saifedean.com ECO12: Principles of Economics II Course Syllabus Instructor: Saifedean Ammous 2020 Term I arc! 9 - May 14% 2020 ECO12 is the second of two courses on saifedean.com introducing the basic principles and main concepts of economics in the tradition of the Austrian school. It is recommended that students study ECO11 : Principles of Economics I before this course. he course draws on the work of se"eral scholars in the Austrian school tradition# and focuses on the concepts of economic calculation# time preference# interest rates# business cycle theory# the economics of security# and intellectual property. he course is taught through a lecture and a weekly discussion session# centered around the topics and readings listed below. hese are held once a week each# for ten weeks. $ectures are around one hour long and are held li"e e"ery Monday at 11am &' Eastern ime. he lecture will then be a"ailable for download in "ideo and audio format, along with detailed class notes. 'tudents are encouraged to send (uestions by email and to post questions in the course forum, and to attend and contribute to the li"e discussion sessions held e"ery hursday at 11am &' Eastern ime. )ecordings of the discussion sessions will also be a"ailable in "ideo and audio format for download. Course webpa'e: he course*s webpage contains all of the course*s readings# and will ha"e weekly "ideo and audio recording of the lectures and discussion sessions# along with the lecture notes# uploaded as they happen. 'tudents will continue to ha"e access to the course page and all its material after the course ends# and for as long as I am ali"e and capable of !eeping a website running. +ou should recei"e the address and password to the course webpage when purchasing the course. If you do not recei"e them, chec! your spam folder# and if they*re not there# please email [email protected] with your order number. his is the fourth course o-ered on saifedean.com, and there will be se"eral other courses o-ered in the future. 'ign up to the newsletter at the bottom of the page on saifedean.com to stay informed of all new course o-ering. Course material: It is recommended that you read each wee!*s material before the lecture. .urther reading material will be recommended during the lectures and discussion sessions. I. Economic calculation /March 0 1 122 )othbard, %urray. 3 he End of 'ocialism and the Calculation 4ebate )e"isited5. he )e"iew of Austrian Economics# 6ol. 7# 8o. 2 /10012: 719: Mises# $udwig "on. Human Action: A reaty on Economics. Auburn# Alabama: Mises Institute# 1000 /10<02. Chapters ==6I: he Impossibility of Economic Calculation Under 'ocialism, and Chapter ===6I: he Crisis of Inter"entionism .urther reading: Haye!# .riedrich. >Intellectuals and 'ocialism.? he &ni"ersity of Chicago $aw )e"iew /'pring 10<02# pp. <1:9<@@# he &ni"ersity of Chicago Press Mises# $udwig "on. 'ocialism: An Economic and 'ociological Analysis. 1022. II. Emer'ent order: t!e product of human action% not design /%arch 1A 1 102 'mith# 6ernon. 2BB:. > )ationality in Economic s: Constructi"ist and Ecological .orm s ? Introduction# Chapter 1# and Chapter 2. Haye!# .A 'tudies in Philosophy# Politics and Economics. 10A:. Chapters 7 and A. Haye!# .A he Pretence of Cnowledge. $ecture to the %emory of Alfred 8obel# 10:<. Haye!# .A he Use of Cnowledge in 'ociety. American Economic )e"iew. 10<7. .urther reading: Haye!# .riedrich. 1072. he Counter-)e"olution of 'cience: 'tudies on he Abuse of )eason. he .ree Press. III. Time preference /%arch 2@ 1 2A2 ;oppe# ;ans9;emann. 4emocracy: he Dod hat .ailed. 2BB1. Chapter 1 Mises# $udwig "on. Human Action: A reaty on Economics. Auburn# Alabama: Mises Institute# 1000 /10<02: Chapters =6III .urther reading: EFhm9Eawerk, Eugen. he Positi"e heory of Capital. 10@B. D.E. 'techert. Eook 6# Eook 6I, and Eook 6II I(. Interest rates /March @B 1 April 22 )othbard, %urray. Man# Economy# and 'tate. Auburn# Ala.: Mises Institute# 2BB< /10A2# 10:B2 Chapters 7 and A Mises# $udwig "on. Human Action: A reaty on Economics. Auburn# Alabama: Mises Institute# 1000 /10<02: Chapter XIX .urther reading: EFhm9Eawerk, Eugen. Capital and Interest. 1G0B. McMillan. (. Credit and bankin' /April A 1 02 Mises# $udwig "on. he heory of Money and Credit. 8ew Ha"en: +ale Uni"ersity Press# 107@. Part hree: %oney and Eanking. Chapters I, II, III, and IV. .urther reading: he rest of he heory of %oney and Credit. VI. *usiness Cycle T!eory - I /April 1@ 1 1A2 Mises# $udwig "on. Human Action: A reaty on Economics. Auburn# Alabama: Mises Institute# 1000 /10<02: Chapters ==# ===1 )othbard, %urray. Man# Economy# and 'tate with Power and %arket . Auburn# Ala.: Mises Institute# 2BB< /10A2# 10:B2 Chapter 12# 'ection 11. Pp 0G091B2< VII. *usiness Cycle T!eory - II /April 2B 1 2@2 H'ustainable and Unsustainable DrowthH and HCeynes and Hayek: ;ead to Head.H Powerpoint presentations by )oger Darrison. )othbard, %urray. Economic 4epressions: heir Cause and Cure. .urther )eading: Haye!# .riedrich. HPrices and ProductionH and H he Monetary heory of the rade CycleH. Eoth books are a"ailable in Prices 1 Production and Other Iorks. Published by the Mises Insitute. )othbard, %urray 8. America*s Dreat 4epression. .ifth Edition. Alabama# &'A. 2BBB. Chapters 19<. VIII. Security and defense /April 2: 1 @B2 ;oppe# ;ans Herman /ed). > he Myth of 8ational 4efense?. $udwig "on Mises Institute. Alabama# &'A. 2BB@. )ead the Introduction# Chapter 1B HDo"ernment and the Pri"ate Production of 4efense.H Chapter 2# by )othbard:>Iar# Peace# and the 'tate?. Chapter 0 by Ialter Elock: H8ational 4efense and the heory of EJternalities.H Chapter : by $arry 'echrest HPri"ateering and 8ational 4efense.H .urther reading: )othbard, %urray. he Ethics of $iberty. 100G /10G22. 8ew +ork Uni"ersity Press )othbard, %urray. Anatomy of the 'tate. 10:<. he rest of he Myth of 8ational 4efense. I+. Intellectual Property /May < 1 :2 his wee!*s discussion session# held on May :# will host 'tephan Cinsella to discuss his paper on intellectual property. Cinsella# 'tephan. >$aw and Intellectual Property in a 'tateless 'ociety? $ibertarian Papers. 6ol 7# 8o. 1 /2B1@2 Eoldrin# Michele# and 4a"id $e"ine. H he Case Against Patents.H Kournal of Economic Perspecti"es. 6ol. 2:# 8o. 1# Iinter 2B1@. .urther reading: Eoldrin# Michele# and 4a"id $e"ine. Against Intellectual Monopoly. 2BBG. Cambridge Uni"ersity Press. Mcelroy# Iendy. Contra Copyright, Again. $ibertarian Papers# 6olume @ /2B112 +. *itcoin and Austrian economics 'alerno# Koseph. %oney: 'ound and &nsound. 2B17. $udwig "on Mises Institute. PlanE# Modeling Eitcoin*s 6alue with 'carcity.