Professor J Creedy. 316-313 Microeconomics. First semester Three hours of lectures and seminars a week. On completion of this subject students should be able to:

• understand the main theories used in the study of general equilibrium and welfare economics;
• judge the usefulness and the limitations of advanced theory in the area of general equilibrium and welfare economics;
• critically evaluate many contemporary economic policy debates with reference to general equilibrium and welfare economics;
• extend their knowledge of general equilibrium and welfare economics via independent study and by taking advanced subjects in this area.

Exchange with price-taking behaviour (utility and non-utility approaches), exchange without price-taking, the role of numbers in competition, Nash bargaining solution, social welfare functions, expenditure functions and compensating variations, production of a general equilibrium model, the effects of income and commodity taxes in general equilibrium, labour supply with taxes and transfers, general equilibrium with variable labour supply supply. A 3-hour examination (80 per cent) and class assignments totalling approximately 2,000 words (20 per cent).