Daily Lessons

Wednesday, May 2,  Meeting #28

1. Read  The Ascent of Money  Chapter 3, "Blowing Bubbles," from p. 162 "In perhaps the most important work of American economic history..." to the end of the section (stop at "A Tale of Fat Tails").

2.  Part II of the Course: Macroeconomics,  Lecture #16:  Goals of Macroeconomics

3.  Begin The Big Short  


Homework

1. Preview PowerPoint Lectures #17, Economic Growth, & #18, Unemployment


Thursday, May 3, Meeting #29

1.    Read  The Ascent of Money  Chapter 3, "Blowing Bubbles," from "A Tale of Fat Tails" (p. 165) to"...that company was Enron." (p. 169) 

2. Lecture #17, Economic Growth, & #18, Unemployment

3.  Watch The Big Short  

Homework

1.    Read  The Ascent of Money  Chapter 3, "Blowing Bubbles," from p. 169 "In November 2001, Alan Greenspan..." to "...just like the millions of livres lost in the Mississippi crash." (p. 175) 

 2. Recommended: Watch the Khan Academy video on  “Stocks vs. Bonds: The difference between a stock and a bond”  (9:21)


Friday, May 4, Meeting #30

1. Watch Khan Academy Video: “What is inflation?” (3:29) http://www.khanacademy.org/finance-economics/core-finance/v/what-is-inflation

2. PowerPoint Lecture #19, What is Inflation?,   & Lecture #20, "Balance of Trade"

 3. Watch The Big Short  

Homework

1. Watch the Khan Academy Video on How Bubbles Destroy Wealth. Go to “Wealth destruction I” (10:26)  

http://www.khanacademy.org/finance-economics/core-finance/v/wealth-destruction-1

 2. Read...


Monday, May 7, Meeting #31

1.  2. Lecture  #18, Unemployment, Lecture #19, What is Inflation?

1. Watch Khan Academy Video: “What is inflation?” (3:29) http://www.khanacademy.org/finance-economics/core-finance/v/what-is-inflation

2. Discuss the Khan Academy videos on Stocks vs Bonds

3. Ascent of Money Chapter 4:  Investment Strategies: Hedging—Derivatives, Options, & Swaps  “Insurance and welfare are not the only way of buying protection against future shocks. The smart way to do it is by being hedged.” –Chapter 4  (5 pages)

 

Homework

1. Watch the two (2) Khan Academy Videos on How Bubbles Destroy Wealth. Go to “Wealth destruction I” (10:26)  and “Wealth destruction II” (10:37)

Go to “Finance and capital markets” to  “Housing” to “Credit crisis” to “Wealth destruction  I” (10:26)  and “Wealth destruction II” (10:37)    …or online…

http://www.khanacademy.org/finance-economics/core-finance/v/wealth-destruction-1



Week #7

Tuesday, May 8 Meeting #32

1. Finish Lecture #19, What is Inflation?, & Lecture #20, "Balance of Trade"        

2. Discuss the Khan Academy Videos on how bubbles destroy wealth, “Wealth destruction I” (10:26)  and “Wealth destruction II” (10:37)

3. The Big Short


Homework

1. Preview Lecture #19  What is Inflation?

2. Watch Khan Academy Video: “What is inflation?” (3:29)   (Go to “Finance and capital markets” then “”Inflation” then “Inflation basics” then ”What is inflation?” (3:27)  …or…  http://www.khanacademy.org/finance-economics/core-finance/v/what-is-inflation

3.   Watch Khan Academy Video, “Deflation” (3:02)

4. Finish Reading the opening section of Chapter 3 in  The Ascent of Money, From “…looks like an almost permanent condition” to the end of the subsection“…this has been a risk well worth taking.” (3 pages)

 

Wednesday, May 9 Meeting #33

1. Lecture #20,  Balance of Trade

2. Discuss the Khan Academy videos on the Basics of inflation and deflation

3. The basics of hyperinflation   Watch Khan Academy video, “Hyperinflation.”  (3:02)

http://www.khanacademy.org/finance-economics/core-finance/v/hyperinflation

4. WHAT IS INFLATION?

à Read The Ascent of Money Chap 4, Inflation, Friedman & Chile  pp 101-108  From “’Inflation,’ wrote Milton Friedman in a famous definition…” to “…Inflation is a monetary phenomenon…” (4 pages)


Homework

1. Finish reading the in-class reading of The Ascent of Money Chap 4, From “’Inflation,’ wrote Milton Friedman in a famous definition…” to “…Inflation is a monetary phenomenon…” (4 pages)                        


Thursday, May 10,  Meeting #34                        

1. Watch The Big Short


Homework

1. Test Friday on Lectures 13-20 & concepts in Ascent of Money readings, "Blowing Bubbles."  Free-Response Questions Will Focus on Poverty & Inequality, Insurance, & Economic Bubbles. 



Friday, May 11, Meeting #35

Test on Lectures 13-20 & concepts in Ascent of Money readings, "Blowing Bubbles."  Free-Response Questions Will Focus on Poverty & Inequality, Insurance, & Economic Bubbles. 


Homework

Prom Night. Behave yourselves.




Monday, May 14   Meeting #35

1. Lectures #21 & #22  Aggregate Supply/Demand, Unemployment-Inflation Tradeoff .   The Phillips Curve “Too many dollars chasing too few goods.”

2. On Stocks & Stock Market Bubbles   Bulls & Bears, Keynesian vs. Classical Economics: Keynes, Friedrich Hayek, & Friedman

à Read The Ascent of Money Chapter 3, “Bulls and Bears” pp 158-165, 165-169  (The Crash of 1929) “On 16 October 1929 Yale University economics professor Irving Fisher…” until “…and of the consequences when it burst.” (4 pages)

  http://www.zerohedge.com/article/keynes-vs-hayek-sequel

 

Homework

1. Continue Reading  Ascent of Money Chapter 3 from “In perhaps the most important work of American economic history ever published…” to “…the current chairman of the Federal Reserve System.” (3 pages)

2. Watch the Khan Academy Video:  “Keynesian Economics” (12:03)  Search for “Keynesian economics” under “Macroeconomics.”   …or… http://www.khanacademy.org/finance-economics/macroeconomics/v/keynesian-economics

1. Preview Lectures #21 & #22   


Tuesday, May 15  Meeting #36

1. Lecture #23  Fiscal Policies & Budget Deficits 2. Preview

2. On Stocks & Stock Market Bubbles   Bulls & Bears, Keynesian vs. Classical Economics: Keynes, Friedrich Hayek, & Friedman

à Read The Ascent of Money Chapter 3“Bulls and Bears” pp 158-165, 165-169  (The Crash of 1929) “On 16 October 1929 Yale University economics professor Irving Fisher…” until “…and of the consequences when it burst.” (4 pages)

2. On Home Ownership

Read Ascent of Money from the beginning of Chapter 5 “It is the English-speaking world’s favourite economic game…”  to “...nothing beats brick and mortar as an investment.” (3 pages)

3.  RE-VISIT THE FINAL PAPER FOCUS: KEYNES & HAYEK: THE VIDEOS

  http://www.zerohedge.com/article/keynes-vs-hayek-sequel

 

Homework

1. Finish reading Ascent of Money beginning of Chapter 5 from “It is the English-speaking world’s favourite economic game…”  to “Or is the real estate game more like a house of cards?” (+2 pages)

2. Preview Lecture #24   Countercyclical Fiscal Policies

 



Thursday, May 17  Meeting #37

1. Lecture #24   Countercyclical Fiscal Policies

2.  Origins of the Home-owning Democracy Experiment

Video excerpt from It’s a Wonderful Life              

à Read Ascent of Money Chapter 5 from “The power of art is a wonderful thing” to “…a couple of decent rooms and a bath?” (2 pages)

Homework

None.  Prom.  Be good.



Wednesday, February 7, Meeting #37

Test #3 on Lectures   #16-24 & Ascent of Money

 

Homework

1. Preview Lecture #25, Budget Deficits

2.  Your Final Essay on Keynes & Hayek--Friday!!!


Monday, May 21  Meeting #38

1. Lecture #25  Budget Deficits                     

A New World Economic Order

àRead Ascent of Money, beginning of Chapter 6, “From Empire to Chimerica,” from “Just ten years ago…” to "...And it implies, quite simply, that history has changed in our lifetimes." (2 pages)

A shift in the global financial balance of power.  Globalization. China & the BRICs

àVideo: Beijing Olympics Opening Ceremonies

2. Summarize “From Empire to Chimerica” (Part 1 of Chapter 6) 

Why China fell behind Europe between 1700 & 1970, the first age of globalization,

Homework

1. Preview Lecture #26,   Money & Banking  

2.  Final Essay on Keynes & Hayek  FRIDAY.                 


Tuesday, May 22 Meeting #39

Lecture #26,   Money & Banking                  

1. 19th Century Globalization & the Financial Disaster That Was World War I


Homework

TEST THURSDAY ON LECTURES #16-26

1. Preview Lecture #27, What is the Federal Reserve, & What Does It Do?  

2.  Final Essay on Keynes & Hayek FRIDAY.  


Wednesday, May 23  Meeting #40    

1. Lecture #27  What is the Federal Reserve, & What Does It Do?   

2. Explain The Ascent of Money, pp 297-305

The “new financial architecture for the post-WWII world”: Bretton Woods Accords 1944

àSummarize   Bretton Woods Accords (1944)—“new financial architecture for the post-WWII world.” Dollar, not Gold, not floating currencies, control of capital movements by the IMF & World Bank. Nixon ends Gold link in 1971—currencies floating again—non-governmental capital exports again.  IMF & World Bank “conditionality”—“to build an American empire.” Neo-imperialism-- Difficulties for Third World.   


Homework

TEST THURSDAY ON LECTURES #16-26

1. Watch the Khan Academy Video on Monetary & Fiscal Policy: http://www.khanacademy.org/finance-economics/macroeconomics/v/monetary-and-fiscal-policy

2. Preview Lecture #28, Goals of Monetary Policy 

3. Keynes & Hayek essay test FRIDAY.                   


Thursday, May 24  Meeting #41 

TEST ON LECTURES #16-26

Keynes & Hayek essay test

Lecture #28 Goals of Monetary Policy  

The Dangers in the Modern Financial System

àRead The Ascent of Money, a new kind of ‘hit men’—Hedge Fund Managers like George Soros.  From “In truth, the1980s saw…” to “Every bubble consists of a trend and a misconception that interact in a reflexive manner.” (2 pages)

Homework

KEYNES-HAYEK ESSAY FRIDAY. 

1.Test Wednesday on Lectures #16-30 

2. Preview Lectures #29 & #30  International Trade, Protectionism, & Currency Exchange Rates

3. Read The Ascent of Money, Chapter 6 subsection “Chimerica” from “To many, financial history is just so much…” to “Welcome to the wonderful dual country of ‘Chimerica’—China plus America…” (3 pages)


Friday, May 25,  Meeting #42

Keynes & Hayek essay test

1. Lectures #29 & #30  International Trade, Protectionism, & Currency Exchange Rates

2. The New World Order of Modern Global Finance—the End of American Economic Hegemony?

àDiscuss The Ascent of Money, Chapter 6 subsection “Chimerica” from “To many, financial history is just so much…” to “Welcome to the wonderful dual country of ‘Chimerica’—China plus America…” (3 pages)

Homework

1. Preview Lectures #31 & #32,  The Gains of International Trade & Debates Over  Protectionism

2. Exam on lectures 16-30 Tuesday.                 


Tuesday, May 29, Meeting #43

Lectures #31 & #32 Gains of International Trade & Debates Over Protectionism


Homework

1. Preview Lecture #33 International Financial Crashes


Wednesday, May 30, Meeting #44 

Test Lectures 16-32


Wednesday, May 30, Meeting #44