Introduction to VWL

Introduction

Students are able to • name the essential components of a market model and discuss the market equilibrium as an interaction of supply and demand. • identify the determinants of consumer demand and explain how they respond to external factors such as changes in income. • explain both the potentials and the limitations of market models based on real-world markets, for example the housing or labor market, and to buttress abstract models with real-life examples. • understand production decisions in companies and interpret the influences of market structures on price setting. • examine and critically evaluate current developments on the basis of models. • name the essential components and institutions of a national economy and explain how they function. • identify macroeconomic indicators such as gross domestic product or consumer price index and explain their meaning. • conduct independent research on indicators important for economic growth and inflation and to present current developments in this regard.

English version will be available soon

Core topics: • Economic thinking and marginal analysis • Efficient allocation of scarce resources • The market model and market equilibrium • Macroeconomic variables (GDP, inflation, and unemployment) and their interrelationships Selected macroeconomics issues: • Elasticity and welfare • Cost functions and optimal corporate production • Price setting and market structures • Short-term macroeconomic fluctuations: The business cycle • Money, the ECB, and inflation • Long-term economic growth • International relations and trade

• Pindyck, R. S., & Rubinfeld, D. L. (2018). Mikroökonomie. Pearson Deutschland GmbH • Varian, H. R. (2014). Grundzüge der Mikroökonomik. Walter de Gruyter GmbH & Co KG.Deutschland GmbH. • Münter, M.T. (2018), Mikroökonomie, Wettbewerb und strategisches Verhalten. UTB GmbH • Natrop, J. (2012). Grundzüge der angewandten Mikroökonomie. Walter de Gruyter GmbH & Co KG.Deutschland GmbH

written exam

German

2

15

1.0

Lecture, group work, case studies, discussions

1

English version will be available soon

WWI2

lecture

Compulsory

not applicable