Labor Economics

Economics 325

 

Spring, 2005

 

 

Instructor:

R. Morris Coats, Ph.D., Argent Bank Professor of Business Administration

Office:

102B White

E-mail:

morris.coats@nicholls.edu

Phone:

(985)448-4237

Web:

www.nicholls.edu/mcoats

Fax:

(985)448-4922

 

Office Hours:  10:40-11:40 AM MTWRF, 1:30-2:30 PM MTWRF, or by appointment

 

Instructor’s Class Schedule: ECON 211—2M, 4M; ECON 325—2T

 

Course Description and Prerequisites:

 

Prerequisites: ECON 211 or 255 and 212, MATH 102, 105, or 106 and junior standing.

 

Role of wages in allocating resources in competitive and imperfectly competitive markets. The economics of labor demand and supply, human capital investment, union wage differentials and labor market discrimination.

 

Required Text:

 

Campbell McConnell, Stanley Brue and David McPherson (2003). Contemporary Labor Economics, 6th ed.  Book website at URL: http://www.contemporarylabor.com/  

                                    

Course Overview:

 

The objective of this course is to familiarize the student with theories of how labor markets work and the empirical   evidence that either supports or rejects these theories.  Special attention will be given to the impact that public   policies have upon the labor market.  Some of the topics to be considered include:  unemployment, labor supply   and demand, compensating wage differentials, unions, human capital investment and discrimination.

 

 

 

Student Outcome Learning Objectives:

 

Successful students should be able to:

 

  1. Identify factors that alter the supply and/or demand for labor.  These are the factors that alter pay and employment levels in particular labor markets.  These are also the factors that lead to differences in compensation and employment levels.
  2. Explain the theory human capital and the link between education and compensation.
  3. Predict the direction of changes in pay and employment levels from changes in factors identified in 1) above.
  4. Identify trends in labor market participation rates by gender and race.
  5. Identify the effects of discrimination on labor markets.
  6. Use a model of budget or time constraint and preferences to predict the effects of wages and retirement pensions on income and hours worked.
  7. Predict effects of government policies toward labor on compensation and employment levels.
  8. Discuss the current controversy regarding the effects of minimum wage on employment, including the empirical evidence behind the controversy.

Course Requirements:

  1. Attendance
  2. Reading assignments in the text and from other sources.
  3. Access to the Internet and ability to use a web browser.
  4. Participation in class.
  5. Examinations

 

Method of Evaluation/Exams/Grading Scale:

 

Your performance in this class will be evaluated with four exams (three midterms and one final).  The exams will be made up of identification and definition items, multiple-choice and/or true-false items and discussion items.  You will have to master and understand the graphical techniques used in economics.  While the final is not comprehensive, the material in the early part of the course is necessary for understanding material later on in the course.  Each exam will count for 25% of the course grade.                          

 

The grading scale is the usual 90­/80/­70/­60 scale.  Any instance of cheating will be reported and full action will be pursued (see the handout on cheating and plagiarism). 

Attendance:

Attendance is required by University policy. 

Academic Accommodations for Disabilities:

If you have a documented disability that requires assistance, you will need to register with the Office of Disability Services for coordination of your academic accommodations.  The Office of Disability Services is located in Peltier Hall, Room100-A. The phone number is (985) 448-4430 (TDD 449-7002).

Class rules:

There are two simple rules for this class (also see my policy on Academic Dishonesty below):

(1) Don’t be rude, and
(2) Don’t distract from the lecture, discussion or other class activity.

Here are some things that would be considered distracting or rude and are not allowed:

    1. Eating in the classroom—before, during or after class.
    2. Packing your things away before class is over and you have been dismissed.
    3. Reading newspapers, magazines, textbooks, workbooks, or novels during class.
    4. Using a "Walkman" or other personal entertainment device.
    5. Talking, whispering, and note passing during class. Leaving early (unless you have permission or suddenly become ill).
    6. Working on class assignments for other classes or studying for other classes during our class period.
    7. Ringing cell phones or pagers.
    8. Sleeping in class (this behavior is particularly distracting and quite rude).
    9. Taking notes in your text in class by highlighting. While flipping through pages to find a passage in the text that supports what is being said in lecture is distracting and rude, the primary reason for this rule is to encourage you to think about what is being said during class so that you will engage in active learning, and you will be in a position to engage in meaningful discussion. If you are preoccupied with searching a textbook, it will be virtually impossible for you to benefit from the lecture/discussion going on at the same time. Hint: Read the book before class and highlight material that you recall from the lecture after class. Have your economics text out only when I am directing your attention to the text or when you are asking questions about your reading that you did not understand. Do bring your book to class, however. Just do not use your text to take notes during class by highlighting.  
    10. Any other behavior that would reasonably be considered distracting or rude.

 A few guidelines for out-of-class interaction with me (any of your professors) for that matter:

    1. Do not come to my office a few minutes before class.  But if it seems as if I have forgotten about class, by all means come and get me.  I was once so busy that I forgot about class in the fall of 1985. 
    2. Do not come to me before class with some paper that I am supposed to read and sign, including drop slips. I do not sign papers before class.  Come by at the end of class for such things.
    3. Do not ask me "Is this going to be on the test?"  On its face, this seems like a reasonable question. This question tells your professor that the only things you think are worth knowing from his class are those items on the exams. Exams do not cover the entire course, but only sample your knowledge. If you set your sights on learning the subject instead of just getting good grades, the grades will take care of themselves.
    4. Do not ask "Did I miss anything important yesterday?" or "Am I going to miss anything important tomorrow?"  These questions tell your professor that you expect the answer to be "no." If a professor were not going to cover anything important, he would stay in his office that class period and dismiss class.

Academic Dishonesty Policy

Make-up Policy:

None! Nada!  There will be no make-up exams—your final exam grade will replace any missed exams. 

Classroom PowerPoint Files

All of my powerpoint files will be available in this section of the on-line syllabus soon after class and possibly even before class.  The text also has powerpoints for each chapter that are available from the text website.

Tentative and Approximate Course Outline:

Part 1:  Introduction and Review                       Chapters 1-3    Test 1:           2/10/05

Part 2:  Wage Determination                             Chapters 4-8    Test 2:            3/10/05

Part 3:  Mobility and Unions                              Chapters 9-11  Test 3:            3/24/05

Part 4: Government and Discrimination  Chapters 12-14 Final Exam:  5/5/05 8-10 am

This is a syllabus, a plan, not a contract, and should not be interpreted in any way as a contract.