ØASØK2000 Microeconomics II Course description

International Economics as a subject is concerned with effects of economic relations among nations. This is particularly relevant for small open economies like Norway. The first part of the course covers international trade theory. Why do nations trade, and what effects does this have on the domestic economy. Next, trade policy is analyzed. Why do some nations want to restrict the volume of trade, and what economic effects does this have on domestic efficiency and income distribution. Finally, the course will cover open economy macroeconomics, in particular stabilization policies under different exchange rate regimes.

Language of instruction is English.

The course builds on the introductory course in Microeconomics 1.

None

After completing the course, the student should have the following overall learning outcomes defined in terms of knowledge, skills and general competence:

Knowledge

The student has knowledge of

• the basic economic theories explaining the behaviors of consumers and firms
• the market structure
• the economics of information
• game theory in analyzing strategic behaviour
• the applications of behavioral economics

Skills

The student can

• use economic concepts to explain consumer and firm behaviour
• use economic reasoning to discuss economic policies
• formulate and analyze strategic interactions

General competence

The student can

• develop insights to critically address economic issues
• engage in analytical discussions of economic policies

No coursework requirements or compulsory activities.

It is assumed that students have completed introductory courses in Microeconomics and Macroeconomics.

The exam in the course is a supervised exam of 4 hours.

The following aids are permitted:

• One dictionary (native language-English/English-native language or English-English).
• Calculator (see regulations for the use of calculators in the programme description)

Grade scale A - F

The exam papers are assessed by one internal and one external examiner.

At least 25% of the exam papers will be assessed by two examiners. The grades awarded for the papers assessed by two examiners form the basis for determining the level for all the exam papers.

Jacopo Bizzotto