- Instructor: Ronaldo CARPIO
- Office: 913 Boxue Bldg
- Email: firstname.lastname@example.org
- Lecture Room & Time: 308 Chengxin Bldg; Friday 18:30-20:00
- Office Hours: Monday 15:00 – 16:00, or by appointment
Microeconomics is the study of how rational (that is, utility-maximizing) agents behave. By analyzing economic situations through the lens of utility-maximizing agents, we will study the behavior of consumers, producing firms, and markets:
- The study of how a single rational agent behaves leads to the analysis of consumer and firm behavior.
- If there are very many agents who individually have little ability to change market conditions through their actions, this leads us to the (partial equilibrium) analysis of supply and demand, the analysis of market interventions, and general equilibrium.
- If there are a few agents who behave strategically, i.e. take the effects of their actions on other agents into account when making their decision, this leads to the subject of game theory with applications in oligopolies and asymmetric information.
Prerequisites: You should have taken calculus previously or concurrently; in particular, we will rely on finding the maximum of a function using derivatives.
Textbooks and Learning Resources
The primary textbook for the first half of the course is Microeconomics by Pindyck & Rubinfeld. Any recent edition will be sufficient for the course; there is little change in the core material between editions.
- 1. Consumer Behavior (Ch. 3.1 – 3.5)
- 2. Individual and Market Demand (Ch. 4.1 – 4.4, Appendix to Ch. 4)
- 3. Uncertainty & Consumer Behavior (Ch. 5.1 – 5.3)
- 4. Production (Ch. 6)
- 5. Cost of Production (Ch. 7.1 – 7.4, Appendix to Ch. 7)
- 6. Profit Maximization & Competitive Supply (Ch. 8)
- 7. Market Power: Monopoly & Monopsony (Ch. 10.1 – 10.4)
- 8. Game Theory & Competitive Strategy (Ch. 13.1 – 13.7)
- 9. Markets with Asymmetric Information (Ch. 17)
- 10. Externalities & Public Goods (Ch. 18)