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Table Of Contents

1.1 About Economists
1.2 What is (Micro—)Economics?
1.3 Economics and Sex
Notation:
2.1 Modelling Choice Behaviour 1
2.1.1 Choice Rules
2.1.2 Preferences
2.1.3 What gives?
2.2 Consumer Theory
Special Utility Functions
2.2.1 Utility Maximization
2.2.2 Expenditure Minimization and the Slutsky equa-
2.3 General Equilibrium
2.3.1 Pure Exchange
2.4 Review Problems
Inter-temporal Economics
3.1 The consumer’s problem
3.1.1 Deriving the budget set
No Storage, No Investment, No Markets
Storage, No Investment, No Markets
Storage, Investment, No Markets
Storage, No Investment, Full Markets
3.1.2 Utility maximization
3.2 Real Interest Rates
3.3 Risk-free Assets
3.3.1 Bonds
3.3.2 More on Rates of Return
3.3.3 Resource Depletion
3.3.4 A Short Digression into Financial Economics
3.4 Review Problems
Uncertainty
4.1 Risk Aversion
4.1.1 Comparing degrees of risk aversion
4.2 Comparing gambles with respect to risk
4.3 A first look at Insurance
4.4 The State-Preference Approach
4.4.1 Insurance in a State Model
4.4.2 Risk Aversion Again
4.5 Asset Pricing
4.5.1 Diversification
4.5.2 Risk spreading
4.5.3 Back to Asset Pricing
4.5.4 Mean-Variance Utility
4.5.5 CAPM
4.6 Review Problems
Information
5.1 Search
5.2 Adverse Selection
5.3 Moral Hazard
5.4 The Principal Agent Problem
5.4.1 The Abstract P-A Relationship
Game Theory
6.1 Descriptions of Strategic Decision Prob-
6.1.1 The Extensive Form
6.1.2 Strategies and the Strategic Form
Signalling Games
6.3 Review Problems
7.1 Chapter 2
7.2 Chapter 3
7.3 Chapter 4
7.4 Chapter 6
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Micro Economic Theory Course Notes

Micro Economic Theory Course Notes

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Published by Rem Patagan

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Published by: Rem Patagan on Sep 29, 2010
Copyright:Attribution Non-commercial

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11/02/2011

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