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Mathematical Economics (ECON30020)
Undergraduate level 3Points: 12.5On Campus (Parkville)
About this subject
- Overview
- Eligibility and requirements
- Assessment
- Dates and times
- Further information
- Timetable(opens in new window)
Contact information
Semester 1
Overview
Availability | Semester 1 |
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Fees | Look up fees |
Set theory, univariate calculus and optimisation are reviewed and applied to the theory of the firm and the theory of consumer demand. Linear algebra concepts including matrix operations, vector spaces and quadratic forms are introduced and applied to problems in economics and econometrics. Applications of multivariate calculus including constrained optimisation, the envelope theorem and Kuhn-Tucker conditions are covered.
Intended learning outcomes
- Recognise and set up standard economic problems (the consumption decision, the production decision, cost minimization, simple multi-period decision making) as optimization problems
- Solve specific optimization problems such as those involving utility and profit maximization and cost minimization
- Solve market equilibrium problems
- Explain the geometry of constrained optimization, the geometry of Lagrange multipliers;
- Explain the difference between necessary and sufficient conditions, and their application at both interior and corner points;
- Solve matrix algebra problems including those involving quadratic forms and eigenvalues and vectors, and explain the connection between positive definite forms and convexity;
- Solve problems in multivariate calculus, including the calculation of gradients and tangents, and differentiating a function along a curve;
- Set up and solve Khun Tucker problems;
- Explain and interpret Lagrange multipliers as shadow prices;
- Solve problems involving simple comparative statics, both for optimization and equilibrium problems, using the univariate implicit function theorem, single crossing conditions and envelope methods.
Generic skills
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High level of development: problem solving; interpretation and analysis; critical thinking.
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Moderate level of development: oral communication; written communication; collaborative learning; team work; statistical reasoning; application of theory to practice; receptiveness to alternative ideas.
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Some level of development: synthesis of data and other information; evaluation of data and other information; use of computer software; accessing data and other information from a range of sources.
Last updated: 11 April 2024
Eligibility and requirements
Prerequisites
One of the following:
Code | Name | Teaching period | Credit Points |
---|---|---|---|
ECON20002 | Intermediate Microeconomics |
Semester 1 (On Campus - Parkville)
Summer Term (On Campus - Parkville)
|
12.5 |
ECON20001 | Intermediate Macroeconomics | Semester 2 (On Campus - Parkville) |
12.5 |
Corequisites
None
Non-allowed subjects
Students who have completed
Code | Name | Teaching period | Credit Points |
---|---|---|---|
ECON40001 | Advanced Microeconomics | Semester 1 (On Campus - Parkville) |
12.5 |
Recommended background knowledge
Please refer to Prerequisites and Corequisites.
Inherent requirements (core participation requirements)
The University of Melbourne is committed to providing students with reasonable adjustments to assessment and participation under the Disability Standards for Education (2005), and the Assessment and Results Policy (MPF1326). Students are expected to meet the core participation requirements for their course. These can be viewed under Entry and Participation Requirements for the course outlines in the Handbook.
Further details on how to seek academic adjustments can be found on the Student Equity and Disability Support website: http://services.unimelb.edu.au/student-equity/home
Last updated: 11 April 2024
Assessment
Additional details
- One 2-hour end-of-semester exam (60%)
- Problem sets not exceeding 4000 words (40%)
- To pass this subject students must pass the end of semester examination.
Last updated: 11 April 2024
Dates & times
- Semester 1
Principal coordinator Svetlana Danilkina Mode of delivery On Campus (Parkville) Contact hours Two hours of lectures and a 1-hour tutorial per week Total time commitment 170 hours Teaching period 4 March 2019 to 2 June 2019 Last self-enrol date 15 March 2019 Census date 31 March 2019 Last date to withdraw without fail 10 May 2019 Assessment period ends 28 June 2019 Semester 1 contact information
Time commitment details
170 Hours
Last updated: 11 April 2024
Further information
- Texts
Prescribed texts
Mathematics for Economics, (2nd edn)(M Hoy, J Livernois, C McKenna, R Rees and T Stengos 2001), MIT Press, 2001, ISBN 0262082942 (hard cover) 0262582074 (paperback)
- Related Handbook entries
This subject contributes to the following:
Type Name Course Master of Applied Econometrics Major Economics - Breadth options
This subject is available as breadth in the following courses:
- Available through the Community Access Program
About the Community Access Program (CAP)
This subject is available through the Community Access Program (also called Single Subject Studies) which allows you to enrol in single subjects offered by the University of Melbourne, without the commitment required to complete a whole degree.
Entry requirements including prerequisites may apply. Please refer to the CAP applications page for further information.
- Available to Study Abroad and/or Study Exchange Students
This subject is available to students studying at the University from eligible overseas institutions on exchange and study abroad. Students are required to satisfy any listed requirements, such as pre- and co-requisites, for enrolment in the subject.
Last updated: 11 April 2024