College aantekeningen
EPS notes for 1st year IRO
- Vak
- 6441HEPS
- Instelling
- Universiteit Leiden (UL)
the class notes for EPS in 1st year IRO. Including definitions and schemes. Grade 8.5
[Meer zien]Voorbeeld 4 van de 45 pagina's
Voorbeeld 4 van de 45 pagina's
In winkelwagengesponsord bericht van onze partner
Verkoper
Volgen
Voorbeeld van de inhoud
MiaProbst
1st year class notes : Economics for Political Scientists
Overview
1. Lecture 1: introduction, growth and inequality
2. Lecture 2 : game theory
3. Lecture 3 : modeling
4. Lecture 4 : institutions, production and inequality
5. Lecture 5 : firms, principal-agent problem and transaction costs
6. Lecture 6 : firms, supply and demand
7. Lecture 7 : monopoly redux and macro labor market
8. Lecture 8 : time travel (credit and borrowing)
9. Lecture 9 : money and financial assets
10. Lecture 10 : market failures
11. Lecture 11 : governments and markets
12. Lecture 12 : globalization of commerce
13. Lecture 13 : environmental economics
,lecture 1 (02/11): intro & growth & inequality
what is the study of economics
- centers on the study of human behavior
- but w focus: eco incentives & eco outcomes
eco incentive: choose outcome that improves your economic welfare & how those choices
are shaped by markets & other circumstances
how ppl make choices under scarcity : eco vs sentiment
eco outcomes:
study indiv incentives = microeconomics
study of aggregated outcomes = macroeconomics
what eco does not tell → no moral judgment
⇒ study of the world as it is
pol scientists need to understand eco
- who gets what, where, when and how
- pol can shape eco incentives
1. key concepts
- nominal GDP (or GDP growth)
- GDP measured in current currency amount
- does not account for inflat° or diff in purchasing power across country
- “sticker price”
- real GDP (in constant price)
- important to measure change over time
- growth adjusted for changes in inflat°
- applies to any type of price measure
- translate current nominal prices → consistant baseline
- PPP
- change across countries & time
- adjust for differences in currencies & what they purchase
- generally translate local eco activity in $ of a particular year
- consumer price index (CPI)
2. nominal vs constant
, 3. economic growth
how to measure it ?
- GDP : compare size of ecos across time & countries
4. where do eco growth come from?
= learning to produce more w the same amount of stuff
increase: techno, human K, natural resources, law & creat institut° to make eco actv easier,
short term: ex:rainfall, war
5. what does GDP measure
gdp: measure the market value of all finished goods produced within a country (usually per
y).
finished good: good that will not be sold again as a part of another good
intermediate goods: goods that will be used to make something else that will be sold
capital goods: goods that are used to produce other goods but not a part of other goods
does not include: things imported from other countries
includes: exports
Y= C+I+G+(X-M)
y= gdp
c= consumer spending on finished goods
I= investment in capital goods
G= gov spending
X= exports
M= imports
GDP per capita
how wealthy a country is
GDP/populat°
6. calculate eco growth (tx de variat°)
7. wealth & health of nat°
gdp : calculates material values
BUT good indicator of “dev” bc correlated w health, happiness…
hockey stick : rapid, sustained growth in average living standards
8. faults of GDP
inequality across countries
1000 y ago world was flat: small diff between countries
1980 & since: skyscrapers increased
, 9. local & global inequality
eco → techno & capitalism
pol → demo & property rights
eco systems :
explosion growth rates correlate w development of diff eco systems (+ capitalist)
BUT no pure eco system
increase in eco growth likely starts w capitalism
capitalism: en eco system in which pv property markets & firms play an important role
⇒ eco system based on individualism & eco incentives
3 elements of capitalism
- pv property
- can keep gains of their labour protected from gov & others
- markets : allocat° of goods & services are determined by buying & selling, not govs
- firms (pv & organized)
what capitalism gives us
- division of labour
- specializat°
- entrepreneurial innovators
- new technology
incentives (incentive to work in smt you good at & being + compensated) & eco organizat°
→ leads to specializat° & division of labor : leads to + eco growth
self sufficiency road to poverty
every step of the way = someone specialized in a particular element
resources wasted to do everything by oneself → someone can do it + effiently
specializat°: when entity produces a + narrow range of goods and services that it consimes
aquiring the goods and services that is not producced by trade
division of labour: specializat° of producers to carry out diff tasks in the product° process
gains increased when individuals incentivized to do what they do best
techno innovat°
techno innovat° tied to improving eco & improving living standards
where do techno innvovat° comes from → incentives matter
Voordelen van het kopen van samenvattingen bij Stuvia op een rij:
Verzekerd van kwaliteit door reviews
Stuvia-klanten hebben meer dan 700.000 samenvattingen beoordeeld. Zo weet je zeker dat je de beste documenten koopt!
Snel en makkelijk kopen
Je betaalt supersnel en eenmalig met iDeal, creditcard of Stuvia-tegoed voor de samenvatting. Zonder lidmaatschap.
Focus op de essentie
Samenvattingen worden geschreven voor en door anderen. Daarom zijn de samenvattingen altijd betrouwbaar en actueel. Zo kom je snel tot de kern!
Veelgestelde vragen
Wat krijg ik als ik dit document koop?
Je krijgt een PDF, die direct beschikbaar is na je aankoop. Het gekochte document is altijd, overal en oneindig toegankelijk via je profiel.
Tevredenheidsgarantie: hoe werkt dat?
Onze tevredenheidsgarantie zorgt ervoor dat je altijd een studiedocument vindt dat goed bij je past. Je vult een formulier in en onze klantenservice regelt de rest.
Van wie koop ik deze samenvatting?
Stuvia is een marktplaats, je koop dit document dus niet van ons, maar van verkoper miaprobst. Stuvia faciliteert de betaling aan de verkoper.
Zit ik meteen vast aan een abonnement?
Nee, je koopt alleen deze samenvatting voor €4,79. Je zit daarna nergens aan vast.
Is Stuvia te vertrouwen?
4,6 sterren op Google & Trustpilot (+1000 reviews)
Afgelopen 30 dagen zijn er 53022 samenvattingen verkocht
Opgericht in 2010, al 14 jaar dé plek om samenvattingen te kopen