09446 - Microeconomics

Learning outcomes

The aim of the course is to provide the basic analytical tools for studying the behavior of economic agents (consumers, firms, and the government) and their interactions in markets. By the end of the course, students will be able to: - analyze consumers’ spending decisions and firms’ production choices; - understand how consumers and firms interact under different market structures; - analyze the various forms of public intervention aimed at correcting market failures.

Course contents

1. Thinking like an economist: Models, incentives, opportunity cost, marginal analysis.

2. Consumer theory: Preferences, budget constraint, optimal choice, individual and market demand, elasticity.

3. Production, technology, and costs: Production functions, marginal productivity, economies of scale, cost minimization.

4. Competitive markets and welfare: Supply, competitive equilibrium, surplus, efficiency, taxation, and price controls.

5. Market power: Monopoly, price discrimination, regulation.

6. Oligopoly and strategic interaction: Competition among firms, Cournot and Bertrand models, introduction to game theory, Nash equilibrium (intuition).

7. Asymmetric information: Adverse selection, moral hazard, signaling.

8. Market failures and public policy: Externalities, public goods, informational problems, policy instruments.

9. Introduction to general equilibrium: Pareto efficiency and interdependence across markets.

Readings/Bibliography

Reference textbooks:

1. Pindyck, R.S., Rubendeld, D.L., Microeconomics, Pearson.
2. Besanko, D.A., Braeutigam, R.R., Microeconomics, McGraw Hill.
   

Supplementary materials (notes, exercises, and applications) will define the examinable content, while the textbooks are recommended for further study and a deeper understanding of the topics.

Teaching methods

The course consists of 60 hours of lectures. Lectures will integrate theory, exercises and empirical evidence to connect microeconomic models with phenomena observed in real-world markets.

Assessment methods

Two assessment options are available, both in written form:

1. Two-part assessment*: it is possible to take a midterm exam during the course (40% of the final grade) and a second exam in the summer session (60%).
2. Single assessment*: alternatively, evaluation may take place through a single written exam in one of the official exam sessions.

Exams will include quantitative exercises and interpretative questions aimed at assessing both the understanding of the models and the ability to apply them.

Further details on the structure of the exams will be provided during the course.

Grades are expressed on a scale of 30 and can be interpreted qualitatively as follows:

• <18: fail
• 18–23: satisfactory
• 24–27: good
• 28–30: very good
• 30 with honors: excellent

* The two-part assessment is based on the current academic year's syllabus and is open to all students enrolled in the degree program, regardless of their year of study.

** The single assessment may, upon explicit request, be taken based on the previous academic year's syllabus.

Teaching tools

The course includes lectures and tutorial sessions dedicated to the guided solution of problems and applied exercises. Attendance is not mandatory but is strongly recommended for a more effective understanding of the material and for progressive learning.

Office hours

See the website of Marco Rosso