Course Details
Country:
Netherlands
Institution:
Free University of Amsterdam
Course Title:
Microeconomics II
Course Number:
Course Description:
This is a course in Microeconomics at the intermediate level. The course addresses the general (competitive) equilibrium. This includes a discussion of the concept of Pareto efficiency and the conditions under which efficiency can be reached. In this context social welfare is considered. The concept of Pareto efficiency is being compared to the concept of "fair" allocation. Externalities and public goods are reasons for missing markets and may cause Pareto efficiency to be violated. Monopoly is a market structure that leads to absence of Pareto efficiency in the equilibrium. Causes of monopoly, such as the natural monopoly, are considered. Monopolists can use their power to conduct specific pricing strategies such as price discrimination. A market structure in between competition and monopoly is monopolistic competition. Firms in such markets have market power, but free entry drives profits to zero in the long run.
Language:
English
Approved Equivalent:
ECON 306
Attachment Files:
Studyguide_14.pdf
