Course 2011-2012 a.y.

Go to class group/s: 31

CLMG (6 credits - II sem. - OP  |  SECS-P/01) - M (6 credits - II sem. - OP  |  SECS-P/01) - IM (6 credits - II sem. - OP  |  SECS-P/01) - MM (6 credits - II sem. - OP  |  SECS-P/01) - AFC (6 credits - II sem. - OP  |  SECS-P/01) - CLAPI (6 credits - II sem. - OP  |  SECS-P/01) - CLEFIN-FINANCE (6 credits - II sem. - OP  |  SECS-P/01) - CLELI (6 credits - II sem. - OP  |  SECS-P/01) - ACME (6 credits - II sem. - OP  |  SECS-P/01) - DES-ESS (6 credits - II sem. - OP  |  SECS-P/01) - EMIT (6 credits - II sem. - OP  |  SECS-P/01)

Course Director:
NICOLA PAVONI

Course Objectives

This course introduces the student to two advanced topics in Microeconomics: asymmetric information and general equilibrium. The goal is to provide students with the analytical tools required to read and understand the current economic literature and its debates.

Course Content Summary

PART 1: Theory of incentives

• Hidden information: screening
• Hidden action: moral hazard
• Applications to optimal income taxation
• Applications to financial contracting
• Applications to labour markets

PART 2: Topics in general equilibrium

• Pure exchange general competitive equilibrium.
• Regular economies, uniqueness of equilibrium, stability analysis with and without tâtonnement, comparatives statics analysis, the core of an economy, general equilibrium with time and uncertainty, overlapping generations models.

Detailed Description of Assessment Methods

Written Exam.

Textbooks

Examination will be based on topics and exercises presented during the course. References are

• P. BOLTON, M. DEWATRIPONT, Contract Theory, MIT press
• J.J. LAFFONT, D. MARTIMORT, The Theory of Incentives, Princeton University press
• MACHO-STADLER, I. and J.D. PEREZ-CASTILLO, An Introduction to the Economics of Information: Incentives and Contracts, Oxford University Press
• Mas-Colell, M.D. Whinston e J.R. Green, Microeconomic Theory, 1995
• B. SALANIE, The Economics of Contracts, MIT press
• H.R.Varian, Microeconomic Analysis, 1992, 3rd ed.
• Slides and other teaching material will be distributed during the course.

Exam textbooks & Online Articles (check availability at the Library)

Last change 16/02/2012 18:31