SAM2 Microeconomics

• Topics

  The course consists of the following parts: (i) theory of consumer behavior, (ii) theory of producer behavior, and (iii) market theory. In part (i) the basic concepts in consumer theory are introduced and used to study the demand for goods and services. In part (ii) we look at the firm's demand for inputs and supply of output, using theories of cost minimisation and profit maximisation. Part (iii) analyses different kinds of markets: perfect competition, monopoly, oligopoly, and game theory.

• Learning outcome

  The course gives an introduction to modern microeconomic theory of consumer and firm behavior and the functioning of markets under perfect competition, monopoly, and oligopoly.

  Upon completion of the course, the student can:

  Knowledge:

  • Explain the key models in consumer, producer, and market theory.
  • Explain market failures and the foundations for economic policy, for instance to ensure a sustainable environment.

  Skills:

  • Use microeconomic theory to analyse relevant problems.
  • Evaluate different types of economic policy to ensure economic efficiency and sustainability.

  General competence:

  • Communicate microeconomic analysis in a clear way, both in writing and orally.

• Teaching

  The course consists of plenary lectures and group teaching.

• Recommended prerequisites

  It's recommended that the students have acquired knowledge equivalent to SAM1.

• Compulsory Activity

  i. Oral presentation of case assignment in groups.

  ii. At least 25 correct answers on the multiple choice questions during the semester. There will be 5 rounds of multiple choice, each round consisting of 10 questions with four options.

• Assessment

  3-hour written pen and paper school exam (100%).

  It is not possible to take the exam in SAM2 the same semester as the student is taking SAM4, or after the student has passed SAM4.

• Grading Scale

  A-F

• Permitted Support Material

  Calculator

  One bilingual dictionary (Category I)

  All in accordance with Supplementary provisions to the Regulations for Full-time Study Programmes at the Norwegian School of Economics Ch.4 Permitted support materialhttps://www.nhh.no/en/for-students/regulations/https://www.nhh.no/en/for-students/regulations/and https://www.nhh.no/en/for-students/examinations/examination-support-materials/https://www.nhh.no/en/for-students/examinations/examination-support-materials/