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Syllabus

EN IT

Learning Objectives

LEARNING OUTCOMES: introduce the students to the analysis of consumption and production choices in the neoclassical approach. Offer to the students a presentation of the topics which is logically rigorous and mathematically funded. Introduce the students to the general equilibrium analysis of economies with complete and perfectly competitive markets, and to the fundamental theorems of welfare economics.

KNOWLEDGE AND UNDERSTANDING: knowledge and understanding of the main hypotheses and results of neoclassical theory of consumption and production, and of choice under uncertainty

APPLYING KNOWLEDGE AND UNDERSTANDING: use of the neoclassical approach to examine consumption and production choices of economic agents, even in settings with uncertainty, in competitive markets economies.

MAKING JUDGEMENTS: ability to evaluate the robustness of economic arguments in the light of the underlying modeling choices.

COMMUNICATION SKILLS: ability to illustrate the hypotheses and results of the neoclassical theory of consumption and production, and choice under uncertainty, being aware of limitations and possible applications

LEARNING SKILLS: ability to read, comprehend and evaluate advanced economic theory manuals and papers

Prerequisites

Microeconomics (basics), Mathematics

Program

1. Consumer theory: demand curve (2 weeks)
2. Choice under uncertainty (1 week)
3. Producer's theory: supply curve (1 week)
4. General equilibrium in an exchange economy (1 week)
5. Fundamental Theorems of Welfare Economics (1 week)

Books

Main textbooks are:
1. [MWG] Mas-Colell, Whinston and Green (1995). "Microeconomic Theory", Oxford University Press
2.[V] Varian (1992) "Microeconomics Analysis", W.W. Norton and Co.

Bibliography

A. [JR] Jehle and Reny (2011). "Advanced Microeconomic Theory", Pearson
B. [DK] Kreps (2012). "Microeconomic Foundations I - Choice and Competitive Markets", Princeton University Press

Teaching methods

Frontal lectures, practical classes for the discussion of the applications of lectures' materials and (take-home) problem sets.
Weekly workload is comprised of self-study and problem sets eventually proposed.

Exam Rules

Written exam, with exercises and open questions, which accounts for 60% of the final grade. Continuous assessments during the practical classes, through problems sets and corrections/discussions of the problem sets' exercises in class, which account for 40% of the final grade.

The students will be evaluated in their capacity to understand and logically solve complex problems, to apply suitable concepts and definitions according to the problems they face, and to develop solutions and proofs grounded on logical arguments.

The final exam will be a written exam, lasting no more than 2h, to be comprised of questions and exercises on all topics discussed during the course.

Criteria adopted for the formulation of the evaluation on a scale of 30:

- Unsuitable/Fail: significant deficiencies and/or inaccuracies in knowledge and understanding of the topics; limited capacity for analysis and synthesis, frequent generalizations.
- 18-20: barely sufficient knowledge and understanding of the topics with possible imperfections; sufficient capacity for analysis, synthesis and autonomy of judgement.
- 21-23: Basic knowledge and understanding of the topics; Correct analysis and synthesis skills with coherent logical argumentation.
- 24-26: Fair knowledge and understanding of the topics; good capacity for analysis and synthesis with rigorously expressed arguments.
- 27-29: Comprehensive knowledge and understanding of the topics; Considerable ability to analyze and synthesize. Good autonomy of judgement.
- 30-30L: Excellent level of knowledge and understanding of the topics. Remarkable analytical and synthetic skills and independent judgement. Arguments expressed in an original manner.