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Basics of Theory of Economics

Course developer

Course abstract

In the study course students are introduced to the theoretical basic principles of microeconomics and macroeconomics. Develops an understanding of economic regularities at both microeconomic and macroeconomic levels to be able to apply them in practice in the analysis of socio-economic processes. In the study course, participants analyzes current developments in Latvia at the macroeconomic level.

Learning outcomes and their assessment

Students will be able to demonstrate:
Knowledge of basic microeconomic indicators, ability to analyze demand and supply of goods. knowledge of the nature of production processes, classification of production costs, knowledge of the nature and correlations of macroeconomic indicators are assessed in tests. Knowledge of macroeconomic indicators and the role of households in economic development is assessed through the presentation of regular work. Professional skills to constantly and critically select, analyze current economic indicators, draw reasoned conclusions and make proposals for improving the situation acquired in permanent and group work, presentation and tested in tests. During discussions, group work, self-tests and presentations, general skills are developed to plan tasks within set deadlines, take responsibility, develop communication skills and critical thinking on macroeconomic issues. Competence - the ability to independently acquire, select, systematize the necessary information, independently analyze and solve problems, make reasoned decisions in practical work on the basis of extensive and comprehensive theoretical knowledge and regularities of economics.

Course Content(Calendar)

1. Demand and supply (practical work – 1 hour).
2. Flexibility of demand and supply (practical work - 1 hour).
3. Consumer behaviour in the market (practical work - 1 hour).
4. Production, production costs (practical work - 2 hours).
5. Forms of market competition, their features (practical work - 1 hour).
6. Production factors (resources) market (practical work - 1 hour).
7. 1st test (practical work - 1 hour).
8. Basic macroeconomic indicators. Price indices (practical work - 1 hour).
9. Total demand and supply (practical work - 1 hour).
10. Employment and unemployment (practical work - 1 hour).
11. Inflation (practical work - 1 hour).
12. Student presentations on monetary inequality and the role of the household in economic development (practical work - 1 hour).
13. Money and banking system (practical work - 1 hour).
14. State budget and tax policy (practical work - 1 hour).

15. Test 2 - Calculation and analysis of the main macroeconomic indicators (practical work - 1 hour).

Requirements for awarding credit points

Pass-fail test.
The test consists of:
• two tests with calculations on key microeconomic and macroeconomic indicators,
• independent work with a presentation given in a practical (monetary inequality and the role of a household in economic development),
• activity during practicals, thirteen self-check tests on microeconomic and macroeconomic topics available on the e-learning platform have been passed.
The learning process in part-time distance learning is organised in accordance with the Order of the Vice-Rector of Studies No. 2.4.-5/59 Distance Learning Procedures at LBTU.
The courses are scheduled for each semester according to the study plan.
The students learn the topics included in the course independently, using the materials created and placed by the lecturer on the e-learning platform (Moodle). Feedback on the learning of lecture and seminar topics in distance learning is organised in the form of self-check tests, discussion forums and independent work, as well as in face-to-face or online consultations, lectures and final examinations according to the timetable.

Description of the organization and tasks of students’ independent work

As part of independent work, the student must analyse monetary inequality, compile statistical data on the incomes and expenses of an average Latvian household and identify trends and their impacts on economic development.

Criteria for Evaluating Learning Outcomes

The student passes the test if achieving a passing score of at least 60%.
The total assessment includes: two tests - 70% (each 35%), an independently developed and presented presentation - 20%, participation in independent work and involvement in discussions - 10%.

Compulsory reading

1. Bikse V. Makroekonomika. Liepāja: LiePa, 2015., 269 lpp
2. Nešpors V. Mikroekonomikas teorijas pamati. Rīga, RTU, 2015., 244 lpp
3. Škapars R. Mikroekonomika (loģiskās shēmas). R.: 2008. 372.lpp
4. Popescu G. Macroeconomics. New York : Addleton Academic Publishers. 2013.- 226 p.

5. Fine B., Microeconomics : A Critical Companion. London : Pluto Press. 2016.- 164 p.

Further reading

1. Lībermanis G. Makroekonomikas pamatrādītāji. Rīga: SIA Jumis, 2007., 182 lpp.
2. Gods U. Mikroekonomika. Rīga : Biznesa augstskola Turība, 2008., 430 lpp.
3. Wang S. Microeconomics Theory. Singapore : Springer Verlag, 2018, 461 p.
4. Williamson, Stephen D. Macroeconomics. Harlow, England : Pearson, 2018.- 731 p.
5. Dutta S. Introductory Economics (micro and Macro). New Delhi : New Age International. 2006.- 237 p.

6. Dutta S. Introductory Economics (micro and Macro). New Delhi : New Age International. 2006.- 237 p.

Periodicals and other sources

1. Dienas Bizness: nedēļas laikraksts: Latvijas biznesa avīze. Rīga: Diena: Dagens Industri, 2005-. ISSN 1407-2041.
2. Forbes. Rīga: SK Media. ISSN 1691-6018

3. Kapitāls: žurnāls lietišķiem cilvēkiem: krāsains biznesa un ekonomikas žurnāls. Rīga: Lietišķās informācijas dienests. ISSN 1407-2505.

Notes

Compulsory study course for ESAF academic bachelor study program Sociology of Organizations and Public Administration.