Teaching code

4S02460

Credits

12

Coordinator

Marco Piovesan

Language

English

Moodle Seminars 0

The teaching is organized as follows:

Learning outcomes

The course covers topics of consumer theory, production theory, and behavioral economics with a focus on social preferences and behavioral industrial organization. It is divided into two modules. The first module will analyze traditional economic models of individual decision-making, consumer behavior, and firm behavior. The second module will introduce concepts of behavioral economics and pay attention to alternative theories of individual choice behavior and industrial organization. Theoretical lectures will be complemented by practical exercise classes aiming at applying the concepts and methods developed during the course. At the end of the course, students should be able to i) understand the determinants of optimal consumers' and firms' choices, ii) use analytical and graphical tools to solve optimization problems, iii) apply orthodox and behavioral economic models for the analysis of markets structure and behavior, and iv) critically assess the implications of the different models for the analysis of individuals’ and firms’ choices.

Program

MODULE 1

Traditional Approach to Consumer Theory:
- preference relations
- choice
- utility functions
- utility maximization problem
- expenditure minimization problem
- duality

Production Theory:
- technology
- profit maximization problem
- cost minimization problem

Markets Structures and Organization:
- perfect competition
- advanced monopoly theory
- markets for homogeneous/differentiated products
- self-enforcing collusion

MODULE 2

Behavioral and experimental economics:
- preferences and behavior
- models of social preferences
- time preferences and inconsistency
- risk preferences and uncertainty

Bibliography

Examination Methods

Students' preparation will be assessed through a written (if in presence) or oral (if online) exam that will include open questions on the theory and a number of exercises. The two exams are equivalent in terms of content and require the same skills and knowledge. The exam, whatever its form, will test the students' accurate and thorough understanding of the concepts, methods, and models explained during the course as well as their ability to use theoretical tools in order to solve empirical questions.

Moreover, students are given the opportunity to present an article to the class. The lecturers will distribute the articles among which a student can select the one (s)he wants to present.