Course detail

Mathematic of Economics

FP-ImePAcad. year: 2012/2013

The subject deals with the modelling of economic processes (micro and macro) by means of exact means of current engineering mathematics to set up conditions for subsequent computerizing. The contents includes : demand and supply analysis; revenue, cost and profit analysis; elasticity of demand and supply;production;utility; accounting of national income.

Language of instruction

Czech

Number of ECTS credits

5

Mode of study

Not applicable.

Learning outcomes of the course unit

Acquired knowledge and practical skills will be applied to modelling dependencies of factors relating to economic phenomena, explaining their relations and solving problems of microeconomic and macroeconomic environment by with simple mathematical methods.

Prerequisites

Standard courses of engineering mathematics, microeconomics and macroeconomics on bachelor level.

Co-requisites

Not applicable.

Planned learning activities and teaching methods

Teaching methods depend on the type of course unit as specified in the article 7 of BUT Rules for Studies and Examinations.

Assesment methods and criteria linked to learning outcomes

Conditions for awarding course-unit credits:
- active participation in the seminars where the attendance is compulsory,
- completion of a written test in the course of semestr marked at least with
“E”.
Awarding of course-unit is a necessary condition to be admitted to the exam.
The exam has a written and an oral part with the written part being more important. The written part takes two hours and contains the following types of tasks with maximum points awarded in brackets:

1. To make decision on the type of the given economic function(10 points).
2. To define and give the interpretation of the given economic quantity (20 points).
3. Solution to a give task (30 points).
4. Solution to a given task (40 points).

It is recommended the use of own standard calculator in the exam. In calculations also intuitive estimation of values are accepted.
Assessment of the written part:
The assessment of the written part is based on the sum of points acquired from tasks 1.-4. together with fulfilling the following conditions (a). (b) to get marks A-E:
(a) To get at least 11 points in the sum of points from tasks 1 and 2
(b) To get at least 10 points from task 3 and simultaneously 10 points from task 4.
If any task is marked "0" then the student can not obtain grades A,B,C. If the student does not achieve at least 50 points out of 100 or if any other condition is not satisfied, the written part of the exam and the whole exam will be graded as “F” (failed) and the student cannot proceed to the oral part. Grading of the written part is as follows: “A” is awarded for 90–100 points, “B” for 80-89 points, “C” for 70-79 points, “D” for 60-69 points, “E” for 50-59 points.

The written exam is followed by an oral exam which does not take more than 10 minutes. Its main objective is to make the classification more accurate. In the oral exam, the student informed about the results achieved in the individual tasks of the written exam. Possible discrepancies in the written part can be solved in the oral exam. If appropriate, additional questions can be placed, and the student is given time to prepare.

Course curriculum

1. Basic principles of economic analysis and modeling
2. Demand and supply
3. Revenue, cost, profit
4. Elasticity
5. Production
6. Utility
7. National income

Work placements

Not applicable.

Aims

The aim of the course is to deal in more detail with the causal substance of economic relations, and to develop abilities and skills necessary to express economic relations by exact means and consequently carry out their analyses.

Specification of controlled education, way of implementation and compensation for absences

Attendance at lectures is not controlled. Attendance at exercises (seminars) is compulsory and is regularly checked. A student is obliged to give reasons for his/her absence. If the teacher accepts the reason for the absence (which is completely under his/her competence), he/she will decide about the form of the compensation for the missed lessons.

Recommended optional programme components

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

J. Jacques, Mathematics for Economics and Business, Addison-Wesley, New York, 1995 (EN)
A.C. Chiang, Fundamental Methods of Mathematical Economics, McGraw-Hill Inc., New York, 1984 (EN)
C.J. McKenna and R. Rees, Economics: A Mathematical Introduction, Oxford University Press Inc., New York, 1992 (EN)
J.U. Koch and L.A. Ostrosky, Introduction to Mathematical Economics, McGraw-Hill Inc., Singapore, 1994 (EN)
I. Mezník, Úvod do matematické ekonomie pro ekonomy,FP VUT v Akademickém nakladatelství CERM,s.r.o., Brno 2011 (CS)

Recommended literature

Not applicable.

Classification of course in study plans

  • Programme MGR-SI Master's

    branch MGR-IM , 1 year of study, summer semester, compulsory

Type of course unit

 

Lecture

26 hod., optionally

Teacher / Lecturer

Exercise

26 hod., compulsory

Teacher / Lecturer