ECO 4932: Topics in Theory

ECO 4932: Topics in Theory Introduction to Economic Growth

Autumn Semester 2017 Department of Economics Florida International University

Instructor: Kaz Miyagiwa Office: DM-319A Email: [email protected] Hours: MW: 4: 00 – 5:00 and by appointment

Course Objectives There are enormous inequalities in incomes across countries. Why are some countries rich and some poor? In this class, we will study the economic theories that explain why economies grow the way they do. Specific topics are listed below.

Books: Recommended textbook: Charles Jones and Dietrich Vollrath (JV), “Introduction to economic growth,” 3rd edition (Norton)

Suggested reading: Acemoglu and Robinson (AR), “Why nations fail? The origins of power, prosperity, and poverty” (Crown Business)

Prerequisites: Intermediate microeconomics, calculus

Course Outline: Note that this syllabus is not a fixed document and is subject to revisions. In particular, the dates listed below are tentative and the schedule may change.

The topics to be covered include the following:

1. Introduction and math review JV chapter 1, Appendix

2. The Solow model JV chapter 2

3. Testing Solow JV chapter 3

4. Endogenous growth precursors JV 8

5. Endogenous growth – varieties JV 4, 5

6. Endogenous growth – qualities JV 5

7. Growth and development JV 7 (and 6) 8. Growth and inequality handouts

Course requirements/grading Your course grade will be based on two in-class exams, the group project, and good sportsmanship. The weights are as follows:

Exams (2 x 30% = 60%), Project (30%), Good sportsmanship (10%).

Exams: The exams will cover all the lecture materials. The dates below are (tentative):

Exam I: October 2nd Exam II: November 6th

Make-up exams: No make-up exams will be given, except under extreme circumstances (i.e., illness or accident supported with documentations).

On re-grading of exams: The exams will be re-graded only if there are clear and obvious grading errors. Attempts to solicit partial credit or higher marks unrelated to grading errors may be a violation of the good sportsmanship and may result in a forfeiture of 5 percentage points per attempt.

Good sportsmanship: Use common sense to keep an academic environment. Personal conversations and use of personal computers and other electronic devices in class are not permitted. Students not in compliance with these rules are first yellow-carded (warning without point reductions), and then red-carded a second time, which result in a loss of 10 percentage points from your total score.

Group projects (30%) Students are asked to form groups of three or four members, select a country or a group of countries that performed badly in the past or are performing badly today, analyze the reasons for their failing records, and make policy recommendations. Then you are asked to present your analysis/findings in class (time allotments depend on the number of groups, which in turn depends on the size of enrollments).

The important dates are as follows.

10/18 – Deadline for forming or joining a group. Each group should select a group leader, who then will submit the names of all the group members to me.

11/01 – Submit a 1 to 2 page research proposal or outline of your project for my approval (name of the country to study)

2 11/08 – Submit a revised research project (if revision requested)

The exact dates of your presentation is determined later, as I do not have information on the number of groups there will be at this writing.

Honor Code: The FIU Honor Code is taken seriously and governs all work in this course.