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Regular version of the site
Bachelor 2023/2024

Microeconomics III

Category 'Best Course for Broadening Horizons and Diversity of Knowledge and Skills'
Category 'Best Course for New Knowledge and Skills'
Area of studies: Economics
When: 2 year, 4 module
Mode of studies: offline
Open to: students of all HSE University campuses
Instructors: Olga Rospuskova, Sofia Rubtsova, Alex Suzdaltsev, Серебренников Иван Андреевич, Слепов Фёдор Антонович, Серебренников Иван Андреевич, Ефимов Константин Дмитриевич, Слепов Фёдор Антонович
Language: English
ECTS credits: 4
Contact hours: 54

Course Syllabus

Abstract

This work program of the discipline establishes the minimum requirements for the knowledge and skills of the student, and also determines the content and types of training sessions and reporting. The program is intended for teachers who lead this discipline, teaching assistants and students of the direction of training economists studying the discipline "Microeconomics - 3 (finance and contracts)". The study of this discipline is based on the following disciplines: "Optimization", "Microeconomics-1", "Microeconomics-2", "Game Theory", "Probability Theory". The main provisions of the discipline should be used in future when studying the following disciplines: "Corporate Finance", "Theory of Finance-2", "Financial Markets", "Corporate Governance", "Theory of Industry Markets", "Public Sector Economics", "Labor Economics" ".
Learning Objectives

Learning Objectives

  • The first goal is to develop students' skills in theoretical analysis and modeling of the behavior of economic agents, including behavior in conditions of externalities, uncertainty and risk, investment, contractual relations, markets with hidden information (learning is achieved by solving problems and analyzing stylized decision-making situations, trading ).
  • The second goal for students is to gain knowledge about the micro-foundations of the functioning of financial markets, markets with imperfections, contractual relations. Namely, the following situations are considered: (1) externalities and public goods in markets, (2) intertemporal exchange, i.e., lending, (3) risk exchange - insurance and investment, (4) information trading, (5) open information contracts, (6) hidden information contracts (including hiring, incentives, new discrimination, hidden quality markets).
Expected Learning Outcomes

Expected Learning Outcomes

  • Culture of thinking, capability of generalization, analysis, perception of information, setting a goal and choosing ways to achieve it
  • Professional competencies in the field of analytical activities
  • Professional competencies in the field of research activities
Course Contents

Course Contents

  • 1. Externalities and public goods
  • 2. Intertemporal Choice and Choice Under Uncertainty
  • 3. Contracts with Open Information
  • 4. Contracts with Hidden Action (1)
  • 5. Contracts with Hidden Action (2)
  • 6. Contracts with Hidden Type - Screening 1 (labor contracts)
  • 7. Contracts with Hidden Type - Screening 2 (selling contracts)
  • 8. Oligopolistic screening - the Rothschild-Stiglitz model
  • 9. Akerloff's model for goods with latent quality (Adverse Selection)
Assessment Elements

Assessment Elements

  • non-blocking Final exam
  • non-blocking In-class participation
  • non-blocking Homework assignments
  • non-blocking Interim written assignment
Interim Assessment

Interim Assessment

  • 2023/2024 4th module
    0.4 * Final exam + 0.2 * Homework assignments + 0.2 * In-class participation + 0.2 * Interim written assignment
Bibliography

Bibliography

Recommended Core Bibliography

  • Bolton, P. (DE-588)128734906, (DE-576)170475301. (2005). Contract theory / Patrick Bolton and Mathias Dewatripont. Cambridge, Mass. [u.a.]: MIT Press. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edswao&AN=edswao.114696918
  • Intermediate microeconomics : a modern approach, Varian, H. R., 2006
  • Salanié, B. (2005). The Economics of Contracts : A Primer, 2nd Edition (Vol. 2nd ed). Cambridge, Mass: The MIT Press. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsebk&AN=138482
  • The theory of corporate finance, Tirole, J., 2006
  • The theory of industrial organization, Tirole, J., 1988
  • Микроэкономика : третий уровень, учебник : в 2 т., Т. 1, отв. ред. Г. М. Мкртчан, 525 с., Бусыгин, В. П., Желободько, Е. В., Цыплаков, А. А., 2008
  • Основы теории контрактов: модели и задачи : Учебное пособие, Юдкевич, М.М., 2002

Recommended Additional Bibliography

  • 9780262200714 - Tirole, Jean - The Theory of Industrial Organization - 1988 - MIT Press - https://search.ebscohost.com/login.aspx?direct=true&db=nlebk&AN=11386 - nlebk - 11386
  • Jean Tirole. (2006). The Theory of Corporate Finance. Post-Print. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.p.hal.journl.hal.00173191
  • Микроэкономика : третий уровень, учебник : в 2 т., Т. 2, отв. ред. Г. М. Мкртчан, 683 с., Бусыгин, В. П., Желободько, Е. В., Цыплаков, А. А., 2008
  • Рынки и рыночная власть. Теория организации промышленности : пер. с англ., Тироль Ж., Гальперин В.М., 1996

Authors

  • BRODSKAYA NATALYA NIKOLAEVNA
  • SUZDALTSEV Aleksei IGOREVICH