Student guide Faculty of Engineering A.Y. 2007/08

Economic Institutions
Aim of the course
The course introduces students to the microeconomic analysis of the behaviour of the actors that interact in markets, in addition to presenting the analysis methods of political economy. An introductory overview of macroeconomics is followed by an examination of the microeconomic aspects relating to the behaviour of consumers and business firms, and the workings of markets. The course consists of lectures alternated with tutorial sessions.
Part 1 - Introduction to the economic system
- the economic system
- the macroeconomic variables
- national accounts
- economic growth

Part 2 - Supply and demand
- supply and its determinants
- demand and its determinants
- market equilibrium
- elasticity

Part 3 – Business firms
- production
- costs
- economies of scale
- maximising profits

Part 4 – The market structure
- perfect competition
- monopoly and price discrimination
- theory of games
- oligopoly
There will be a written examination.

Reading list
Reference textbooks (additional reading materials will be set at the start of the course):

Frank R.H., Microeconomia, McGraw-Hill, Milano, 2003, terza edizione italiana.
Varian H.R. , Microeconomia, Cafoscarina, Venezia, 1998, quarta edizione italiana.
Garavaglia C., Microeconomia: Domande, esercizi svolti e schede guida, 2004, (available on line in PDF format on the course website).