Unit 1.
Fundamentals of Microeconomics & Applications
Marginal analysis
Graphs and math
Time value of money
Unit 2.
Market Price Analysis
Market demand & consumer surplus
Market supply & producer surplus
Equilibrium & policy analyses
Unit 3. The Theory of Individual
Economic Behavior
Budget Constraints
Market rate of
substitution (inverse P ratio)
Income changes
Price changes
Utility
Indifference curves
Preference properties
Types of goods
Marginal rate of
substitution (inverse MU ratio)
Utility Maximization
Types of goods
Income changes
Price changes (income
& substitution effects)
Individual and market
demand
Labor/leisure, inter
temporal, & other applications
Unit 4. Quantitative
Demand Analysis (as functions of output level)
Firm demand curves and alternative
market structures
TR, AR, MR (Revenue Concepts)
TR maximization
Elasticity of demand
Unit 5. Production of Output,
Revenues, Costs, & Profits as Functions of Input Level
Short Run Production Concepts
TP, AP, MP
Stages
of production
Diminishing returns
Revenue and Cost Concepts (as functions of input
level), Factor Markets
TRP, ARP, MRP
TC, MFC
Profit-maximizing level
of input use
Derived input demand
Input price
determination and LR equilibrium, and procurement
Unit 6. Analyses
of SR Costs and Profits as Functions of Output Level
SR Costs (as functions of output level)
Cost categories
Total, average, marginal
TVC, TFC, TC, AVC, AFC,
ATC, MC
Cost/production
relationships (TP & TVC, AP & AVC, MP &
MC)
Calculation of SR TC
equation from production information
Profit Analysis (as function of output level)
Diagrams of profit
Breakeven analysis
SR shut down
SR firm & market
supply
Profit maximization (P
taker vs P setter)
LR competitive market
output equilibrium
Unit 7. Analyses
of LR Production and Costs as Functions of Output Level
Long Run Production Concepts
Isoquants
Marginal rate of
technical substitution (MRTS)
SR TP in isoquant diagram
Returns to scale
LR Costs (as functions of output level)
Isocost
line
LR cost minimization
Expansion path
Relationship to SR costs
Multi-plant production
decisions
Unit 8. Additional Pricing & Marketing Strategies (P-setting firms w/
market power)
Price discrimination
Mark-up pricing
Pricing to maximize
market share
Two part pricing
Block pricing
Bundle pricing
Economic incentives for
workers
Price matching
Random pricing
Alternative market
structures
Game theory
Limit pricing
Predatory pricing
Penetration pricing