Economic Theories ( Powerpoint Presentation)

Week 1: Introduction to Economic Theories

• Overview of economic thought
• The role of economic theory in shaping policy
• Key concepts in economic theories: scarcity, efficiency, and rationality

Week 2: Classical Economics

• Adam Smith and the Wealth of Nations
• The theory of the Invisible Hand and laissez-faire economics
• David Ricardo and the theory of comparative advantage
• Thomas Malthus and population theory

Week 3: Marxist Economics

• Karl Marx’s critique of capitalism
• Labor theory of value
• Surplus value and exploitation
• The role of class struggle in economic systems

Week 4: Neoclassical Economics

• The marginal revolution: Jevons, Menger, and Walras
• Supply and demand theory
• Utility maximization and consumer choice theory
• Perfect competition and market equilibrium

Week 5: Keynesian Economics

• John Maynard Keynes and the General Theory
• Aggregate demand and the role of government intervention
• Fiscal policy and its effects on the economy
• Keynesianism during the Great Depression and its revival in modern economic crises

Week 6: Monetarism and the Chicago School

• Milton Friedman and the theory of monetarism
• The quantity theory of money
• The role of monetary policy in controlling inflation
• Criticisms of Keynesian economics

Week 7: Austrian Economics

• Carl Menger and the Austrian School
• Friedrich Hayek: the price mechanism and decentralized knowledge
• The concept of opportunity cost
• Critique of central planning and the role of entrepreneurship

Week 8: Supply-Side Economics

• The foundations of supply-side theory
• Tax cuts and incentives for production
• The Laffer Curve and its implications for fiscal policy
• Case studies of supply-side economics in practice

Week 9: Behavioral Economics

• Departure from the rational agent model
• Insights from psychology and economics: bounded rationality, heuristics, and biases
• Behavioral finance and its impact on market behavior
• Policy applications of behavioral economics (nudges and choice architecture)

Week 10: Institutional Economics

• Thorstein Veblen and the theory of institutions
• The role of social and legal frameworks in economic outcomes
• Institutional change and economic development
• Comparative institutional analysis

Week 11: Development Economics

• Theories of economic development
• The role of institutions in economic growth
• The Solow Growth Model and endogenous growth theory
• Strategies for poverty reduction and the role of international organizations

Week 12: Ecological Economics

• Critique of traditional growth models
• The relationship between the economy and the environment
• Sustainable development and resource economics
• Theories on environmental limits to growth

Week 13: Game Theory and Strategic Behavior

• Introduction to game theory and its economic applications
• Nash equilibrium and dominant strategies
• Prisoner’s Dilemma and real-world examples
• Applications in business strategy and policy design

Week 14: Post-Keynesian and New Classical Economics

• Post-Keynesian critiques of mainstream economics
• The role of uncertainty in economic decision-making
• Rational expectations and the Lucas critique
• Real Business Cycle Theory

Week 15: Modern Macroeconomics

• New Keynesian and New Classical synthesis
• DSGE (Dynamic Stochastic General Equilibrium) models
• The role of central banks and modern monetary policy
• Contemporary debates in macroeconomic theory

Week 16: Review and Final Projects

• Review of key theories and their applications
• Case studies of economic theory in practice
• Final project presentations: Application of an economic theory to a current issue