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Microeconomics – Firm behaviours

Ects : 2

Enseignant responsable :

Volume horaire : 18

Description du contenu de l'enseignement :

Principle of Microeconomics 2

 

This course will provide students with a basic understanding of the principles of microeconomics. Microeconomics is the branch of economics that pertains to decisions made at the individual level, such as the choices individual consumers and firms make after evaluating resources, costs, and tradeoffs.

L1 program is centered on the analysis of consumer and producer theories in perfect competition. It provides an analysis of the way in which the market system functions as a mechanism for coordinating the independent choices of individual economic agents.

 

During the second part (semester 2) :

- Technology and Production function

- Costs of production

- Returns to scale

- Individual firm equilibrium : maximization of profit

- Market equilibriums short term and long term

- Pareto optimality (=efficiency) and general equilibrium

Coefficient : 0.75

Compétence à acquérir :

By the end of this course, students should be able to understand firm behavior.

Students should also have the skills needed to:

  • Use supply and demand diagrams to analyze the impact of overall changes in supply and demand on price and quantity.
  • Solve a firm's cost minimization problem mathematically and graphically.
  • Analyze the behavior of firms in a perfectly competitive market in the short-run and the long-run.
  • Calculate producer and consumer surplus.
  • Compute and analyse a simplified general equilibrium
  • Analyse a Pareto situation

Mode de contrôle des connaissances :

50% final exam and 50% continuous assessment

Bibliographie, lectures recommandées

BIEN Franck et MERITET Sophie, Microéconomie : Comportements concurrentiels, Pearson.

CHIANG Eric, Microeconomics : pirnciples for a chaging world

ETNER François, Microéconomie, PUF

PERLOFF J. Microeconomics. 5th ed. Addison Wesley,

VARIAN Hal, Introduction à la Microéconomie, De Boeck