Intermediate Microeconomics

Teacher(s)

Declercq Koen;

Language

English

Prerequisites

The prerequisite(s) for this Teaching Unit (Unité d’enseignement – UE) for the programmes/courses that offer this Teaching Unit are specified at the end of this sheet.

Learning outcomes

At the end of this learning unit, the student is able to :

define the main microeconomic concepts and specify their scope. propose a stylized but coherent analysis of simple economic phenomena based on the individual behavior of agents concerned. use mathematical language to formalize simple economic problems. iscuss the role of assumptions used to establish the main result of the course. argue the relevance of these findings to the analysis of real economic situations. apply theoretical models to solve exercises.

Content

This course further develops the analytical foundations of microeconomics and examines how individual economic decisions interact through markets to determine the allocation of scarce resources. It provides a formal framework for understanding economic exchange in decentralized market systems, where prices coordinate the decisions of consumers and firms.
The first part of the course focuses on consumer behavior under conditions of certainty and uncertainty. It develops the theory of consumer choice and derives demand functions for utility-maximizing individuals. The second part examines firm behavior in competitive input and output markets, analyzing production decisions, cost minimization, and profit maximization. The third part extends the analysis to imperfectly competitive market structures, exploring how firms behave when market power in input or output markets influences decision-making. The final part introduces the analytical framework of an exchange economy and studies general equilibrium, with particular emphasis on efficiency and the allocation of resources.

Teaching methods

a) Lectures
Lectures of theoretical developments with students' participation via questions asked by the teacher.

b) Exercise sessions (TA sessions)
Resolution of exercises by the students under the guidance of the assistants. It is recommended that the students must first review the material that is dealt with.

Evaluation methods

Written exam, closed book.
The use of artificial intelligence is prohibited. 

Other information

Didactic materials offered to students:
- copy of the slides used during the lectures
- portfolio of exercises with solutions

Online resources

Lecture slides
Exercices and solutions
Exams of previous years

Bibliography

Ouvrage de référence: Varian, Hal, Intermediate Microeconomics, ninth edition, W.W. Norton & Company, ISBN, 9780393689815, 2020.

Teaching materials

• Varian, Hal, Intermediate Microeconomics, ninth edition
• Slides

Faculty or entity

> ESPB