Microeconomics I

Microeconomics I:
What is new?
♦ Designed for students that have previously
been exposed to these topics.
♦ Basic information:
Microeconomics I
Undergraduate Programs
– Topics;
– Bibliography;
– Classes;
Fernando Branco
– Grading;
– Office hours
♦ Teaching team:
– Fernando Branco / Carolina Reis / João Coelho
♦ Webpage:
2006-2007
Second Semester
Session 1
www.fcee.lisboa.ucp.pt/docentes/url/micri3
Microeconomics I
Undergraduate Programs
2006-2007 • Second Semester • Session 1
Topics
1. Introduction;
2. The basics of market
analysis;
3. Consumers' choices;
4. Production and costs;
5. Internal organization of
the firm;
Bibliography
6. Managing in
competitive and
monopolistic markets;
7. Managing in
oligopolistic markets;
8. Game theory and
strategic interactions;
9. Uncertainty and
asymmetric
information;
10.Regulation and public
policy.
Microeconomics I
Undergraduate Programs
2006-2007 • Second Semester • Session 1
©Fernando Branco
Michael R. Baye. Managerial Economics and Business
Strategy. McGraw-Hill/Irwin, New York, USA, International
edition, 5th edition, 2006.
W. Bruce Allen et al. Managerial Economics: Theory, Applications, and
Cases. W.W. Norton & Company, Ltd., London, United Kingdom, 6th
edition, 2005.
David Besanko and Ronald R. Braeutigam. Microeconomics: An Integrated
Approach. John Wiley & Sons, Inc., New York, USA, 2001.
José Mata, Economia da Empresa, Fundação Calouste Gulbenkian, Lisboa,
2000.
Robert S. Pindyck and Daniel L. Rubinfeld. Microeconomics. Prentice Hall
Series in Economics. Prentice Hall International Inc., Englewood Cliffs,
New Jersey, USA, 6ht edition, 2004.
Hal R. Varian. Intermediate Microeconomics: A Modern Approach.
International Student Edition. W.W. Norton & Company Ltd., London,
United Kingdom, 6ht edition, 2002.
Microeconomics I
©Fernando Branco
Short cases
♦Based on a press article;
♦Direct questions:
♦ Classes with the entire group:
– Theory (presentations) and Group-work (discuss,
prepare, present short cases);
– Mondays: 11:00-12:30 / Thursdays: 9:30-12:30.
♦ Section classes:
– Practical (solving exercises)
– T1:
– T2:
2006-2007 • Second Semester • Session 1
Undergraduate Programs
2006-2007 • Second Semester • Session 1
Classes
Microeconomics I
©Fernando Branco
1. May the market lead to “too-much”
entry and diversity from the
consumers’ point of view?
2. Discuss the effects of the “price war”
on industry profits, emergence of
large and strong manufacturers, and
consumer surplus.
3. How may the environmental
concerns related with air pollution,
affect your analysis?
♦Group work: discuss, prepare,
present.
Undergraduate Programs
©Fernando Branco
Microeconomics I
2006-2007 • Second Semester • Session 1
Undergraduate Programs
©Fernando Branco
1
Microeconomics I
Grading
A diagram
The grading system needs to be aligned with
the overall approach to the course:
Empresa
Mercados
dos
Factores
♦ Mid-tem Exam (30%)
♦ Final Exam (30%)
♦ Group Work (30%)
♦ Section’s work (10%)
Gestor
Mercados
dos
Produtos
Governo
Microeconomics I
Undergraduate Programs
2006-2007 • Second Semester • Session 1
©Fernando Branco
Microeconomics I
2006-2007 • Second Semester • Session 1
Undergraduate Programs
©Fernando Branco
Microeconomics I
The fundamentals
♦ Identify objectives and constraints;
♦ Conduct marginal analysis;
♦ Use economic profits and costs;
♦ Consider incentives and signaling;
♦ Understand markets and strategic behavior;
♦ Recognize regulatory roles.
Microeconomics I
2006-2007 • Second Semester • Session 1
Undergraduate Programs
©Fernando Branco
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