Santa Clara University

Course Descriptions

ECONOMICS (ECON)

Professors:  Mario L. Belotti, William F. Donnelly, S.J., Alexander J. Field, John M.Heineke, William A. Sundstrom, Thaddeus J. Whalen Jr.
Associate Professors:  Henry Demmert, Carolyn L. Evans, Linda Kamas, Michael Kevane (Chair), Kris J. Mitchener, Helen Popper, Thomas R. Russell
Assistant Professor: Dongsoo Shin, Homa Zarghamee
W. M. Keck Foundation Professor: Mario L. Belotti
Michel and Mary Orradre Professor:  Alexander J. Field

Note: The following course is required of all MBA students. Please see Waiver Rules (page 32).

ECON 405. Macroeconomic Theory and Policy
Study of what determines the level and rate of growth of output, income, employment and prices, and the level of interest and foreign exchange rates. Designed to prepare decision makers to understand how an economy functions in the aggregate and to help them interpret, analyze, and operate within a changing macroeconomic environment. Prerequisite: none.  (3 units)

Note: The following course is required of all MBA students.

ECON 401. Economics for Business Decisions
Managerial economics. Demand, cost, production, and pricing at the level of the individual firm or industry. Market structure and the regulatory environment. Emphasis on applications as well as theory. Prerequisite: OMIS 353.  (3 units) Must be completed within the student’s first three quarters of residence.

Note: The following courses are offered as electives and/or as part of a concentration.

ECON 422. Topics in Pricing and New Product Planning
Examines a number of pricing and planning topics. Topics include new product planning, determining relevant costs for the pricing decision, financial analysis for pricing, and anticipating and influencing competitor’s pricing decisions. Other topics that may be covered include strategies for pricing in segmented markets, pricing product lines, and pricing products with learning curves and short life cycles. Class will be run as a seminar utilizing econometric and statistical modeling, case studies, and student research projects. Cross-listed as MKTG 588. Credit will not be given for both. Prerequisites: ECON 401, MKTG 551, differential calculus, and a working knowledge of hypothesis testing and regression analysis.  (3 units)

ECON 424. Economics of Decision Making Under Uncertainty
Examination of managerial decision making from the behavioral point of view. Identification of the normatively “correct” decision in a number of specific decision problems; comparison with the actual decisions most managers make. Discussion of actual decisions and the nature and frequency of biases. Techniques for eliminating bias to improve the quality of decision making.  Prerequisite: ECON 401.  (3 units)

ECON 430. Game Theory and Human Behavior
General techniques for analyzing business conflict and cooperation problems. Emphasis on the negotiation process from analytical and behavioral perspectives. The manager as mediator and arbitrator. Use of game theory to conduct strategic analysis internal and external to the firm.  Applications to agenda construction, voting procedures, labor negotiation, agency contracting, pricing policy, timing of new product introduction. Prerequisite: ECON 401.  (3 units)

ECON 432. International Economics
The international economic environment and the relationship between public policy and international business activity. Emphasis on the application of principles and techniques of economic analysis to foreign trade and the national economy, the means of international payments, foreign exchange markets, investment overseas, balance of payments effects, competition and specialization, national attempts at control, international agreements and institutions, and changing patterns of investment and trade. Lectures, discussions, and short papers on current policy issues. Prerequisites: ECON 401 and ECON 405.  (3 units)

ECON 434. Money and the Economy
The financial system as a whole. The basic determinants of the supply of and demand for loanable funds, the manner in which funds are exchanged in the money and capital markets, the influence of demand and supply factors on interest rates, the impact of changes in interest rates, money supply, and loanable funds on the level of economic activity. Prerequisite: ECON 405. (3 units)

ECON 444. Emerging Markets
Explores an ongoing process of fundamental significance to the global economy-emerging markets. Emphasis on the broad macroeconomic effects of policies and market outcomes, as well as the specific microeconomics of strategic choice that can be used to characterize the process of policy determination and market outcomes. Theoretical framework emphasizes the microeconomics and institutional economics of business groups, corruption, reform in China, and privatization.  Prerequisites: ECON 405 and FNCE 451.  (3 units)

ECON 466. International Monetary and Financial Relations
In-depth examination of the functioning of the international monetary system and international financial arrangements. Transfer of international payments, foreign exchange markets, balance of payments, international liquidity, international portfolios and direct investment, international financial markets and institutions, and international banking. Prerequisites: ECON 405 and FNCE 451.  (3 units)

ECON 696. Experimental Course
Covers special topics; offered on an occasional basis. (3 units)

ECON 852. Managerial Economics for Business Decisions
Explores microeconomic theories used for managerial decisions in industries and organizations. Discusses the economic behavior of individuals and firms to understand how their interactions in markets affect managerial decisions. Concepts of market, price elasticity, theory of consumer choice, and both intra-firm and inter-firm strategic interactions will be discussed using various analytical tools. Includes regression analysis. (6 units) Open only to WAMBA program students.

ECON 857. Macroeconomics
Study of what determines the level and rate of growth of economic output, income, employment and prices, and the level of interest and foreign exchange rates. Designed to prepare decision makers to understand how an economy functions in the aggregate and to help them interpret, analyze, and operate within a changing macroeconomic environment. (3 units) Open only to WAMBA program students.