Intermediate Microeconomics

Constructing a Model · Optimization and Equilibrium · The Demand Curve · The Supply Curve

The Budget Constraint · Two Goods Are Often Enough · Properties of the Budget Set · How the Budget Line Changes

Consumer Preferences · Assumptions about Preferences · Indifference Curves · Examples of Preferences

Cardinal Utility · Constructing a Utility Function · Some Examples of Utility Functions · Marginal Utility

Optimal Choice · Consumer Demand · Some Examples · Estimating Utility Functions

Normal and Inferior Goods · Income Offer Curves and Engel Curves · Some Examples · Ordinary Goods and Giffen Goods

The Idea of Revealed Preference · From Revealed Preference to Preference · Recovering Preferences · The Weak Axiom of Revealed Preference

The Substitution Effect · The Income Effect · Sign of the Substitution Effect · The Total Change in Demand

Net and Gross Demands · The Budget Constraint · Changing the Endowment · Price Changes

The Budget Constraint · Preferences for Consumption · Comparative Statics · The Slutsky Equation and Intertemporal Choice

Rates of Return · Arbitrage and Present Value · Adjustments for Differences among Assets · Assets with Consumption Returns

Contingent Consumption · Utility Functions and Probabilities · Expected Utility · Why Expected Utility Is Reasonable

Demand for a Discrete Good · Constructing Utility from Demand · Other Interpretations of Consumer’s Surplus · From Consumer’s Surplus to Consumers’ Surplus

From Individual to Market Demand · The Inverse Demand Function · Discrete Goods · The Extensive and the Intensive Margin

Supply · Market Equilibrium · Two Special Cases · Inverse Demand and Supply Curves

Classification of Auctions · Auction Design · Other Auction Forms · Position Auctions

Inputs and Outputs · Describing Technological Constraints · Examples of Technology · Properties of Technology

Profits · The Organization of Firms · Profits and Stock Market Value · The Boundaries of the Firm

Cost Minimization · Revealed Cost Minimization · Returns to Scale and the Cost Function · Long-Run and Short-Run Costs

Average Costs · Marginal Costs · Marginal Costs and Variable Costs · Cost Curves for Online Auctions

Market Environments · Pure Competition · The Supply Decision of a Competitive Firm · An Exception

Short-Run Industry Supply · Industry Equilibrium in the Short Run · Industry Equilibrium in the Long Run · The Long-Run Supply Curve

Maximizing Profits · Linear Demand Curve and Monopoly · Markup Pricing · Inefficiency of Monopoly

Price Discrimination · First-Degree Price Discrimination · Second-Degree Price Discrimination · Third-Degree Price Discrimination

Monopoly in the Output Market · Monopsony · Upstream and Downstream Monopolies

Choosing a Strategy · Quantity Leadership · Price Leadership · Comparing Price Leadership and Quantity Leadership

The Payoff Matrix of a Game · Nash Equilibrium · Mixed Strategies · The Prisoner’s Dilemma

Best Response Curves · Mixed Strategies · Games of Coordination · Games of Competition

Framing Effects in Consumer Choice · Uncertainty · Time · Strategic Interaction and Social Norms

The Edgeworth Box · Trade · Pareto Efficient Allocations · Market Trade

The Robinson Crusoe Economy · Crusoe, Inc. · The Firm · Robinson’s Problem

Aggregation of Preferences · Social Welfare Functions · Welfare Maximization · Individualistic Social Welfare Functions

Smokers and Nonsmokers · Quasilinear Preferences and the Coase Theorem · Production Externalities · Interpretation of the Conditions

Systems Competition · The Problem of Complements · Lock-In · Network Externalities

When to Provide a Public Good? · Private Provision of the Public Good · Free Riding · Different Levels of the Public Good

The Market for Lemons · Quality Choice · Adverse Selection · Moral Hazard