EVSNAAMI Advanced Microeconomics

School of Business Administration in Karvina
Winter 2022
Extent and Intensity
2/2/0. 7 credit(s). Type of Completion: zk (examination).
Teacher(s)
prof. Mgr. Ing. Michal Tvrdoň, Ph.D. (lecturer)
Guaranteed by
prof. Mgr. Ing. Michal Tvrdoň, Ph.D.
Departament of Economics and Public Administration – School of Business Administration in Karvina
Contact Person: Dr. Ing. Ingrid Majerová
Course Enrolment Limitations
The course is only offered to the students of the study fields the course is directly associated with.
Syllabus
  • 1. Introduction to microeconomic theory
    The basic principles of economics, role of models in economics, economics division, methods and tools of economic analysis. The essence of market, exchange and prices and their role in the economy. Types of markets and their actors. Elements of markets - supply, demand, price, and different types of competition. Analysis of market mechanism.
    2. Theory of rational choice, consumer demand theory
    Theory and preferences based on the theory of consumer demand. Budgetary limitations, the consumer's preference, cardinal and ordinal view on the benefits measuring method, problems of optimal consumer choice. Derivation of individual demand curves and elasticity of demand.
    3. The choice of technology and production, costs, revenues and profit
    Theory of the firm and the choice of manufacturing process. Technological limitations of the firm, short and long term production function, cost optimum of the firm. The correlation between the returns of scale and cost functions. Revenues on the perfectly and imperfectly competitive market. The costs in the short and long run. Economic profit. General equilibrium analysis.
    4. Firm behavior in perfectly competitive markets
    Characteristics of a perfectly competitive market, the choice of optimal production scale, short-term end of production and the permanent withdrawal of the firm from a perfectly competitive market. Supply curve perfectly competitive firm and market supply curve in the short and long run.
    5. Firm behavior in imperfect market
    Forms of imperfect competition: monopoly, oligopoly and monopolistic competition. The effects of various forms of imperfect competition on market supply and demand. Efficiency of the market.
    6. Microeconomics aspects of labor and capital market
    Demand for labor force. Individual and market labor supply. Marginal revenue of product, marginal cost of product. The labor market in conditions of perfect and imperfect competition. Monopsony. Capital, capital goods and their forms, capital market. Present and future value, net present value of future revenues and income on capital.
    7. Externalities, public goods and imperfect information
    Causes of limited market efficiency. Public goods, positive and negative externalities, information asymmetry in the market. The issue of monopoly power. The role of the state in the market economy activities leading to the elimination of the negative impacts of market failures.
Language of instruction
English
The course is also listed under the following terms Winter 2023, Winter 2024.
  • Enrolment Statistics (Winter 2022, recent)
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