Lecture notes
ECO2003F: MICROECONOMICS II
- Module
- Institution
- Book
Lecture notes from 2022's ECO2003F course at UCT.
[Show more]
Connected book
Book Title:
Author(s):
- Edition:
- ISBN:
- Edition:
More summaries for
-
Samenvatting The Economy - Economics (ECONOM01)
-
Summary microeconomics weeks 1-8
-
Summary of lecture notes and textbook
Seller
Followtheolinnaidoo1
Reviews received
Content preview
Microeconomics IInotes
,PARETO EFFICIENCY
ALLOCATION : Outcome AN EcoNomic InTeRAcTIONE:
1 An allocation"is pareto elftureh if nobody
making one bods Worse off,
unrelated to fairess,
Evaluale the rules of the game as wel the outcome
Allocations can be considered unfaic for reasons:
C Inequality of final outcome [c.g. wealth ,well-being ]
Ly Substantive judgemeol o fairness
How they comt about [e.g. force vs. Fairploy Social noins )
Ly Procedural judgement of Fairness
Rawle' veil ol ignorance talcing on impartial perspective
WALIS THEORY OF DUSTICE
Concept of justice bosed on two principles
0 Each person has the some claim to a
fully adequale
scheme of equal basic liberties
0 sociol inequalities art justified only
attached to offires and positions Open to oll
falt
under conditions of equality of opportunity.
benefit the least
L
they are to the greatest
advontaged ,meaning that Some lesser degree of inequality
would mala the least worse oH .
,E S HNoNR
teonomiks does not provide judgements abouł uhatis lat but
Con elorily
how institubions affect Ine quality /allocat1on
tradeoffs in thefairnessoł outcomes
hich pub policies can oddre ss unfairnessan
and how
Stuhn .
* ,i e
t
t
1
1
, THE FARMING MODEL
the farming msdel
THE OPPORTUNITY COST OF FREE TIME + MRT
The quantity of some
good that must be sacrificed to
acquire one additional unit
of another good .
MRT = 1
slope of the feasible frontier /
The product of labour
marginal
INDIFFERENCE CURVES
Combinations of points that provide level of
a given utility
The r the 1C , the 9 the utility
MARGINAL RATE OF SUBSTITUTION
Mathematical Notation :
Mrs = I 18¥ ]
L b
marginal utility marginal utility
of free time of the product
r Optimal Decision
Making MRS MRT
__
:
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller theolinnaidoo1. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for £8.90. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
60904 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy revision notes and other study material for 14 years now