UCL School of Management

Module Fact Sheet

MSIN0117: Economics and Business in China

Taught by
NSD
Level
Masters, level 7
Prerequisites
None
Eligibility
MBA students only
Terms
1
Delivery method
For full-time students 8 x 3 hour sessions over two weeks. Part-time students 8 x 3 hour sessions over two weekends.
Assessment
Class participation 20%
Group coursework 10%
Individual coursework 30%
In-class test (2 hours) 40%
Previous Module Code
MSINGC03

Course overview

This module introduces economic concepts and provides a firm understanding of the nature of man, choice and cost, pricing and marketing tactics, the real rate of interest, unemployment, the determinants of income, market structure, competition policy, money and various macroeconomics topics.

This module also reviews China’s economic growth from a historical perspective and focuses on economic decentralization and its impacts and the export-led growth model.  The prospects for China’s future growth are also covered.

One aim of the module is to teach students ways of thinking in economic terms so that they are able to subject commercial phenomena to economic analysis.

After examining the history of China’s economic ascent and the institutional foundations of China’s economic growth, students will be able to meaningfully discuss the issues surrounding China’s growth model.

Learning outcomes

After completing the module, the students should be able to:

·         Apply economic principles and concepts to understand and analyse events in the workplace.

·         Apply economic principles and concepts to understand and analyse events in the wider national and international economy.

·         Develop informed analysis of business opportunities in China based on a strong understanding of the issues affecting the growth of the Chinese economy, including structural adjustments, income distribution, and social justice.

Topics covered

Course 1: Managerial Economics

-       Cost and Coase

-       Demand and Price

-       The Theory of Interest

-       Asymmetric Information and Interdependency

-       Teamwork and Income

-       Ownership and Corporate Governance

-       Industrial Organization & Antitrust

-       Money and Macroeconomics

Course 2: China’s Economic Development

-          China’s Economic growth in a historical perspective

-          Economic decentralization and its impacts

-          Demography, labor and urbanization

-          The export-led growth model

-          The prospects of China’s growth

-          Inequality and social justice

-          The political economy of China’s economic growth

Assessment summary

Class participation 20% Group coursework 10% Individual coursework 30%

In-class test (2 hours) 40%

Current students should refer to Moodle for specific details of the current year’s assessment.

Essential reading

Course 1: Managerial Economics

Textbook details

1.       Microeconomics, Principles and Policy (by William J. Baumol and Alan S. Blinder) (International Edition)

Reading materials

1.       Read, Leonard. (1958) “I, Pencil: My Family Tree as told to Leonard E. Read,”

2.       Hayek, F. A. (1945) “The Use of Knowledge in Society”, AER

3.       Cheung, S. N. S. (1974). “A Theory of Price Control.” Journal of Law and Economics, 1974

4.       Coase, R. H. (1960). “The Problem of Social Cost.” Journal of Law and Economics 3: 1-44.

5.       Alchian, Armen. (2009) “Property Rights,” Armen Alchian, from The New Palgrave Dictionary of Economics

6.       Other handouts 

Course 2: China’s Economic Development

Ø  Textbook: Naughton, Barry, The Chinese Economy:  Transitions and Growth. MIT Press.

Ø  “The Chinese Growth Miracle.” In Phillip Aghion and Steven Durlauf eds. Handbook of Economic Growth, Chapter 7, Vol. 2B: 943-1032. 2014, North Holland.

Ø  Dreze, Jean and Amartya Sen. “China and India.” Chapter 11 In Hunger and Public Action, Clarendon Press.

Ø  Lu, Ming and Hong Gao. “When Globalization Meets Urbanization: Labor Market Reform, Income Inequality, and Economic Growth in the People’s Republic of China.” ADBI Working Paper Series No. 162, September 2009.

Ø  Zhang, Yuan. “Urbanization, Inequality, and Poverty in the People’s Republic of China.” Cornell University, ILR School Working Paper No. 7-2016.

Ø  Autor, David; Dorn, David; and Hanson, Gordon. “The China Shock: Learning from Labor Market Adjustment to Large Changes in Trade.” 2016, http://www.nber.org/papers/w21906.pdf

Ø  Yao, Yang and Mengqi Wang. “Internal Convergence and China’s Growth Potential.” China Update 2017.

Ø  Yao, Yang. “Will China be Able to Avoid the Japan Syndrome?” China & World Economy 09/2016; 24(5):98-121.

Ø  Yao, Yang. “Anatomy of the Chinese Selectocracy.” Manuscript.

Past versions of this module

MSINGC03 17/18

Last updated Friday, 17 August 2018