1. Introduction to Microeconomics
Microeconomics : The allocations of scarce resources
2. Supply and Demand together
Shocking the equilibrium: comparative statics
Effect of sales tax
Quantity supplied need not equal quantity demand
When to use the supply-and-demand model
3. A consumer’s constrained choice
Constrained consumer choice
Deriving demand curves
Effects of an increase in income
Effects of a price increase
5. Consumer welfare and policy analysis
Market consumer surplus
Effects of government policies on consumer welfare
6. Firms and production
The ownership and management of firms
Short – run production : one variable and one fixed input
Long – run production : two variable inputs
Returns to scale
Productivity and technical change
This course provides preliminary learning regarding the principles of microeconomics that apply to the decisions of individuals (consumers and producers). The course will well equip the students with the analytical tools to study the forces of demand and supply and their determinants in the competitive market framework. Main objective of this course is to provide the students with a sound base of the theory of consumer behavior, the consumer welfare, and the theory of production using algebra, graphs and calculus. It will enable the students to understand and analyze real world problems.
Prerequisite Course: Basic mathematical economics (Maj/Eco-102) or equivalent course.
Course Learning Outcomes
At the end of this course students would be able to:
analyze the demand and supply functions, market equilibrium, and the impact of government policies in the competitive market framework.
derive the consumer demand based on the consumer behavior and budget constraint.
understand the concept of consumer welfare and the role of government policies in its determination.
comprehend the short run and long run production functions.
VU Open Course Ware: Course: Introduction to Microeconomics Lecture Series(1-17) by Talat Afza
MIT Open Course Ware:Course: Principles of Microeconomics,Lecture series(1-8) by Jon Gruber
Book Title : Microeconomics Theory and Application with Calculus
Author : Jeffrey M.Perloff
Edition : 4th Edition
Publisher : Pearson