Module Identifier EC30610  
Academic Year 2001/2002  
Co-ordinator Ms Susan Charles  
Semester Semester 2  
Pre-Requisite EC30230  
Course delivery Lecture   10 Hours  
  Seminars / Tutorials   4 Hours  
Assessment Exam   1.5 Hours   100%  


This module extends the microeconomic analysis of choice covered in EC30230 to consider choice under conditions of uncertainty. Specifically, we consider choice in situations where the consequences of each option are unknown at the time of choice because they depend on future events. Having developed our basic model we then turn to consider the closely-related issue of asymmetric information, exploring how asymmetric information can lead to 'market failure' problems of adverse selection and moral hazard.

Learning outcomes

By the end of the module students should have an understanding of:

Reading Lists

B Hillier. (1997) The Economics of Asymmetric Information. Macmillan ISBN 0312 16396 7
M L Katz and H R Rosen. Microeconomics.
W Nicholson. Microeconomic Theory.
H Varian. Intermediate Microeconomics.
L S Friedman. Microeconomic Policy Analysis.
B C Eaton, D F Eaton and D W Allen. Microeconomics. 4th.