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2022/2023

Microeconomics III

Code: 102335 ECTS Credits: 6
Degree Type Year Semester
2501572 Business Administration and Management OT 4 1
2501573 Economics OB 3 1

Contact

Name:
Francisco Obiols Homs
Email:
francesc.obiols@uab.cat

Use of Languages

Principal working language:
catalan (cat)
Some groups entirely in English:
Yes
Some groups entirely in Catalan:
Yes
Some groups entirely in Spanish:
No

Other comments on languages

Groups 1 and 51in Catalan; Group 8 in English

Teachers

Alex Sanz Fernandez
Katerina Chara Papioti

Prerequisites

It is recommended that students have passed the following courses:

Introduction to Economics

Mathematics I and II

Microeconomics I and II

Objectives and Contextualisation

This course is the last one on the topic of microeconomics and, therefore, its main objective is to go beyond the understanding of basic knowledge by means of the more advanced concepts related to individual decision making and the functioning of markets.

Competences

    Economics
  • Apply mathematical instruments to synthesise complex economic-business situations.
  • Capacity for adapting to changing environments.
  • Capacity for independent learning in the future, gaining more profound knowledge of previous areas or learning new topics.
  • Identify the processes that govern the operation of markets in different competition systems, different scenarios of interrelationship and different timescales.
  • Organise the work in terms of good time management, organisation and planning.
  • Select and generate the information necessary for each problem, analyse it and take decisions based on that information.
  • Students must be capable of applying their knowledge to their work or vocation in a professional way and they should have building arguments and problem resolution skills within their area of study.
  • Students must be capable of collecting and interpreting relevant data (usually within their area of study) in order to make statements that reflect social, scientific or ethical relevant issues.
  • Students must be capable of communicating information, ideas, problems and solutions to both specialised and non-specialised audiences.
  • Students must develop the necessary learning skills in order to undertake further training with a high degree of autonomy.
  • Students must have and understand knowledge of an area of study built on the basis of general secondary education, and while it relies on some advanced textbooks it also includes some aspects coming from the forefront of its field of study.

Learning Outcomes

  1. A capacity of oral and written communication in Catalan, Spanish and English, which allows them to summarise and present the work conducted both orally and in writing.
  2. Capacity to adapt to changing environments.
  3. Capacity to continue future learning independently, acquiring further knowledge and exploring new areas of knowledge.
  4. Identify market failures and define the corrective mechanisms of public intervention.
  5. Organise work, in terms of good time management and organisation and planning.
  6. Recognize the role of uncertainty in the decision making of consumers and businesses.
  7. Relate the inter-temporal aspects to the processes of decision-making of economic agents.
  8. Select and generate the information needed for each problem, analyse it and make decisions based on this information.
  9. Students must be capable of applying their knowledge to their work or vocation in a professional way and they should have building arguments and problem resolution skills within their area of study.
  10. Students must be capable of collecting and interpreting relevant data (usually within their area of study) in order to make statements that reflect social, scientific or ethical relevant issues.
  11. Students must be capable of communicating information, ideas, problems and solutions to both specialised and non-specialised audiences.
  12. Students must develop the necessary learning skills in order to undertake further training with a high degree of autonomy.
  13. Students must have and understand knowledge of an area of study built on the basis of general secondary education, and while it relies on some advanced textbooks it also includes some aspects coming from the forefront of its field of study.
  14. Weigh the impact of public sector on the activity of enterprises and consumers.

Content

SYLLABUS MICROECONOMICS III

(Note: In each topic we indicate the corresponding chapter of the book “Intermediate Microeconomics”, 9th edition, see Bibliography)

 

TOPIC I. General equilibrium with production (chap. 33)

I.1. The Robinson Crusoe economy

I.2. Consumption and Production

I.3. General equilibrium with production and the two theorems of welfare economics

I.4. Comparative advantage

I.5. Efficiency in the sense of Pareto

I.6. Decentralized allocation of resources

 

TOPIC II. Externalities (chap. 35)

II.1. Externalities in consumption

II.2. Coase's theorem

II.3. Externalities in production

II.4. Interpretation of efficiency conditions

II.5 The tragedy of the commons

 

TOPIC III. Public goods (chap. 37)

III.1. Public goods and the private provision of a public good

III.2. The free-rider problem

III.3. Voting systems

III.4. Vickrey, Clarke, and Groves mechanisms

 

TOPIC IV. Welfare and social choice

IV.1. Absolute welfare measures: compensatory variation and equivalent (chap. 14.8)

IV.2. Revealed preference, index numbers, measures of inequality (Chapter 7)

IV.3. Social choice (chap. 34)

 

TOPIC V. Other models of behavior and markets

V.1 Auctions (Chapter 18)

V.2 Network and platform economies (chap. 36)

V.3 Behavioral economics (chap. 31)

Methodology

 Teaching will be offered on campus or in an on-campus and remote hybrid format depending on the number of students per group and the size of the rooms at 50% capacity.

  • Part-time teaching (50%) means that there will be groups in which half of the students will attend the Faculty on alternate weeks.
  • In this case, the face-to-face classes will focus primarily on problem solving.
  • All teaching material will be available exclusively in digital format in the Moodle classroom of the course.

The proposed teaching methodology may undergo some modifications according to the restrictions imposed by the health authorities on on-campus courses.

 

Annotation: Within the schedule set by the centre or degree programme, 15 minutes of one class will be reserved for students to evaluate their lecturers and their courses or modules through questionnaires.

Activities

Title Hours ECTS Learning Outcomes
Type: Directed      
Practicum (exercise solving) 17 0.68
Theory 32.5 1.3
Type: Supervised      
Office hours and follow-up 5 0.2
Type: Autonomous      
Study. Additional Readings. Preparing exercises. Team work. 90.5 3.62

Assessment

Evaluation process

The evaluation process will consist of a final examination with a weight of 50%, a practical partial examination with a weight of 30%, and the delivery of several problem sets during the course with a total weight of 20%.

A student that takes part on any of the evaluation activities and turns in the activity for grading cannot be considered for a "Not Evaluable" status.

Schedule of evaluation activities

The dates of the different evaluation activities will be announced well in advance during the semester.

The date of the final exam is scheduled in the assessment calendar of the Faculty.

"The dates of evaluation activities cannot be modified, unless there is an exceptional and duly justified reason why an evaluation activity cannot be carried out. In this case, the degree coordinator will contact both the teaching staff and the affected student, and a new date will be scheduled within the same academic period to make up for the missed evaluation activity." Section 1 of Article 115. Calendar of evaluation activities (Academic Regulations UAB).

Students of the Faculty of Economics and Business, who in accordance with the previous paragraph need to change an evaluation activity date must process the request by filling out an Application for exams' reschedule at 

https://eformularis.uab.cat/group/deganat_feie/nou-reprogramacio-de-proves

The teaching faculty will select the type of evaluation activity most suitable and efficient for the individual reprogrammed evaluation activity, including oral examinations.

Grade revision process

After all grading activities have ended, students will be informed of the date and way in which the course grades will be published. Students will be also be informed of the procedure, place, date and time of grade revision following University regulations.

Grade revision process

After all grading activities have ended, students will be informed of the date and way inwhich the course grades will be published. Students will also be informed of the procedure, place, date and time of grade revision following University regulations.

Retake Process

"To be eligible to participate in the retake process, it is required for students to have been previously been evaluated for at least two thirds of the total evaluation activities of the subject." Section 3 of Article 112 ter. The recovery (UAB Academic Regulations).

Additionally, for a student to participate in the retake process, it is required that he or she to have achieved an average grade of the subject between 3.5 and 4.9.

The date of the retake exam will be posted in the calendar of evaluation activities of the Faculty.

Students who take this exam and pass, will get a grade of 5 for the subject. If the student does not pass the retake, the grade will remain unchanged, and hence, student will fail the course.

The grading of the retake examination will be qualitative, with two possible results: “pass” or “no pass”. If the grade is “pass”, the grade will be equal to 5. If the grade is "no pass", the student will not pass the subject and his final grade will be the existing grade prior to the retake examination.

Irregularities in evaluation activities

Apart from any other disciplinary measures deemed appropriate, and in accordance with current academic regulations, "in the case that the student makes any irregularity that could lead to a significant variation in the grade of an evaluation activity, it will be graded witha 0, regardless of the disciplinary process that can be instructed. In case of various irregularities occur in the evaluation of the same subject, the final grade of this subject will be 0". Section 10 ofArticle 116. Results of the evaluation. (UAB Academic Regulations).

Standards of behavior

Aside of any other disciplinary measures that may be considered pertinent, and in line with the current academic rules, the professor may reduce the average grade obtained in the "additional evaluation activities" by up to 2 points out of 10 to any student who repeatedly does not follow the rules of behavior in class. The professor will announce these rules at the beginning of the course.

The proposed evaluation activities may undergo some changes according to the restrictions imposed by the health authorities on on-campus courses

Assessment Activities

Title Weighting Hours ECTS Learning Outcomes
Final exam 50 per cent 2 0.08 2, 1, 3, 4, 5, 14, 13, 12, 11, 9, 10, 6, 7, 8
Other evaluation exercises 20 per cent 1.5 0.06 2, 1, 3, 4, 5, 14, 13, 12, 11, 9, 10, 6, 7, 8
Partial examination 30 per cent 1.5 0.06

Bibliography

Varian, Hal. Intermediate Microeconomics. W. W. Norton & Company Inc. 9th Edition.

Software

No special software is needed.