Principles of Microeconomics : An Integrative Approach

• Record Nr.: UNINA9910510552303321
• Autore: Kolmar Martin
• Pubbl/distr/stampa: Cham : , : Springer International Publishing AG, , 2021; ©2022
• ISBN: 9783030781675
• Edizione: [2nd ed.]
• Descrizione fisica: 1 online resource (500 pages)
• Collana: Classroom Companion: Economics Ser.
• Classificazione: QC 100; 83.11
• Disciplina: 338.5
• Soggetti: Mikroökonomie; Microeconomics; Lehrbuch; Electronic books
• Lingua di pubblicazione: Inglese
• Formato: Materiale a stampa
• Livello bibliografico: Monografia
• Nota di contenuto: Part I Introduction -- 1 First Principles -- 1.1 What Is Economics About? -- 1.2 Some Methodological Remarks -- 1.2.1 True and Reasonable Theories -- 1.2.2 Theories and Models -- 1.2.3 The Virtue of Thriftiness -- 1.2.4 Do Assumptions Matter? -- 1.2.5 An Example -- 1.2.6 Critical Rationalism -- 1.2.7 Positive and Normative Theories -- 1.2.8 Schools of Economic Thought -- References -- Further Reading -- 2 Gains from Trade -- 2.1 Introduction -- 2.2 An Example -- 2.3 How General Is the Theory of Comparative Advantage? -- 2.4 Comparative Advantage and the Organization of Economic Activity -- References -- Further Reading -- Part II A Primer in Markets and Institutions -- 3 Introduction -- 3.1 General Remarks -- 3.2 Taxonomy of Markets -- References -- Further Reading -- 4 Supply and Demand Under Perfect Competition -- 4.1 Introduction -- 4.2 Determinants of Supply and Demand -- 4.3 Equilibrium -- 4.4 Equilibrium Analysis -- References -- Further Reading -- 5 Normative Economics -- 5.1 Introduction -- 5.2 Normative Properties of Competitive Markets -- 5.3 Willingness to Pay and Preferences -- References -- Further Reading -- 6 Externalities and the Limits of Markets -- 6.1 Introduction -- 6.2 Transaction Costs -- 6.2.1 An Example -- 6.2.2 Analysis of ; Externalities on Markets -- 6.2.3 The Bigger Picture -- 6.2.3.1 Externalities in Traffic -- 6.2.3.2 Environmental Externalities -- 6.2.3.3 Morality and Corporate Social Responsibility -- 6.2.3.4 Status -- 6.3 Four Boundary Cases -- References -- Further Reading -- Part III Foundations of Behavior and Interaction -- 7 Decisions and Consumer Behavior -- 7.1 Basic Concepts -- 7.1.1 Choice Sets and Preferences -- 7.1.2 Indifference Curves -- 7.1.3 Utility Functions -- 7.2 Demand on Competitive Markets.; 7.2.1 Graphical Solution -- 7.2.2 Analytical Solution -- 7.2.2.1 Necessary Conditions for a Maximum -- 7.2.2.2 Sufficient Conditions for a Maximum -- 7.2.3 Three Examples -- 7.2.3.1 Homothetic Strictly Convex Preferences -- 7.2.3.2 Perfect Substitutes -- 7.2.3.3 Perfect Complements -- 7.2.4 Comparative Statics and the Structure of Market Demand -- 7.2.5 Changes in Income -- 7.2.6 Changes in Price -- References -- Further Reading -- 8 Decisions Under Uncertainty and Risk -- 8.1 A Model of Uncertainty and Risk -- 8.2 Decisions Under Uncertainty -- 8.2.1 Maximin Rule -- 8.2.2 Maximax Rule -- 8.2.3 Hurwicz Rule -- 8.2.4 Minmax-Regret Rule -- 8.2.5 Laplace Rule -- 8.3 Decisions Under Risk -- 8.3.1 Lotteries and Expected-Payoff Rule -- 8.3.2 Critique of the Expected-Payoff Rule -- 8.3.3 Expected-Utility Theory -- 8.3.4 The Allais Paradox -- 8.3.5 Propensities Towards Risk -- 8.3.6 Insurance -- 8.3.6.1 A Model with Fixed Coverage -- 8.3.7 A Model with Endogenous Coverage -- References -- Further Reading -- 9 Principles of Game Theory -- 9.1 Introduction -- 9.2 What Is a Game? -- 9.3 Elements of Game Theory -- 9.4 Normal-Form Games -- 9.4.1 Multiple Equilibria -- 9.4.2 Collectively and Individually Rational Behavior -- 9.4.3 Simple Games as Structural Metaphors -- 9.5 Extensive-Form Games -- 9.6 Summary -- References -- Further Reading -- 10 Behavioral Economics -- 10.1 Introduction -- 10.2 Basic Concepts -- 10.3 Social Preferences -- 10.3.1 Kin Selection -- 10.3.2 Reciprocity -- 10.3.3 Altruism and Spite -- 10.3.4 Inequality Aversion -- 10.3.5 Intention-Based Preferences -- 10.3.6 Conclusions -- 10.4 Boundedly Rational Behavior -- 10.4.1 Prospect Theory -- 10.4.1.1 The Structure of Subjective Value Functions -- 10.4.1.2 The Structure of Decision Weights -- 10.4.1.3 Applications -- 10.4.1.4 Summary -- 10.4.2 Anchoring -- 10.4.3 Confirmation Bias.; 10.5 An Evolutionary Perspective on Biases and Rationality -- References -- Further Reading -- 11 Foundations of Perception and Decision-Making -- 11.1 Introduction -- 11.2 A Multilevel Model of Adaptation -- 11.2.1 Genetic Adaptation -- 11.2.2 Epigenetic Adaptation -- 11.2.3 Affective Adaptation -- 11.2.3.1 Dopamine -- 11.2.3.2 Fear and Anxiety -- 11.2.3.3 Disgust -- 11.2.3.4 Oxytocin -- 11.2.3.5 Testosterone -- 11.2.4 Cognitive and Metacognitive Adaptation -- 11.2.4.1 Confabulation -- 11.2.4.2 The Narrative Self -- 11.2.4.3 Concluding Remarks and Implications for Economics -- 11.3 Where Do We Stand? -- 11.3.1 Virtue Ethics and the Creation of Good Habits -- 11.3.2 Implications for an Economy that Promotes the Good Life -- References -- Further Reading -- Part IV Firm Behavior and Industrial Organization -- 12 Costs -- 12.1 What Are Costs, and Why Are They Important? -- 12.2 A Systematic Treatment of Costs -- Reference -- Further Reading -- 13 Firm Behavior Under Perfect Competition -- 13.1 Introduction -- 13.2 Production Technology and Market Structure -- 13.3 The Short Versus the Long Run -- 13.4 Firm and Market Supply -- References -- Further Reading -- 14 Firm Behavior in Monopolistic Markets -- 14.1 Introduction -- 14.2 Conditions for the Existence of a Monopoly -- 14.3 Profit Maximization in Monopolistic Markets -- 14.4 Monopoly Without Price Discrimination -- 14.4.1 The Single-Product Monopoly -- 14.4.2 Two- or Multi-Sided ; Markets -- 14.5 Monopoly with Price Discrimination -- 14.5.1 First-Degree Price Discrimination -- 14.5.2 Second-Degree Price Discrimination -- 14.5.3 Third-Degree Price Discrimination -- 14.6 Monopolistic Competition -- References -- Further Reading -- 15 Firm Behavior in Oligopolistic Markets -- 15.1 Introduction -- 15.2 Cournot Duopoly Model -- 15.3 The Linear Cournot Model with n Firms -- 15.4 The Bertrand Duopoly Model.; 15.5 Conclusion and Extensions -- References -- Further Reading -- Part V Appendix -- 16 A Case Study -- 16.1 The Grounding of Swissair -- 16.2 Some Facts About the Aviation Industry in Europe -- 16.3 Applying Economic Theory -- 16.3.1 Costs -- 16.3.2 The Linear Cournot Model with n Firms -- 16.3.3 Extensions -- 16.4 How About Swissair? -- 16.5 Concluding Remarks -- 17 Mathematical Appendix -- 17.1 General Remarks -- 17.2 Functions with Several Explanatory Variables -- 17.3 Solution to Systems of Equations -- 17.4 Optimization Under Constraints -- 17.4.1 Sufficient Conditions -- 17.4.2 Necessary Conditions -- 17.5 Elasticities -
• Sommario/riassunto: This textbook provides a comprehensive and unique introduction to modern microeconomics. It adopts an integrative approach, positioning the main findings of economics in a broader context. It critically reflects on theories from a philosophical standpoint and compares them to approaches found in the social sciences, while at the same time highlighting the implications for the design of legal systems and business practices.Intended for undergraduate students, the book presents brief examples and comprehensive case studies to help them grasp the real-world implications of the theories. As such, it is suitable for an applied, yet technically precise approach to teaching microeconomics, as well as for a critical review of the economic mainstream. Starting from the question as to why and how societies organize economic activity, it analyzes the potential and limitations of various types of market with regard to alleviating scarcity and achieving distributive objectives, from an institutional perspective.