Econ 204A Advanced Microeconomic Theory at UC Santa Cruz

Economic theory of individual and market behavior, including constrained optimization, duality, theory of the consumer, theory of the producer, dynamic optimization, behavior under uncertainty, intertemporal choice, asymmetric information, game theory, partial and general equilibrium, pure and applied welfare economics, public goods and externalities. Illustrative examples emphasize international applications. Courses must be taken in sequence.
        Phillip McCalman
        J Baskin Engr 165
        Tues & Thurs  4:00PM - 5:45PM
starts Sept 24 through Dec 4th 2009

        Class Syllabus 

 Office Hours 
 - Wednesday 11:30-12:30 & 1:30-2:30

 Problem Sets  - Four In All

  2009 Problem Sets

    Problem Set 1

    Problem Set 2

    Problem Set 3

    Problem Set 4

    2008 Problem Set 

Problem Set 1 Solutions 2008 2MB PDF
Problem Set 2 Solutions 2008 3.1MB PDF
Problem Set 4 Solutions 2008 1.4MB PDF

 Lecture Outline  

Textbook reading are assigned below. Suggested to do all problems at the end of each chapter. 

Part 1. Technology, Cost, Profit & Supply 
    Varian 1-6
    MWG 5
Profit function, what is required? continuity, HD1, (as compared to HD0), concavity, the power of the Hessian matrix. 
Production function, costs and prices. 
Given your profit function, comparative statics. Increasing, decreasing and constant returns to scale. 
Euler's Theorem. Combining First Order Conditins with Eurler's, interesting properties of marginal products.

Part 2. Preferences, Consumption & Demand
    Varian 7-10
    MWG 1-4

Part 3. Competitive Equilibrium 
    Varian 13
    MWG 10

Part 4. Choice Under Uncertainty 
    Varian 11
    MWG 6

Full Lecture Notes
Part 1 - 5.2MB 15pages PDF
Part 2 - 6MB 16pages PDF
Parts 3 & 4 - 4MB 10pages PDF
Thank you Sean !

 Mid-Term Examination 

Previous Mid-Term
2008 5.5MB PDF (shows grading)

Dec 8th 7:30-10:30pm

Previous Finals
2008 6MB PDF (includes grading)

Various Sample Final & Mid-terms 3.2MB PDF

    Errors & Suggestions? - Just Let Me Know


Hal Varian, 1992

  Mas-Colell, Whinston & Green 
  denoted MWG, 1995

If You're an Economist, You Should Buy the Book:  

 Further Readings 

Concavity, Convexity, Quasi-concavity and Quasi-convexity [PDF] everything you wanted to know (by unknown)