Announcements:
Microeconomics
Economics 210C
(http://www.econ.ucsb.edu/~deacon/econ210c.htm)
Robert
Deacon
Winter 2009
Office hours: Th 3:30-5:30 or by
appointment, 3040 North Hall (During week of Feb.23, office hours will be Tues.
3:30-5:30.)
(deacon@econ.ucsb.edu).
Exams
and Grading: Grades will be based on
one midterm exam scheduled for February 3 (35%), a final exam scheduled for Wed., March 18, 4:00-7:00pm
(50%) and problem
sets (15%). (I may swap meeting times with Jesse the week before the
midterm.)
Course
content: This course covers the
material in Mas-Colell, et al, Microeconomic Theory (1995)
Chapters 10-13 and possibly 14, plus a few supplementary readings. The
supplementary readings are not intended to introduce new theoretical concepts.
They are intended for in class discussion, to suggest the range of application
for concepts from the assigned material.)
Chapter 10, Competitive Markets.
Supplementary reading: Robert T. Deacon and Jon Sonstelie, “Price
Controls and Rent Dissipation with Endogenous Transaction Costs,” American
Economic Review, Vol. 81, No. 5 (December 1991) 1361-1373.
Chapter 11, Externalities and Public Goods.
Skip: Depletable Externalities in Sec. 11D; Decentralized Bargaining
in Sec. 11E; Example 11.AA.1 in Appendix A.
Supplementary reading: T.C. Bergstrom, “Benefit-Cost
in a Benevolent Society”, American
Economic Review, Vol. 96, No. 1
(March 2006) 339-351.
Midterm
Exam (Feb. 5) Will try to schedule for 2 hours.
Chapter 12, Market Power.
Skip: Example 12.C.2 in Sec. 12C, The Linear City Model of Product
Differentiation; Entry and Welfare in Sec. 12.E; Appendix B. In
Appendix A we will only cover Nash
Reversion and the Nash Reversion Folk Theorem.
Supplementary reading: TBA.
Chapter 13, Adverse Selection, Signaling and
Screening.
Skip: ‘Small type’ section on pages 448-450; Reasonable-Beliefs Refinements
in Signaling Games, Appendix A.
Supplementary reading: Kelly Bedard, 2001. “Human
Capital versus Signaling Models: University Access and High School Dropouts.”
Journal of Political Economy, 190(4) (2001) 749-775.
Chapter
14, The Principal-Agent Problem.
Skip:TBA.
Supplementary reading: TBA.
Final Exam March 18, 4:00-7:00