Intermediate Microeconomics

1. Course objective and method

This course is an introduction to the basic tools of Microeconomic theory. The primary objective of this course is to develop and understand these tools and learn how to apply them to real world problems.  A wide variety of applications of the theory will be presented throughout the course.  By the end of the course you will have a deeper understanding of how economists analyze problems as well as skills to apply on your own.

2. Course contents

A tentative schedule of the course is as follows.

1. Introduction                                                   Chapters 1 and 2

2. Consumer Behavior                                        Chapter 3 except 3.4 and 3.6

3. Demand                                                          Chapter 4 except 4.6

4. Production                                                      Chapter 6

5. Cost                                                                Chapter 7 except 7.5-7.7

6. Profit Maximization                                          Chapter 8

7. Competitive Markets                                       Chapter 9

8. Monopoly                                                        Chapter 10 except 10.5-10.7

9. Monopolistic Competition                                Chapter 12

10. Oligopoly (Quantity and Price Competition)    Chapter 12

11. Game Theory                                                  Chapter 13 except 13.8

12. General Equilibrium*                                       Chapter 16

13. Externalities*                                                  Chapter 18

14. Public Goods*                                                 Chapter 18

The starred materials (*) are optional depending on time and students’ interests.

3. Teaching materials

Text: Robert S. Pindyck and Daniel L. Rubinfeld, “Microeconomics” 6th edition.

Additional readings are distributed in a class and will be posted on the course website.

 4. Grading

Your most important assignment is to come to class and participate the class discussion.  There will be occasional, possibly unannounced, quizzes, during the semester. Quizzes are multiple questions that will be useful to check your understanding. Grades on quizzes are not counted for the final grade, but attendance will be taken with class room quizzes.

Homework will be assigned on a regular schedule. Late homework will not be accepted. It is ok to work together on homework. However, when it comes time for you to write up the solutions, I expect you to do this on your own.

There will be at least 6 homework assignments and 3 quizzes.  There will be two midterm exams and a final exam.  Exams are not cumulative.  The course grade will be based upon homework and quizzes (30%), the midterms (20% each) and the final (30%).

5. Remarks

The details and changes will be announced at the beginning of the semester by the instructor.