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Microeconomics II

Microeconomics II

Code	16472
Year	1
Semester	S2
ECTS Credits	6
Workload	TP(60H)
Scientific area	Economics
Entry requirements	No.
Mode of delivery	Attendance
Work placements	not applicable
Learning outcomes	The objectives of the Curricular Unit are: - Provide students with a solid foundation of microeconomic theory; - Analyze the functioning of different markets; - Know how to explain and identify the behavior of companies according to the market structure in which they operate; - Understand how markets are organized, their purpose and operating conditions; - Assess the effects of government intervention on markets; - Understand how to balance various economic agents. At the end of this course the student should be able to: - Understand the functioning of markets in different structures; - Compare and evaluate alternative theories, methods and models that optimize business profit and consumer utility; - Apply techniques for measuring and evaluating the economic performance of markets and the effects of government intervention; - Develop the capacity for analysis of various microeconomic models.
Syllabus	1 Perfect Competition 1.1 Equilibrium of the firm and of the industry in the short-run 1.2 Equilibrium of the firm and of the industry in the long-run 1.3 Perfect competition, welfare and economic efficiency 2 Monopoly 2.1 Profit maximization and market power 2.2 Social costs of monopoly 2.3 Price discrimination 3 Oligopoly 3.1 Non-cooperative models: Cournot; Stackelberg; Bertrand; kinked demand; dominant firm 3.2 Cooperative models: collusion; instability in cooperation 4 Analysis of competitive markets 4.1. Evaluation of gains and losses of government policies: surplus and efficiency 4.2 Price and quantity control 5 Labour market 5.1 Labour demand, labour supply and equilibrium 5.2 Labour demand and profit maximization 5.3 Labour supply and choice between labour and leisure 5.4 Investments in human capital: education/training 6 General equilibrium 6.1 Edgeworth box 6.2 Algebra of optimal consumption affections 6.3 Relative prices 6.4. Special cases
Main Bibliography	Varian, H. R., Marc Melitz (2024) Intermediate Microeconomics: A Modern Approach (10th ed.). New York: W. W. Norton & Company. ISBN: 9781324034292 Pindyck, R. e Rubinfeld, D. (2018), Microeconomics, 9th edition, Pearson Education. Besanko. D. e Braeutigam R. (2011), Microeconomics, 5th Edition, Willey. Espinola-Arredondo, A., Muñox-Garcia, F., (2020), Intermediate Microeconomic Theory - Tools and Step-by-Step Examples, MIT Press, ISBN: 9780262044233 Marques, A. C., Macedo, D., Pereira, D., Leal, P., Neves, S. (2018). ECONOMIA INDUSTRIAL: Teoria e Prática. EDIÇÕES ALMEDINA, S.A., (386 pp) Coimbra. ISBN: 978-972-40-7483-2.
Language	Portuguese. Tutorial support is available in English.