Economics for non-economists

This course will introduce and explain the concepts and tools of economics. It will teach a number of economic principles, furnishing them with a set of tools to enhance their analytical ability.

Day 1:
What is Economics? A discussion of the role and limitations of economics in government policymaking. The Economic Problem: Scarcity and Choice; introducing the PPF; What we produce, how we produce and for whom?
Prices and Markets: Why prices matter; the basics of supply and demand; how a market allocates resources. Indicative applications: oil prices and the global economy, the UK market for coffee.
The Concept of a Market: Introducing market structure, perfect competition and monopoly. Applications: The UK food industry. E-Commerce.
Introducing Macroeconomics: The 'whole' economy approach; GDP, welfare and the role of government; the use of data in macroeconomics. Case study: measures of well-being.

Day 2:
The Business Cycle: the tools of macroeconomic management, fiscal and monetary policy; macroeconomic stability and growth; inflation and unemployment and why they matter; the role of the MPC.
Market failures: Monopoly power; externalities; merit goods; information failures; the time dimension
Micro-policy intervention: Why, how and what government does in individual markets. Market-based interventions: taxes and subsidies. Quantity controls: quotas, bans and compulsion. Case studies: Intervention in the UK food and housing markets.

Day 3:
Labour markets: labour demand and supply; explaining wage differentials; equality and discrimination; minimum wages and the role of the unions. Changing labour markets in the UK; regional pay. Case study: who is rich, who is not: the UK's policy on poverty
Micro-policy intervention in practice, more on what governments do. Healthcare, the NHS and alternatives. Social mobility and education.