Module code: L1061
15 credits in spring semester
Teaching method: Seminar, Lecture
Assessment modes: Coursework, Unseen examination
This module covers the topics of general equilibrium and welfare economics, including the important issue of market failure. General equilibrium is illustrated using Sen's entitlement approach to famines and also international trade. Welfare economics covers concepts of efficiency and their relationship to the market mechanism. Market failure includes issues such as adverse selection and moral hazard, and applications are drawn from health insurance, environmental economics and the second-hand car market.
Module learning outcomes
- Have demonstrated a critical understanding of the principles of economics
- Be able to use the power of abstraction to focus upon the essential features of an economic problem and to provide a framework for the critical understanding and evaluation of the effects of policy or other exogenous events.
- Be able to analyse an economic problem or issue using an appropriate theoretical framework, and recognise its limitations.
- Have learned to understand the importance of, and be able to construct and develop, rigorous argument to help evaluate ideas.