Economics

2017-18 General Catalog

401 Engineering 2
(831) 459-2743
http://economics.ucsc.edu

Faculty | Course Descriptions


Program Description

An understanding of economics is a vital component of a liberal arts education and a necessity for anyone interested in such areas as business, environmental policy, economic development, immigration, educational reform, international competitiveness and trade, or transformations in the global economy.

The programs offered by the UCSC Economics Department are designed to acquaint students with a broad range of economic issues and with the tools economists use. The department offers the following majors:

  • Economics B.A.

  • Business management economics B.A.

  • Global economics B.A.

  • The department also offers the following combined majors:

  • Economics/Mathematics B.A.

  • Environmental studies/Economics B.A.

  • A minor in economics is also available.

The economics curriculum begins at the introductory level; no specific high school preparation is required. All economics majors study a substantial core of economic theory and mathematical and statistical methods, and then choose among a wide variety of upper-division electives.

Economics majors may combine their upper-division elective choices in a variety of ways to achieve specialization in a number of possible areas, including environmental economics, public policy, political economy, international economics, economic development, and quantitative methods.

General Requirements

Qualification for an Economics Major

The Economics Department administers four undergraduate majors: economics, business management economics, global economics, and economics/mathematics. The qualification requirements for major declaration are the same for all four.

Students must take three courses prior to petitioning for entry to an economics major: Economics 1 (Introductory Microeconomics) and Economics 2 (Introductory Macroeconomics) and one of the following calculus courses: Economics/Applied Mathematics and Statistics 11A, Mathematical Methods for Economists; or Mathematics 11A, Calculus with Applications; or Mathematics 19A, Calculus for Science, Engineering, and Mathematics. Students who have a combined grade-point average (GPA) of 2.8 or better in Economics 1, 2, and the first calculus course qualify for the economics major upon applying. Students receiving a grade of NP, C-, D+, D, D-, or F in one of the courses required for admission to the major may only declare once they have passed the same or equivalent course with a grade of C or better. Students who receive two grades of NP, C-, D+, D, D-, or F in the required courses are not eligible to declare the major. Students are encouraged to apply to the major as soon as they have satisfactorily completed these three courses. Equivalent courses may be taken at other universities or community colleges. Students should check on assist.org to determine whether a transfer course is designated as equivalent to Economics 1, 2 or the first required calculus course. Transfer students are strongly encouraged to ask the department to review such courses prior to matriculation at UCSC, since an offer of admission to UCSC does not automatically imply admission to the economics major.

Students can receive course credit for Advanced Placement examinations in Micro (Econ 1), Macro (Econ 2), Statistics (AMS 5) and the first calculus class toward major qualification criteria according to the AP chart: http://admissions.ucsc.edu/publications/ap-ib-chart.pdf.

Please consult with an adviser if you have questions.

Students may petition for admission to the major by filling the Petition for Major/Minor Declaration and the UCSC Academic Planning form and by supplying evidence of their grades in the three pre-major courses.

Students who have a GPA lower than 2.8 in Economics 1, 2, and the calculus course are not eligible to declare an economics major. Students who are not eligible to declare the major may appeal this decision by submitting a letter of appeal to the department within 15 days of the denial of the declaration. Within 15 days of the receipt of the appeal, the department will notify the student, college and Office of the Registrar of the decision. Please check the department web site (http://economics.ucsc.edu) for further information on declaring a major or appealing ineligibility.

All classes included for major qualification determination must be taken for a letter grade. If students have not taken a letter grade, they must appeal by submitting a letter to the Economics Department.

Core Requirements for All Economics Majors

Economics 1 and 2, 11A, 11B, 100A (or 100M), 100B (or 100N), 113, and Applied Mathematics and Statistics 5 or equivalent courses are required for all economics majors and are prerequisites for most upper-division courses. Students are urged to complete these courses as soon as possible. Students who are committed to the major early in their academic career, should plan to complete at least Economics 1, 2, 11A, 11B, and preferably 100A, 100B, and 113 by the end of their sophomore year. Students are also encouraged to choose the letter grade option when taking these courses.

Mathematics and Statistics Content Requirement

Mathematics: Successful completion of Economics 11A and 11B, also offered as Applied Mathematics and Statistics 11A and 11B, (or equivalent) is required of all economics majors and is prerequisite to Economics 100A (or 100M), 100B (or 100N), and 113. Therefore, students are advised to take Economics 11A and 11B or their equivalent as early as possible in their undergraduate career. Mathematics 11A-B and 22 (or 23A by petition only through the Mathematics Department), or 19A-B and 22 or 23A, are acceptable equivalents to Economics 11A and 11B. Students may also complete the mathematics requirement by taking Mathematics 11A or Mathematics 19A, and then Economics 11B or Applied Mathematics and Statistics 11B. Students planning to pursue graduate work in economics or business should seriously consider more intensive mathematical training; consult an adviser.

Transfer students interested in the combined Economics/Mathematics major are encouraged to complete as many lower-division (mathematics and statistics) courses as they can prior to transferring. The courses need to be equivalent to Math 19A, 19B, 22 or 23A, and 23B.

Statistics: Applied Mathematics and Statistics 5, Statistics or

Applied Mathematics and Statistics 7, Statistical Methods for Biological, Environmental and Health Sciences, or

Computer Engineering 7, Statistical Reasoning in the Age of the Internet

Comprehensive Requirement

The comprehensive requirement for the economics major and the combined economics/mathematics major is satisfied by passing the following intermediate core courses with grades of C or better here at UCSC: Economics 100A or 100M, and 100B or 100N, and 113. Students may elect to complete a senior thesis with consent of an instructor in addition to completing the intermediate core courses.

Disciplinary Communication (DC) Requirement

All undergraduate majors must satisfy the campus’ Disciplinary Communication (DC) requirement. The DC requirement in economics is satisfied by completing Economics 104, Is There Truth in Numbers: The Role of Statistics in Economics; or Economics 197, Economic Rhetoric. Students in the combined economics/mathematics major may also satisfy the requirement by completing Mathematics 100, Mathematical Proof, and either Mathematics 194, Senior Seminar, or Mathematics 195, Senior Thesis.

Independent Study

Students are encouraged to petition for independent study on topics of special interest to them. Economics 199, Tutorial, may be used as only one of the upper-division courses required for the major or minor.

Field-Study Program

The Economics Department offers its majors the opportunity to integrate their academic knowledge with career-related work. The field-study program places students in internships under the supervision of a faculty sponsor and a professional at the workplace. Students can select from a wide variety of field placements such as accounting firms, community non-profits, government agencies, brokerage firms, marketing agencies, banks, and businesses in Santa Cruz and beyond. Students apply for field study a quarter in advance. Participation in the field-study program requires at least junior standing, completion of courses 100A (or 100M), 100B (or 100N), and 113 as well as good academic standing. Students may earn a maximum of 10 academic credits and complete up to two quarters in a field placement. A field study requires 12 hours per week spent working on internship duties and completion of an academic project supervised by a faculty sponsor. Time spent toward the academic requirements set by the faculty sponsor is not included in the 12 hours spent at the field placement.

Along with the training and supervision by a professional at the workplace, students receive guidance from a faculty sponsor who directs their academic project. Students earn credit through the completion of this project and the job supervisor’s evaluation of performance. Economics field-study courses (193 and 198) do not satisfy any upper-division requirements for the major and are available as Pass/No Pass only.

Interested students should make an appointment or stop by the Economics Department at 401 Engineering 2; or e-mail econintern@ucsc.edu. Web address: http://economics.ucsc.edu 

Transfer Students

A student transferring to UCSC may fulfill some of the requirements for the major by completing equivalent courses, with a grade of C or better, at another recognized institution. Please refer to the section on Admission to the Major and Minor for specific admission requirements for the Economics majors.

Students should check on assist.org for already established equivalency agreements between UC and the California community colleges. For courses not already articulated through assist.org, transfer students must present their Transfer Credit Summary (available on the student portal) and course syllabi or descriptions to an Economics Department adviser. The department approves courses applicable for economics prerequisites and major requirements.

All transfer students must complete the three-course senior comprehensive requirement (and the DC requirement as stated previously) at UCSC. Economics and global economics majors must take at least two of their upper-division economics electives at UCSC. Business management economics majors must take at least three of their upper-division economics electives at UCSC, one of which must be 101, 133, or 135. Courses taken for credit elsewhere may not be repeated for credit here.

Combined Majors

The Economics Department offers the following combined majors: economics/mathematics and environmental studies/economics. Requirements for these majors may be reviewed under their separate entries in this catalog.

Program Learning Outcomes

Program learning outcomes for economics, economics and mathematics, business management economics, and global economics majors:

  1. Critical Thinking Skills: Students are expected to be able to apply economic analysis to everyday problems in real world situations, to understand current events and evaluate specific policy proposals, and to evaluate the role played by assumptions in arguments that reach different conclusions to a specific economic or policy problem.

  2. Quantitative Reasoning Skills: Students are expected to understand how to use empirical evidence to evaluate the validity of an economic argument, use statistical methodology, interpret statistical results, and conduct appropriate statistical analysis of data.

  3. Problem-Solving Skills: Students are expected to be able to solve problems that have clear solutions and to address problems that do not have clear answers and explain conditions under which these solutions may be correct.

  4. Specialized Knowledge and Application of Skills: Students are expected to develop critical and quantitative thinking skills specific to business and accounting.

  5. Communication Skills: Students are expected to be able to communicate effectively in written, oral, and graphical form about specific issues, and to formulate well-organized written arguments that state assumptions and hypotheses supported by evidence.

Economics Program Description

Economics studies how individuals, firms, governments, and other organizations within our society make choices, and how these choices affect the society’s use of its available resources. Economists study a wide range of questions such as: How do individuals make decisions in the face of uncertainty? What are the causes of the Great Recession of 2009? Why do Europeans work fewer hours than Americans? Why have health care and education costs risen so much? What are the consequences of government deficits? Why has the gap between rich and poor in many countries risen? Why have some poor countries grown faster than many rich countries in recent years?

Economics majors study a substantive core of theory and mathematical and statistical methods that aid in addressing these questions. This required core can be combined with electives that emphasize specialized areas such as international economics, finance, public policy, applied microeconomics, law and economics, economic development, quantitative methods, macroeconomics, game theory and behavioral economics. A focus on core theory as well as mathematical and quantitative tools provides a foundation for graduate studies in economics. Selecting a range of electives to sample the broad domain of economics offers an excellent background for students who plan to enter careers in the private sector, in public service, the non-profit sector or to attend law school or other professional schools.

Economics Major Requirements

Students who major in economics are required to take the following courses:

1, Introductory Microeconomics: Resource Allocation and Market Structure

2, Introductory Macroeconomics: Aggregate Economic Activity

11A, Mathematical Methods for Economists I (or equivalent)

11B, Mathematical Methods for Economists II (or equivalent)

100A, or 100M Intermediate Microeconomics

100B, or 100N Intermediate Macroeconomics

113, Introduction to Econometrics

197, Economic Rhetoric or Economics 104, Is There Truth in Numbers: The Role of Statistics in Economics

Applied Mathematics and Statistics 5 Statistics or

Applied Mathematics and Statistics 7/L Statistical Methods for the Biological, Environmental, and Health Sciences;

and four additional upper-division economics courses, at least three of which must be selected from the following:

105, Topics in Macroeconomics

114/L, Advanced Quantitative Methods

120, Economic Development

121, Economic Growth

125, Economic History of the U.S.

126, Why Economies Succeed or Fail

128, Poverty and Public Policy

130, Money and Banking

*131, International Financial Markets

*133, Security Markets and Financial Institutions

*135, Corporate Finance

137, Performing Arts in the Public and Private Economy

140, International Trade

141, International Finance

142, Advanced Topics in International Finance

143, Policy Issues in the International Economy

148, Latin American Economies

149, The Economies of East and Southeast Asia

150, Public Finance

156, Health Care and Medical Economics

159, The Economics of Organizations

160A, Industrial Organization

160B, Government and Industry

165, Economics as an Experimental Science

166A, Game Theory and Applications I

166B, Game Theory and Applications II

169, Economic Analysis of the Law

170, Environmental Economics

171, Natural Resource Economics

175, Energy Economics

180, Labor Economics

183, Women in the Economy

184, Labor Wars in Theory and Film

189, Political Economy of Capitalism

190, Senior Proseminar

* Students can count one of these three courses toward the minimum of three economics electives.

Courses 191, 192, 193, 193F, 198, and 198F may not be used to meet major requirements. Either course 195 or 199 may be used to fill one of the four upper-division elective major requirements. Other electives are listed under the Business Management Economics program description.

Minor Requirements

Students earn a minor in economics by completing the following requirements:

ECON 1, Introductory Microeconomics: Resource Allocation and Market Structure

ECON 2 Introductory Macroeconomics: Aggregate Economic Activity

ECON/AMS 11A, Mathematical Methods for Economists I

ECON/AMS 11B, Mathematical Methods for Economists II

Applied Mathematics and Statistics 5, Statistics; or Applied Mathematics and Statistics 7/L, Statistical Methods for the Biological, Environmental, and Health Sciences; or Computer Engineering 7, Statistical Reasoning in the Age of the Internet

ECON 100A/ 100M Intermediate Microeconomics

ECON 100B/100N Intermediate Macroeconomics

ECON 113 Introduction to Econometrics

Three additional upper-division economics electives.

Economics 191, 192, 193, 193F, 198, and 198F may not be used to meet minor requirements.

Business Management Economics Program Description

The business management economics major provides students who are interested in careers in business or management with a foundation in economics and a selection of applied fields related to business management. This course of study prepares students for entrance into the business world or admission to graduate programs—either the master’s program in applied economics and finance at UCSC or graduate programs in business and management at other universities.

The program provides a business and management education embedded within a broader economics and liberal arts context and is closely related to the economics and global economics majors and the technology and information management major.

This major has several important elements. First, it combines the strong analytic approach of economics with the technical aspects of management. Second, it recognizes that computing is intrinsic to business and is an essential skill for those who wish to enter this field. Students in this major gain knowledge about using computing as a tool of analysis for economic, statistical, and financial data. Third, the major offers field placements (arranged with the economics advisers) which provide an excellent way to apply students’ academic knowledge of economics, business, and management to issues and problems in the real world; they provide marketable skills as well as important job contacts.

In cooperation with the UC Education Abroad Program (EAP), opportunities are available for students to take some business courses (taught in English) in Europe, Mexico, and Hong Kong. Students should ask the Economics Department for additional information about these programs.

Students who are committed to the major early in their academic career should plan to complete Economics 1, 2, 10A, 10B, 11A, 11B and preferably 100A, 100B, and 113 no later than the end of their sophomore year.

Business Management Economics Major Requirements

Introductory and core requirements. Students who major in business management economics are required to take the following courses:

1, Introductory Microeconomics: Resource Allocation and Market Structure

2, Introductory Macroeconomics: Aggregate Economic Activity

10A, Economics of Accounting (or equivalent, see under General Requirements)

10B, Economics of Accounting (or equivalent, see under General Requirements)

11A, Mathematical Methods for Economists I (or equivalent)

11B, Mathematical Methods for Economists II (or equivalent)

100A or 100M, Intermediate Microeconomics

100B or 100N, Intermediate Macroeconomics

113, Introduction to Econometrics

197, Economic Rhetoric; or ECON 104, Is There Truth in Numbers: The Role of Statistics in Economics

Applied Mathematics and Statistics 5, Statistics; or Applied Mathematics and Statistics 7/L, Statistical Methods for the Biological, Environmental, and Health Sciences; or Computer Engineering 7, Statistical Reasoning in the Age of the Internet

Computer literacy requirement. Students must complete a minimum of two courses from the following list (with department approval, a student may substitute other computing courses):

Computer Engineering

12/L, Computer Systems and Assembly Language

80N, Introduction to Networking and the Internet

Computer Science

10, Introduction to Computer Science

12A/L, Introduction to Programming

5C, Introduction to Programming in C++

5J, Introduction to Programming in Java

5P, Introduction to Programming in Python

80B, Systems and Simulation

Technology and Information Management

50, Business Information Systems

58, Systems Analysis and Design

Note: Students with no prior programming experience are encouraged to take Computer Science 5J and Computer Science 10 rather than Computer Science 12A/L.

Upper-division electives. Students are required to take five additional courses: four in business management and one other economics elective. Students must choose four courses from the following list; at least one of the four must be a course designated with an asterisk (*).

*101, Managerial Economics

110, Managerial Cost Accounting and Control

111A, Intermediate Accounting I

111B, Intermediate Accounting II

111C, Intermediate Accounting III

112, Auditing and Attestation

115, Introduction to Management Sciences

117A, Tax Factors for Individuals

117B, Tax Factors for Business and Investment

119, Advanced Accounting

#130, Money and Banking

131, International Financial Markets

*133, Security Markets and Financial Institutions

*135, Corporate Finance

136, Business Strategy

138, The Economics and Management of Technology and Innovation

139A, Economics of Electronic Commerce

139B, E-Commerce Strategy

#159, The Economics of Organizations

#160A, Industrial Organization

#160B, Government and Industry

161A, Marketing

161B, Marketing Research

164, Economics and the Telecommunications Industry

188, Management in the Global Economy

194, Advanced Topics in Management

# Students can use one of these courses as either a business management elective or an economics elective, but the course cannot be counted twice.

Students must choose the remaining one course from the upper-division economics electives listed for the economics major (see preceding page).

Courses 191, 192, 193, 193F, 198, and 198F may not be used to meet major requirements. Either course 195 or 199 may be used to fill one of the five elective upper-division major requirements.

Field study. One quarter of field study is strongly recommended. Placements and credit for course 193 or 198 are arranged through the economics field-study coordinator. See above under Field-Study Program description.

Global Economics Program Description

Global economics is an interdisciplinary major designed to prepare students to participate in the global economy; the program aims to deepen the student’s knowledge of economics within a culturally and linguistically diverse world. The major is particularly useful to students contemplating careers at home or overseas in international relations, in international business, or with international organizations. Hence the major requires overseas study, regional area study, and second-language proficiency in addition to the basic economics requirements.

Global Economics Major Requirements

Introductory and core requirements. Students who major in global economics are required to take the following courses:

1, Introductory Microeconomics: Resource Allocation and Market Structure

2, Introductory Macroeconomics: Aggregate Economic Activity

11A, Mathematical Methods for Economists (or equivalent)

11B, Mathematical Methods for Economists (or equivalent)

100A or 100M, Intermediate Microeconomics

100B or 100N, Intermediate Macroeconomics

113, Introduction to Econometrics

197, Economic Rhetoric or Economics 104, Is There Truth in Numbers: The Role of Statistics in Economics

Applied Mathematics and Statistics 5, Statistics; or Applied Mathematics and Statistics 7/L, Statistical Methods for the Biological, Environmental, and Health Sciences; or Computer Engineering 7, Statistical Reasoning in the Age of the Internet

Students are strongly recommended to complete courses 100A (or 100M), 100B (or 100N), and 113 prior to study abroad. In addition, majors must have language study, area study, and overseas study, as described below.

Courses 191, 192, 193, 193F, 198 and 198F may not be used to meet major requirements. Either course 195 or 199 may be used to fill one of the four elective upper-division major requirements.

Upper-division requirements. Four additional upper-division courses are required. Please see the entire economics course list. These may include approved courses offered by other departments.

At least one of the four courses must be selected from the following three:

120, Economic Development

140, International Trade

141, International Finance

In addition, at least one course must be chosen from the following departmental listings:

Economics

120, Economic Development

121, Economic Growth

126, Why Economies Succeed or Fail: Lessons from Western and Japanese History

131, International Financial Markets

140, International Trade

141, International Finance

142, Advanced Topics in International Economics

143, Policy Issues in the International Economy

148, Latin American Economies

149, The Economies of East and Southeast Asia

188, Management in the Global Economy

The other two required electives may be chosen from any upper-division economics courses.

The global economics major has three additional elements:

  1. Foreign Language Study: The global economics major requires a foreign language since students who plan to work in the larger world must have fluency in a language other than English. This language should be relevant to their regional area of interest. Students can meet this requirement by completing two years of university-level language courses or by demonstrating an equivalent level of competence through a recognized language test.

  2. Area Study: The major requires students to take two additional courses selected from the offerings of departments other than economics in order to learn about the history, political economy, or culture of some other part of the world. These can be lower- or upper-division courses; the courses should focus on the area of the student’s language study and overseas study. The Economics Department provides a list of approved courses; substitute courses are welcomed when they are part of the student’s overseas program or from other UCSC departments, but must be approved by the adviser for the global economics major.

  3. Study Abroad: All students are required to spend at least one term abroad in an approved course of study in their regional area of concentration; students may also choose a year-long program. Typically, a student will do this through the UC Education Abroad Program (EAP). Numerous overseas study sites are available through EAP. Students desiring to fulfill their required study abroad through EAP must apply directly to the EAP office for the selected program and are subject to the admission requirements determined by UC EAP. In countries and at universities where EAP programs are not available, students may make their own arrangements for study with the permission of the director of the program. Students may use the time abroad to further their language study, to meet the area study course requirements, to meet some of the upper-division economics course requirements, or to take courses unrelated to the major. Students who are not accepted to an overseas program or who cannot meet the language or area course requirements are advised to complete the general economics major as an alternative.

Combined Economics/Mathematics Program Description

The major in Economics and Mathematics is designed to meet the needs of undergraduate students who plan to pursue doctoral study in economics or business, or who wish to pursue a career as an actuary or other professional requiring a sophisticated understanding of economics and mathematics. The major combines the main undergraduate content of both Economics and Mathematics within a programmatic structure that joins the two disciplines. It provides a coursework combination required to prepare for an economics doctoral (Ph.D.) program, or for a group of technically demanding professional careers.

Economics/Mathematics Major Requirements

Economics Required Courses

1, Introductory Microeconomics: Resource Allocation and Market Structure

2, Introductory Macroeconomics: Aggregate Economic Activity

100A or 100M, Intermediate Microeconomics

100B or 100N, Intermediate Macroeconomics

113, Introduction to Econometrics

DC requirement (see statement under General Requirements)

Applied Mathematics and Statistics 5, Statistics; or Applied Mathematics and Statistics 7/L, Statistical Methods for the Biological, Environmental, and Health Sciences; or Computer Engineering 7, Statistical Reasoning in the Age of the Internet

Economics elective courses

(choose three from the following list)

101, Managerial Economics

115, Introduction to Management Sciences

120, Economic Development

121, Economic Growth

125, Economic History of the U.S.

126, Why Economies Succeed or Fail

128, Poverty and Public Policy

130, Money and Banking

131, International Financial Markets

133, Security Markets and Financial Institutions

135, Corporate Finance

136, Business Strategy

137, Performing Arts in the Public and Private Economy

138, Economics and Management of Technology and Innovation

139A, Economics of Electronic Commerce

139B, E-Commerce Strategy

140, International Trade

141, International Finance

142, Advanced Topics in International Finance

148, Latin American Economies

149, The Economies of East and Southeast Asia

150, Public Finance

156, Health Care and Medical Economics

159, The Economics of Organizations

160A, Industrial Organization

160B, Government and Industry

161A, Marketing

164, Economics and the Telecommunications Industry

165, Economics as an Experimental Science

166A, Game Theory and Applications I

166B, Game Theory and Applications II

169, Economic Analysis of the Law

170, Environmental Economics

171, Natural Resource Economics

175, Energy Economics

180, Labor Economics

183, Women in the Economy

184, Labor Wars in Theory and Film

188, Management in the Global Economy

189, Political Economy of Capitalism

Mathematics Required Courses

Mathematics 19A, Calculus for Science, Engineering, and Mathematics

Mathematics 19B, Calculus for Science, Engineering, and Mathematics

Mathematics 21, Linear Algebra

Mathematics 22, Calculus of Several Variables or 23A and 23B, Multivariable Calculus

Mathematics 100, Mathematical Proof

Mathematics 105A, Real Analysis

Mathematics electives

(choose two from the following list)

Mathematics 105B, Real Analysis

Mathematics 106, Systems of Ordinary Differential Equations

Mathematics 107, Partial Differential Equations

Mathematics 114, Introduction to Financial Mathematics

Mathematics 117, Advanced Linear Algebra

Mathematics 124, Introduction to Topology

Mathematics 145/L, Chaos Theory

Mathematics 194, Senior Seminar

Mathematics 195, Senior Thesis

Applied Mathematics and Statistics 114, Introduction to Dynamical Systems

Applied Mathematics and Statistics 131, Introduction to Probability Theory

Applied Mathematics and Statistics 132, Statistical Inference

Applied Mathematics and Statistics 147, Computational Methods and Applications

*Students in the combined economics/mathematics major may also satisfy the DC requirement by completing Mathematics 100, Mathematical Proof, and either Mathematics 194, Senior Seminar; or Mathematics 195, Senior Thesis

Additional Preparation for the Major

Students interested in the combined major must meet a minimum GPA requirement in Economics 1 and 2 (and the first calculus course). Transfer students should check assist.org for agreements with California community colleges about economics and mathematics courses. Students who have met all articulations before transferring will need at least six economics and four to five mathematics classes at UCSC to complete the major.

Honors in the Major

The Economics Department considers for honors and highest honors students who have completed a major program with superior or exceptional work. Honors decisions are made by the department’s Honors and Scholarship Committee.

At the end of each quarter, faculty teaching the upper-division core courses submit to the department a list of students in their respective classes whose performance is at the honors level. At the time of graduation, all students who received an honors designation in one or more of these courses are reviewed by the department’s honor committee. The faculty committee looks for a record of excellence in courses offered towards the major, with a strong performance in the upper-division core (theory and econometrics—courses 100A/M, 100B/N, and 113) being a necessary condition for honors. Although a GPA is not computed for the economics courses, in general highest honors are awarded to students who have received a grade of at least an “A” throughout their economics program. Honors are awarded to students who have no more than two courses with grades of less than an “A-.” Students who have completed a portion of the major at another institution may be asked to submit a transcript for evaluation.

Students interested in being reviewed for honors may request that the department conduct a review, and such requests are always granted.

In general, honors have been awarded to between 10 and 15 percent of each year’s graduating class.

Graduate Programs

Master’s Program in Applied Economics and Finance

The master of science (M.S.) program in applied economics and finance is designed for students who want analytical graduate training that prepares them for careers in business, government, international and domestic banking, consulting firms, and nonprofit organizations. The program is unique in its focus on graduate-level economics training for practical applications and its emphasis on communication skills. The curriculum stresses the application of microeconomic and macroeconomic concepts, statistical techniques, finding and using data sources, working out substantial practical applications, developing writing and reporting skills, and presenting material orally before an audience. The program differs from typical master of business administration (M.B.A.) programs by preparing students to meet the increasing technical demands of private- and public-sector employers through comprehensive coursework in economic analysis.

Past graduates of this program have gone on to successful careers in the private and public sectors with placements at a diverse range of companies and institutions, including Cisco Systems, Seagate Technology, Google, Sony Computer Entertainment, Plantronics, Wells Fargo, all of the big four accounting firms, McKesson Corp., Pepsi Corp., Visa, Square Trade, the California Franchise Tax Board, Guardian News (U.K.), Blue Cross, the World Bank, Stanford University, and the Bank of Japan. Other graduates have gone on to earn Ph.D.s in economics.

Courses and Program Requirements

M.S. students are required to take the following classes starting in the fall quarter of the academic year they enroll in the program. Students may also take additional classes if they desire.

Courses and Program Requirements
Fall Winter Spring
200 Microeconomic Analysis 217 Applied Econometric Analysis II 201 Applications in Microeconomics
233 Finance 202 Macroeconomic Analysis 236 Financial Engineering
216 Applied Econometric Analysis Master's elective Master's elective
294A Applied Economics and Finance Lab 294A Applied Economics and Finance Lab 294B Applied Economics and Finance Seminar
*186 Math Methods for Economic Analysis 294B Applied Economics and Finance Seminar

*Note: M.S. students are strongly encouraged to enroll in Econ 186, a pre-fall math course, which is highly beneficial to students’ success in the program. Econ 186 is offered as an accelerated short course before the start of fall quarter.

Electives

Students may satisfy the elective requirements by taking approved courses within the Economics Department or from another discipline. The department has assembled a list of pre-approved masters electives (curricular offerings are subject to change annually). Students will need to file a departmental petition for review and approval of courses that are not on the pre-approved elective list.

Pre-Approved M.S. Electives (please note courses are not offered every quarter or every year)

Economics
Econ 111A,B,C: Intermediate Accounting (with permission of instructor)
Econ 188:  Management in the Global Economy
Econ 211C:  Ph.D. Time Series (with permission of instructor)
Econ 220A:  Ph.D. Development Economics (with permission of instructor)
Econ 235:  Corporate Finance
Econ 250A:  Ph.D. Public and Applied Economics I (with permission of instructor)
Econ 259B: Public Policy Analysis

Applied Mathematics and Statistics
AMS 206: Classical and Bayesian Inference
AMS 206B: Intermediate Bayesian Inference
AMS 207: Intermediate Bayesian Statistical Modeling
AMS 216: Stochastic Differential Equations
AMS 245: Spatial Statistics
AMS 256: Linear Statistical Models

Environmental Studies
ENVS 140:  National Environmental Policy

Computer Science
CMPS 5P:  Introduction to Programming in Python
CMPS 101:  Algorithms and Abstract Data Types
CMPS 102:  Introduction to Analysis of Algorithms
CMPS 109:  Advanced Programming (with permission of instructor)
CMPS 142:  Machine Learning and Data Mining (with permission of instructor)
CMPS 182:  Introduction to Database Management Systems
CMPS 201:  Analysis of Algorithms (with permission of instructor)
CMPS 211:  Combinatorial Algorithms (with permission of instructor)

Technology Management
TM 207: Random Process Models in Engineering (with permission of instructor)
TM 211:  E-Business Technology and Strategy (with permission of instructor)

TM 225:  Management of Technology (with permission of instructor)
TM 245: Data Mining (with permission of instructor)
TM 260: Information Retrieval (with permission of instructor)

*As it is a lower-division course, CMPS 5P, does not count toward the 35 credits required by the university to obtain a master's degree. However, since it broadens the skill-set of students in the program, we allow for it as a masters elective to satisfy department requirements. Before enrolling in this course, students should take care to ensure that they will have 35 eligible credits for graduation.

Students must pass a comprehensive capstone requirement to receive their degree. These comprehensive examinations, one in “applied economics” and one in “finance,” will take place during the second week following spring graduation. September examination dates are scheduled for students who do not pass the June examinations. Further attempts at passing the comprehensive examinations will be approved by the master's committee on an appeal-only basis, with appeals only given for extraordinary or extenuating circumstances. 

For those students that have specific research interests and have distinguished themselves in their coursework, a faculty-sponsored research project and thesis may replace the comprehensive examination requirement. This track requires approval of a faculty adviser and the master's degree committee prior to February 1 of the student’s initial winter quarter.

Ph.D. Program in Economics

The Ph.D. program in economics provides students with training in modern microeconomics, macroeconomics, and econometrics, combined with specialized training in the fields of international finance, international trade, economic development, monetary economics, applied microeconomics, experimental economics, and other areas.

Courses and Program Requirements

First-year Ph.D. students are required to take the three sequences: Economics 204A-B-C, Advanced Micro Theory I-II-III; Economics 205A-B-C, Advanced Macro Theory I-II-III; and Economics 211A-B-C, Advanced Econometrics I-II-III.  In late June each year, first-year students take two written preliminary exams; one each in Micro and Macro. Students who do not pass the exam may attempt the exam again in September. Students who fail the exams twice are not allowed to continue in the program.

Ph.D. students are required to complete two field sequences, and take 30 units of coursework in the second year. Only two courses per topic are needed to satisfy one sequence. Students may choose one of the following sequences: International Trade I-II (240A-B), Advanced International Finance I-II-III (241A-B-C), Development Economics I-II (220A-B), Advanced Monetary Economics I-II/Advanced Macroeconomics (221A-B, 271), Public and Applied Economics I-II (250A-B), and Experimental Economics (270 as well as 272, which is typically offered every other year). Students are required to submit a second-year field paper which is due on August 31, just before the start of the third year. The graduate handbook of the department details the evaluation procedure for the field papers.

Third-year Ph.D. students must attempt and pass the Oral Qualifying Exam by the end of the winter quarter. In addition, students must enroll in a workshop focused on advanced topics in their field of interest: Economics 274, Economics 275, or Economics 276. In addition, students enroll in Economics 298, Dissertation Research (10 units), under their adviser.

In their fourth and fifth years, students are focused on their dissertation research and enroll in either or both Economics 297A-B-C, Independent Study, and/or Economics 298, Dissertation Research.

In their fourth and fifth years, students are focused on their dissertation research and enroll in Economics 298, Dissertation Research (10 units), and a workshop focused on advanced topics in their field of interest: Economics 274, Economics 275, or Economics 276.

Ph.D. Courses and Program Requirements

First Year

Econ 204A,B,C: Advanced Microeconomic Theory (I, II, III; fall, winter, spring respectively)

Econ 205A,B,C: Advanced Macroeconomic Theory (I, II, III; fall, winter, spring respectively)

Econ 211A,B,C: Advanced Econometrics (I, II, III; fall, winter, spring respectively)

Econ 210B: Math Methods for Economic Analysis (pre-fall)

Microeconomic and Macroeconomic Preliminary Exams

Second Year*

Complete 30 units of coursework and complete two field sequences.

Econ 220A,B: Development Economics (I, II)

Econ 221A,B, Econ 271: Advanced Monetary Economics (I, II) / Advanced Macroeconomics

Econ 240A,B: Advanced International Trade (I, II)

Econ 241A,B,C: International Finance (I, II, III)

Econ 250A,B: Public and Applied Economics (I, II)

Econ 270, Econ 272: Behavioral and Experimental Economics
Second Year Field Paper: Due August 31 after the second year.

*Not all field sequences are necessarily offered every year or in the same quarter each year.

Third Year

Econ 274: Workshop in Macroeconomics; Econ 275: Workshop in Microeconomics; Econ 276: Workshop in Experimental Economics

Econ 298: Dissertation Research

Qualifying Exam (QE)

Fourth Year and Beyond

Econ 274: Workshop in Macroeconomics; Econ 275: Workshop in Microeconomics; Econ 276: Workshop in Experimental Economics

Econ 298: Dissertation Research

Based on university policy, course requirements are satisfied by a letter grade of B or better or a grade of S (satisfactory). A letter grade of C in a course is not satisfactory for meeting a course requirement for the Ph.D. program.

Based on university policy, course requirements are satisfied by a letter grade of B or better or a grade of S (satisfactory). A letter grade of C in a course is not satisfactory for meeting a course requirement for the Ph.D. program.

Qualifying Examination

Advancement to candidacy for the Ph.D. degree requires completion with satisfactory grades or better of the required coursework, preliminary examinations, the field paper, and the oral examination. The oral examination is taken after all other requirements have been completed. A student cannot advance to candidacy before clearing any incomplete grades from their record. Students are expected to complete the oral qualifying examination (QE) during the fall quarter of their third year.

Dissertation

The final requirement for the Ph.D. degree is acceptance of the student’s dissertation under the rules of the Academic Senate. A three-member dissertation advisory committee, headed by the student’s research adviser, evaluates the dissertation for the department. The dissertation advisory committee must be approved by both the Economics Ph.D. Committee and the Graduate Division. The committee may require a formal public defense of the dissertation.

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Revised: 09/01/17