Introductory Microeconomics (2024 1st)
Introductory Microeconomics | ミクロ経済基礎
Syllabus in English | 講義シラバス(日本語)
1st semester / Mondays 3rd (13:30-15:00) / Room 509(法経研究棟)
Office Hours: Mondays 12:40 - 13:20
E-mail: yosuke.yasuda <at> gmail.com
Website: https://sites.google.com/site/yosukeyasuda2/home/lectures/osaka2024_grad-micro
Announcement | お知らせ
[2024, Apr 23] --- The audio file of the second lecture given on Monday, April 22, has been uploaded to CLE.
[2024, Apr 22] --- I will show up at this event (as a panelist) on Tuesday (April 23), 16:00-18:00, organized by Osaka University. Students are more than welcome to participate. It's free :)
[2024, Apr 16] --- The audio file of the first lecture given on Monday, April 15, has been uploaded to CLE.
[2024, Apr 13] --- The slide for the first lecture was just uploaded here. Audio will also be recorded and uploaded to CLE. International students who are unable to enter Japan due to visa issues are encouraged to use these materials to catch up with the class.
[2024, Apr 13] --- The first lecture will be on April 15th. Lectures are given in Japanese, but all materials are written in English.
[2024, Jan 2] --- The website (this page) has just been created.
Last update: April 23, 2024
Course Objectives
This course offers lectures on Microeconomics at the level of advanced undergraduate to master program.
In modern economics, the analytical tools of microeconomics are used as a foundation for analyzing macroeconomics, finance, and public finance. Therefore, mastery of the material covered in this course will help students understand a wide range of fields of economic research.
Learning Goals
To learn how to build economic models based on the standard microeconomic frameworks such as price theory, economics of information, and game theory.
Specifically, the first half of the course will study price theory, while the second half will study market failure, game theory, and the economics of information.
Prerequisites
Standard knowledge of the undergraduate (intermediate) level of microeconomics and mathematics is required. The latter includes the introductory level of calculus and probability theory.
Grading Policy
The final grade will be based on the three homework (30 points in total) and the final exam (70 points).
You must submit at least two homework assignments in order to take the final exam.
Special Note
Lectures will be given in Japanese, while slides and all the course materials will be written in English.
Course Schedule
Lec 0. Introduction Apr 15
Part 1: Price Theory
Lec 1. Consumer Problem Apr 22
Lec 2. Mathematics and Optimization On-demand
Textbook
Ka --- App.A: Essential Mathematical Concepts: All You Need to Know to Read This Book, App.B: Constrained Maximization Problems and the Method of Lagrange Multipliers
JR --- Ch.A1: Sets and Mappings, Ch.A2: Calculus and Optimisation
Va --- Ch.26: Mathematics, Ch.27: Optimization
MWG ---M.J: Unconstrained Maximization, M.K: Constrained Maximization
Lec 3. Rational Behavior May 13
Textbook
Ka --- Ch.1: Theory of Consumer Behavior
JR --- Ch.1: Consumer Theory
Va --- Ch.9: Demand
MWG --- Ch.1: Preference and Choice, Ch.2: Consumer Choice
Lec 4. Firm Behavior May 20
Textbook
Ka --- Ch.2: Theory of Firm Behavior
JR --- Ch.3: Theory of the Firm
Va --- Ch.1: Technology, Ch.2: Profit Maximization, Ch.3: Profit Function, Ch.4: Cost Minimization, Ch.5: Cost Function
MWG --- Ch.5: Production
Lec 5. Competitive Equilibrium May 27
Textbook
Ka --- Ch.3: Market Equilibrium
JR --- Ch.4: Partial Equilibrium
Va --- Ch.13: Competitive Markets
MWG --- Ch.10: Competitive Markets, Ch.15: General Equilibrium Theory: Some Examples
Lec 6. Equilibrium and Welfare June 3
Textbook
Ka --- Ch.3: Market Equilibrium
Ka --- App.C: Compensating Variation and Equivalent Variation, App.D: A Step-by-step Guide to Proving the Second Welfare Theorem
JR --- Ch.5: General Equilibrium
Va --- Ch.17: Exchange, Ch.22: Welfare
MWG --- Ch.16: Equilibrium and Its Gasic Welfare Properties
Part 2: Market Failure
Lec 7. Monopoly and Price Discrimination June 10
Textbook
Ka --- Ch.5: Monopolies
Va --- Ch.14: Monopoly
MWG --- Ch.12: Market Power
Lec 8. Strategic Thinking by Game Theory June 17
Textbook
Ka --- Ch.6: Simultaneous-Move Games and Nash Equilibrium, Ch.7: Dynamic Games and Credible Strategies
JR --- Ch.7: Game Theory
Va --- Ch.15: Game Theory
MWG --- Ch.7: Basic Elements of Noncooperative Games, MWG --- Ch.8: Simultaneous-Move Games, MWG --- Ch.9: Dynamic Games
Lec 9. Oligopoly with Strategic Thinking June 24
Textbook
Ka --- Ch.6: Simultaneous-Move Games and Nash Equilibrium
JR --- Ch.4: Partial Equilibrium
Va --- Ch.16: Oligopoly
MWG --- Ch.12: Market Power
Lec 10. Externalities and Public Goods July 1
Textbook
Ka --- Ch.4: Market Failures
Va --- Ch.23: Public Goods, Ch.24: Externalities
MWG --- Ch.11: Externalities and Public Goods
Part 3: Incentive Design
Lec 11. Moral Hazard July 8
Textbook
Ka --- Ch.8: Insurance and Moral Hazard
Va --- Ch.25: Information
MWG --- Ch.14: Principal-Agent Problem
Lec 12. Mechanism Design and Auctions July 22
Textbook
JR --- Ch.9: Auctions and Mechanism Design
MWG --- Ch.23: Incentives and Mechanism Design
Lec 13. Two-Sided Matching July 29
Lec 14. Economics of Medical Residency Matching On-demand
Appendix
Duality
Textbook
JR --- Ch.2: Topics in Consumer Theory
Time and Dynamics
Uncertainty
Textbook
Ka --- Ch.6: Simultaneous-Move Games
Ch.6.6: Uncertainty and Expected Utility
JR --- Ch.2: Topics in Consumer Theory
Va --- Ch.11: Uncertainty
MWG --- Ch.6: Choice under Uncertainty
The Market for "Lemons"
Textbook
Ka --- Ch.9: Adverse Selection and Signaling
Va --- Ch.25: Information
MWG --- Ch.13: Adverse Selection, Signaling, and Screening
Jungle Economy
Assignment Problems
Textbooks
Main Textbook
No particular textbook will be used.
Supplementary Textbook
Kandori [Ka], Mighty Microeconomics: A Guide to Thinking Like An Economist, 2023.
This is an English translation of the Japanese book: 『ミクロ経済学の力』
This extraordinary book provides a comprehensive overview of microeconomics up to the advanced undergraduate level. In particular, the author discusses the importance of market theory very clearly.
There is no need to purchase this textbook, as we will upload copies of all necessary sections on the CLE.
Other Great Books
Jehle and Reny [JR], Advanced Microeconomic Theory, 3rd edition, 2011.
This is a great graduate-level textbook that offers an excellent balance of level, content, reliability of description, and quantity.
Varian [Va], Microeconomic Analysis, 3rd, 1992.
This is an advanced undergraduate to graduate-level text with a reputation for clarity. It offers an excellent description of market theory and market failures and is one of the best books for understanding intuition. The structure is unique because it begins with producer theory rather than consumer theory.
Additional Recommended Books (Tentative List in Japanese)
*Mas-Colell, Whinston and Green [MWG], Microeconomic Theory, 1995.
世界中の経済学Ph.D.コースで使われている超定番テキストです。分厚いだけあって、大学院ミクロで必要な内容が全てカバーされています。頭から通読しようとはせず、必要な箇所について辞書的に使って下さい!
*ギボンズ『経済学のためのゲーム理論入門』創文社, 1995.
ゲーム理論を体系的に記述した定番テキストです。簡潔ながら高度な内容までカバーされていて、1〜3を補完する優れたテキストです。
*Tadelis, Game Theory: An Introduction, 2012.
7と同程度の難易度ですが、記述がより分かりやすく内容も(やや)包括的です。どちらか好みの方を使ってください。
尾山大輔・安田洋祐編『改訂版 経済学で出る数学:高校数学からきちんと攻める』日本評論社, 2013.
経済学における応用を意識した新しいタイプの経済数学テキストです。ミクロ経済学の副読本として最適!
本書の第1〜7章に完全対応したワークブックもあります。
林貴志『ミクロ経済学 増補版』ミネルヴァ書房, 2013.
扱っている内容自体は学部レベルですが、大学院以上で求められる厳密な思考や定理(や証明)について、そのイロハや勘所が非常に丁寧に書かれている希有なテキストです。物事をイチからしっかり理解したい人、理論研究に進みたい人におすすめします。
ディキシット『経済理論における最適化(第2版)』勁草書房, 1997.
超一流の経済理論家による最適化のとても分かりやすい入門書。
William Neilson, Must-have Math Tools for Graduate Study in Economics, 2009version
経済数学の初歩を非常に分かりやすく解説したオンライン資料です。
著者のウェブサイト(こちら)から無料でダウンロードできます。
(*は大学院レベル、無印は学部中級~大学院初級レベル)