Download The American University of Rome Master`s Program in Food

Disclaimer: This is an indicative syllabus only and may be subject to changes. The final and official syllabus will be distributed by the Instructor during the first day of class. The American University of Rome
Master’s Program in Food Studies Department or degree program mission statement, student learning objectives, as appropriate Course Title: Course Number: Credits & hours: Pre/Co‐Requisites: The Economics of Food FS 518 3 credits Enrollment in the MA Program in Food Studies Course description This course introduces students to key economic concepts in macroeconomics as as applied to the agro‐food sector, finance and accounting. During the first part of the course students learn key economic concepts such as opportunity costs, trade‐off, elasticity, production frontiers, public goods and externalities. International trade will be examined with reference to food and development. Different market structures ranging from monopolistic competition, oligopolies and monopolies will be reviewed to gain a better understanding of how markets work in practice and to identify the key actors in today global food system. In the second part, the course provides a survery of accounting and finance metodologies. Case studies, lectures and in class exercises provide for a practical and active learning approach. The course assumes no prior knowledge of economics and finance techniques or terminology. Required Readings (subject to change)  Schiller and Gebhardt (2016). The Macro Economy Today, 14th edition. McGraw Hill.  Todaro, M. and S. Smith, Economic Development, 12Th edition. Pearson.  Díaz‐Bonilla, Eugenio. 2015. Macroeconomics, agriculture, and food security: A guide to policy analysis in developing countries. Washington, D.C.: International Food Policy Research Institute (IFPRI)  Timmer, P., Falcon, W.P., Pearson, S.R., Food Policy Analysis. Baltimore and London: The Johns Hopkins University Press (The World Bank) Course Learning Objectives At the end of the course, students will be able to: 1. perform basic macroeconomic analysis using key indicators such as GDP, inflation, balance of payments, unemployment rates to analyze national economies and the agrifood sector 2. analyze economic cycles and critically discuss the effects of government and monetary policies on the food economy 3. identify and critically discuss the implications of different market structures of agrifood systems 4. critically discuss the effects of trade policies on growth and development Course Learning Activities 
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Structured lecture with power point presentations Multimedia contents are used to provide an interactive focus on specific topics Individual reading of book chapters, academic articles, policy reports and newspapers Case Studies and simulations are proposed to engage students in problem solving and critical thinking during in‐class discussions Jigsaws are used to stimulate collaborative information sharing and in class reading Interactive demonstrations of economic reasoning are carried out to show how macro‐
economic models can be applied to different situations At the end of each class, review activities such as one minute papers or silent questions are proposed to favor knowledge reinforcement. In addition to that, students will have non‐graded, progress quizzes to stimulate self‐assessment and peer learning. Assessment tools In‐class participation Final paper Mid‐term exam on macroeconomics Final Exam 10% 40% 30% 20% COURSE SCHEDULE
Week Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Topics
Types of goods and forms of coordination: markets, the state and the commons Students are exposed to the foundations of economic reasoning and engaged in critically thinking about its limitations. Essential concepts such as rational choice, opportunity costs, externalities and trade‐off are presented. Moving from the prisoner dilemma, the tragedy of commons argument will be analyzed in class with exercises. The role of information and institutions in the food economy Students will learn the role that information asymmetry and trust have in the food economy with reference to trade, credit and innovation. Also the institutional dimension of economic systems will be introduced with reference to persistent market failures and agrarian reforms. GDP and structural change: from agrarian to industrial economies GDP’s components are examined in class with practical exercises aiming at identifying structural changes of low, middle and high income countries. A critical overview of alternative GDP measures is provided. Inflation and the global food crisis In class simulation will help student to understand how the CPI works and what is its role in the economy. Hyperinflation and the global food crisis are discussed to illustrate the causes and effects of inflation on the economic system. Demand and supply Individual demand and supply curves for single commodities are constructed with class simulations. Students learn how market surpluses and shortages are determined by changing price levels. Aggregate demand and aggregate supply The components of aggregate demand are examined. Long and short term determinants of aggregate supply are discussed. Graphs are used to plot AD and AS curves and to find equilibrium. Neo‐classical versus Keynesian economics and fiscal policies
Students will learn what economic recession means, and what are the effects of fiscal policies in the short‐ and long‐run. Neo‐classical and Keynesian models are compared with the help of simple graphs and their policy implications are critically discussed using examples from everyday politics. In class exercises will provide insights on the US debt, agricultural subsidies, price elasticity and the global food and financial crisis. Monetary policies and Monetarism Where does money come from and why is money so important in our economic system? European and US monetary policies are examined and compared. An historical understanding of current deregulation policies is traced back to the 1980s to grasp the origins and implications of the financiarisation and globalization of agrifood industries. The Supply side Supply side policies in the short and the long run; Human capital, social capital, technological change and innovation Week Week 10 Week 11 Week 12 Week 13 Week 14 Topics
Mid‐term exam Market structures Market structures are identified including: competitive monopoly, oligopoly, monopoly, state monopoly and nationalizations. Students work in class to identify the characteristic of real market structures in agrifood industries and discuss their economic implications. Monopolistic competition, food labels and variety Alternative food networks, fairtrade and the slowfood movement will be critically compared to the apparent diversity of products commercialized in supermarket isles. A focus on food labels is provided. International trade This class provides students with the essentials basis to understand contemporary globalization processes. The role of key post‐war financial institutions such as the IMF and the WB is historically traced from the end of the gold standard to the current day. The balance of payment Different exchange rate systems are introduced (pegged, free floating, fixed). Working in groups, students examine the balance of payments of different countries and discuss their relationship with structural adjustment programs. The law of comparative advantage is critically discussed using daily press and US electoral programs. Principles of development and agricultural economics
In this lecture, the principles of development and agricultural economics are presented. Special focuses are provided to explain the inverse relationship between land and labor and Engel’s law of inelastic food demand. Final Exam
ATTENDANCE POLICY To maintain the academic integrity of the Master’s programs and to meet the learning objectives, students are expected to attend all classes, meet all deadlines and be present for examinations. Absences will undermine the focus of class discussions and student interaction. Absences may be excused in exceptional circumstances, on permission of the instructor. Socially accepted standards of civility are expected in class. Grades GRADE GPA A Excellent 4.00 94 – 100 points A‐ 3.70 90 – 93.99 pts B+ Very Good 3.30 87 – 89.99 B Good 3.00 83 – 86.99 B‐ 2.70 80 – 82.99 C+ 2.30 77 – 79.99 C Satisfactory 2.00 73 – 76.99 C‐ D F AUDIT (AU) Less than Satisfactory 1.70 70 – 72.99 Poor 1.00 60 – 69.99 Failing 0.00 59.99 – 0 Only possible when the student registers for a course at the beginning of the semester as an audit student Students can obtain no more than 3 C grades (including C+, C and C‐) on all courses. Students with four or more C grades will not qualify for submitting their M.A. thesis and completing the program. They will be allowed to repeat a course in order to qualify. Students must obtain at least B‐ for their M.A. thesis in order to complete the M.A. program.