ECON4230 – Microeconomic Theory

Course content

  • Production and consumer theory based on duality theory
  • Some partial equilibrium analysis
  • General equilibrium analysis including main welfare theorems
  • Some theory for decisions under uncertainty

Learning outcome

Knowledge outcome
The students are expected to be familiar with the basic results in production and consumer theory, and learn how these results can be derived using duality theory. They should also know the result that a general equilibrium exists, and understand the intuition underlying the main welfare theorems both in general and partial equilibrium analysis. Finally, they will be exposed to the theory of uncertainty, including the axioms of the expected utility theorem.

Skills
The students must be able to do basic microeconomic analysis based on techniques from duality theory, including deriving the main results in production and consumer theory. They should be able to do welfare economics without use of marginal conditions. In the theory of uncertainty they should understand the concept of risk aversion as well as the difference between risk and uncertainty.

Admission

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If you are not already enrolled as a student at UiO, please see our information about admission requirements and procedures.

Prerequisites

Formal prerequisite knowledge

Bachelors degree in Economics, or equivalent.

Recommended previous knowledge

ECON2200 – Matematikk 1/Mikro 1 (MM1) (discontinued), ECON3610 – Samfunns?konomisk l?nnsomhet og ?konomisk politikk (discontinued) and ECON3120 – Mathematics 2: Calculus and Linear Algebra / ECON4120 – Mathematics 2: Calculus and Linear Algebra, or equivalent.

Students that do not have the recommended background, can be allowed to take the course, provided that they have a good background in mathematics.

Overlapping courses