EBO1 Micro 1 – Economic Behaviour

• Topics

  The course provides a microeconomic foundation for how to analyse the decisions made by both consumers and firms, and how these decisions shape the demand and supply in markets. Students will first be introduced to the basic concepts in consumer theory, and how these can be used to analyse the demand for goods and services. Then we will cover how firms supply products based on consumer demand and the cost of different input factors, using the theory of cost minimization and profit maximization. Finally, we will analyse different types of markets, investigate so-called market failures that threaten an efficient allocation of resources, and the role for policy interventions to promote a sustainable society for both today's and future generations. Throughout the course, students will get hands-on experience on how they can use available market data to understand and improve the decisions made by firms and consumers.

• Learning outcome

  Upon completion of the course, the students will be able to:

  Knowledge

  • Demonstrate a basic understanding of the most central models in consumer, producer and market theory.
  • Identify and explain market failures and the basis for economic policy.
  • Recognize insights about how different types of data can be used in microeconomic analysis.

  Skills

  • Apply microeconomic theory to analyze relevant issues.
  • Give advice and recommendations on how firms should adapt to different market conditions.
  • Reflect on how different types of economic policy can help ensure economic efficiency and sustainability.
  • Support theoretical arguments by empirical evidence from available market data.

  General competence

  • Communicate microeconomic analysis in a clear way, both in writing and orally.
  • Employ a data-driven approach to microeconomic analysis.

• Teaching

  The course use a combination of classroom teaching, pre-recorded video snippets, and analytical problem sets. Data assignments building on the course content will formally be part of TECH3, but also discussed in class.    

• Compulsory Activity

  Mandatory problem sets.

• Assessment

  3 hour school exam with pen and paper. The exam answer must be written in English.

• Grading Scale

  A-F

• Literature

  The course reading list will be available in Leganto.

• Permitted Support Material

  Calculator 

  One bilingual dictionary (Category I) 

  All in accordance with Supplementary provisions to the Regulations for Full-time Study Programmes at the Norwegian School of Economics Ch.4 Permitted support material https://www.nhh.no/en/for-students/regulations/https://www.nhh.no/en/for-students/regulations/ and https://www.nhh.no/en/for-students/examinations/examination-support-materials/https://www.nhh.no/en/for-students/examinations/examination-support-materials/