HE0201 The Singapore Economy (3 AU)

Course Content

Microeconomic Principles and Economics Thinking in Public Policies
Key Macroeconomic Indicators
50 Years of Economic Transformation
Trinity Development Theory and Singapore Economic Development
Fiscal Policy in Singapore
Monetary Policy in Singapore
Retirement financing in Singapore
Healthcare financing in Singapore
Wage Policy and Crisis Management

HE1001 Microeconomic Principles (3 AU)

Course Content

Introduction (Preliminaries)
Supply and Demand
Consumer Theory
Production Theory
The Cost of Production
Profit Max and Competitive Supply
The Analysis of Competitive Markets
Monopoly
Pricing with Market Power, Monopolistic & Oligopolistic Competition
Game Theory

HE1002 Macroeconomic Principles (3 AU)

Course Content

Macroeconomics is the study of issues that affect the economy as a whole.

This course starts with the definition and measurement of three major concerns in macroeconomics: national output, unemployment and inflation.
The core of the course explores three important questions: What causes unemployment? What causes inflation? And what are the impacts of fiscal policy and monetary policy on short-run output?
In addition, you will be introduced to the determinants of long-run economic growth and the macroeconomic impact of exchange rate and foreign trade

HE1003 Basic Mathematics for Economists (3 AU)

Course Content

One Variable Calculus I: Foundations
One-Variable Calculus II: Applications
Calculus of Several Variables
Exponential and Logarithmic Functions
Integration and Its Applications
Differential Equations
System of Linear Equations
Matrix Algebra
Determinants

HE1004 Introduction to Statistical Theory and Methods (3 AU)

Course Content

The main topics covered are:

Probability
Random Variables and Statistical Distributions
Sampling Distributions
Estimation and Hypothesis Testing
Linear Regression

HE1005 Introduction to Probability and Statistical Inference (3 AU)

Course Content

Please note that this is a preliminary outline. It is subject to changes.

The course covers the following topics:

Elements of Probability
Elements of Statistical Inference
Statistical Inference

HE2001 Intermediate Microeconomics (3 AU)

Course Content

Welfare economics: public choice
Welfare economics: utilitarianism
Consumers’ and producers’ surplus
Competitive equilibrium and effect of government policies
Externality
Common property and public goods
Risk and uncertainty
Adverse selection
Signaling
Moral Hazard
Auction

HE2002 Intermediate Macroeconomics (3 AU)

Course Content

Macroeconomic measurement and data
The labor market
Economic growth
Consumption and saving
Investment
Money and interest rates
Financial markets
The real business cycle model
The new Keynesian model

HE2004 Introductory Econometrics (3 AU)

Course Content

Causality and policy making
Simple linear regression model and OLS estimator
Hypothesis tests and confidence intervals
Heteroskedasticity
Omitted variable bias and linear regression with multiple regressors
Test of joint hypothesis and F statistic
Nonlinear regression functions
Model specification and empirical/data issues

HE2005 Principles of Econometrics (3 AU)

Course Content

The nature of econometrics and economics data
The simple regression model
Multiple regression analysis: estimation
Multiple regression analysis: inference
Multiple regression analysis: ols asymptotics
Multiple regression analysis: further issues
Multiple regression analysis with qualitative information: binary (or dummy) variables
Heteroskedasticity
More on specification and data issues
Basic regression analysis with time series data
Further regression analysis with time series data
Asymptotic properties of time series OLS

HE2006 International Monetary Economics (3 AU)

Course Content

Introduction to the course: National Income Accounting and Balance of Payments
Exchange Rates and the Foreign Exchange Market: An Asset Approach
Money, Interest Rates, and Exchange Rates
Price Levels and the Exchange Rate in the Long Run
Output and the Exchange Rate in the Short Run (Part 1)
Output and the Exchange Rate in the Short Run (Part 2)
Fixed Exchange Rates and Foreign Exchange Intervention
The International Monetary System and Macroeconomic Policy and Coordination under Floating Exchange Rates
Optimum Currency areas and the Euro
Financial globalization
Selected topics

HE2007 Money and Banking (3 AU)

Course Content

An Overview of the Financial System
Role and Functionns of Money
An Economic Analysis of Financial Structure
Level and Term Structure of Interest Rates
Banking and Management of Financial Institution
The Great Depression and the Global Financial Tsunami
Money Supply Process
Demand for Money
The Keynesian Framework and the ISLM Model
Aggregate Demand and Supply Analysis
Transmission Mechanisms of Monetary Policy
Money and Inflation

HE2010 Development Economics (3 AU)

Course Content

Introduction and Overview
Economic Growth
Human Capital
Physical Capital
Financial Capital
Institutions

HE2011 Labour Economics & Labour Relations (3 AU)

Course Content

Theories of Labour Supply
Work Effort and Public Policy
Labour Demand
Labour Markets and Public Policy
Pay and Efficiency
Economic Impact of Labour Unions
Macro Focused Unions
Human Capital Investment
Discrimination in the Labour markets
Employment and Unemployment
Income Inequity in the Labour Markets
Purchasing Power of Wages

HE2013 International Trade (3 AU)

Course Content

Overview of Trade in the Global Economy
The Ricardian Model: Comparative Advantage
The Specific-Factors Model
The Heckscher-Ohlin Model
Migration and Foreign Direct Investment
Offshoring
Imperfect Competition
Instruments of Trade Policy; The Political Economy of Trade Policy
International Agreements
Trade Policy in Developing Countries, Trade with Growth

HE2015 Macroeconomic Issues and Policies in Contemporary China (3 AU)

Course Content

Macroeconomic Conditions and Debates before the Reform
Transitional and Medium-term Designs of the Reform
Supplementary Measures that could help the Reform and Increase China’s Immunity and Resilience against Future Crises
The Transitional Reform in 2005 and the Market Response
Further Proposals on the Supplementary Measures
The Second Stage Transitional Reform and Potential Choices for the Long Term System
China’s Foreign Reserves, Trade Surplus, Outward Investments and Overseas Assets
China’s Stock Market Bubble and Lessons from the Bubble Squeezing Strategy
China’s Property Inflation: Microeconomic Pains, Macroeconomic Risk and Its Solution
Fiscal and Monetary Policies During the Global Financial Tsunami
From the Global Financial Tsunami to the Asset Bubbles in Asia
Latest Events and Challenges.

HE2020 Survey Methods and Sampling Techniques (3 AU)

Course Content

Probability and Statistics
Introduction to Sampling
Simple Probability Samples
Ratio and Regression Estimation
Stratified Sampling
Cluster Sampling with Equal Probabilities
Cluster Sampling with Unequal Probabilities
Categorical Data Analysis in Complex Surveys (If the time permits)
Regression with Complex Survey Data (If the time permits)

HE2021 Public Economics (3 AU)

Course Content

Market efficiency and failures
Market power
Externalities and public goods
Healthcare
Retirement income provision
Education
Redistribution
Tax incidence
Tax efficiency
Personal income taxation
Corporate taxation
Government budgets

HE2022 Indsutrial Organization and Business Strategies

Course Content

Market structure
Market clearing
Market power and price discrimination
Equilibrium analysis in game theory
Static oligopolistic competition
Dynamic oligopolistic competition
Repeated oligopolistic competition
Market contestability and entry
Predation and limit pricing
Product differentiation
Vertical integration and restrictions
Antitrust laws and policies

HE2023 Housing Economics

Introduction
Fundamentals of Urban Economics: Why Cities Exist?
Demand & Supply of Housing
Housing tenure choice
Hedonic valuation & House Price Index
Suburbanization, Decentralization & Urban Sprawl
Neighborhood Externalities, Segregation and Gentrification
Zoning, Land Use Regulation, Growth Controls
Housing Policies: Public Housing, Housing Vouchers, Urban Renewal, Rent Control
Housing Policies in Singapore
Housing Cycles: Dynamics & Determinants

HE3001 Mathematical Economics (3 AU)

Course Content

Review: Calculus and Linear Algebra
Classical Optimization
Economic applications
Comparative Statics – Microeconomic applications
Comparative Statics in Macroeconomics
Optimization with equality constraints
Non-linear programming and Kuhn-Tucker conditions
Review of Integral Calculus
The notion of dynamics

HE3002 Game Theory & Applications to Social Sciences (3 AU)

Course Content

Definition of a “game” and strategies.
Dominance solvable.
Static games of complete information: Nash equilibrium.
Dynamic games of complete information: subgame perfect Nash equilibrium.
Static games of incomplete information: Bayes Nash equilibrium (BNE).
Application of BNE: auctions.
Dynamic games of incomplete information: perfect Bayesian Equilibrium (PBE).
Application of PBE 1: strategic communication and persuasion.
Application of PBE 2: signaling and education.
Repeated games.

HE3003 The Chinese Economy (3 AU)

Course Content

Overview of the Chinese Economy: A Long Term Perspective
Pre-reform Period: Socialist Economic System
Economic Reform and Growth Accounting
Rural Reform and State Owned Enterprises
Development of the Non-State Sector
Public Finance and Urbanization
Population, Labor, and Human Capital
Income Inequality and Poverty
Foreign Trade
Financial Sector Development and Reforms
Foreign Direct Investment

HE3004 Health Economics (3 AU)

Course Content

Demand for Healthcare: Grossman Health Production Model
Demand for Healthcare Insurance: Expected Utility, Risk-aversion,
Demand for Healthcare Insurance: Asymmetric information, Moral Hazard, Adverse Selection
Supply of Healthcare: Market for Physician Labor, Organization of Hospitals
Payment models for Healthcare
High Cost of Healthcare: Technology Growth, Innovation, Geographic Variation
Health and Economic Development
International Healthcare Reform
Behavioral Aspects of Health: Rational Addiction models, Sin-Taxes

HE3005 Environmental Economics (3 AU)

Course Content

Environmental and Nature Resource Economics
Introduction to Environment Economics
The Economy and the Environment
Economic Efficiency and Market Failures
Problem and Management of Externalities
Economics of Pollution Control
Environmental Valuation
Cost-Benefit Analysis and Project Evaluation
Global Environment
Poverty, Population and the Environment
Sustainable Development

HE3007 Financial Economics (3 AU)

Course Content

Introduction: What is an Investment?
Financial System and Financial Instruments
How Securtities are Traded and Mutual Funds
Risk, Return, and the Historical Record and Risk Aversion and Capital Allocation
Optimal Risky Asset
Financial Accounting
Equity Valuation
Capital Asset Pricing Model and Technical Analysis
Efficient Market Hypothesis and Behavioral Finance
Bond Valuation
Options Pricing

HE3011 Cost-Benefit Analysis (3 AU)

Course Content

Introduction: some examples and scope of CBA
Measurement of benefit and costs: welfare gains, transfer payments and double counting
Efficiency pricing: market and non-market goods
Investment decision criteria: dcf, npv, irr, bc ratio, choice of rate of discount
Uncertainty and risk: probability adjustment for risk, decision rules
Distributional considerations: some approaches, constraint and weight determination
Some examples and case studies: City subway system; Flood control project; Anti-poverty training programme; New highway project; Recreational facilities; Underwater tunnel project; Materials recycling scheme; Nuclear power programme; Not in My Backyard facilities

HE3013 Urban Economics (3 AU)

Course Content

Introduction; Why Do Cities Exist?
Clustering and Agglomeration Economies
Urban Size and Growth
The Land Rent Model
Land Usage Patterns
Spatial Choices and Neighborhood Effects
Spatial Policies and Urban Planning
Urban Transport and Policy
Economics of Education
Economics of Crime
Housing markets

HE3014 Economics of Corporate Finance (3 AU)

Course Content

How to value assets, in particular bonds and common stocks
What is the link between risk and value
What are the patterns of corporate financing
How does a firm decide on dividend payments
Does capital structure matter
How much a firm should borrow
How can financial ratios help to assess a firm’s performance
Why merges can be viewed as part of a broader market for corporate control.

HE3016 Principles of Mathematical Finance (3 AU)

Course Content

Interest rates, bonds and yield curves
Forward and Futures contracts
Options
Binomial trees and risk neutral valuation
The stochastic process followed by stock prices
The Black-Scholes pricing formulas
Portfolio Theory
The Capital Asset Pricing Model

HE3021 Intermediate Econometrics (3 AU)

Course Content

Regression analysis: Overview
Basic regression analysis with time series data
Advanced time series topics
Binary choice models
Endogeneity and instrumental variables
Panel data models

HE3022 Econometric Modeling and Forecasting (3 AU)

Course Content

Forecasting toolboxes-time series graphics
Forecaster’s toolboxes
Forecast using judgement, Linear regression and multiple regression
Time series decomposition
Exponential Smoothing
ARIMA models
Dynamic regression models

HE3023 Econometric Analysis of Financial Data (3 AU)

Course Content

Introduction to Financial Data
Related Finance Theory
Review of Basics of Econometrics
Cross Sectional Models: Specification Test and
Heteroskedasticity.
Indicator Variable and Discrete Choice Models
Time Series: Serial Correlation
Time Series: Stationarity
Times Series: ARDL Model
Time Series: Cointegration
Time Series: Volatility Models
VAR Model
Panel Data Models

HE3024 Introduction to Applied Economic Policy Research (3 AU)

Course Content

Economic research writing
Framing an economics question
Analyzing an economics question
Understanding what is the contribution to the literature
Application of the general framework in 1-4: The underground economy and enforcement
Application of the general framework in 1-4: Identifying research topics in the underground economy
Application of the general framework in 1-4: Identify major components of an economic policy paper.
Application of the general framework in 1-4: Presenting an economics proposal

HE3025 Introduction to Data Analysis (3 AU)

Course Content

Stata: Introduction
Stata: data cleaning
Stata: writing loops
Stata: regressions beyond OLS
Stata: Robustness of results
Drawing conclusions from the data analysis and writing up your results

HE4001 Advanced Microeconomics (4 AU)

Course Content

Pareto optimality of competitive equilibrium
Social choice
External effects, environmental protection and sustainable development
The optimal size of public spending and the distortionary cost of taxation
Theories of second and third best
Division of labour, increasing returns, and welfare economics
From preference to happiness

HE4002 Advanced Macroeconomics (4 AU)

Course Content

Economic growth theory
Economic development theory
Money, Finance and Long-run growth
International development and globalisation
Contemporary issues in income and firm distribution

HE4003 Advanced International Finance (4 AU)

Course Content

Foreign Exchange Market and the Balance of Payments II
Purchasing Power Parity and Interest Parity
Open Economy Macroeconomics
Flexible Prices - The Monetary Model
Fixed Prices - The Mundell-Fleming Model
Fixed Prices - The Dornbusch Model
Fixed Exchange Rates - Part I
Fixed Exchange Rates - Part II
The International Monetary System - The Bretton Wood System

HE4004 Behavioral Economics (4 AU)

Course Content

Introduction to Behavioral Economics
Prospect Theory, Reference-Dependent Preferences, Endowment Effect and Loss Aversion
Heuristics and Biases: Representativeness, Availability, and Anchoring
Framing, Mental Accounting, Reversal of Preference and Money Illusion
Present-Biased Preferences and Intertemporal Choice
Behavioral Game Theory I: Dictator Game, Ultimatum Game, Trust Game, Prisoner’s Dilemma, and Public Good Game
Fairness and Social Preferences
Behavioral Game Theory II: Mixed Strategies, Iterated and Dominance Solvable Games, Learning

HE4005 Growth Theory and Empirics (4 AU)

Course Content