Simon Fraser University
Engaging the World

Course Outlines

Spring 2020 - ECON 354 D100

Comparative Economic Institutions (3)

Class Number: 1922

Delivery Method: In Person

Overview

  • Course Times + Location:

    Jan 6 – Apr 9, 2020: Mon, 2:30–4:20 p.m.
    Burnaby

    Jan 6 – Apr 9, 2020: Wed, 2:30–3:20 p.m.
    Burnaby

  • Exam Times + Location:

    Apr 14, 2020
    Tue, 12:00–3:00 p.m.
    Burnaby

  • Prerequisites:

    ECON 103 and 105; 60 units.

Description

CALENDAR DESCRIPTION:

People in small scale societies face numerous economic problems and have devised a variety of institutions to solve them. Using detailed case studies as a source of empirical information, we will develop economic concepts and models that help to make sense of these institutional arrangements. Students with credit for ECON 387 in Fall 1998 or Fall 1999, or ECON 383 in Fall 2001 or Fall 2003 may not take this course for further credit.

COURSE DETAILS:

We will take a broad comparative view of the institutions that people have created to solve economic problems in real societies.  The course is based on four books (200-400 pages each) listed below.  We will spend about three weeks on each book.  The lectures will use economic theory to analyze the material presented by the authors.

Grading:

There will be one exam on each book (no notes, no books, no use of electronic devices). Each exam is worth 25% of the total grade. If you have a well-documented medical reason for missing an exam, I will shift the 25% weight from that exam to the remaining exam(s).

Grading

  • Exam 1 25%
  • Exam 2 25%
  • Exam 3 25%
  • Exam 4 25%

Materials

REQUIRED READING:

Allen W. Johnson and Timothy Earle, The Evolution of Human Societies: From Foraging Group to Agrarian State, 2d edition, Stanford University Press, 2000.

Modeling issues will include: (1) cost minimization in the context of time allocation; (2) expected utility, risk aversion, and insurance; (3) intertemporal choice when storage is possible; (4) fixed and variable costs in a model with spatial mobility; (5) the evolution of a labor market when there is competition among land owners.

Elinor Ostrom, Governing the Commons: The Evolution of Institutions for Collective Action, Cambridge University Press, 2015.  

Modeling issues will include: (1) the prisoners’ dilemma, the “tragedy of the commons”, and free riding; (2) imperfect monitoring in the prisoners’ dilemma; (3) repeated games and trigger strategies; (4) free entry and rent dissipation.

Robert C. Ellickson, Order Without Law: How Neighbors Settle Disputes, Harvard University Press, 1994.  

Modeling issues will include: (1) externalities, bargaining, and the Coase Theorem; (2) the evolution of cooperation; (3) the claim that social norms maximize aggregate welfare.

Louis Putterman, The Good, The Bad, and The Economy: Does Human Nature Rule Out A Better World?, Landon St., 2012.

Unlike the first three books, which present detailed case studies of small-scale societies, this book deals with broad topics including the evolution of self-interest and cooperation in human beings; laboratory experiments that explore economic behavior; and the sources of global economic inequality.  We will consider what, if anything, human nature implies about the nature of economic institutions. 

Department Undergraduate Notes:

***NO TUTORIALS DURING THE FIRST WEEK OF CLASSES***

Students requiring accommodations as a result of a disability must contact the Centre for Accessible Learning (CAL) at 778-782-3112 or caladmin@sfu.ca.

Registrar Notes:

SFU’s Academic Integrity web site http://www.sfu.ca/students/academicintegrity.html is filled with information on what is meant by academic dishonesty, where you can find resources to help with your studies and the consequences of cheating.  Check out the site for more information and videos that help explain the issues in plain English.

Each student is responsible for his or her conduct as it affects the University community.  Academic dishonesty, in whatever form, is ultimately destructive of the values of the University. Furthermore, it is unfair and discouraging to the majority of students who pursue their studies honestly. Scholarly integrity is required of all members of the University. http://www.sfu.ca/policies/gazette/student/s10-01.html

ACADEMIC INTEGRITY: YOUR WORK, YOUR SUCCESS