Mathematical Economics

Section: A
Time: Monday and Wednesday
(11:00 am ~ 12:30 pm)

Lecture 1
24 January 2024
Prof. Dr. Rahmatullah A B Md.
B.A. (Hons), M.A. (India), M.Eco. (Japan), Ph.D. (Japan )

Professor, Department of Economics

Additional Director, IQAC-AIUB

E-mail: rahmatullah@aiub.edu
 Vision of the University
AMERICAN INTERNATIONAL
UNIVERSITY-BANGLADESH
(AIUB) envisions promoting
professionals and excellent
leadership catering to the
technological progress and
development needs of the country.
 Mission of the University
AMERICAN INTERNATIONAL UNIVERSITY-
BANGLADESH (AIUB) is committed to provide
quality and excellent computer-based academic
programs responsive to the emerging
challenges of the time. It is dedicated to nurture
and produce competent world class
professional imbued with strong sense of ethical
values ready to face the competitive world of
arts, business, science, social science and
technology.
 Course Outline
 Basic Algebra
– Simple equations and inequalities
– Functions, Variables, and Graphs
– Economic Applications: Price theory and Income
theory
 Linear Relationships and constrained
Optimization
– Linear equations and functions
– Applications of Straight lines
– Economic Applications: Break Even Analysis
 Introduction to calculus
– Differentiation and Integration
– Economic Applications: Theory of the Firm
 Course Outline
 Arithmetic of Growth
– Logarithms and Exponential Functions
– Arithmetic and Geometric Series
– Economic Applications: Growth and Planning
 Introduction to Matrices
– Matrix operations
– Applications of Matrices to Business problems
 Linear Programming
– Linear Programming problem
– The Simplex Method, and Duality
– Economic Application to the Linear Programming
 Text Book and References
 Elementary Mathematics for Economists; by
Caroline Dinwiddy; Oxford University Press.
 Mathematics With Applications in
Management and Economics, by Gorgon D.
Prichett and John C. Saber, 7th Edition,
IRWIN.
 Barnet, R.A., Zeigler, M.R. ; College
Algebra, McGraw-Hill, Inc., NY, USA.
 Grading Policy
Mid Term Exam Final Exam

Attendance and Class 10% + 10% 10% + 10%

Participation
Quizzes 20% 20%

Assignments 10% 10%

Exam 50% 50%

Total 100% 100%

Final Grading: 40% (of Mid-Term) + 60% (of Final Term)

 Suggested Activities
 The students must turn off their mobile during the
class.
 Arriving late and leaving early is strongly
discouraged.
 Students are encouraged to work in groups for the
course.
 Participation in the class discussion is strongly
recommended.
 Quality of participation is considered in the
assessment of final grade.
 Assignments turned in late will not be accepted.
 Students must wear ID.
 Teaching Strategies
 Each class lecture will be of 90 minutes duration,
totaling 24 lectures.
 Any unsolved problem during the class hours will
be sorted out in the office hours.
 All class materials will be distributed through the
course website.
 Quizzes and exams will consist of multiple choice,
short-answer and problem-solving type questions.
 No extra or make up exams will be arranged for
any missing quiz.
 The Real Numbers
 The real numbers have three primary
subcategories:

Integers, such as, 0, 1, -1, 2, 5, -7.

Rational Numbers in the form p/q with p and
q integers and q≠0, such as 2/7, -3/8.
Irrational Numbers, such as root of 2.
 Exercise
Q: In what number set does 1.15 reside?
Ans: This is a rational number because it can be expressed as
115/100.
 Q: Write - [- (- 5)] with one sign.
Ans: - 5.
 Q: Add (-10) + (- 4)
Ans: - 14.
 Q: Simplify and evaluate –
+1 + (+2) - (+3) + (-4) - (-5) - [+ (-4)]
Ans: 5
 Q: Multiplication (-4)(-2)
Ans: +8
 Q: Solve {-4(2)(-3)}/{-2(-1)(4)}
Ans: 3