Course detail
Mathematical Economics
FP-EmePAcad. year: 2018/2019
a) The principles of mathematical modelling in economics. economic models, endogenous and exogenous variables, ceteris paribus conditions, comparative statics
b) Interpretations of basic tools of calculus of functions in economics, marginal economic quantities
c) Demand and supply, equilibrium problems, comparative statics tasks, consumer´s and producer´s surplus
d) Revenue, cost and profit, break-even points, optimization principles, construction of supply
e) Elasticity of demand and supply, decision making using elasticity
f) Production, factors of production, one- and two-factor models of production, isoquants, Cobb-Douglas functions, marginal rate of labour and capital, marginal rate of technical substitution
g) Utility, ordinal model, utility function, utility curves, marginal utility, marginal rate of commodity substitution
h) National income, simplified macroeconomic model, consumption and saving, marginal propensity to consume and to save, I-G, I-G-T and IS-LM models of national economy
Language of instruction
Number of ECTS credits
Mode of study
Guarantor
Department
Learning outcomes of the course unit
Prerequisites
Co-requisites
Planned learning activities and teaching methods
Assesment methods and criteria linked to learning outcomes
Course curriculum
b) Interpretations of basic tools of calculus of functions in economics, marginal economic quantities
c) Demand and supply, equilibrium problems, comparative statics tasks, consumer´s and producer´s surplus
d) Revenue, cost and profit, break-even points, optimization principles, construction of supply
e) Elasticity of demand and supply, decision making using elasticity
f) Production, factors of production, one- and two-factor models of production, isoquants, Cobb-Douglas functions, marginal rate of labour and capital, marginal rate of technical substitution
g) Utility, ordinal model, utility function, utility curves, marginal utility, marginal rate of commodity substitution
h) National income, simplified macroeconomic model, consumption and saving, marginal propensity to consume and to save, I-G, I-G-T and IS-LM models of national economy
Work placements
Aims
To set up the symbiosis between engineering mathematics and economics
To develop competencies and skills to model economic relationships taking into account aspect of simplifications and the normal economic conditions
To deepen understanding of the causality of economic relationships
To equip the students with the ability to solve economic tasks set by concrete data
To provide students with the theoretical means that are necessary to perform qualified decision-making
Specification of controlled education, way of implementation and compensation for absences
Recommended optional programme components
Prerequisites and corequisites
Basic literature
Dilwyn, E., Hamson, M. (1989), Guide to Mathematical Modelling, MacMillan Press Ltd., London (EN)
Henderson, R. H., Quandt, R. E. (1980), Microeconomic Theory: A Mathematical Approach, McGraw-Hill, New York (EN)
Chiang, A. C. (1984), Fundamental Methods of Mathematical Economics, McGraw-Hill, New York (EN)
Jacques, I. (1995), Mathematics for Economics and Business, Addison-Wesley, New York (EN)
Koch, J. U., Ostrosky, L. A. (1979), Introduction to Mathematical Economics, Houghton Mifflin Comp., Boston (EN)
Mezník, I. (to appear 2016), Introduction to Mathematical Economics for Economists (EN)
Nicholson, W., (2000). Intermediate Microeconomics and its Applications, The Dryden Press, Orlando (EN)
Wisniewski, M. (1991), Introductory Mathematical Methods in Economics, McGraw-Hill, London (EN)
Recommended reading
Classification of course in study plans