Microeconomics
Introduction: Scarcity, Trade-offs and the PPF
Economic foundations: scarcity, opportunity cost, the production possibility frontier (PPF), efficiency, economic models, and positive vs normative analysis.
Demand and Supply
The law of demand and supply, demand and supply curves, market equilibrium, and the variables that shift demand and supply.
Elasticity
Price elasticity of demand, the midpoint formula, determinants of elasticity, relationship with total revenue, cross-price elasticity, income elasticity, and price elasticity of supply.
Firms' Costs of Production
Short run vs long run, explicit and implicit costs, fixed and variable costs, marginal product, law of diminishing returns, and average cost curves.
Market Structures, Profit Maximisation and Game Theory
Four market structures, profit maximisation rule (MR=MC), monopoly vs perfect competition, game theory, prisoner's dilemma, externalities, and ESG.
Macroeconomics
GDP and National Accounts
Gross Domestic Product (GDP): three measurement approaches, nominal vs real GDP, GDP deflator, CPI, limitations of GDP as a welfare measure.
Unemployment, Inflation, AD/AS and Policy
Unemployment types, inflation, the AD/AS model, monetary policy (cash rate), fiscal policy (government spending and taxes), and the multiplier effect.
