Prof Michele Piccione 32L.4.07 and Prof Balazs Szentes 32L.4.05

This course is compulsory on the MRes/PhD in Economics and MRes/PhD in Finance. This course is not available as an outside option.

A good undergraduate knowledge of economic theory and calculus is required.

The aim of the course is to:

i.    introduce the basic analytical tools that are necessary to conduct theoretical research in many fields in economics.

ii.   give the students a full understanding of the classic Microeconomic Theory and of the modern developments of Microeconomic Theory

iii.  enable students to address a microeconomic problem by structuring it as a mathematical model and enhance the understanding of economic issues though the use of mathematical tools.

Topics include:  Consumer theory, producer theory, general equilibrium, welfare, choice under uncertainty, game theory, economics of information, agency theory, contracts, topics in mechanism design.

30 hours of lectures and 15 hours of classes in the MT. 30 hours of lectures and 15 hours of classes in the LT.

Exercises are set for each class.

The main text is Mas-Collel, Whinston & Green, Microeconomic Theory, OUP.

Other sources include:

D Fudenberg & J Tirole, Game Theory, MIT Press; D M Kreps, A Course in Microeconomic Theory, Harvester Wheatsheaf; H R Varian, Microeconomic Analysis (3rd edn), Norton; M J Osbourne & A Rubinstein, A Course in Game Theory, MIT Press; G A Jehle & P J Reny, Advanced Microeconomic Theory, Longman.

Exam (100%, duration: 3 hours, reading time: 15 minutes) in the summer exam period.