Microeconomic Theory I

Module description

This is the first module in microeconomic theory, intended for students who wish to pursue doctoral studies in Economics and related subjects or for students who wish to learn microeconomics at a high technical level. Starting with the classic theory of consumer behavior and production, the module also will cover decision theory and general equilibrium theory.

Full module specification

Module title:	Microeconomic Theory I
Module code:	BEEM137
Module level:	M
Academic year:	2023/4
Module lecturers:	Dr Stephen Nei - Lecturer
Module credit:	15
ECTS value:	7.5
Pre-requisites:	Only available to MRes Economics PhD pathways
Co-requisites:	None
Duration of module:	Duration (weeks) - term 1: 11

Module aims

The aim of the module is to develop the basic tools for formally analysing problems of resource allocation used by economists. After completing this module, you will be able analytically represent and solve economic allocation problems.

ILO: Module-specific skills

1. critically evaluate tractable models that form key ingredients of microeconomic problems.
2. formally solve analytical models.

ILO: Discipline-specific skills

3. critically evaluate current frontier research.
4. acquire the analytical skills necessary to transform preliminary ideas into formal models.

ILO: Personal and key skills

5. engage in abstract thinking by extracting the essential features of complex systems to facilitate problem solving and decision-making.
6. communicate and present complex formal arguments in written form with clarity and succinctness.

Learning activities and teaching methods (given in hours of study time)

Scheduled Learning and Teaching Activities	Guided independent study	Placement / study abroad
32	118

Details of learning activities and teaching methods

Category	Hours of study time	Description
Scheduled Learning and Teaching	22	Lectures (2 hours per week)
Scheduled Learning and Teaching	10	Tutorials (1 hour per week)
Independent Study	118	Independent study

Formative assessment

Form of assessment	Size of the assessment (eg length / duration)	ILOs assessed	Feedback method
Weekly problem sets	50 minutes	1-6	Oral and written (ELE)

Summative assessment (% of credit)

Coursework	Written exams	Practical exams
0	100	0

Details of summative assessment

Form of assessment	% of credit	Size of the assessment (eg length / duration)	ILOs assessed	Feedback method
Mid-Term Exam	10	50 minutes	1-6	Oral and written (ELE)
Final Exam	90	3 hours	1-6	Written (ELE)
	0
	0
	0
	0

Details of re-assessment (where required by referral or deferral)

Original form of assessment	Form of re-assessment	ILOs re-assessed	Timescale for re-assessment
Midterm exam	Midterm exam (10%)	1-6	Aug/Sep
Final exam	Final exam (90%)	1-6	Aug/Sep

Syllabus plan

The first part of the module covers individual decision making (preference and choice, demand theory) and theory of production. The second part is on decision making under uncertainty, introduction to ambiguity and general equilibrium. Below is an indicative plan:

Part 1:
1. Preferences and choice
2. Demand theory
3. Production theory
Part 2:
4. Decision-making under Risk and Uncertainty, von-Neumann-Morgenstern, Anscombe-Aumann, Savage, introduction to ambiguity
5. Risk and Risk Aversion, 1st and 2nd order stochastic dominance.
6. General equilibrium, existence and uniqueness of equilibrium, first and second theorems of Welfare economics

Indicative learning resources - Basic reading

Part 1:
Mas-Colell, A, Whinston, M, Green, J (1995). Microeconomic Theory. New York, Oxford University Press.

Part 2:
Mas-Colell, A, Whinston, M, Green, J (1995). Microeconomic Theory. New York, Oxford University Press.
Wakker, P., (2010), Prospect Theory, CUP, Cambridge.

Module has an active ELE page?

Yes

Origin date

04/04/2019

Last revision date

23/09/2021