ESCP Europe

A fresh, modern approach to intermediate microeconomics, this book breaks with tradition in a number of innovative ways: - The author introduces game theory early and uses it consistently throughout the book. - Experimental economics enriches and motivates the discussion at numerous points in the text. - A continuing narrative that ties all the chapters together provides a cohesive framework for the theory. - Consulting Reports propose solutions to economic problems, which are then critiqued by the author to encourage critical thinking on the part of the student. In this edition, the author has added over one hundred Solved Problems, covering content review and applications/extensions, which give students a greater practical knowledge of the material and help them work through end-of-chapter problems. New material on game theory and new economic experiments reinforce the already effective treatment of economic concepts. from book back cover.

1. Economics and institutions: a shift of emphasis --- 2. Consumers and their preferences --- 3. Demand and behavior in markets --- Appendix A: The demand curve --- Appendix B: The expenditure function --- Appendix C: Price-compensating variations --- 4. The problem of exchange --- Appendix A: The shrinking of the core --- Appendix B: Pareto Optima and the Contract Curve --- Appendix C: Competitive equilibrium and Pareto Optimality --- 5. The discovery of production and its technology --- Appendix A: The production function --- 6. Cost and choice --- Appendix A: The cost function --- 7. Game theory and the tools of strategic business analysis --- Appendix A: Games of incomplete information --- Appendix B: Repeated games --- 8. The internal organization of the firm --- 9. The age of entrepreneurship: monopoly --- Appendix A: The monopoly problem --- Appendix B: Price discrimination --- 10. Natural monopoly and the economics of regulation --- Appendix A: The allocation of common costs: cross-subsidization --- Appendix B: Franchise monopoly --- 11. The world of oligopoly: preliminaries to successful entry --- Appendix A: Nash equilibrium in duopoly --- Appendix B: Implicit collusion and repeated games --- 12. Market entry and the emergence of perfect competition --- Appendix A: Incomplete information and entry prevention --- 13. Perfectly competitive markets --- Appendix A: Two welfare propositions --- 14. Uncertainty and the emergence of insurance --- 15. General equilibrium and the origins of the free-market and interventionist ideologies --- 16. Moral hazard and adverse selection: informational market failures --- 17. Externalities: the free market--interventionalist battle continues --- Appendix A: Excess production under externalities --- 18. Public goods, the consequences of strategic voting behavior, and the role of government --- 19. Input markets and the origins of class conflict --- Answers to selected exercises and problems --- Index..