Microeconomics 2: Uncertainty and General Equilibrium


Basic Information

  • Organizer: University of Helsinki
  • Location: Helsinki, Arkadiankatu 7, Economicum building
  • Time schedule
  • The course includes 18 hours of lectures and 6 hours of exercises

Teaching Staff

  • Instructor: Professor Klaus Kultti (University of Helsinki)
  • Teaching assistant: Michele Crescenzi (University of Helsinki)

Course Syllabus

  • Objectives:
    • The first part of the course studies decision making under uncertainty focusing on the approach of von Neumann and Morgenstern. The theory is applied to questions of risk and related topics. Other approaches to decision making under uncertainty are also mentioned.
    • In the second part we study the basics of general equilibrium theory (GET); modelling, existence of equilibrium, welfare theorems. The relationship between the equilibrium and the core is high-lighted via the core convergence theorem. Finally, we study how GET can handle uncertainty.

Course Material

  • TBA