Published: June 1995
This best-selling textbook covers all the topics in microeconomic theory covered by all students of economics. It combines the results of the authors' experience of teaching microeconomics at Harvard and has been fully classroom tested.
Microeconomic Theory provides a balanced and in-depth analysis of the essentials of microeconomics, covering topics such as noncooperative game theory, information economics, mechanism design and general equilibrium under uncertainty. 'Self-sufficient' sections allow lecturers to `mix and match' topics relevant to their courses.
Discussion is clear, accessible and engaging, enabling the student to gradually acquire confidence as well as proficiency. Extensive exercises within each chapter help students to hone their skills, while the text's appendix of terms, fully cross-referenced throughout the previous five sections, offers an accessible guide to the subject matter's terminology.
I. Individual Decision-Making: Preference and Choice; Consumer Choice; Classical Demand Theory; Aggregate Demand; Production; Choice under Uncertainty; II. Game Theory:Basic Elements of Non-Cooperative Games; Simultaneous-Move Games; Dynamic Games;
III. Market Equilibrium and Market Failure: Competitive Markets; Extrnalities and Public Goods; Market Power; Adverse Selection, Signalling, and Screening; The Principal-Agent Problem; IV. General Equilibrium: General Equilibrium Theory: Some Examples; Equilibrium and its Basic Welfare Properties; The Positive Theory of Equilibrium; Some Foundations for Competitive Equilibria; General Equilibrium under Uncertainty; Equilibrium and Time; V. Welfare Economics and Incentives: Social Choice Theory; Elements of Welfare Economics and Axiomatic Bargaining; Incentives and Mechanism Design; Mathematical Appendix