Teaching Portfolio Ejindu Ume

TABLE OF CONTENTS

I. II.

Teaching Philosophy Appendix A: Course Syllabi i.

III.

Appendix B: Lecture Notes i.

IV.

Principles of Macroeconomics

Appendix D: Teaching Evaluations i.

II.

Principles of Macroeconomics

Appendix C: Writing Assignment i.

V.

Principles of Macroeconomics

Principles of Macroeconomics - Instructor

Appendix E: Teaching Assistant Evaluations i.

Intermediate Microeconomics - UC Santa Barbara

Teaching Philosophy Ejindu Ume My goal as a teacher is to expose students to the usefulness of economics in everyday life. It has been my experience that students become more engaged in economics once they understand the real world applications. In my opinion lectures should be application oriented, with an abundance of real world examples. A large part of economics focuses on decision-making. In addition to teaching the supporting theory, I teach students how to become good decision makers, through the development of their critical thinking skills. In doing so, I equip students with the ability to incorporate knowledge and apply it endlessly. I find that examining real-world problems, through debate, discussion, and written reflection cultivates critical thinking skills, and transforms the learning process from passive to active. Students bring a wide array of insight and perspective to the classroom. In other words, the classroom is intellectually diverse. Given their diverse worldviews, it is very important that teachers create an environment that promotes the free exchange of ideas, which is something that I strive to do. Intellectual diversity goes hand-in-hand with critical thinking so it is imperative that students have a learning environment that allows them to share their views, listen to other views, and use reason to differentiate their views from others. Another key aspect of intellectual diversity surrounds the variety of ways in which students learn. I understand that each student learns differently and possesses unique intellectual strengths and weaknesses. In response, I make a conscious effort to vary my teaching methods to account for these differences. I use a mix of lectures, discussions, organized notes, data/charts, and real world examples to illustrate my points. I do my best to interact with students, and to remember their names. Furthermore, I make efforts to talk with students individually in order to know them personally, and to understand their goals and objectives for the class. Given a reasonable class size, at some point during the semester every student will receive a personal email from me; these emails can range from “Thanks for staying engaged and active in class today,” to “Please stop by my office hours to discuss your exam grade.” Although, this could be a bit time consuming, the benefit to students far outweigh the opportunity cost I incur. I realize I still have much to learn to become a great instructor. The feedback I receive from students will help me to evolve as an educator. I believe that in order to remain effective, teachers must be introspective and willing to evaluate their delivery and presentation during class and office hours. I often find myself asking two questions: “Am I being clear and concise?” and “Is my approach working?” In addition to constantly questioning my approach, I have found that talking with more experienced teachers and striving to keep my lecture material current are great ways to improve my teaching. Over time I am sure to refine my approach to teaching and improve as an instructor, but I hope that my enthusiasm for teaching never wanes. Enthusiasm for economics is a gift, and I am more than willing to share that gift with my students. One of the great joys of teaching comes from watching students get excited about economics, and seeing their perspectives of the world change as a result of what they have learned.

Appendix A: Course Syllabi Principles of Macroeconomics

Summer 2013 EC 111 Section 1: Principles of Macroeconomics 10:00-11:45 MTWRF EJ Ume Office: 355 Bidgood Office hours: 2:00-3:00 pm Monday and Tuesday, also by appointment. Office phone: 348-7590 E-mail: [email protected] Course information will be provided via Blackboard Learn. Prerequisite: Economics 110. Course Description: Introduction to macroeconomic analysis concentrating on national income, price levels, employment, monetary and fiscal policies, and international macroeconomics. Course Objective: By the end of the course, students will have been introduced to the important issues of macroeconomics and to some of the contending theories. One goal is for students to become more critical consumers of information on the economy, whether it is presented by the media, a political campaign or an interest group. Required Textbook: In this course, you will use a textbook, Macroeconomics: Principles and Policy (12th edition) by W. J. Baumol and A. S. Blinder. Homework: Homework problems are assigned from the textbook. Examinations: Your exam average will be computed from four equally weighted exam scores. Each exam will contain questions worth a total of 100 points. Note: If you miss exam 1, 2 or 3 for any reason, part 2 of the final (administered on the final exam date) is the only available make up. For these students, the score on part 2 is used to replace the missing exam grade. The make-up exam will be comprehensive. In the highly unusual circumstance that a student misses multiple exams he or she will receive a 0 unless an acceptable and well documented excuse is provided for all exam absences. In this circumstance, the method of making up for the missing test score will be determined at my discretion. Students who miss the .nal will be excused only if they have a legitimate and well documented excuse. Grading Policy: Your final average will be determined as follows: 0.9 x Exam Average + 0.1 x Homework average + Bonus Points. Your final average determines your course grade on a scale where 90 or above is an A and less than 60 is an F. Passing grades are modified within each range so that grades falling within [0,3) receive a .-.and those within [7,10) receive a .+.. For example, 90 is an A-, 87 is a B+ and 82.9 is a B-. Bonus Points: You will have the opportunity to earn up to 2 bonus points, which will be added to your final grade. Tests will not be curved and grades will be determined in strict accordance with the policy above. I will not entertain needs based appeals of your course grade.

Notes: 1. You must bring your picture I.D. to all exams. 2. If you choose to use a calculator during an exam, only a calculator with the four basic functions (addition, subtraction, multiplication and division) is allowed. A calculator with text storage capability is prohibited on the exam. You cannot use a cell phone as a calculator on an exam. Cell phones and electronic devices are to be o¤ and out of sight during an exam. Cheating will not be tolerated; all violations will be enforced according to the policy of academic misconduct. Classroom Etiquette: 1. Do not eat loudly or read newspapers during the lecture. 2. Latecomers must quietly take available seats in the back of the room. If you become sick and have to leave during the lecture, make your exit quietly 3. During the lecture, private conservations and movement about the classroom should be kept to an absolute minimum. 4. All cellular phones and laptops must be turned off while you are in class. Disability Access Statement: To request disability accommodations, please contact the O¢ ce of Disability Services at 348-4285. Please contact me after your consultation with that o¢ ce. It is your responsibility to make arrangements for the accommodations on a timely basis. Special arrangements for exams must be made at least one week prior to the exam date. Any request for special arrangements made less than one week prior to an exam date will not be honored. Course Calendar:

Exam 1 Exam 2 Exam 3 Exam 4

Chapters 5, 6 8, 9, 10 11, 13, 15 16, 17, 19

Date May 31, 2013 June 7, 2013 June 14, 2013 June 27, 2013

Note: Final exam is scheduled for June 27, 2013 from 8am - 10:30am.

Homework Schedule: Chapters 5 6 8 9 10 11 13 15 16 17 19

Test Yourself 1, 3 4, 2, 6; 2, 4; 1, 2, 2, 1,

6; Appendix: 2, 4 3, 4 Appendix A: 4 4 Appendix B: 1 8 3 3 Explain Rational Expectation 1

May 30 Last day to drop a course without a grade of "W" June 14 Last day to drop a course with a grade of "W"    

Date Friday May 31, 2013 Friday May 31, 2013 Thursday June 6, 2013 Thursday June 6, 2013 Thursday June 6, 2013 Thursday June 13, 2013 Thursday June 13, 2013 Thursday June 13, 2013 Thursday June 20, 2013 Thursday June 20, 2013 Thursday June 20, 2013

Appendix B: Lecture Notes Principles of Macroeconomics    

Ch hapter 11 1 - Fiscaal Policyy Fiscall policy consists c of goverrnment pplans forr spendinng (G) aand taxing g (T). Firrst, we will w look at the efffect of G G&T onn AD andd then lo ook at th he effectt of taxattion on A AS. Previo ously, we had C = 300 + .75*DI,, with T= = 1200. This givves C=

Fixed taxes lead to a parallel p shift s dow wn of thee relationnship betweeen C and d Y. Now, let T=.2 20Y. We have C =

An inccome tax x changees the slo ope of thhe relatioonship bbetween C and Y. Y Trick question q : When T = .20Y Y, what is the marginal propen nsity to consumee? As seeen on thee next paage, the presencee of an income ttax flatteens the ex xpenditurre line. This T actu ually trannslates innto a low wer valuue of the expendiiture mu ultiplier.

Let’s return r to o our mu ultiplier story s witth the $11 exogennous increaase in inv vestmentt spendin ng. The MPC is .75 and T = .2Y Y.

At eacch step in n the pro ocess, paart of thee increassed incom me is taxxed away and cann not be sp pent. Thu us, the m multiplieer is smaaller. Thiis is a good d thing, because b it refleccts greateer stabiliity in thee econom my. A larg ge multip plier imp plies a leess stablee econom my. Taxees have some negativee implicaations fo or the ecoonomy, but reduucing thee size off the mu ultiplier is i not on ne of them m.

We now have three reasons why the simple multiplier is too big: 1. It ignores changes in the price level. ii. It ignores variable exports. c. It ignores income taxes. Fixed Tax Multiplier Note: G enters AD directly: AD = C+I+G+X-IM. Taxes affect AD indirectly by reducing DI and thereby reducing C. The multiplier for changes in fixed taxes mT is opposite in sign and smaller in magnitude than the expenditure multiplier which applies to changes in G, I, a, and e. Consider the case with no income tax and an MPC = .9. The expenditure multiplier is 10. Consider an increase in G = 1000. The expenditure line shifts up by 1000 and Y ultimately increases by 10,000. Now suppose T rises by 1000. DI falls by 1000 and the initial fall in C is .9(1000) = 900. The expenditure line shifts down by 900, rather than 1000 and the ultimate fall in income is 9000. This is shown by the diagram on the next page. We have the following relationship: mT = -MPC*me In our example: mT = A transfer payment is like a negative tax. It affects AD by raising DI.

The diiagram above a sh hows thee combinned effecct of raissing G byy 1000 and a raisiing T by y 1000. Itt demonnstrates thhat the ffixed taxx multip plier is sm maller in n magnittude andd oppositte in signn from thhe expen nditure multiplier m r. Note th hat the nnet effecct of thesse changges is thatt output is i higherr. Balan nced Bud dget Mu ultiplier: This iss the mulltiplier w which appliees when there t aree equal changes c in G andd fixed taxes. Thhe balancced budg get multiiplier is positive p . otal effecct is (me+m + T) G>0, G beccause me+mT >0. The to Expan nsionary Fiscal Policy: P ↑G or ↓T T. T. Contraactionary y Fiscal Policy: ↓G or ↑T

How does d fisccal policy y work to t fight a recessiion?

Suppo ose the me = 2.5 and a our goal is tto raise G GDP to ppotentiall.

Tax cu uts could d also bee used. For F exam mple, if M MPC = .775, then mT = -.75(2.5) =-1.875.

We caan do it all a in rev verse as well. w Thhat is, haave a resttrictive fiscal policy (cut G, raaise T) when w wee have ann inflatioonary gapp.

Fiscall Expansion

As a result r of the fiscaal expansion therre is som me combbination of an inccrease in Y and an a increaase in P. u want a big publlic sectorr, advoccate expaansionaryy If you govern nment sp pending in a receession annd tax inncreases in a booom. If you u want a small pu ublic secctor, advocate taxx cuts inn a recesssion and spendin ng cuts in n a boom m. The id dea that fiscal f po olicy can n be mannipulatedd to achieeve desiraable levels of AD D is conssistent w with eitheer conserrvative oor liberall views on o the ov verall ro oll for goovernmennt in thee econom my.

Caveat: There may be political difficulty in cutting spending. Also, if G is very tiny, cutting G during the boom is not feasible. SOME PROBLEMS: 1. We do not know the precise value of the multiplier. 2. We do not know the precise value of potential GDP. 3. We do not know the exact shape of the AS curve. 4. We do not know whether consumers will view a tax cut as permanent or temporary. This will affect how they respond to the tax policy. 5. Legislative action takes time. By the time the policy is enacted and takes effect, the problem may have changed. 6. C, I, X-IM are all constantly changing. Numerical Example C = 300 + .75DI T = .2Y I = 900 G = 1300 X-IM = 500 - .1Y

Algebra C = a + b*DI T = T0 + tY I=I G=G X-IM = e – dY

The Supply S S Side Taxes affect AS A throu ugh the in ncentivee to workk, save aand invesst. If tax cuts can n shift AS S out, we w get goood newss on inflaation andd outputt.

P ls Speciffic Policcies and Proposal 1. Cutt the Cap pital Gaiins Tax If you u buy a sttock at $5000 $ an nd sell att $10,000, you m must payy tax on n the $50 000 gain, even iff some off it was due to innflation.  People P may m attem mpt to co onvert orrdinary iincome iinto capiital gains, g if this t is po ossible.  In nvestmeent whosse return is a cappital gainn is favorred, e.g., art, a real estate. e

 We could index gains for inflation, but what about the rest of the system, e.g., interest earnings?  Capital gains are escaped at death.  Taxes are only paid upon realization. There is a benefit from being able to defer tax payments. Currently the top rate on capital gains is 15%. 2. Accelerated Depreciation Allowance. 3. Lower Corporate Profits Tax. Numbers 1-3 above are all designed to stimulate investment. 4. Lower Tax on Saving (tax sheltered accounts). 5. Lower Personal Income Tax Rates. 6. Tax Credits for R&D. This is designed to stimulate technological advance. A Successful Supply Side Tax Cut If things go well, we get a large increase in output with little or no increase in the price level. Note that increases in I and C (through the increase in DI) lead to a shift out in AD. SOME PROBLEMS 1. The response to lower tax rates may be small. Labor and saving supply are both subject to countervailing income and

substittution efffects, so o the nett effect oon each m may be ssmall. (T This seemss to be th he case empirical e lly.) mand sid de effectts may be quite llarge. 2. Dem

3. Thee effect on o AS do oes not happen h oover nighht. New investm ment takes time t beffore it caan be bro ought onn line as nnew cappacity. Work habits do d not ch hange im mmediateely eitherr. ver time, AD shiifts out ffaster thaan 4. Infllation ressults beccause, ov AS. Iff AD gro ows 6% per p yearr, AS 3% % per yeaar, we w will have 3% inflatiion. Increasing AS A growth to 4% % per yeaar (everyy year) would d be a miiracle, bu ut would d only reeduce infflation bby 1% peer year. There T is not mucch scopee for inflation control froom the supply y side.

5. Larrge cuts in i incom me taxes inevitabbly beneffit the ricch more, because the sy ystem is progresssive. Thuus, the aafter tax income bution will w tend to t becom me less eequal. distrib 6. Losss of revenue.

In factt, the deficit did balloon after thee tax cutts of 19882-3. 7. Thee supply side app proach iss very im mportantt for the long runn, but it is not paarticularlly well suited s to short-ruun stabiliization. Chang ges of AS in the short run n are boound to bbe small..

Appendix C: Writing Assignment Principles of Macroeconomics

Leigh Terry EJ Ume EC 111-052 21 June 2013 “When the Deficit Will be Fixed” This article by Bruce Bartlett stresses the need for U.S. government deficit reduction through a mix of spending cuts and tax increases. It also lays out the political reasons why these reductions will be difficult to enact into law. The main obstacle to deficit reduction is that the Congress that enacts it will suffer at the polls due to the electoral unpopularity of higher taxes and/or spending cuts. This is especially galling to politicians because in the long run, the benefits of deficit reduction will likely be great for the U.S. economy, but those benefits will help the congressman that replaces them to get re-elected. The main worry that the author has about long-term deficits is that they are inflationary and will restrict long-term economic growth. Unfortunately, the political landscape of the past 35 years has shifted so drastically that Republicans now believe that a single vote for any kind of tax increase will immediately kill their hopes for re-election. This limits the hope for political compromise until the effects of high for the public to bear. This article explains the concepts of monetization of the deficit and crowding out in realworld terms. It does so to suggest that, if deficits are not controlled, as the economy recovers, inflation and interest rates will rise as long-term potential GDP falls due to lower capital stock. This explanation agrees with what we have learned in class about how aggregate supply and demand can affect money supply and demand and vice versa. It also brings to the fore the argument that fiscal and monetary policy mix does matter in that fiscal policy (in this case deficit spending) must be reined in to allow for monetary policy to move away from the zero lower bound on interest rates. This article also highlights that while economists certainly do not all agree about the effects of high budget deficits, they do all agree that high deficits are bad for everyone in the economy in the long run.

Once again, I appreciated how the author of this article explained both the economic and political considerations of a major issue. While he does take some credit for the deficit reduction enacted under his one-time boss President H.W. Bush, he understands of the political pressures that current Republicans face in voting for tax increases. Indeed, he is probably in the best position to sympathize since Bush’s re-election defeat - likely cost the author his own job. I agree wholeheartedly with his thesis that deficit reduction is necessary but unlikely to happen until a crisis forces Congress’s hand. I only hope that the medicine is not too late to cure the illness in our country.

Appendix D: Teaching Evaluations Principles of Macroeconomics

Principle of Macroeconomics Evaluations (Average Responses)  Student Response Rate  Questions  The procedure for grading was fair.  The course was a valuable learning experience.  Tests and written assignments are graded and returned in a reasonable period of time.  The academic standards of this course are high. 

       Section 1          Section 2  23% 22% 3.71 2.71 4.43 3.71

3.00 3.25 4.62 3.75

The instructor was an effective communicator.  The instructor was accessible to students outside of class.  The instructor was well‐prepared for class.  The instructor explains clearly to students how they are evaluated.  The instructor is an effective teacher.  The instructor makes objectives for the course clear. 

2.71 3.57 3.71 4.14 2.57 3.43

3.25 4.25 3.75 3.00 2.88 3.12

What grade did you expect to receive in this course?  How would you rate this course?  How would you rate this instructor of this course?  How frequently did you attend class? 

2.67 2.00 2.57 5.00

3.75 2.88 3.00 4.62

Principle of Macroeconomics – Section 1 Comments:  “Mr. Ume was a fair teacher however, his exams only reflected about 70% of what was covered in notes which is about right considering that's approximately my score on each exam. Also, we wasted a lot of paper printing notes, he should make the font size smaller than 16pt. He should also make it clear at the BEGINNING of the course that ALL material in the chapters are covered not just the notes' material.” “It was very difficult to talk to Professor Ume because he was very firm in his ways, he was not really open to other ideas. He teaches the class differently than he makes the tests so for the students it makes it hard to prepare even after reading all of the material (book , class notes, and printed notes) he says he is open to advice and we have given it to him but the advice he has been given he does not know how to make a change so the class remains the same. I understand he is a new teacher and knows all the material but the way he communicates it to the class does not click to us the way he presents it.” “Make sure the test don't have tricky wording. Thats where i messed up in my responses.” “Most classes could have been shorter since the instructor tended to "preview that day's material" before going through the actual material, meaning we tended to hear everything two or three times when one time would have been sufficient. On the bright side, the instructor was great about emailing us when our test grades were posted and responded to emails very promptly, which was a great help.” “I love the way you teach. You tell us what we need to know and that's it.” “The overall structure of the class (pre-prepared notes, weekly homework, tests every Friday) was well-geared towards getting the most out of the brief time period of the class.” “The course does not seem as though it would be too difficult. I'm hoping the material applies to things I will use later in life.”

Principle of Macroeconomics – Section 2 Comments:  “Very nice person. You could tell he knew what he was talking about, and he was very intelligent. He was very helpful outside of class, but went through the material very fast in class.” “EJ Ume was an instructor that did speak very well and seemed to know exactly what he was talking about but his teaching was somewhat off. I say this because in class I understood everything he was talking about, or so I felt, but when I started the homework and did the tests I was completely clueless.” “I felt that the class was unfair in that we did not get participation points or any additional points for doing work that was taken up in class. I also felt that there was an issue with the fact that I could make 90's on the homework assignments and do very well on the practice tests, but when the time came to take the real tests I failed miserably; it is as if I had entered a parallel universe and became a failure. I know that Econ is not my strong point but c'mon.” “This course grading was extremely unfair. With test averages so low, with no one even making an A on some tests, 90% of your grades being based on tests was ridiculous. If the grading scale would have been different this class would not have had so many drop outs. I can say personally I put in at least 20 hours a week studying outside of my class time and the tests were still ridiculously to hard. The course was just unfair in the end.”

Appendix E: Teaching Assistant Evaluations Intermediate Microeconomics – UC Santa Barbara