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Price and Allocation Theory
(also offered Fall 2019)
A study of the determination of relative prices and their importance in shaping the allocation of resources and the distribution of income. Subjects include: behavior of households in a variety of settings, such as buying goods and services, saving, and labor supply; behavior of firms in various kinds of markets; results of competitive and noncompetitive markets in goods, labor, land, and capital; market failure; government policies as sources of and responses to market failure; welfare criteria; limitations of mainstream analysis.
Grading: yes pass/fail option,
yes fifth course option
weekly problem sets, one or more quizzes, one or two midterms, one or two short essays, and a final exam
ECON 110 and MATH 130 or its equivalent