Building upon material introduced in Microeconomics 1, this course aims to provide a solid understanding of basic microeconomic theory and the ability to apply those tools and ideas. Models describing the economic behaviour of individual decision-makers and the outcomes of markets are developed and applied to examine the welfare of market participants. Questions addressed include: What influences consumer demand decisions and how? How do firms decide on how much to produce and how much inputs to use? How do prices function to coordinate economic activity? What is meant by economic efficiency? When do markets fail to achieve efficient outcomes? Training in economic analysis is achieved via weekly tutorials that go over problem sets linked to material presented in lecture. Overall, the course takes an analytical approach emphasising rigorous logical reasoning and economic problem solving.

Students who successfully complete this course should be able to:
• describe the main microeconomic/neoclassical theory of consumer and producer behaviour
• apply economic concepts to solve for choices made by consumers and producers
• assess the economic efficiency of market outcomes for different market structures, in the presence of externalities, and/or when influenced by government intervention
• compare and contrast the information needed for markets or for the government to allocate resources efficiently

• Final Exam - 65% or 75% of course mark
• Three in class tests - 20% or 30% of course mark
• Tutorial assignments - 3% of course mark
• Group presentation - 2% of course mark

Three lectures and one tutorial per week.

ECON1101 Microeconomics 1

Please refer to Course Website