Programme/Approved Electives for 2020/21
Available as a Free Standing Elective
This module requires students to complete Intermediate Microeconomics (ECO20046) in the second year.
The purpose of this module is to enable students to understand - and apply to real world issues - some advanced microeconomic models of market failures. The module will start with an analysis of the main models of market structure. Welfare economics will subsequently be developed to enable students to assess the impact of imperfect competition on social welfare. The module will examine the role of information in microeconomics, showing the consequence of incomplete and asymmetric information on the nature of equilibrium.
Continue the analysis of microeconomic models started in level 5 by focusing on market structure and market failures, i.e. on situations where private markets fail to achieve a socially optimal allocation of resources.
Intended Learning Outcomes
identify the different types of market failures and critically evaluate their impact on social welfare: 2critically analyse the theory of expected utility: 2analyse models of information economics: 2evaluate measures of economic welfare: 2explain and evaluate the individual attitudes towards risk and calculate risk premia: 2analyse the main models of market structure and explain the rationale for competition law and regulation: 1,2
18 hours lectures12 hours discussion4 hours tutorials1 hour online mid-term test2 hour exam40 hours lectures/tutorials preparation 73 hours independent study
1: Open Book Examination weighted 70%
Description of Module Assessment
2 Hours Online ExaminationThe exam includes 6 questions of which: these are essay-type questions which need to be answered using the methods (mathematical as well as graphical) and the formulas developed in lectures. Students only need to choose 3 out of 6 questions.2: Multiple Choice Questions - Knowledge weighted 30%
One Midterm Online Test with Multiple Choice QuestionsMidterm Test: administered on-line through KLE, comprising of 25 questions (each worth 4 points) covering material taught during weeks 1-6.