Introduction to Economics Concepts and Analysis - Module Summary

The International Economic System

If you can look at it without feeling a sense of wonderment about our modern world  and perhaps a sense of disquiet then this module is not for you. But if you look at it and ask the question “Why?” then it is for you.

 

The module will give you insights into questions that perhaps you never even asked yourself until now. Why don’t we make things in Britain any more? (How many people do you know whose job involves making things?)

 

Why do we prefer instead to buy things made in other countries, carried half way round the world on ships like this and transported to our supermarket shelves in standard containers? What on earth is in all these boxes? 

The international economic system is more closely integrated now than ever before. This is reflected in events such as the banking crises that started in the United States in 2008 leading to the near collapse of the world financial system. The global recession, the sovereign debt crises and the political turmoil that ensued provide clear illustrations of the relationship between governments, politics, international trade and finance, international institutions and private interests. Will the economy enter a second recession, triggered by the Greek government defaulting on its sovereign debt? Is global capitalism in crisis? 

Economics is everywhere. You cannot make sense of business – or of the world you live in – unless you have an understanding of the economic imperative that shapes our daily lives. Economics is about decisions – individuals make decisions as consumers, firms make decisions as producers. These decisions are made in a world of scarcity – which simply means that we cannot have everything we want. So we have to make choices – and economics is ‘the science of choice’. But it’s not a ‘functional discipline’ like Accounting or Marketing. Firms have ‘accounts departments’ and ‘HR departments’ and ‘marketing departments’ but they don’t have ‘economics departments’. That’s because economics transcends all of these functional areas. It doesn’t mechanistically tell you how to do things but it gives you insights into how and why decisions are made. It doesn’t provide the answers, but at least it helps you formulate the question: why? 

The answer, mostly, is “semi-manufactures”. That is, not final goods sold to the consumer but goods bought by other firms, who in turn use them to produce goods sold to the final consumer, again in the UK and all over the world. However if the container ship is leaving a UK port many of the containers will be empty. Some contain our rubbish, sent to other countries for processing. Funny old world, isn’t it? 

The Role of Economics in Business and Daily Life

- To introduce basic economics concepts and main economic problems

- To examine main economic stakeholders and implications for the economy

- To explore analytical tools used in economic research

- To be introduced to data-handling and the use of SPSS

- The module will introduce you to the way economists view the world and to the tools they use to examine economic issues. 

Introduction to economics and basic economic concepts 

Micro- and macro- economics in everyday life

Supply and Demand 

    
Elasticity

Macroeconomic issues 

Market vs Non-Market Economies

The role of government, firms and households

Profits and losses

Work and pay

Time, risk and insurance

Collecting and analysis data: introduction to concepts and tools

 Practicing data handling: introduction to SPSS

Creating and working with data in SPSS

Economists’ main concerns

 

Learning outcomes to be assessed

By the end of this module, you will be able to:

(LO1) Define basic economic concepts 

(LO2) Apply concepts to social issues

(LO3) Describe the role of main stakeholders

(LO4) Describe the economic research approaches

(LO4) Handle data via SPSS

Accessing and interpreting macroeconomic data: analysis of the recent performance of the economy of a chosen country.

You can select any country (except the UK) but before doing so you should consider how easy it will be for you to access the required information. There are international sources such as the OECD and IMF but the principal source should be the statistical office of the country in question. If an English translation is not readily available then you should select a different country. 

The report that you submit will consist of two elements. The first part requires you to prepare tables of data that illustrate the recent economic performance of the chosen economy. Your data will cover the last four years. 

 

In addition your report will contain a written summary of the performance of the chosen economy. The maximum length of this written report will be 2000 words and that limit will be strictly enforced. The report must be based on the data you have supplied. You may if you wish include charts or diagrams based on the data that you have provided. 

Your submission must meet all of the following criteria:

(a) In the form of a report of 2000 words 

(b) Submitted on time via Turnitin;

(c) Be adequately proof read prior to submission, and therefore does not contain significant errors of spelling and grammar;

(d) Be properly referenced (Harvard Referencing System);

(e) Have a Turnitin similarity index of no more than 27%;