9/30/14: Introduction and Review of Consumer Theory
10/02/14: Introduction to the Theory of the Firm
10/09/14: The Long and the Short Run
10/14/14: Equilibrium in Exchange and Production Economies
10/16/14: Shocks and Interventions in Partial Equilibrium
10/23/14: General Equilibrium in Production Economies
10/28/14: Equilibrium and Welfare
11/06/14: Addressing Externalities
11/13/14: Strategic Interaction
11/20/14: The Cournot Model of Oligopoly
As we discuss in class during week 4, an important example of a price floor is the minimum wage. It has been a big topic of debate recently as Obama has pushed for increasing the Federal minimum wage from $7.25 to $10.10 an hour, and various states have debated laws of their own. This topic is discussed in the op-eds in NYTimes below:
We also discussed the problem of externalities and approaches to dealing with them. A summary of some of the approaches applied to climate change is available here.
In class on November 20 we discussed game theory and Nash equilibrium. The following is a paper that tests the predictions of game theory using penalty kicks in soccer:
Chiappori, Groseclose and Levitt (2002).
Practice Midterm 1 with solution.
Practice Midterm 2 with solution.
Midterm with Solution (9:00-10:20)
Midterm with Solution (10:30-11:50)
Practice Final 1 with solution.
Practice Final 2 with solution.
Practice Final 3 with solution.