Advanced Microeconomics I (Mikroökonomik für Fortgeschrittene I)
This course is addressed to students who aim to obtain a Master or PhD degree in Economics, Internationale Wirtschaft & Governance, or Philosophy & Economics. Students who are currently completing a Bachelor program are welcome; they may take this course as preparation for international PhD programs, or in order to start earning credits for the M.Sc. in Economics at the University of Bayreuth right now.
Participants are introduced to formal microeconomic modeling, at a level that permits them to read and assess contemporary contributions to theoretical economic research. Advanced Microeconomics I covers rational economic decisions under certainty and risk, strategic games in normal and extensive form, and markets with perfect and imperfect competition. A sequel (Advanced Microeconomics II) will deal with general competitive equilibrium and topics related to asymmetric information, such as adverse selection, principal agent theory, and mechanism design.
The course is taught in English and will require continuous self-study throughout the semester. A 90-minute exam will be posed at the end of the semester.
Up to 10 bonus points can be earned for the 60-points exam by successful participation in an optional midterm exam.
2. Individual decision making
- Preference and choice
- Consumer choice
- Classical demand theory
- Aggregate demand
- Choice under risk
3. Game theory
- Static games of complete information
- Extensive games of complete information
- Games of incomplete information
- Competitive markets
- Market power
- Mas-Colell, Andreu, Michael D. Whinston, and Jerry R. Green (1995). Microeconomic Theory. New York, NY: Oxford University Press.
Other recommended textbooks:
- Jehle, Geoffrey A., and Philip J. Reny (2001). Advanced Microeconomic Theory, 2nd edition. Amsterdam: Addison-Wesley.
- Rubinstein, Ariel (2012). Lecture Notes in Microeconomic Theory: The Economic Agent. 2nd edition, Princeton, NJ: Princeton University Press. [free download: http://arielrubinstein.tau.ac.il/Rubinstein2007.pdf]
- Varian, Hal R. (1992). Microeconomic Analysis, 3rd edition. New York, NY: W. W. Norton & Company.