《微观经济学Microeconomics》英文版全套课件（101页精品）.ppt

微观经济学Microeconomics ECON501 Lecture Note 1 Preference and Choice Structure Preference relation Choice rules The link between preference and choice Preference Relations The Rational Preference Completeness Transitivity Utility Function Definition: a function u is a utility function representing preference relation if A preference relation can be represented by a utility function only if it is rational Choice Rules A choice structure Budget sets A choice rule The weak axiom of revealed preference (WARP): if x is revealed at least as good as y, then y cannot be revealed preferred to x The Link Between Preference and Choice If the preference relation is rational, then the choice structure satisfies the weak axiom. If the choice structure satisfies the WARP and βincludes all subsets of X of up to three elements, then there is a corresponding rational preference relation. ECON501 Lecture Note 2 Consumer Theory 1 ( Textbook Chapter 2 and 3 ) Structure Consumer Choice (Chapter 2) Budget set Walrasian demand function Comparative statics The weak axiom of revealed preference and the law of demand Preference (Chapter 3) The basic properties of preference Existence of utility function The Budget set Commodities The physical constraints and the consumption set The economic constraint: The Walrasian budget set (Definition 2.D.1) Convexity of Walrasian budget set: proof Consumer’s Choice The consumer’s problem: to choose a consumption bundle x from the Walrasian budget set. Walrasian Demand Function Assumption: It is homogeneous of degree of zero ( Definition 2.E.1 ): individual’s choice depends only on the set of feasible points. It satisfies Walras’ law ( Definition 2.E.2 ): the consumer fully expends his wealth. Exercise 2.E.1 Comparative Statics – Wealth Effects The consumer’s Engel function The wealth effect Normal goods and inferior goods Comparative Statics – Price Effects The demand curve ( Figure 2.E.2) The offer curve (Figure 2.E.3 and 2.E.4) The price