Supply and demand theory - market models

Aims

  to provide background in the Theory of Consumer Demand to provide background in the Theory of the Firm to develop skills in the theory of duality to provide experience in derivation of demand, supply and cost functions                  

Prerequisites


 introduction to economics
 calculus
 
 
  

Learning Outcomes

•  Utility theory • Production theory • Comparative statics of demand and supply • students will be able to derive demand and supply • They develop skills in economic optimization and duality • Students obtain knowledge of basic demand and supply theory  

Syllabus

Textbook Nicholson and Snyder Microeconomic Theory 10th edition 1. Introductions/ Overview of neoclassical economics 2. PRODUCTION Ch9 3. Profit maximization Ch11 4 Duality (Ch2) 5. Preferences and utility Ch3 6. Consumer Demand Ch4 7. Duality(Ch2) 8. Income effects Ch5 9. Competitive markets/ comparative statics Ch10 10. Review  

Content Delivery

The course consists of lectures and practical exercises Day 1 THE NATURE AND SCOPE OF MICROECONOMICS THE THEORY OF THE CONSUMER &PRODUCTION DAY 2 PROFIT MAXIMIZATION and COST MINIMIZATION Day 3 DUALITY, PREFERENCES UTILITY CONSUMER Day 4 CONSUMER DEMAND BEHAVIOR DUALITY Day 5 COMPETITIVE MARKET EQUILIBRIUM and COMPARATIVE STATICS      

Coursework And Assignment Details

There will be three problem sets 3x10% and a final Exam70%