The foundations of economic theory are based on mathematical models. Thus, a thorough understanding of the economic content of such models is not possible without a clear understanding of the mathematical concepts that underpin the modeling. Together with ECON2125 – Mathematics for Economists A, this course forms a two-semester sequence, which introduces students to a range of mathematical concepts and techniques that form the basis of advanced economic theory courses, such as the ones required of students enrolled in Honours, Masters and PhD programs. The introduced concepts and techniques will be derived as thoroughly as possible given the time constraints, and will be illustrated using standard applications from economics.

Due to the strong interdependence between the topics covered in the two courses, students are encouraged to take both courses as a sequence in the same year. Undergraduate students who are interested in pursuing an Honours or Post-graduate degree are also advised to take these courses as early as possible during their undergraduate studies.

See http://cbe.anu.edu.au/courses/course.asp?code=ECON2127

Two midterms worth 20% each and one end-of-semester examination (60%).

Four contact hours per week (three lectures and one tutorial).

ECON2125 Mathematics for Economists A.

Rangarajan K. Sundaram, A First Course in Optimization Theory, Cambridge University Press, 1996.

Not required for students who have recently completed ECON2125 – Mathematics for Economists A.

For further information please refer to http://cbe.anu.edu.au/courses/course.asp?code=ECON2127