ADVANCED MICROECONOMICS - 2020/1
Module code: ECOM048
Perhaps the most significant development in microeconomics in the last forty years has been the attempt to deal with market failures caused by asymmetric information and strategic behaviour. The importance of these developments is apparent from the Nobel prizes that have been awarded to game theorists and information economists. This module is designed to cover the central topics related to markets and interactions with asymmetric information.
Studying this module will help you to apply and extend your knowledge of microeconomic theory. You will learn about the effects of asymmetric information and strategic behaviour on the outcomes of market interactions.
CARMONA Guilherme (Economics)
Number of Credits: 15
ECTS Credits: 7.5
Framework: FHEQ Level 7
JACs code: L120
Module cap (Maximum number of students): N/A
Prerequisites / Co-requisites
Indicative content includes:
- Game theory
- Adverse Selection
- Principal-Agent Problem
|Assessment type||Unit of assessment||Weighting|
|School-timetabled exam/test||IN-SEMESTER TEST - 1 HOUR||25|
|Examination||EXAMINATION - 2 HOUR||75|
The assessment strategy is designed to provide students with the opportunity to demonstrate their understanding of individual decision making in strategic environments with incomplete information and of assessing market outcomes.
Thus, the summative assessment for this module consists of:
An in-semester test unit typically scheduled in week 7 will examine analytical tools and understanding of the material covered in the first part of the module.This benefits students by consolidating their knowledge and allowing them to plan how to deal with the demands of the final examination
Final examination of two hours consisting of two or three questions that will examine analytical tools and skills obtained during the module. Scheduled in weeks 13-15.
Formative assessment and feedback
Students will receive verbal feedback during the lectures through direct interaction.
Before each coursework test, students will be given a list of sample questions, similar, in their complexity, to the questions at the test itself, and will be encouraged to ask questions. After the class test, each student will receive their own script back with comments and a written indicative marking scheme so that they can judge their own performance and prepare for the final exam.
- To familiarise students with advanced conceptual and appropriate mathematical tools in microeconomic theory.
|001||Systematic understanding of and the ability to critically analyse games of incomplete information||KC|
|002||Systematic understanding of and the ability to critically analyse market failures due to asymmetric information (adverse selection) and potential and partial remedies (signalling and screening)||KC|
|003||Systematic understanding of and the ability to critically analyse the basis of contract theory and the inefficiencies which are generated by unobservable actions and unobservable information||KC|
|004||Systematic understanding of and the ability to critically analyse potential failures in public good markets and markets with externalities||KCPT|
C - Cognitive/analytical
K - Subject knowledge
T - Transferable skills
P - Professional/Practical skills
Overall student workload
Independent Study Hours: 128
Lecture Hours: 22
Methods of Teaching / Learning
The learning and teaching strategy is designed to: enhance skills in formal analysis of strategic decision making in markets with incomplete information. Moreover, a basis is laid for the effective evaluation of markets outcomes.
The learning and teaching methods include:
- 2 hour lecture per week x 11 weeks
Indicated Lecture Hours (which may also include seminars, tutorials, workshops and other contact time) are approximate and may include in-class tests where one or more of these are an assessment on the module. In-class tests are scheduled/organised separately to taught content and will be published on to student personal timetables, where they apply to taken modules, as soon as they are finalised by central administration. This will usually be after the initial publication of the teaching timetable for the relevant semester.
Reading list for ADVANCED MICROECONOMICS : http://aspire.surrey.ac.uk/modules/ecom048
Please note that the information detailed within this record is accurate at the time of publishing and may be subject to change. This record contains information for the most up to date version of the programme / module for the 2020/1 academic year.