School of Economics

Studying Economics at the University of Edinburgh

The University of Edinburgh is the leading university of Scotland and a member of the elite Russell Group of UK universities. In Economics, we have an international reputation for research and a respected teaching programme established over 200 years. We offer high quality education in theoretical, applied and quantitative economics with an opportunity for specialist study by way of a wide range of optional courses. Undergraduate teaching is conducted within the framework of the MA degree.

We also participate in the Scottish Graduate Programme in Economics based in Edinburgh, offering postgraduate qualifications in economics: two one year taught programmes leading to an MSc, and a PhD by research. The MA degree, in the Scottish tradition of offering breadth and depth, has the following characteristics: • Four years in duration • Years one and two typically consisting of Economics and courses from other subjects • Compulsory courses in economic analysis, applied economics and quantitative methods throughout the first three years • Year four consisting of a choice of honours courses and dissertation preparation providing research experience

Cover image: The statue of Adam Smith, the father of modern economics, on the Royal Mile in Edinburgh.

Facilities The facilities available to students for the study of Economics at Edinburgh are excellent. The University Library has about 3 million books, 9,000 journal series and over 21,000 electronic journals – and if that is not enough you can walk to the National Library of Scotland, a library entitled to receive copies of all books published in the UK, and access their six million volumes.

WiFi coverage is excellent in university buildings and student accommodation is connected to the Internet via ResNet (a dedicated data network).

Housing options for new undergraduates are both catered and selfcatered, all convenient to the main University areas.

Teaching A mixture of teaching methods is used, with lectures, tutorials, workshops, seminars and online environments all employed. In Economics 1A there are two lectures and one tutorial per week. Lecture audiences may be as large as 400 but tutorial sizes are typically 15 – 20 students. Apart from private study, a normal weekly workload consists of 6 - 9 lectures and 3 tutorials in the first or second year; in the honours years students attend several weekly teaching sessions depending on the options chosen. There are examinations in most subjects in April/May but assessment varies from course to course, with a mixture of essays, projects and short examinations used.

Typical Degree Curricula MA Honours in Economics Year 1: Economics 1A

two other courses Year 2: Economics 2

Issues in Global Economics

two other courses Year 3:

Topics in Economic Analysis 1 and 2; Essentials of Econometrics; Applications of Econometrics Applications of Economic Analysis one honours option semester-length course

Year 4: Equivalent of four honours option semester length courses

Dissertation of thirty-five pages

Joint Honours Degrees Economics can be combined with: Accounting, Arabic, Business Studies, Chinese, Economic History, Environmental Studies, Finance, Geography, Law, Management Science, Mathematics, Philosophy, Politics, Social Policy, Sociology, Statistics In joint degrees, both subjects are studied for four years, usually in equal amounts. All of these degrees are offered by the College of Humanities & Social Sciences with the exception of Geography and Economics, which is offered by the College of Science and Engineering.

An example of a joint degree Economics and Politics Year 1: Economics 1A, Introduction to Politics and International Relations,

Democracy in Comparative Perspective, another full-year course Year 2: Economics 2, Issues in Global Economics, International Co-operation

in Europe and Beyond, Social and Political Enquiry 2, Social and

Political Theory 2 Year 3:

Topics in Economic Analysis 1, Essentials of Econometrics, Applications of Economic Analysis, either Global Justice and Citizenship or Approaches to Politics and International Relations, either two Politics honours semester-long courses or one Politics honours semester-long course and one Economics honours semester-long course

Year 4: Two Economics honours semester-long courses, two Politics honours

semester-long courses and a dissertation in Economics or Politics

As a student doing a joint degree in Economics and Politics, Economics gave me the ‘hard’ facts behind my studies.

In Economics you also feel a progression of knowledge and fascination for the subject. In the first two years you learn the basic tools that an Economist uses and you learn how to apply them to various topics. In the next two years, you get the chance to focus on what really interests you.

At Edinburgh, with a wide range of courses, from game theory to environmental economics, and friendly professors, learning the subject was anything but dull.

Alistair Sussock, MA Hons Economics and Politics

Summary of Course Content Economics 1A (1st year: for students intending to continue with Economics) The course is intended to develop a rigorous understanding of core economic models and analysis, together with an ability to apply the analysis in a variety of contexts. The first semester focuses on microeconomics: models of supply and demand, consumer and producer behaviour, and the economics of market failures. The second semester looks at macroeconomics: economic growth, inflation, unemployment, and trade. Relevant mathematical techniques (e.g. solving linear equation systems, logs, basic calculus, maximisation) are developed and applied to economic contexts as an integral part of the course. Learning-by-doing, through problem solving and project work, is an important ingredient of the course, with regular on-line tests and classroom response systems (“clickers�) to reinforce an active approach to learning.

Recommended reading includes: Pindyck & Rubinfeld Microeconomics, Mankiw Macroeconomics Economic Principles and Applications (EPA) (1st year: for students not intending to continue with Economics) The course is intended to provide a broad introduction to the basic principles of economic analysis, and illustrate the usefulness of these principles in a varied range of applications. The first semester focuses on basic principles, covering: the microeconomic analysis of the behaviour of individuals and firms, the operation of markets, and government intervention in markets through taxes and regulation; and the macroeconomic analysis of the behaviour of economy-wide measures such as output, unemployment, money, interest rates, inflation and exchange rates. The second semester develops and uses these principles in a variety of applications. These will vary from year to year and typically might include 5 contexts drawn from: development economics; the economics of transition; globalization; macroeconomic policy; the history of economic

thought; the economics of the environment; bargaining and game theory; and financial markets. The course relies primarily on words, diagrams and numerical illustrations. The use of formal mathematics is limited and basic.

Recommended reading includes: John Sloman Essentials of Econometrics Economics 2 (2nd year) This course is intended to further develop a rigorous understanding of core economic models and analysis, following Economics 1A. The first semester looks at the economic analysis of risk, information and strategic behaviour, with applications to insurance and credit markets, oligopoly, asset pricing and investment. The second semester looks more at macroeconomics and includes topics such as economic growth, business cycles, taxation, and public sector debt and deficits. Along with two economics lectures each week, a third lecture focuses on data analysis. These lectures essentially provide students with a short introduction to Probability Theory and Statistics. Starting from the definition of probability and random variables, students are introduced to the concept of probability distributions, random sampling and the Central Limit Theorem. Material in the second semester includes statistical inference, estimation and hypothesis testing.

Recommended reading includes: Pindyck & Rubinfeld Microeconomics Mankiw Macroeconomics

Issues in Global Economics (2nd year) IGE is intended to illustrate the usefulness of economic principles in a varied range of applied contexts. IGE will focus on two issues: trade in the global economy; the economics of climate change. The course relies primarily on words, diagrams and numerical illustrations/data. The use of formal mathematics is limited and basic. Reading material for the course will be drawn from a variety of sources. An understanding of basic economic principles at the level of: Sloman ‘Essentials of Economics’ is presumed.

Topics in Economic Analysis 1 (3rd year) This course is designed to provide a coherent development of some important topics in economic analysis at a more advanced level than that of standard intermediate courses. It thus extends and deepens the work of Economics 1A and Economics 2, bridging the gap between intermediate and graduate level courses in economics, and providing insight into some recent areas of economic research activity. Throughout there is an emphasis on the application of economic principles. The course has a mathematical content and knowledge of basic calculus is assumed.

Essentials of Econometrics (3rd year) This course provides an opportunity to learn skills that are important for later stages of the Economics programme, and many future career and life contexts. EE aims to ensure that all economics honours students have a sound grasp of the basic techniques of modern empirical economics.

The topics covered are likely to include: the linear regression model (twovariable model, multiple regression, functional forms, dummy variables); regression analysis in practice (model selection criteria and tests, multicollinearity, heteroskedasticity, autocorrelation); introductions to more advanced topics (panel data, instrumental variables, limited dependent variables, dynamic models). EE includes weekly lab sessions to reinforce lectures, with exercises which foster ‘learning-by-doing’, using the STATA estimation package. The course provides an opportunity to develop and practice key practical skills in computing, data gathering, processing, analysis and presentation.

Applications of Economic Analysis (3rd year) This course consolidates and deepens the understanding of core analytical and econometric techniques developed in the programme. Students will be expected to adapt and apply these techniques to a variety of applied and policy contexts. Applications covered are likely to be drawn from: cost benefit analysis and project evaluation of public sector investment; the economics of health, behavioural economics, sovereign debt, macroeconomic aspects of fiscal policy and volatility and economic growth.

Whilst studying Economics and Politics at Edinburgh I have appreciated the flexibility and scope that I have had to develop my knowledge and interests. The fact that the undergraduate course is 4 years long allows students a fantastic opportunity to take outside courses, which is a benefit of studying in Edinburgh that cannot be overrated.

The Economics department at Edinburgh is widely respected which has become apparent whilst I’ve been applying and interviewing for summer internships. This reputation is well deserved and therefore I am able to strongly recommend and encourage potential students to choose to study Economics at Edinburgh.

Rosie Talbot, MA Hons Economics and Politics

Honours Options for MA Degrees

Honours Options for MA Degrees

Economics of Transition

Advanced Topics in Applied Econometrics

Globalisation, Trade and Development

Applications of Econometrics Capital and Growth Theory Development Economics Economic Transformation in East Asia

History of Economic Thought Industrial Organisation Labour Economics Monetary Theory and Policy

Economics of Developing Countries

Natural Resource and Environmental Economics

Economics of Financial Markets

Political Economy

Economics of Self-Management

Public Economics

Economics of Strategic Behaviour Economics of Technical Change ‘The Evolutionary/ Institutional Approach’

Careers Open to Economics Graduates A degree in Economics has long been regarded as an excellent preparation for many types of career. It provides a good education in literacy and numeracy relevant to the modern world, as well as being one of the most intellectually challenging of subjects. Employers favour the University of Edinburgh; many of them only recruit from us and a handful of other leading universities. There are Edinburgh Economics graduates in most leading UK banks and other financial institutions, often at the top level. Accountancy, the civil service and the media are also popular career destinations, and economics graduates are welcome in a wide range of management jobs. In addition many of our graduates proceed annually to postgraduate study in Edinburgh or other leading universities.

I came to Edinburgh University straight after my baccalaureate in France and many years down the line, I’m glad I made that decision! An undergraduate degree in Scotland has the advantage of allowing you to study three different academic subjects in the first two years and I eventually chose to continue both Economics and Politics courses to a degree level.

The economics curriculum really picked up in third year where a wide variety of Honours courses are on offer. One of the options I chose was Development Microeconomics and I enjoyed the course enough to have completed a PhD in that field this year!

Tom Flochel, MA Hons Economics and Politics, MSc Economics, PhD Economics

Economics Information on the World Wide Web You can find out much more about Economics at Edinburgh through our website at: www.econ.ed.ac.uk There is a vast amount of economic information and links to online publications at sites such as the UK Treasury at www.hm-treasury.gov.uk and the Institute for Fiscal Studies at www.ifs.org.uk General information and advice on studying economics at university can be found at www.whystudyeconomics.ac.uk

Pre-University Reading Robert H Frank The Economic Naturalist Tim Harford The Undercover Economist Exposing Why the Rich Are Rich, the Poor Are Poor – and Why You Can Never Buy a Decent Used Car! Levitt, S. and Dubner, S. Freakonomics and SuperFreakonomics To explore how we use mathematics in economics try: J Soper Mathematics for Economics and Business The first year textbooks are: Pindyck & Rubinfeld Microeconomics Mankiw Macroeconomics (Palgrave)

First Year Economics, timetable example MA (Hons) Economics and Politics (with Economic History as the outside course) Monday

Tuesday

Wednesday

Thursday

Friday

09.00

Economics 1A Lecture

Independent Study

Independent Study

Economics 1A Lecture

Independent Study

10.00

Independent Study

Independent Study

Independent Study

Economic History Tutorial

Politics Tutorial

Independent Study

Independent Study

Independent Study

Independent Study

Independent Study

Independent Study

Independent Study

Independent Study

11.10 Economics 1A Tutorial 12.10

13.05

14.00

Economic History Lecture

Economic History Lecture

Economic History Lecture

Independent Study

15.00

Intro to Politics & International Relations Lecture

Economic History Tutorial

Intro to Politics & International Relations Lecture

Independent Study

16.10

Independent Study

Independent Study

Independent Study

Independent Study

17.10

Independent Study

Independent Study

Independent Study

Independent Study

Independent study includes: background reading, preparing for tutorials, writing up notes, completing online tests, taking part in group activities for poster sessions, etc.

Contacts The School of Economics The University of Edinburgh 30 Buccleuch Place Edinburgh EH8 9JT Study.Economics@ed.ac.uk +44 (0)131 650 8362 For a university prospectus and queries about entrance qualifications: Associate Dean (Admissions) College of Humanities and Social Sciences The University of Edinburgh David Hume Tower (2nd Floor) Edinburgh EH8 9JX HSSUG@ed.ac.uk

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