Economics

Subject abbreviation: ECON College of Humanities, Arts, and Social Sciences

Steven M. Helfand, Ph.D., Chair Department Office, 4133 Sproul

• (951) 827-1470; economics.ucr.edu

Professors Richard Arnott, Ph.D., Distinguished Professor Taradas Bandyopadhyay, Ph.D. Marcelle Chauvet, Ph.D. Anil B. Deolalikar, Ph.D. Gloria González-Rivera, Ph.D. Jang-Ting Guo, Ph.D. Robert Kaestner, Ph.D. Tae-Hwy Lee, Ph.D. Aman Ullah, Ph.D., Distinguished Professor Professors Emeriti Susan B. Carter, Ph.D. Ronald H. Chilcote, Ph.D. Stephen E. Cullenberg, Ph.D. Gary A. Dymski, Ph.D. David H. Fairris, Ph.D. Mason Gaffney, Ph.D. Keith B. Griffin, Ph.D. Azizur R. Khan, Ph.D. Victor D. Lippit, Ph.D. David Malueg, Ph.D. Prasanta K. Pattanaik, Ph.D. R. Robert Russell, Ph.D. Howard J. Sherman, Ph.D., Jur.D. Richard C. Sutch, Ph.D. Associate Professors Steven M. Helfand, Ph.D. Assistant Professors Michael D. Bates, Ph.D. Joseph Cummins, Ph.D. Sarojini Hirshleifer, Ph.D. Urmee Khan, Ph.D. Dongwon Lee, Ph.D. Hiroki Nishimura, Ph.D. Victor Ortego-Marti, Ph.D. Ruoyao Shi, Ph.D. Carolyn M. Sloane, Ph.D. Yang Xie, Ph.D. ** Lecturers Joab N. Corey , Ph.D. Bree J. Lang, Ph.D. Matthew D. Lang, Ph.D. Cooperating Faculty Kenneth A. Baerenklau, Ph.D. (Environmental Sciences) Ariel Dinar, Ph.D. (Environmental Sciences) Keith C. Knapp, Ph.D. (Environmental Sciences) Roger L. Ransom, Ph.D. (History) Kurt A. Schwabe, Ph.D. (Environmental Sciences)

Economics studies the production and distribution of goods and services, as well as the way in which productive activity helps shape social existence. Economists are concerned with the factors determining national income, inflation, unemployment, output, growth and inequality (macroeconomics), as well as the behavior of individual decision- making units such as households and firms (microeconomics). Economists are also concerned with the role of markets, money and interest rates, the forces affecting international trade, and many other problems of production and distribution.

Economics is the basis for many careers, some of which require only a B.A. degree while others require more advanced work. Possible careers include business, government, education and law.

The B.A. is the most general degree offered in economics. It is appropriate background for a wide variety of purposes, including graduate study and professional schools. However, those planning to attend a graduate program in economics may need more quantitative training than the B.A. requires. Students who are considering attending a graduate program in economics should consult with their undergraduate advisor. The Business Economics B.A. degree provides more specific preparation for careers in business administration or management or for graduate work in business.

Transfer Admissions

Students transferring as juniors or seniors to UCR into any of the Economics majors must have completed a calculus course equivalent to UCR’s Math 9A. The effective date of 2018 is proposed to give students the appropriate time to prepare for the proposed changes.

See Undergraduate Studies section.

See College of Humanities, Arts, and Social Sciences, Colleges and Programs section.

MATH 009A and MATH 009B may also be used to meet breadth requirements.

The Economics Department offers B.A. degrees in Economics, Business Economics, Economics/Administrative Studies, and Economics/Law and Society.

Economics Major

The major requirements for the B.A. degree in Economics are as follows:

• 1. Lower-division requirements (4 courses [at

least 18 units])

• a) ECON 002, ECON 003

• b) MATH 009A or MATH 09HA, MATH 009B

227 / Programs and Courses

• 2. Upper-division requirements (12 courses [at

least 54 units])

• a) ECON 104A, ECON 104B

• b) ECON 105A, ECON 105B

• c) ECON 101, ECON 107

• d) One four or five unit course with ECON 104B or ECON 105B or ECON 107 as a

prerequisite.

• e) Five additional upper-division courses

in Economics worth 4 or 5 units each, including at least three that have either ECON 104A or ECON 105A or ECON 107 as a prerequisite. Two 2-unit courses can satisfy one 4- or 5-unit course.

Note Up to 4 units of internship credit may be counted toward the upper-division electives in Economics.

Business Economics Major

The major requirements for a B.A. degree in Business Economics are as follows:

• 1. Lower-division requirements (five courses [at

least 22 units])

• a) ECON 002, ECON 003

• b) BUS 020

• c) MATH 009A or MATH 09HA, MATH 009B

• 2. Upper-division requirements (12 courses [at

least 54 units])

• a) ECON 104A, ECON 104B

• b) ECON 105A, ECON 105B

• c) ECON 101, ECON 107

• d) Five additional upper-division courses

in Economics worth 4 or 5 units each, including at least two courses from ECON 108, ECON 130, ECON 135, BUS 153/ ECON 153, BUS 160/ECON 160, BUS 162/ECON 162, ECON 163. Two 2-unit courses can satisfy one 4- or 5-unit elective course.

• e) One course chosen from POSC 182,

PSYC 142, SOC 151

Note Up to 4 units of internship credit may be counted toward the upper-division electives in Business Economics.

Economics/Administrative Studies Major

In order to receive a B.A. degree in Economics/ Administrative Studies students must fulfill the following requirements:

Economics requirements (12 courses, 55 units)

• 1. ECON 002, ECON 003

• 2. ECON 104A, ECON 104B, ECON 105A

• 3. Four additional upper-division courses

in Economics worth 4 or 5 units each, including at least two that have either ECON 104A or ECON 105A or ECON 107 as a prerequisite. Two 2-unit courses can satisfy one 4-unit course.

• 4. ECON 101, ECON 107

• 5. One of MATH 009A, MATH 009HA, or

equivalent Note Up to 4 units of internship credit may be counted toward the upper-division electives in Economics.

Administrative Studies requirements (37 units)

• 1. Lower-division courses (17 units)

• a) BUS 010, BUS 020

• b) STAT 048 or equivalent (may be used to

satisfy breadth requirements)

• c) CS 008 (may be used to satisfy breadth

requirements)

• 2. Upper-division requirements (20 units)

• a) Two courses (8 units) from the list below:

• (1) ECON 102 or ECON 104A or ECON 162/BUS 162

• (2) PSYC 140 or PSYC 142

• (3) SOC 150 or SOC 151 or SOC 171

• (4) POSC 181 or POSC 182 or POSC 183

• (5) ANTH 127 or ANTH 131

These two courses must be outside the discipline of Economics and cannot be courses included as part of the three- course Business Administration track or their cross-listed equivalents.

• b) A three-course track (12 units) in

Business Administration courses from one of the following:

• (1) Organizations (General): BUS 100,

BUS 107, BUS 176/SOC 176, BUS 158/ANTH 105, SOC 150, SOC 151

• (2) Human Resources Management/Labor

Relations: BUS 100, BUS 107, ECON 152, BUS 153/ECON 153, BUS 155, BUS 157, PSYC 142

• (3) Business and Society: BUS 100, BUS 102, BUS 107, PHIL 116, POSC 182,

POSC 186

• (4) Marketing: BUS 103, and two from

BUS 112, BUS 113, BUS 114, BUS 117

• (5) Managerial Accounting/Taxation: BUS 108, and two from BUS 166, BUS 168A, BUS 168B

• (6) Financial Accounting: BUS 108, BUS 165A, BUS 165B

• (7) Finance: BUS 106/ECON 134 and two

from BUS 134, BUS 136, BUS 137, BUS 138, BUS 139

• (8) Management Information Systems:

BUS 101, BUS 171, BUS 173

• (9) Production Management: BUS 104/

STAT 104, and two from BUS 105, BUS 122, BUS 127/STAT 127

Note In filling the dual requirements of the major students may not count more than two courses toward both parts of their total requirements. (This limitation applies to specified Economics requirements and specified Administrative Studies requirements, but does not apply to the required Mathematics and Statistics courses.) Economics/Law and Society Major

The Law and Society major is open to undergraduate students with junior standing who have completed LWSO 100 with a grade of “C” or higher. The major requirements for the B.A. degree in Economics/Law and Society are as follows:

• 1. Economics requirements (11 courses [at least

49 units])

• a) ECON 002, ECON 003

• b) ECON 119

• c) ECON 104A, ECON 104B, ECON 105A

• d) Five additional upper-division courses

in Economics worth 4 or 5 units each, including at least two that have either ECON 104A or ECON 105A or ECON 107 as a prerequisite. ECON 107 may be chosen as an advanced elective. Two 2-unit courses can replace one 4- or 5-unit elective course.

Note Up to 4 units of internship credit may be counted toward the upper-division elective courses in Economics.

• 2. Law and Society requirements (36 units)

• a) PHIL 007 or PHIL 007H

• b) LWSO 100 (with a grade of “C” or better)

• c) One course chosen from POSC 114,

PSYC 012, SOC 004 (or equivalent course in research methods)

• d) Three courses chosen from ANTH 127,

ECON 119, HISE 153, PHIL 165, POSC 167, PSYC 175, SOC 159

• e) Two courses chosen from ENSC 174,

HISA 120A, HISA 120B, HISE 123, LWSO 175 (E-Z), PHIL 164, POSC 111, POSC 166, POSC 168, POSC 186, SOC 147, SOC 149, SOC 180

• f) LWSO 193, Senior Seminar

Note For sections 2.d) and 2.e) combined, not more than two courses may be taken from the same department. In filling the dual requirements of the major, students may not count more than two courses toward both parts of their total requirements. (This limitation applies to specified Economics requirements and Law and Society requirements.)

The minor in Economics provides a background in this discipline. Students take basic microeconomic and macroeconomic theory courses, and then are given freedom of choice in pursuing upper-division courses of great interest.

All candidates for the minor in Economics must take

• 1. Lower-division requirements (10 units):

ECON 002 and ECON 003

• 2. Upper-division requirements (at least 26

units):

• a) ECON 102 or ECON 104A, ECON 103 or

ECON 105A

• b) Four additional upper-division courses (at

Economics / 228 least 16 units) in Economics

See Minors under the College of Humanities, Arts, and Social Sciences in the Colleges and Programs section of this catalog for additional information on minors.

The Department of Economics offers the M.A. and Ph.D. degrees in Economics.

The graduate Economics program is designed to prepare students for research and teaching in academic institutions as well as for positions in government, international agencies, and the private sector.

Admission Students are normally admitted only in the fall quarter. Applicants should apply electronically, at graduate.ucr.edu. Students submit the completed application, GRE scores, three letters of recommendation (from persons familiar with the student’s academic work), and transcripts in duplicate of previous academic work.

Master’s Program Students should have first- year calculus, a course in statistics, and some background in economics before beginning course work. Students who do not meet these requirements may still be admitted but normally must take these courses as prerequisites to the required courses. Applicants to the M.A. program must have the same academic potential as Ph.D. applicants, as reflected by GPA and GRE scores. Admission to the M.A. program does not guarantee later admission to the Ph.D. program.

Doctoral Program The department encourages applicants from a variety of backgrounds, but a good understanding of intermediate microeconomics, intermediate macroeconomics, multivariate calculus, and elementary linear algebra is necessary to begin taking the core requirements, described below. In addition, two courses in basic probability and statistics or econometrics are required before beginning the core econometrics sequence. Students who do not satisfy the requirements, or who have been out of school for several years, should consider enrolling in the one-year M.A. program.

The M.A. degree is designed as a preparatory program for those students interested in pursuing the Ph.D. but who are not adequately prepared to enter the Ph.D. program directly (e.g., students who lack the necessary prerequisites in economics or mathematics or students who have been out of school for some time).

The Ph.D. is the primary degree objective of the graduate program. Students first complete a core curriculum in economic theory and quantitative methods. These courses provide training in the fundamental concepts and research methods of the discipline. Following demonstration of professional competence in the core areas, students specialize in theoretical or applied areas of economics. This leads to the development of independent research and the writing of the Ph.D. dissertation.

Core Requirements

• 1. Economic Theory

Students must complete the following:

• a) ECON 200A, ECON 200B, ECON 200C

(Microeconomic Theory)

• b) ECON 201A, ECON 201B, ECON 201C

(Macroeconomic Theory)

All students must pass two cumulative examinations: one in microeconomic theory (covering topics encompassed in the course sequence ECON 200A, ECON 200B, and ECON 200C) and one in macroeconomic theory (covering the topics in ECON 201A, ECON 201B, ECON 201C). Both examinations are given at the end of the first year, and at the beginning of the fall quarter. After completing the sequence of courses, students must sit for each examination at each offering until they have passed the requirement. An unexcused failure to sit for a required examination will be regarded as a failure. All students can have two attempts. Only students who pass at least one of the exams in the first or second attempts can have a third attempt in the other failed exam. No student will be given more than three attempts to achieve a satisfactory grade on each one of the two examinations.

• 2. Quantitative Methods

Students must complete the following: ECON 205A, ECON 205B, ECON 205C (Econometric Methods I, II, III). To satisfy these course requirements, students must attain a “B” average in the sequences.

Core courses may be waived, based on equivalent graduate work completed elsewhere. The cumulative examinations, however, may not be waived.

Colloquium and Paper Requirement

Students must enroll in at least one offering of ECON 289A (Colloquium in Economics) each quarter of their first year and at least one offering of ECON 289B each quarter of their formal residence from the second year on. In addition, students must write a well-rounded research paper by the fall term of the fourth year. The research paper will be evaluated by members of the oral qualifying examination committee or members of the dissertation committee, if already formed. Students must give a presentation on their thesis research by the fall term of their fifth year.

Field Requirement

All students must:

• i. complete course work in a major field

consisting of three courses.

and

ii. take five additional field courses in any of the fields. Students must pass a comprehensive examination in their field. Comprehensive examinations in each major field are given twice a year. After completing the major field courses, students must take the next scheduled examination. The exams are given mid-Summer and if necessary at the end of Fall quarter. All students can have a maximum of two attempts in a given field, and can take field exams in no more than two fields, after completing their respective field courses.

• 1. Advanced Econometrics

Students must complete the courses a) and

• b) and one of the courses from c), d), e), or
• f) listed below.

• a) ECON 285E (Advanced Econometric

Methods)

• b) ECON 285F (Topics in Econometrics)

• c) ECON 285G (Applied Econometrics)

• d) ECON 285-I (Macroeconometrics)

• e) ECON 285J (Nonparametric

Econometrics)

• f) ECON 285K (Microeconometrics)

• 2. Advanced Macroeconomic Theory

Students must complete the following:

ECON 282E (Foundations of Macroeconomics)

ECON 282F (Advanced Monetary Theory)

ECON 282G (Special Topics in Macroeconomic Theory)

• 3. Advanced Microeconomic Theory

Students must complete three of the following:

ECON 247 (Recent Advances in Public Economics)

ECON 283E (Rational Choice Theory)

ECON 283F (Measurement and Aggregation in Economics)

ECON 283G (General Equilibrium)

ECON 283I (Social Choice and Welfare)

ECON 283J (Uncertainty and Information)

ECON 283K (Special Topics in Microeconomic Theory)

ECON 283N (Application of Games and Information Economics)

• 4. Advanced Political Economy

Students must complete the following:

ECON 202 (Topics in Economic Theory: Critiques and Alternative Approaches)

ECON 272A (Political Economy: Marxian Economics)

ECON 272B (Political Economy: Efficiency, Justice, and Power)

• 5. Development Economics

Students must complete three of the following:

ECON 260 (Theories of Economic Development)

ECON 261 (Contemporary Development Strategies) 229 / Programs and Courses

ECON 263 (Health, Labor and Human Capital in Developing Countries)

ECON 264 (Topics in Economic Development)

ECON 265 (Agricultural and Rural Development)

• 6. Economic History

Students must complete three of the following:

ECON 212 (History of Economic Theory and Methodology)

ECON 213 (Methods and Themes in Economic History)

ECON 223 (American Economic History)

ECON 224 (Economic History of the World Economy in the Twentieth Century)

• 7. International Trade Theory/International

Finance

Students must complete the following:

ECON 234 (International Trade Theory)

ECON 235 (Topics in International Trade Theory)

ECON 236/POSC 215 (Political Economy of International Finance)

ECON 237 Topics in International Finance)

• 8. Labor Economics

Students must complete the following two courses:

ECON 240 (Labor Demand)

ECON 241 (Labor Supply)

And one of the following:

ECON 242 (Labor Market Equilibruim) ECON 243 (Topics in Labor) ECON 244 (Empirical Research Methods)

• 9. Money, Credit, and Business Cycles

Students must complete three of the following:

ECON 250 (Money, Credit, and the Macroeconomy)

ECON 251 (Business Cycle Theory)

ECON 254 (Topics in Money, Credit, and Business Cycles)

• 10. Resource and Environmental Economics

Students must complete three of the following:

ECON 207 (Environmental Economics)

ECON 208 (Models of Nonrenewable Resource Management)

ECON 209 (Models of Renewable Resource Management)

ECON 210 (Topics in Environmental Economics)

• 11. Public Economics

Students must complete the following two courses: ECON 246 (Introduction to Public Economics)

ECON 247 (Recent Advances in Public Economics)

and any one of the following courses:

ECON 283E (Rational Choice Theory) ECON 283F (Measurement and Aggregation in Economics) ECON 283G (General Equilibrium) ECON 2831 (Social Choice and Welfare) ECON 283J (Uncertainty and Information) ECON 283K (Special Topics in Microeconomic Theory) ECON 283N (Applications of Games and Information Economics) Not all of these fields and courses are offered every year; offerings depend primarily on student demand.

As the department faculty is expanding, we expect to add additional fields in the near future. These may include International Economics and Health Economics.

Oral Qualifying Examination Students must pass an oral qualifying examination, which covers a dissertation prospectus and subject matter related to the student’s major field and other field courses. It is given by a committee of five faculty members, at least one of whom is not a Department of Economics faculty member. Students who enter the program fully prepared normally take the examination before the beginning of the third year.

Dissertation and Final Examination The final requirement is the completion of a dissertation, under the direction of a dissertation committee, and passing a final examination defending the dissertation. The dissertation committee is normally composed of three Department of Economics faculty members (including cooperating faculty), usually chosen from the oral qualifying examination committee. Students who enter the program fully prepared normally complete the dissertation by the end of the fifth year. Students are encouraged to present a dissertation prospectus to a meeting of ECON 289 in their third year.

Plan II (Comprehensive Examination) Students must complete a total of 36 units, 24 of which must be at the graduate level. Students must complete the following:

• 1. ECON 200A (Microeconomic Theory) or

ECON 206 (Mathematics for Economists)

• 2. ECON 204A (Microeconomic Theory for

Master’s Students) or ECON 200A ECON 200B (Microeconomic Theory)

• 3. ECON 204B (Macroeconomic Theory for

Master’s Students) or ECON 201A ECON 201B (Macroeconomic Theory)

• 4. ECON 205A (Econometric Methods I) and

ECON 205B (Econometric Methods II)

Examination Requirements

Students must pass one of the following examinations:

• 1. Master’s examination covering the topics in

ECON 204A, ECON 204B

• 2. Doctoral cumulative examination in either

microeconomic theory or macroeconomic theory (graded at the master’s level)

• 3. Doctoral Comprehensive Examination in any

of the ten fields described above (graded at the master’s level)