Avansert mikroøkonomi

Knowledge and understanding of microeconomic theories are essential for managerial decision making, to design and analyse public policies and more importantly, to understand the functioning of a modern market economy. This course is an advance course in Microeconomics that analyses the theories of consumer and producer behaviours in detail and exposes students to new topics, including analysis of pricing of firms with market power, strategic pricing, competitive strategy, and roles of information, externality and uncertainty.

No prerequisites.

Knowledge

The student has knowledge of

• the basic theories of consumer and producer behaviour
• analysis of pricing strategies of firms with varying degrees of market Power
• concepts and results of non-cooperative game theory
• various sources of market failures and how economic policies can be designed to address market failure.

Skills

The student can

• apply microeconomic theory to analyse complex managerial decision-making problems
• formulate and analyse economic problems involving strategic interactions of firms
• analyse sources of market failures and design policies to address them.

Competence

The student can

• develop insights to apply economic reasoning to address business-related problems
• communicate with practitioners and policy makers to design and analyse public policies for effective functioning of the market
• engage in analytical discussions of economic reports, research articles and policy paper.

• Consumer theory.
• Production theory.
• Analysis of competitive markets.
• General equilibrium
• Behaviour of firms with market Power.
• Game theory and competitive strategy.
• Externality and market failure.

The course material is discussed in lectures.

Successful completion of a mid-term assignment, which includes 4-5 exercises and to be carried out individually or in groups of up to three students. In order to take the final exam, the assignment must be approved by the instructor. Students who fail to qualify, will be given another opportunity to submit a new or improved solution to the mid-term assignment.

An individual written 4-hour exam will be held at the end of the semester.

Students who fail to appear on the exam day due to illness or have received a grade F in the final exam will be allowed to register for a retake exam in line with regulations regarding studies and examinations at OsloMet.

One dictionary (Native language-English/English-native language or English-English).

Calculator (as specified in regulations for use of calculator).

Letter grading A-F.

In addition to the instructor, an external examiner will grade the exam.

Tapas Kundu