POL S 409 A: Undergraduate Seminar in Political Economy

Overview:

In this class, we explore the economic consequences of property rights and government regulation of the economy, as well as the origin of these institutions and policies. We focus particular attention on innovation and the government’s role in fostering innovation.

We examine the following questions:

1. What are property rights?
2. What are transaction costs?
3. What are market failures?
4. What are public goods?
5. How is regulation an extension of property rights?
6. How do firms differ from states?
7. What explains firms’ size, scope, product lines, and business strategy?
8. What is innovation, and why should we care about it?
9. What effects do property rights and regulation have on innovation?
10. What is the relationship between science, education, and innovation?
11. What is the Fourth Industrial Revolution and the future of innovation?

In order to address these questions, we familiarize ourselves with the “new institutional economics” framework, which focuses on property rights, transaction costs, market failures, and firm and market structure. We complement this approach with basic micro-economics and employ concepts such as supply and demand curves, economies of scale, externalities, public goods, and rents.

Course Requirements:

Students are expected to complete the required readings each week, turn in short responses to the readings, and contribute to in class discussion. Grades are awarded on the basis of these things and a final group project each group will present to the class.

Course Evaluation:

Short Responses to Readings – 25%

Verbal Participation in Class – 25%

Final Project – 50%

Reading and other Assignments:

I will share a dropbox link with you all of the books (in electronic form), journal articles and unpublished papers that will be assigned as required readings. Read these in the order in which they appear in the syllabus. YOU DON’T NEED TO PURCHASE ANY BOOKS OR COURSE PACKETS!

Class Participation Guidelines:

Students cannot participate if they are not present to do so. Since I am serious about grading participation, the safest conclusion to draw is: attend class. Not all participation is created equal, however. You will be graded on the relevance, cogency, and persuasiveness of your oral contributions. During class discussion, you should draw from the week’s readings—which means that you should complete the readings before our class meeting.