PRINCIPLES OF ECONOMICS - 2
| Official course title | ECONOMIA POLITICA - 2 |
| Academic Year | 2011/2012 |
| Course code | ET0031 |
| University credits | 6 of 12 of ECONOMIA POLITICA |
| Subdivision | surnames Lb-Z |
| Degree level | First Cycle Degree M.D.270 |
| Educational sector code | SECS-P/01 |
| Semester/trimester | 4° Periodo |
| Course year | 1 |
| Where | VENEZIA |
Professor
Degree Programmes and curricula
Other parts of the course
Contents
Educational Goals
The objective of this course is to introduce students to economic reasoning. The basic principles of economics will be presented. In particular, after introducing the notion of market equilibrium as the crossing point between demand and supply, consumer choices in various contexts and the optimal strategies of the firms with reference to their cost structures and the characteristics of the markets in which they operate will be analyzed.
Requirements
Mathematics
Contents
FIRST PART
• Demand, supply and market equilibrium. Elasticity.
• Consumer choice: demand curve and Engel curve, income and substitution effects.
• Firm choice: production function and returns to scale, cost function, average and marginal cost, economies of scale, profit maximization for a price-taker firm.
SECOND PART
• Competitive equilibrium
• Market intervention: taxes and subsidies, price floors
• General equilibrium in a pure exchange economy
• Monopoly: equilibrium and deadweight loss. Regulation
• Pricing policies: perfect price discrimination, two-part tariffs, multimarket discrimination, bundling
• Game theory: dominance and Nash equilibrium, dynamic games
• Oligopoly: Bertrand and Cournot models with homogeneous goods, Bertrand with differentiated goods, Stackelberg model, collusion
Recommended Reading List
D. Bernheim and M. Whinston, Microeconomia, Mc-Graw Hill Italia, 2009.
Chapters: 1-9 (except 9.1), 11 (except 11.2.2-3 and 11.4.2), 13 (except 13.3.4), 14, 15 (except 15.4.1—2 e 15.5), 16, 17, 18 (except 18.6, 18.7). Appendix: 5A.
M.C. Molinari, Esercizi di Economia Politica, Cafoscarina, 2011 (new edition).
Exercises: chapters 1-8. Integrations: chapters 10-12.
The exercises done during the practice sessions will be indicated on the e-learning platform http://www.dma.unive.it/elearning/
Assessment
written
Teaching Methods
Conventional
Teaching Language
Italian
Other information
Course website: http://www.dma.unive.it/elearning/
Students are strongly encouraged to actively follow the course, attending classes and solving the exercises assigned every week.
Sustainability
- Course with sustainable contents
- University credits of sustainability: 1
- Lecture notes, material for reference or for self-assessment available online or as e-book
