Course description:

The aim of this course is to give students the conceptual basis and the necessary tools for understanding modern microeconomics at the intermediate level. In the context of this theoretical framework the course will explore a number of applied issues such as contract design, insurance, and ownership structures. The course covers 6 broad areas: (1) Consumer Theory, (2) The Theory of the Firm, (3) General Equilibrium, (4) Game Theory, (5) Oligopolistic Markets, dan (6) Information Economics.The theory of the consumer explores the demand side, while the theory of the firm discusses the supply side of the economy. General equilibrium puts the two parts together and discusses welfare implications, including in the presence of externalities.

The second part of the course introduces basic concepts in non-cooperative game theory, emphasizing the strategic aspect of economic interaction. Game theory is then applied to analyze informational problems in economics, in particular problems of hidden information (adverse selection) and hidden action (moral hazard).

(1) Consumer Theory, (2) The Theory of the Firm, (3) General Equilibrium, (4) Game Theory, (5) Oligopolistic Markets, dan (6) Information Economics