluating instruction.
592. Teaching in Economics
(4-5) Staff
No unit credit allowed toward advanced degree.
Teaching assistant: leads discussion of topics covered
in faculty lecture. Associate: assumes full responsibility for the teaching
of one or more courses.
593. Research in Economics
(4) Staff
No unit credit allowed toward advanced degree.
Research under the direction of a faculty member.
594AA-ZZ. Special Topics in Economics
(1-4) Staff
Prerequisites: graduate standing and consent of instructor.
Special seminar on research subjects of current interest.
595AA-ZZ. Group Studies in Economics
(4) Staff
Prerequisites: graduate standing and consent of
instructor.
Critical review of research in selected fields.
596AA-ZZ. Directed Reading and Research
(2-4) Staff
Prerequisites: graduate standing and consent of
instructor.
Individual tutorial.
597. Individual Study for Master's Comprehensive Examinations
and Ph.D. Examinations
(1-12) Staff
Prerequisites: graduate standing and consent of
instructor. No unit credit allowed toward advanced
degree.
Instructor should be the student's major professor or
chair of the doctoral committee.
598. Master's Thesis Research and Preparation
(1-12) Staff
Prerequisites: graduate standing and consent of
instructor. No unit credit allowed toward advanced
degree.
Only for research underlying the thesis, writing the
thesis. Instructor should be the chair of the student's thesis committee.
599AA-ZZ. Dissertation Research and Preparation
(1-12) Staff
Prerequisites: graduate standing and consent of
instructor.
Only for research underlying the dissertation, writing
the dissertation. Instructor should be the chair of the student's doctoral
committee.
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