EC171 Summer 2010
This is a tentative schedule, subject to adjustment as the term evolves.
The official version is the one posted to
Check often for updates, readings, assignments, etc.
Date Topics Readings Assignment
TUE 5/18 Course Overviewand Administration
Signs of Financial Health
FE, ch 1.1-1.3
TUE 5/18 Human Capital
Homework 1: Human Capital
THU 5/20 Consumption Smoothing STTE, ch 1-2
THU 5/20 Lifetime Budget Constraint
Example: consumption smoothing example.xls
ME, ch2.1, pp37-39
Date Topics Readings Assignment
MON 5/24 QUIZ 1
Maximizing Your Happiness (Utility)
ME, ch2.1, pp41-44
MON 5/24 Present and Future Values
Example: TVM Examples 2010-05-24.xls
FE, ch 4
TUE 5/25 More about Inflation
FE, ch 4
TUE 5/25 Valuing Streams of Payments
Example: Saving for College.xls
Example: TVM Examples 2010-05-24.xls
FE, ch 4
Homework 2: time value of money
THU 5/27 Calculating Payments
Example: TVM Examples 2010-05-27.xls
Example: credit card debt.xls
THU 5/27 Net Present Values and the LBC
Example: NPV Example.xls
Example: Lifetime Budget Constraint.xls
Review and Discuss Ballpark Estimate
Social Security Benefits Estimator
Ballpark E$timate
Homework 3: ballpark estimate
Date Topics Readings Assignment
TUE 6/1 QUIZ 2
Mr. Taxman
Example: marginal tax rates.xls
TFB: What is your marginal tax rate?
Familiarize yourself with the 1040EZ Tax Form
THU 6/3 Consumption Smoothing with Taxation

Example: consumption smoothing - with taxes.xls
STTE: ch 3, 5, 6, 8
THU 6/3 Introduce ESPlanner STTE ch 7
ESPlanner website
HW4: creating a financial plan,
due TUE 6/8
FRI 6/4 Class cancelled
Date Topics Readings Assignment
MON 6/7 Consumption Smoothing with Borrowing Constraints EC171 Written project
MON 6/7 Should You Go To College? STTE, ch 9, 10
TUE 6/8 QUIZ 3
How Should You Pay For College?
The Student Loan Scam
TUE 6/8 Where Should You Live?
Which Job Should You Take?
CNN's Cost of living calculator
STTE ch 11, 12, 13
THU 6/10 Which Job To Take (conclusion)
Should We Rent or Buy?
Example: mortgage amortization.xls
STTE ch 14
BR's Buy or Rent calculator
NYTimes: Buy or Rent calculator
HW5: where should you live?,
due MON 6/14
Date Topics Readings Assignment
MON 6/14 QUIZ 4
Should We Get Married?
Should We Get Divorced?
STTE ch 23, 24, 25, 26
MON 6/14 Risk Management and Insurance
What Risks Should We Insure?
FE ch 10
TUE 6/15 Insuring Your Human Capital
TUE 6/15 Saving for Retirement The Pension Swindle
STTE ch 15
THU 6/17 Stocks for the Long Run's Investment Tutorial
Fire your mutual fund manager
STTE ch 31-35
Date Topics Readings Assignment
MON 6/21 QUIZ 5
You Can't Handle The Truth About Stocks
WFI, ch 6, 7
TUE 6/22 Practical Steps for Your Financial Future
Earning Risk-Free Returns
AT: Earning 177% on Bordeaux