Principles of Microeconomics (Econ 2302)

Dr. Jack A. Bucco

Spring 2012

Office: †††††††††††††† Riverside Room 2269

Office Hours: ††††††† Mon/Wed 6:30AM to 7:30AM

††††††††††††††††††††††† Tues/Thur 6:30AM to 9:00AM RVS Room 2269

Other hours available by appointment!†††††

Phone:†††††††††††††††† 512-223-6677



Course Description

Deals with the interactions between individual households and business firms. The concepts of supply and demand will be studied; students will learn what the concepts mean, how they operate, and how prices are determined. Market structure, market failure and income distribution will also be considered.


The course will require significant time and effort on your part.The terminology, complexity, and degree of abstraction of some of the materials will be difficult but not impossible.



Optional: Text: Book: Microeconomics:††††††††††††††††††††††††††††††† Author: William Boyes/Michael Melvin

Required: Microeconomics: Manual/Study Guide††††††††††††††† Author: Bucco†††††††††††


Graphing Paper


Four Exams†††††††††††††††††††††††††† 30%††† * I drop the lowest exam score

Mid-term††††††††††††††††††††††††††††††† 35%†††††††††††††††††††††††††††††††††††††††††††††††††††

Final†††††††††††††††††††††††††††††††††††††† 35%

A†† ††††† = 90-100††††††††††††††††††††††††††††††††† *With each exam their will be a homework assignment worth 10

B†† ††††† = 80-89††††††††††††††††††††††††††††††††††† percent of the grade that will be handed in the day of the exam.

C†† ††††† = 70-79††††††††††††††††††††††††††††††††††† The HW assignments will come straight from the study guide.

D†† ††††† = 60-69†††††††††††††††††††††††

F††† ††††† = below 60

Calculating your grade.

Ex: †††† 1st exam 9

††††††††††† 2nd exam 8.3

††††††††††† 3rd exam 8.8

††††††††††† 4th exam 1.2††† This exam will be dropped because it is the lowest!

Mid-term †††††† 85

Final†††††† ††††††† 88††††††† 9+8.3+8.8 + (85*.35) + (88*.35)=86.65†††††††††††††††††††††††††††††††† Final Grade B





Attendance is mandatory.More than four absences the grade will be lowed one whole letter grade!!!!†† Exams, mid-term, and final will be taken from lecture/class notes and the text.Classroom lectures will complement your text and not attending class will therefore harm your understanding of the material.Exams cannot be made-up; however, I do drop the lowest mini exam score.This does not include the mid-term or the final. Make-ups for the mid-term or final may only be given for a medical excuse.If a problem does arise before the mid-term or the final, you must notify the professor before it is given!

Taking good class notes, do the assigned study guide problems, read the text diligently and you will do excellent in the class.Read over your notes EVERY NIGHT for 40 minutes.†† Remember, THERE ARE NO SHORTCUTS TO SUCCESS!!!

Cell Phones, Laptops, and Course Behavior: Absolutely all cell phones should be shut off before class. If one goes on, the professor has the right to make you leave the class. A second cell phone offense and I will drop you a whole letter grade. A third offense an automatic F. Again, SHUT CELL PHONES OFF!

In addition, I expect studentís full attention on the subject matter being taught and if you are doing class work from another class you will automatically lose 30 points on the next exam. Please see class etiquette.

No laptops or recordings are permitted. Just pen, paper, calculator and the ability to think.


What is economics?

What is the economic way of thinking?

What is opportunity cost?

What is the production possibility curve?

What is a market?

What is demand?

What is supply?

How is price determined by demand and supply?

What causes price to change?

How does the government interact with the other sectors of the economy?

What is the economic role of the government?

What is elasticity?

How is it measure?

What are the four determinates of elasticity?

How do consumers allocate their limited incomes among goods and services?

What is consumer surplus?

What is the law of diminishing marginal returns?

What are economies and diseconomies of scale?

Why do economists and accountants measure profit differently?

What is a market structure?

What is perfect competition?

How does the firm maximize profit in the short run?

What is a monopoly?

How is a monopoly created?

How do the predictions of the models of perfect competition and monopoly differ?

What is monopolistic competition?

What behavior is most common in monopolistic competition?

What is oligopoly?

Why does cooperation among rivals occur most often in oligopolies?

What are tariffs?

What are quotas?

How do tariffs and quotas affect price?

What sorts of agreements do countries enter into to reduce barriers to international trade?






Chapter 1†††††††† Economics: The World Around You†††††††††††††††† *Again, Read the text/notes every night


Chapter 2†††††††† Choice and Opportunity Cost††††††††††††††††††††††††††††††††††††††


Chapter 3†††††††† Supply and Demand†††††††††††††††††††††††††††††††††††††††† Exam I (covers chapters 1 to 3) 10 percent


Chapter 4†††††††† The Market System/The Private Sector††††††††††††


Chapter 5†††††††† The Pubic Sector††††††††††††††††††††††††††††††††††††††††††††† Exam II (covers chapters 1,2,3,4, and 5) 10 percent


Chapter 6†††††††† Elasticity††††††††† †††††††††††††††††††††††††††††††††††††††††††††††††††††††††††

*****Mid-term exam covers from Chapters 1 to 6†††††††††††††††††††† Mid-term†††††††† ††††††††††††††††††††††††††††††††††† 35 percent


Chapter 7†††††††† Consumer Choice††††††††††††††††††††††††††††††††††††††††††††††††††††††††


Chapter 8†††††††† Supply: The Cost of Doing Business††††††††††††††††† Exam III (covers chapters 7 and 8)††††††† 10 percent


Chapter 9†††††††† Profit Maximization††††††††††††††††††††††††††††††††††††††††††††††††††††


Chapter 10†††††† Perfect Competition††††††††††††††††††††††††††††††††††††††††† Exam IV (covers chapters 7,8,9 and 10) 10 percent


Chapter 11†††††† Monopoly††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††


Chapter 12†††††† Monopolistic Competition/Oligopoly††††††††††††††††††††††††††††


Chapter 21†††††† International Trade††††††††††††††††††††††††††††††††††††††††† Final††††††††††††††† ††††††††††††††††††††††††††††††††††† 35 percent



*****The final will consist of Chapters 7 to 12 and Chapter 21

*****Remember, exams canít be made up for any reason! Donít ask!


Economic Score Card

-Keep a record of your grades

Exam I

Exam II


Exam III

Exam IV










I am here to help you. If you are having problems understanding the material please come see me!

***The syllabus is subject to change at anytime by the instructor!

Attendance Score Card


























Put + for being in class! Put Ė for being absent! Put ďLĒ for being late!




Scholastic dishonesty: Acts prohibited by the college for which discipline may be administered include scholastic dishonesty, including but not limited to cheating on an exam or quiz, plagiarizing, and unauthorized collaboration with another in preparing outside work. Academic work submitted by students shall be the result of their thought, research or self-expression. Academic work is defined as, but not limited to tests, quizzes, whether taken electronically or on paper; projects, either individual or group; classroom presentations, and homework.

Students with disabilities: Each ACC campus offers support services for students with documented physical or psychological disabilities. Students with disabilities must request reasonable accommodations through the Office for Students with Disabilities on the campus where they expect to take the majority of their classes. Students are encouraged to do this three weeks before the start of the semester. 

Academic Freedom: Each student is strongly encouraged to participate in class discussions. In any classroom situation that includes discussion and critical thinking, particularly about economic and political ideas, there are bound to be many differing viewpoints. Students may not only disagree with each other at times, but the students and instructor may also find that they have opposing views on sensitive and volatile topics. It is my hope that these differences will enhance class discussion and create an atmosphere where students and instructor alike will be encouraged to think and learn. Therefore, be assured that your grades will not be adversely affected by any beliefs or ideas expressed in class or in assignments. Rather, we will all respect the views of others when expressed in classroom discussions.

Withdrawals: Students are responsible for withdrawing themselves from this course if that is what their personal situation requires. This means that if you have taken only two of the tests and the semester ends without your having withdrawn yourself, then you will receive an F in the course. The instructor makes no promise either implicit or explicit to withdraw students from the course. However, the instructor does reserve the right to withdraw students if the instructor believes the situation warrants such action. The instructor may choose to withdraw you if you have not taken the second exam by the third exam deadline.





Class Etiquette


1.    No laptops allowed. Only the text book, pen, paper, and the ability to think.

2.   No eating in the class. Beverages are allowed.

3.   Only one person at a time speaks and that is me. If you have any questions or concerns just raise your hand and I will address the question. If you yell out without raising your hand you will be given a warning. Second offense, you will be asked to leave the class. Third offense, you will be dropped from the class with an ďF.Ē This rule also applies to talking to a colleague when the professor is lecturing.

4.   If you are doing class work for another class or any other type of activity I will subtract 30 points from your next exam grade. Not a quiz/mini grade but an exam grade. This also includes writing notes from a previous class. The only thing that you should be doing is taking notes from the lecture given that day!

5.   If you are more than 8 minutes late for a quiz/mini exam you will not be allowed to take it and receive a zero as a grade. I would recommend coming to school two hours early on mini exam and full exam days.

6.   Absolutely unequivocally no cell phone allowed. Put them away where they can not be seen. I donít want to see them on your desk or anywhere else. If I see you on a cell phone I will have you leave the class. Second offense, I drop you a whole letter grade. Third offense, you will be dropped from the class with a grade of ďF.Ē No exceptions!

7.   Daydreaming is allowed but not recommended.

8.   There are no exceptions to these rules so donít ask.


For 98.8% of students these rules are not needed because they know and behave like professionals. Unfortunately there are those few who just donít get it so I must state theses rules in my syllabus.