MSc Economics / Course details

The course unit aims to equip students with skills to assess situations and critique policies affecting the labour market using the frameworks of modern economic theories. On completion of this unit successful students will be able to demonstrate:

• A good understanding of key economic concepts related to the demand for labour by firms and supply of labour by workers
• The ability to critically appraise labour market policies and reforms

The skills to critique theoretical models and empirical analyses

Pre-Requisite: MSc/MA semester 1 units 

The course unit aims to equip students with skills to assess situations and critique policies affecting the labour market using the frameworks of modern economic theories. On completion of this unit successful students will be able to demonstrate:

• A good understanding of key economic concepts related to the demand for labour by firms and supply of labour by workers
• The ability to critically appraise labour market policies and reforms
• The skills to critique theoretical models and empirical analyses

Knowledge, Understanding and Intellectual Skills

• Be aware of the characteristics of labour markets in a range of different economies
• Interpret past and current labour market conditions through the lens of economic theory
• Understand and critically evaluate the policy recommendations made by labour market models and judge their applicability to a range of different labour market conditions
• Understand the implications for inequality arising from different labour market policies

Practical Skills

• Being able to read and evaluate the current economic literature on labour markets
• Understand the availability of relevant data sources
• Writing to communicate to economists and non-economists

Transferable Skills and Personal Qualities

• Analyse market conditions and identify an appropriate economic modelling framework to discuss current affairs pertaining to labour issues.

Provisional

The contents of the course will be divided into 5 broad topics. The lectures will focus mainly on building the theoretical and analytical framework of the topics, while the tutorials will be used to discuss mock final examination questions based on an academic paper pertaining to the topics.

1. Neoclassical Model – Labour Demand and Labour Supply
2. Selection and the Roy Model
3. Minimum Wage, Labour Unions, Technological Change and International Trade
4. Search and Bargaining
5. Performance Pay, Worker-Firm Fixed Effects Model

Lectures and tutorials.

Coursework - 20%

Midterm exam - 30%

Final exam - 50%