ARE/ECN 115A: Economic Development

ARE/ECN 115A: Economic Development

UC Davis

Spring Quarter 2021

Instructor:

Teaching Assistants:

Course Description: The world has become much richer in the past century as many countries have achieved unprecedented rates of economic growth. Yet, there remain many poor countries and, even in richer countries, many poor people. The course explores economic and social institutions, including public policy debates on ways to achieve rising incomes while improving living standards and promoting equality. We will use economics – primarily microeconomics – as a way of describing and understanding a range of issues that are particularly relevant in developing countries (although many, if not all, are also relevant in the US and other higher-income countries) and the constraints and motivations that govern the choices of individuals and households in these contexts.

Measurement issues loom large in development economics, so we will spend a good portion of the first half of the course exploring how and why economists measure income, poverty and inequality. In the second half of the course, we use economic theory to understand the causes and consequences of imperfections and failures in the markets for key inputs and services. In particular, we explore how risk and information problems can lead to poor performance in the markets for credit, insurance and land, thereby contributing to the perpetuation of poverty. We then explore innovative institutional and policy responses, such as micro-finance and index-based insurance as means to reduce poverty. Finally, throughout the course, we will develop quantitative tools for testing hypotheses and evaluating the causal impacts of development policies.

Virtual Engagement and Instruction: The SQ 2021 edition of this course will (sadly!) including no in-person interaction between students and the instructor or Tas. Instead, we will use a variety of online tools and build on the past several ARE/ECN 115A offerings, which have also used remote instruction, to deliver as high-quality learning experience for students as possible. While our use of remote tools is likely to evolve over the quarter, here is the essential game-plan:

•  Lectures will be pre-recorded. I will record lectures on Monday and Wednesday in our lecture hall on campus (so you can remember what a lecture hall looks like!) and post them to Canvas by noon on Tuesday and Thursday. Lecture videos will include embedded PlayPosit quiz questions. You must complete the Tuesday video and Playposit quiz questions by midnight on Wednesday and the Thursday video and Playposit quiz questions by midnight on Friday.

•  My instructor office hours on Zoom will coincide with the scheduled Thursday lecture time for this course (1:30 – 3 pm). I encourage students to bring to these office hours questions or discussion topics from the assigned lecture and PlayPosit quizzes for that week.

•  At the end of each week, students can (optionally) choose to share their reflections on the material covered that week via a simple Canvas survey.

•  TA discussion sections will consist of three parts:

o  A 20-minute pre-recorded video designed to complement lecture material. The video will contain embedded PlayPosit quiz questions. The section video will be posted by 10 am on Monday. You must complete the section video and PlayPosit quiz questions by 6 pm Tuesday (before the first live TA section meets).

o  A live 50-minute Zoom section with T A’s, including specific exercises you will work on in breakout groups.

o  A post-section Canvas quiz to assess students’ comprehension of section material. The post-section quiz will be posted at 8 pm on Wednesday. You must complete the quiz by midnight on Sunday.

•  The midterm and final exams will be timed, take-home exams to be completed individually.

Pre-recorded lectures and section videos will be available as Canvas Assignments (since they will contain PlayPosit quizzes). The slides used in lectures and section will also be posted as files to Canvas.

Prerequisites: The course formally requires that you have had at least an introductory course in microeconomics (ECN1A/1B). We will assume that you are familiar with basic concepts from consumer and producer economics (production functions, utility, cost curves, diminishing marginal product, etc.) as well as basic statistical concepts (mean, variance, standard deviation, etc.). The course will be issue oriented but will make rigorous use of the tools and techniques of applied economic analysis. Familiarity with basic Excel functions is crucial as several problem sets will require Excel use.

Reading Material: The required textbook for this course is Essentials of Development Economics, Third Edition (2020) by J. Edward Taylor and Travis Lybbert. The book is available electronically through the Reading List feature on Canvas. All other required and supplemental reading material will be available in the Readings folder on Canvas.

Canvas Website: You will access all course materials, complete weekly section quizzes, and turn in problem sets via the course Canvas website at https://canvas.ucdavis.edu. It is your responsibility to visit the site often. We will use Canvas as the communications platform for this class, including Discussion Boards to facilitate questions and answers you have about the class, material or assignments. Please look there first when you have questions. If you want to communicate directly with a member of the teaching team, please use the Canvas Inbox feature. We will use Canvas Grades to record your scores in the class. Again, it is your responsibility to verify that these scores are properly recorded.

Discussion Sections: All students are expected to engage with section material each week. The sections will be conducted by the TAs and will be integral to the course. In addition to covering selected topics in greater detail than we can in lectures, sections will enable students to work and discuss topics in smaller group settings. Section material will consist of the three components listed above, namely (and in chronological order), (i) a pre-recorded presentation with PlayPosit quiz questions, (ii) a live Zoom session with breakout groups, and (iii) a post-section Canvas quiz. Sections will be offered at the times scheduled in Schedule-Builder.

Grades: Your grade in this course will be based on total points earned. We will begin with the following grade breakdown:

Final grades may be curved, but your grade will never fall as a result of the curve. Total points will be calculated based on the following weights:

PlayPosit Quizzes: Each pre-recorded lecture and discussion section video will embed several PlayPosit quizzes. As you work your way through these videos, you will respond to these quizzes. Your score on these quizzes will be synced with Canvas. Each PlayPosit lecture quiz set (i.e., the quiz questions associated with a given lecture video) will be worth a total of one point and will be due by midnight the day after the lecture is posted (i.e., midnight Wednesday for the Tuesday lecture video and midnight Friday for the Thursday video). Each PlayPosit section quiz set will also be worth a total of one point and will be due by 6 pm PST Tuesday each week. Multiple attempts on these quizzes are allowed as you review the recorded content, but if you choose to correct your answers to some of the questions be sure to answer all questions since questions left blank on subsequent passes through the content will be scored as zero, and only your most recent score will be recorded to Canvas. Before computing your final grade, we will drop your two lowest lecture quiz scores and your lowest section quiz score. Late PlayPosit quizzes will not be accepted.

Post Section Quizzes: Each week you will complete a quiz on Canvas that covers material from that week’s TA discussion section, including both the pre-recorded section presentation and the live Zoom session. This quiz must be completed via Canvas each week by 11:59 pm PST on Sunday. Late Canvas quizzes will not be accepted.

Problem Sets: Four or five problem sets will be due throughout the quarter. The description and the data for the exercises will be available on Canvas. You may work individually or in groups of 2 or 3. We encourage you to find a problem set group as students who work closely and collaboratively with team members on these problem sets tend to learn more and do better in the class. Answers to the problem sets must be typed and submitted via Canvas/Gradescope. Several assignments will require you to present and discuss graphs. Points will also be taken off for any graph that has a missing title or axis label. Late problem sets will not be accepted.

Exams. Exams will be take-home and you will have a 24-hour window to complete the exam. You may use your books and notes to complete the exam. You must work completely independently. Any evidence of collaboration or cheating will be immediately and without question referred to Student Judicial Affairs.

Extra Credit: There are two ways you can earn extra credit.

•  Reflections: After each Thursday class you can earn extra credit by responding thoughtfully to a simple Canvas survey (available until 11:59 pm on Friday) that will always consist of the same two questions: “After reviewing and reflecting on the material we covered this week, describe: 1) Something that you liked/learned and 2) Something you found unclear or confusing.” Responding to the weekly survey is entirely optional and is intended to solidify what you learn by prompting reflection and synthesis. For each survey you complete, you will earn one point towards a maximum possible 1% of extra credit applied to your final score (after the curved grade cutoffs have been established) to determine your final grade for the course. In order to earn the point, you must make a meaningful statement. Missed reflections cannot be made up or submitted late.

•  Musical Interlude: This is an opportunity for you to apply your creative and artistic talents by critically evaluating a song/music video in relation to economic development. In order to earn extra credit, you must submit (to me via email) before 11:59 pm on Friday a Powerpoint (or pdf) presentation that includes: a) A cover page with your name, the song title and name of musician; b) A brief discussion of the musician and genre of music; c) A discussion of key lyrics and how they relate to an issue of economic development; d) A link to the song, ideally a Youtube or other video. Receiving extra credit is not automatic. We will evaluate the song for relevance to the course and your presentation for its quality. Approved presentations will receive 0.5% applied to your final grade. Accepted songs will be posted to Canvas. You may submit multiple songs throughout the quarter, but no more than one per week. You may only receive extra credit for two presentations, for a maximum of 1% applied to your final grade (after the curved grade cutoffs have been established). Songs from Asia, Africa and Latin America that have clear connections to concepts from class will receive top priority. Songs from the U.S. or Europe may be submitted, but you must make an exceptionally strong argument about the relevance to economic development in order to receive any credit. 

Copyright Statement for ARE/ECN 115A: All lecture, section and other course materials, including PowerPoint presentations, problem sets, quizzes, exams, and similar materials, are protected by U.S. copyright law and by University policy. As a teaching team, we are the exclusive owners of the copyright in those materials we create. You may take notes and make copies of course materials for your own use. You may also share those materials with another student who is enrolled in or auditing this course. You may not reproduce, distribute or display (post/upload) lecture notes or recordings or course materials in any other way —whether or not a fee is charged — without my express prior written consent. You also may not allow others to do so. If you do so, you may be subject to student conduct proceedings under the UC Davis Code of Academic Conduct. Similarly, you own the copyright in your original papers and exam essays. If I am interested in posting your answers or papers on the course web site, I will ask for your written permission.

Code of Academic Conduct: Students are expected to understand and abide by the Code of Academic Conduct (http://sja.ucdavis.edu/files/cac.pdf) with exactness. Any violations of this Code will be treated seriously and reported to Student Judicial Affairs. Using solution keys for past ARE/ECN 115A problem sets, quizzes or other assignments is considered a violation of this code regardless of how you gained access to such materials. In short, unless otherwise stated as part of assignment instructions, all work you submit in this class must be your own work.

Campus Resources for Students: There are a number of excellent resources for students at UC Davis, including academic support, health and wellness resources and support, and career and internship guidance. Many of these resources are described on this Canvas page. I am happy to discuss any of these resources with you. If concerns of any kind hamper your ability to thrive as a student and as a member of the UC Davis community, please consult these resources. If you would like, I can personally connect you to these resources, including confidential support and response. If these concerns include threats that put you in immediate danger, call 911. Sexual harassment or violence in any form will not be excused or tolerated at UC Davis. We must all take actions to ensure the safety of all members of the UC Davis community.

Course Schedule: The schedule of topics, readings and assignments listed below may change slightly as we proceed. Readings from the Taylor & Lybbert text are abbreviated as “T&L”. Readings not in the text are available on the course website. The readings below are REQUIRED. Many additional readings and resources (optional but strongly recommended!) are provided on Canvas under Modules. We will try to stick to this schedule, but it is subject to detours and changes. Please consult the “Business” slide in the lecture notes for updates to scheduled readings.