Mathematical Methods for Economists II

Catalog description

The second course goes deeper into convex analysis and optimization theory, and derives a number of core results such as the characterization of convex and quasiconvex functions, separating hyperpane theorems, Krein-Milman Theorem, the Kuhn-Tucker Theorem, and the Envelope Theorem. Optimization is required in the analysis of almost every economic model. Many economic applications are presented here, including some basic results in demand theory, Birkhoff’s Theorem on bistochastic matrices and its consequences for measurement of income inequality, linear regression analysis, duality in linear programming, and job-matching models.