Microeconomics Course Syllabus and Key Topics Overview

Course Overview

This syllabus outlines the structure, objectives, and main topics for the Spring 2026 Microeconomics course (Econ 001) at East Los Angeles College, taught by Instructor Juan Flores. The course covers foundational microeconomic concepts, market structures, and the application of economic reasoning to real-world scenarios.

Key Topics and Schedule

• Economics: Foundations and Models (Ch. 1)

• Trade-offs, Comparative Advantage, and the Market System (Ch. 2)

• Where Prices Come From: The Interaction of Demand & Supply (Ch. 3)

• Economic Efficiency, Government Price Setting, and Taxes (Ch. 4)

• Elasticity: The Responsiveness of Demand & Supply (Ch. 6)

• Technology, Production, & Costs (Ch. 11)

• Firms in a Perfectly Competitive Market (Ch. 12)

• Monopoly & Antitrust Policy (Ch. 15)

• Monopolistic Competition: The Competitive Model in a More Realistic Setting (Ch. 13)

• Oligopoly: Firms in Less Competitive Markets (Ch. 14)

• Economic Philosophers: Adam Smith, John Keynes, and Karl Marx

Student Learning Objectives

• Understanding Microeconomics: Describe fundamental concepts and the role of supply and demand in market systems.

• Quantitative Reasoning: Solve graphing and quantitative evaluation questions.

• Critical Thinking: Apply economic reasoning to solve problems and exercises.

Assessment Structure

Grading Factor	Total Points	Percentage of Total
Homework (4)	100	20.0%
Quizzes (3)	150	30.0%
Midterm Exam	100	20.0%
Final Exam	100	20.0%
Participation	25	5.0%
News Article Activity	25	5.0%
Total	500	100.0%

Major Microeconomics Topics (Expanded)

Economics: Foundations and Models

Microeconomics studies how individuals and firms make choices under scarcity and how these choices interact in markets. Fundamental models include the circular flow diagram and the production possibilities frontier (PPF).

• Scarcity: Limited resources versus unlimited wants.

• Opportunity Cost: The value of the next best alternative forgone.

• Production Possibilities Frontier (PPF): Shows the maximum combinations of goods/services that can be produced with available resources and technology.

• Economic Models: Simplified representations of reality used to analyze economic issues.

Trade-offs, Comparative Advantage, and the Market System

Trade-offs arise due to scarcity, leading to the need for choice. Comparative advantage explains how individuals or nations benefit from specialization and trade.

• Trade-off: Choosing more of one good means less of another.

• Comparative Advantage: The ability to produce a good at a lower opportunity cost than others.

• Market System: Decentralized decision-making through markets and prices.

• Key Economic Philosophers: Adam Smith (invisible hand), John Keynes (government intervention), Karl Marx (critique of capitalism).

Where Prices Come From: The Interaction of Demand & Supply

Prices in a market economy are determined by the interaction of demand and supply.

• Law of Demand: As price falls, quantity demanded rises (ceteris paribus).

• Law of Supply: As price rises, quantity supplied rises (ceteris paribus).

• Market Equilibrium: Where quantity demanded equals quantity supplied.

• Shifts vs. Movements: Changes in non-price factors shift curves; price changes cause movement along curves.

• Equilibrium Price and Quantity: Determined where demand and supply intersect.

Formula:

$Q_d = Q_s$ at equilibrium

Economic Efficiency, Government Price Setting, and Taxes

Markets are efficient when resources are allocated to maximize total surplus. Government interventions like price controls and taxes can affect efficiency.

• Consumer Surplus: Difference between what buyers are willing to pay and what they actually pay.

• Producer Surplus: Difference between the price sellers receive and their minimum acceptable price.

• Price Ceilings: Maximum legal price (e.g., rent control).

• Price Floors: Minimum legal price (e.g., minimum wage).

• Taxes: Levied by government, can create deadweight loss.

Elasticity: The Responsiveness of Demand & Supply

Elasticity measures how much quantity demanded or supplied responds to changes in price or other factors.

• Price Elasticity of Demand: Percentage change in quantity demanded divided by percentage change in price.

• Elastic vs. Inelastic: Elastic (>1), Inelastic (<1).

• Determinants: Availability of substitutes, necessity vs. luxury, time horizon.

Formula:

$E_d = \frac{\%\ \text{change in } Q_d}{\%\ \text{change in } P}$

Technology, Production, & Costs

Firms use inputs to produce outputs, incurring costs that influence their supply decisions.

• Production Function: Relationship between inputs and outputs.

• Short Run vs. Long Run: Short run has fixed inputs; long run, all inputs are variable.

• Costs: Fixed, variable, total, average, and marginal costs.

Formulas:

$TC = FC + VC$

$ATC = \frac{TC}{Q}$

$MC = \frac{\Delta TC}{\Delta Q}$

Market Structures

Market structure affects firm behavior and market outcomes. The course covers four main types:

• Perfect Competition: Many firms, identical products, free entry/exit.

• Monopoly: One firm, unique product, barriers to entry.

• Monopolistic Competition: Many firms, differentiated products, some barriers.

• Oligopoly: Few firms, interdependent decisions, potential for collusion.

Antitrust Policy and Regulation

Government policies to promote competition and prevent monopolistic abuses.

• Antitrust Laws: Laws to prevent anti-competitive practices (e.g., Sherman Act).

• Regulation: Government oversight of natural monopolies and public interest industries.

Course Policies

• Attendance: Students are responsible for dropping the course if not attending.

• Make-up Exams: Allowed only with prior notice or documented emergency.

• Academic Integrity: Cheating and plagiarism result in severe penalties.

Textbook

• Microeconomics, 9th Edition by Glenn Hubbard and Anthony Patrick O’Brien (Pearson)

Important Dates

• Midterm Exam: April 20

• Final Exam: June 8

• Homework and Quiz due dates as listed in the schedule

Additional info: This syllabus provides a roadmap for the course, including major topics, assessment methods, and key policies. Students are encouraged to use this guide alongside the textbook for effective exam preparation.