This innovative textbook contains everything students need to know on an intermediate microeconomics course. Combining classic theory and models with the latest developments, it gently guides learners through the topics and helps them to become increasingly independent. Mathematical understanding is a crucial part of mastering the subject, but can be tricky to obtain. Consequently, numerical tools and engaging exercises are expertly woven into the broader, conceptual discussion of economic theory. This process is progressive and incremental, with steps explained in great detail in the opening chapters to help students gain mathematical fluency and confidence.
A microeconomics textbook that is essential reading for any intermediate level course at university. Although primarily aimed at two-semester undergraduate modules, the comprehensive and accessible writing style means that it is also suitable for certain postgraduate and one-semester courses. The author provides helpful notes on how to adapt the book to your course.
Robert I. Mochrie is a Senior Lecturer in Accountancy, Economics and Finance at the School of Management and Languages, Heriot-Watt University, UK.
PART I: MARKETS IN CONTEXT.- 1. Key principles.- 2. Perfect markets.- PART II: RESOURCE ALLOCATION FOR PEOPLE.- 3. The budget set.- 4. Preferences.- 5. Utility functions.- 6. The most-preferred, affordable bundle.- 7. Demand functions.- 8. Price changes.- 9. The CES utility function.- PART III: RESOURCE ALLOCATION FOR FIRMS.- 10. Production.- 11. Cost functions.- 12. Costs and planning.- 13. Firm supply in perfect competition.- 14. Equilibrium in perfect competition.- PART IV: MARKET POWER.- 15. Monopoly.- 16. Price discrimination.- 17. Oligopoly.- 18. Game theory: concepts.- 19. Game theory: applications.- PART V: WELFARE.- 20. Exchange.- 21. Production and distribution.- 22. Externalities.- 23. Public goods.- PART VI: BEHAVIOUR.- 24. Personal choice.- 25. Inter-temporal choice.- 26. Choice and risk.- 27. Rationality and behaviour.- PART VII: APPLYING GAME THEORY.- 28. Games with imperfect information.- 29. Product differentiation.- 30. Auctions.- 31. Afterword.