Tuesday, September 17, 2019
I will spend most of the time going through the theory and ideas that form the fundamentals of labor economics. However, it is important that students are aware of the simple facts of labor market in the US. Using the theory and facts, it should be possible to evaluate labor market policies.II. Prerequisite: The course is designed for economics majors and others who are already seriously interested in economics. Economics 301 Is a prerequisite. Ill. Evaluation: There are two methods used to calculate the course grade; I will choose for you at the end of the term whichever method gives you the higher grade. Method 1 Is designed to reward students who show consistent progress throughout the course, while Method 2 rewards those students who show improvement over the semester. Methods : Quizzes Homework and participation First midterm Second midterm FinalDate: Swept. 25th, 2014 class time Date: Date: Deck. 14th, 2014, Methods: Homework and participation 45% IV. Textbook (required): Labor Economics, George J, Boras (McGraw-Hill 6th edition) You can also use the 5th edition, which is much cheaper, and the content is much the same. V. Course outline: My lecture will be based on the textbook, highlighting fundamentals of labor economics that students should grasp. I plan to cover the following topics, but changes could be made, subject to the progress of the course. 1. The basics The subject of labor economics Theory and facts 2.Labor Supply (1) The basic static individual labor supply The labor/leisure choice and indifference curve The budget constraint The hours of work decision Income and substitution effects Individual labor supply Effects of taxes and subsidies (2) Extensions Life cycle labor supply Labor supply over business cycle Retirement Family labor supply Fertility and labor supply 3. Labor Demand Inputs and the production function Employment decision: short-run and long-run Elasticity of substitution Derived demand 4. Labor market equilibrium Equilibrium i n the competitive labor marketNon-competitive labor markets: monopoly and monopoly 5. Wage differentials The hedonistic wage function Labor supply and risk Safety and health regulations 6. Human capital Education and income Present value calculations Costs and returns to schooling Training Age-earning profile Policy 7. Wage structure Earning distribution Why do wages differ? Changes in the earning distribution International income distribution 8. Labor Mobility Mobility and migration Immigration in the US Models of immigration Benefits and costs of immigration Immigration policy.