San Jose State University

Economics 1A
Principles of Macroeconomics

Sections 11 (27153) & 12 (27154), Spring 2016

Contact Information


Fred Foldvary

Office Location:

219 DMH

Telephone (cell):

Cell: 510-590-2469, office TR 408-924-5407


[email protected]

Office Hours:

Tuesdays 9:00-10:00am

Class Days/Time:

TuTh 10:30-11:45am


DMH 358

Faculty Web Page and MYSJSU Messaging

Course materials such as syllabus, handouts, notes, assignment instructions, etc. can be found on my web page at

You are responsible for periodically checking your email to learn of any announcements.

Course Description

This course teaches students how to analyze economy-wide elements such as total output, employment, the price level, interest rates, banking, inflation, and the rate of economic growth. This course may be taken concurrently with or prior to ECON 1B.

Course Goals and Learning Objectives

Course Learning Outcomes (CLO)

Upon successful completion of this course, students will have a sufficient foundation to pursue intermediate study in macroeconomic theory related to three broad areas:

comparative advantage, macroeconomic measures, and macroeconomic theory and models. Specific learning objectives include:

·       Comparative Advantage (specialization and the gains from trade; globalization)

·       Macroeconomic Measures (real versus nominal calculations; components and concept of GDP; components and concept of unemployment figures; calculation of inflation)

·       Macroeconomic Theory and Models (circular flow; monetary and fiscal policy; the market for loanable funds & interest rate determination; the demand and supply of money & price level determination; aggregate supply and demand; the business cycle)

Required Texts/Readings


Principles of Macroeconomics, 3d Edition, Textbook Media


Other Required Readings

The Concise Encyclopedia of Economics


The Use of Knowledge in Society, by F. A. Hayek, available at


Not What They Had in Mind:  A History of the Policies that Produced the Financial Crisis of 2008, by Arnold Kling available at


The Depression of 2008, by Fred Foldvary


The Science of Economics, by Fred Foldvary


I will post or link to additional readings on the course website.


Written assignments will be on Canvas.

Course Requirements and Assignments

As this class is a four unit class, successful students should expect to spend about 180 hours (normally twelve hours per week or three hours per unit per week) throughout the semester, including reading, preparing for class, attending class, participating in course activities, completing assignments, and so on.

More details about student workload can be found in University Policy S12-3 at


The course consists of two midterms, one final exam, a term paper, weekly online homework assignments, and occasional in-class work. 

The midterms and comprehensive final exam cover material presented both in class and in the readings.  Online homework reinforces and applies key concepts.


Students should attend all class meetings, not only because they are responsible for the discussed material, but because active participation frequently ensures maximum benefit for all classmates.

Attendance, though, shall not be used as a criterion for grading.

Grading Policy

I grade students by their earning of points throughout the course as follows from a maximum point count of 1000 points throughout the course.

































The course grade has the following weightings.



Late / Missed Homework and Exam Policy:

Late homework will deduct 20% per week late. 

If you miss one of the midterm exams for a documented  and valid reason, you may do a make-up exam. 

If you need to miss the scheduled final exam for a verified and valid reason documented to me in advance of the final, I will reschedule with you.


Extra Credit

I will offer limited extra credit opportunities, such as attending and writing an essay on the economics department Provocative Lectures. 

Students should expect to do high quality work the first time and not to expect incentives such as extra credit that reward low quality or late work habits.

Classroom Protocol

I expect students to arrive prepared to discuss the assigned readings on time.  Students must ensure that they place any device that might disturb the class into a silent mode. 

I expect students to conduct themselves in a way that respects the goals of the instructor and fellow students.

University Policies

Dropping and Adding

Students are responsible for understanding the policies and procedures about add/drop, grade forgiveness, etc.  Refer to the current semester’s Catalog Policies section at 

Add/drop deadlines can be found on the current academic year calendars document on the Academic Calendars webpage at 

The Late Drop Policy is available at Students should be aware of the current deadlines and penalties for dropping classes.


Information about the latest changes and news is available at the Advising Hub at


Consent for Recording of Class and Public Sharing of Instructor Material

University Policy S12-7,, requires students to obtain instructor’s permission to record the course. 

·       “Common courtesy and professional behavior dictate that you notify someone when you are recording him/her. You must obtain the instructor’s permission to make audio or video recordings in this class.

·       Such permission allows the recordings to be used for your private, study purposes only.

·       The recordings are the intellectual property of the instructor; you have not been given any rights to reproduce or distribute the material.”

o   Ask me for permission to record class lectures.

·        “Course material developed by the instructor is the intellectual property of the instructor and cannot be shared publicly without his/her approval.

·       Other than what is on the class web site, you may not publicly share or upload instructor generated material for this course such as exam questions, lecture notes, or homework solutions without instructor consent.”


Academic integrity

Your commitment as a student to learning is evidenced by your enrollment at San Jose State University.  

The University Academic Integrity Policy S07-2 at requires you to be honest in all your academic course work.

Faculty members are required to report all infractions to the office of Student Conduct and Ethical Development.

The Student Conduct and Ethical Development website is available at


Campus Policy in Compliance with the American Disabilities Act

If you need course adaptations or accommodations because of a disability, or if you need to make special arrangements in case the building must be evacuated,

please make an appointment with me as soon as possible, or see me during office hours.

Presidential Directive 97-03 at requires that students with disabilities requesting accommodations

must register with the Accessible Education Center (AEC) at to establish a record of their disability.

Student Technology Resources

Computer labs for student use are available in the Academic Success Center at located on the 1st floor of Clark Hall and in the Associated Students Lab on the 2nd floor of the Student Union.

Additional computer labs may be available in your department/college. Computers are also available in the Martin Luther King Library.


A wide variety of audio-visual equipment is available for student checkout from Media Services located in IRC 112.

These items include DV and HD digital camcorders; digital still cameras; video, slide and overhead projectors; DVD, CD, and audiotape players; sound systems, wireless microphones, projection screens and monitors.

SJSU Peer Connections

Peer Connections, a campus-wide resource for mentoring and tutoring, strives to inspire students to develop their potential as independent learners while they learn to successfully navigate through their university experience.  You are encouraged to take advantage of their services which include course-content based tutoring, enhanced study and time management skills, more effective critical thinking strategies, decision making and problem-solving abilities, and campus resource referrals. 


In addition to offering small group, individual, and drop-in tutoring for a number of undergraduate courses, consultation with mentors is available on a drop-in or by appointment basis.   Workshops are offered on a wide variety of topics including preparing for the Writing Skills Test (WST), improving your learning and memory, alleviating procrastination, surviving your first semester at SJSU, and other related topics.  A computer lab and study space are also available for student use in Room 600 of Student Services Center (SSC).


Peer Connections is located in three locations: SSC, Room 600 (10th Street Garage on the corner of 10th and San Fernando Street), at the 1st floor entrance of Clark Hall, and in the Living Learning Center (LLC) in Campus Village Housing Building B.  Visit Peer Connections website at for more information.

SJSU Writing Center

The SJSU Writing Center is located in Clark Hall, Suite 126. All Writing Specialists have gone through a rigorous hiring process, and they are well trained to assist all students at all levels within all disciplines to become better writers.

In addition to one-on-one tutoring services, the Writing Center also offers workshops every semester on a variety of writing topics. To make an appointment or to refer to the numerous online resources offered through the Writing Center, visit its website at

SJSU Counseling Services

The SJSU Counseling Services is located on the corner of 7th Street and San Fernando Street, in Room 201, Administration Building.  Professional psychologists, social workers, and counselors are available to provide consultations on issues of student mental health, campus climate or psychological and academic issues on an individual, couple, or group basis.  To schedule an appointment or learn more information, visit Counseling Services website at

Econ 1A, Sections 11 & 12, Spring 2016 Course Schedule

This schedule is subject to change with fair notice via classroom announcement, Canvas, or email.



Topics, Readings, Assignments, Deadlines



Macroeconomic topics, factors of Production




Labor, land, capital goods, interest, entrepreneurship




2/9 Tuesday, Econ Dept. Provocative Lecture

Chapters 1 thru 6




Chapter 7, Macroeconomic perspective, GDP. GDP other measures




Chapter 8, Economic growth and development  Sci Ecs 14 math and theory economic freedom study




Tuesday: first exam

The Use of Knowledge in Society by F. A. Hayek




Chapter 9, Unemployment

Chapter 10, Inflation




Chapter 11, Balance of trade

Savings and investment ec2/sav-inv.ppt




Chapters 12-14 Aggregate supply and demand, perspectives

Four-graph models

Is there a tradeoff between unemployment and inflation?




Chapters 15, 16: money and banking  Selgin on the Fed 




Tuesday, Midterm 2

Chapter 17, Exchange rates and capital flows 




The business cycle Cycle chart  Depression of 2008




Chapters 18, 19 Government budgets and fiscal policy




Term papers due

Chapter 20, Macroeconomic policy around the world policy issues




Environmental economics

History of macroeconomic thought; review



Monday last week of classes, Tues study day


Final Exam


9:45am to noon.