Mathematics Applied to Economics

 

MAEC 332 Microeconomic Theory I- minor changes: Name and number( old MAEC 233)

Choice and demand: Preferences and utility, utility maximization and choice, income and substitution effects, Market demand, elasticity, choice under uncertainty, expected utility, risk, Production and supply: production functions, costs, profit maximization.

Prerequisite: Econ 131, Math 231

MAEC 333  Microeconomic theory II: major  changes: Name changes ( old general  equilibrium and public choice)

Perfect competition: Partial equilibrium and competitive models, general equilibrium, imperfect competition, monopoly, pricing theory, externalities and public goods.

Prerequisite: MAEC 332

MAEC 334 Introduction to Econometrics:

Regression, one and n-variable least square, properties of OLS, confidence interval and hypothesis testing, Functional forms, misspecified models, dummy variables.

Prerequisite: Math 234, Stat 231  (change prerequisite, old Stat 331).

MAEC 339 Financial Markets (minor changes: Change from  MAEC 439)

 Introduction to financial markets. Time value of money, Financial risk. Financial assets (stocks, bonds).  Contracts ( futures, forwards, swaps). Derivatives, risk taking and risk hedging, the no arbitrage property and the principle of one price.   Capital Asset Pricing Model. European and American options.

Prerequisite: MAEC 332, Stat 231 (change prerequisite from MAEC 333, Stat 332)

MAEC 411  Seminar(NEW) 

This course provides a forum for the exchange of mathematical and economical ideas between faculty and students under the guidance of the course instructor. The course culminates in the presentation by each student of at least one written report on a selected topic or problem, reflecting some independent work and evidence of familiarity with the mathematical and economical literature. Students may work with other faculty members in the preparation of written reports in a field related to the subject of the course.

Prerequisite: Approval of the department.

MAEC 430 Financial Mathematics  (NEW):

 Investment under certainty and time value, risk free assets. Investment under uncertainty and risky assets.  Discrete time market models.  Portfolio Theory.   Market equilibrium: CAPM, APT.  Forward and futures contracts. Option Pricing Theory, Black-Scholes formula.

Prerequisite: MAEC339 and Stat332.

MAEC 431 The Economics of Information (NEW)    

Asymmetric information problem. Moral hazard problem. Adverse selection problem. Signaling.

Prerequisite: MAEC436 and Math 336.

MAEC 432  Dynamical Macroeconomics  minor changes.

Dynamic theory of consumption and investment, the neoclassical growth model, optimal growth, overlapping generation models, endogenous growth, Government in growth models.

Prerequisite: Econ3322, Math 336.

MAEC 434 Advanced Econometrics:

More on tests, testing structural change and asymptotic properties of tests, heteroscedasticity, autocorrelation of residuals, specification of errors on data, non-linear models, the maximum likelihood method, maximum likelihood and testing.

Prerequisite: MAEC334, Stat 332.

MAEC 435 Applied Econometrics:

Introduction to time series, stationary process, non-stationary process, prediction function, tests, multivariable ARMA process, Markov process and Kalman flter, adjustment models, vectorial autoregressive models, co-integration.

Prerequisite: MAEC434.

MAEC 436 Game Theory: minor changes Name Changes

Games in normal form, Nash equilibrium, mixed strategies, inefficiencies of the Nash equilibrium.  Games in extensive form, perfect competition, repeated games, games with incomplete information, Bayesian equilibria.

Prerequisite: MAEC332 and Stat 231.

 MAEC 437 (NEW): Idependent studies

Prerequisite: Approval of the department.

MAEC 438 Special topics (NEW) 

 Selected topics on MAEC will be offered according to student needs.

Prerequisite: Approval of the department.