DRE 7031 Topics in Microeconomics I
The aim of the course is to give the students a thorough understanding af selected topics in microeconomics. Selection of topics will depend on the instructor of the course. In Spring 2021 we will cover two topics: monotone comparative statics and auctions.
After taking this course students should be able to apply rigorous microeconomic techniques to analyse economic performance in different institutional settings.
The students are expected to learn
- How to prove formally abstract monotone comparative statics results
- How to apply those results to quickly derive results in otherwise intractable models
- How to solve analytically auction models
Understand which assumptions are critical in economic models, and which are only introduced for analytical convenience; and understand how (carefully designed) auctions can improve the allocation of resources.
The main objective of this course is to give an introduction to some of the main topics in modern advanced microeconomic theory. In the Spring 2021 we will cover two topics: Monotone comparative statcs (8 hours) and auction theory (7 hours). Specifically, we will cover:
Monotone comparative statics:
- monotone comparative statics with respect to optimization problems (Topkis, 1978; Milgrom and Shannon, 1994);
- monotone comparative statics with respect to fixed point problems (Migrom and Roberts, 1994)
- quasi-supermodular games (Milgrom and Roberts, 1990).
- the four common types of auctions: the English auction, the Dutch auction, the first-price sealed-bid auction, the second-price sealed bid auction;
- Independent private values (IPV) auctions: solutions and revenue equivalence theorem;
- Common value auctions: revenue equivalence theorem, winner's curse and almost-common value auctions.
The course will be taught over 4 weeks, with 6 two hour lectures over the first three weeks, and a single 3 hour lecture in the fourth week. There will also be a single three hour long practice session, where the students will solve problem sets/present prepared solutions under the supervision of the instuctor (normally in week 4).
Enrollment in a PhD Programme is a general requirement for participation in PhD courses at BI Norwegian Business School.
External candidates are kindly asked to attach confirmation of enrollment in a PhD programme when signing up for a course. Other candidates may be allowed to sit in on courses by approval of the courseleader. Sitting in on a course does not permit registration for the course, handing in exams or gaining credits for the course. Course certificates or confirmation letters will not be issued for sitting in on courses.
Deviations in teaching and exams may occur if external conditions or unforeseen events call for this.
Enrollment in a PhD programme is a general requirement for participation in PhD courses at BI Norwegian Business School.
External candidates are kindly asked to attach confirmation of enrollment in a PhD programme when signing up for a course. Other candidates may be allowed to sit in on courses by approval of the course leader. Sitting in on a course does not permit registration for the course, handing in exams or gaining credits for the course. Course certificates or confirmation letters will not be issued for sitting in on courses.
Form of assessment:
Examination when next scheduled course
|Form of assessment:
|Examination when next scheduled course
Group work / Assignments
Student's own work with learning resources
A course of 1 ECTS credit corresponds to a workload of 26-30 hours. Therefore a course of 3 ECTS credit corresponds to a workload of at least 80 hours.