eco3cmf microeconomics 3
COMPETITION, MARKET FAILURE AND GOVERNMENT
ECO3CMF
2015
Credit points: 15
Subject outline
This subject complements Consumers, Firms and Competition. Students completing both subjects will have a thorough grounding in markets, indivual behaviour and government responses to a range of market failures. Topics include general equilibrium, welfare economics and market failure, public goods and externalities, risk and decision theory, information asymmetry and contracts, and monopoly.
SchoolLa Trobe Business School
Credit points15
Subject Co-ordinatorBuly Cardak
Available to Study Abroad StudentsYes
Subject year levelYear Level 3 - UG
Exchange StudentsYes
Subject particulars
Subject rules
Prerequisites ECO2CFC or ECO2MIT or ECO2PPA
Co-requisitesN/A
Incompatible subjects ECO3PPB
Equivalent subjectsN/A
Special conditionsN/A
Learning resources
Readings
| Resource Type | Title | Resource Requirement | Author and Year | Publisher |
|---|---|---|---|---|
| Readings | Microeconomics with Calculus. 2nd edition (TBC) | Preliminary | Brian R. Binger and Elizabeth Hoffman | ADDISON WESLEY |
| Readings | Microeconomics with Calculus. 3rd edition (TBC) | Recommended | Jeffrey M. Perloff | PEARSON |
Graduate capabilities & intended learning outcomes
01. Solve computational problems, with mathematical and graphical techniques, relating to partial and general equilibrium using the models of consumer choice, pure exchange and exchange with production.
- Activities:
- Lectures, tutorials, prescribed reading, class discussion
- Related graduate capabilities and elements:
- Writing(Writing)
- Creative Problem-solving(Creative Problem-solving)
- Critical Thinking(Critical Thinking)
- Inquiry/ Research(Inquiry/ Research)
02. Solve problems, with mathematical and graphical techniques, using extensions of the competitive model to factor markets, markets over time and markets featuring uncertainty and explain qualitative features of these settings and the respective equilibria.
- Activities:
- Lectures, tutorials, prescribed reading, class discussion
- Related graduate capabilities and elements:
- Creative Problem-solving(Creative Problem-solving)
- Writing(Writing)
- Critical Thinking(Critical Thinking)
- Inquiry/ Research(Inquiry/ Research)
03. Write concise explanations and critical evaluations of the concepts of competitive equilibrium, Pareto efficiency and the two welfare theorems of economics.
- Activities:
- Lectures, tutorials, prescribed reading, class discussion
- Related graduate capabilities and elements:
- Creative Problem-solving(Creative Problem-solving)
- Inquiry/ Research(Inquiry/ Research)
- Critical Thinking(Critical Thinking)
04. Write concise explanations of the nature, consequences and policy responses to various forms of market failure (i.e. monopoly, externalities and public goods, asymmetric information) and solve computational problems relating to these market failures using mathematical and graphical techniques.
- Activities:
- Lectures, tutorials, prescribed reading, class discussion
- Related graduate capabilities and elements:
- Writing(Writing)
- Critical Thinking(Critical Thinking)
- Creative Problem-solving(Creative Problem-solving)
- Inquiry/ Research(Inquiry/ Research)
Subject options
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Melbourne, 2015, Semester 1, Day
Overview
Online enrolmentYes
Maximum enrolment sizeN/A
Enrolment information
Subject Instance Co-ordinatorBuly Cardak
Class requirements
TutorialWeek: 10 - 22
One 1.0 hours tutorial per week on weekdays during the day from week 10 to week 22 and delivered via face-to-face.
LectureWeek: 10 - 22
One 2.0 hours lecture per week on weekdays during the day from week 10 to week 22 and delivered via face-to-face.
Assessments
| Assessment element | Comments | % | ILO* |
|---|---|---|---|
| 0ne one hour mid semester exam | 20 | 01, 02 | |
| One two hour final exam | 70 | 01, 02, 03, 04 | |
| tutorial assessments | 10 | 01, 02, 03, 04 |