Modern economic theory is based on mathematical models. Thus, a thorough understanding of the economic content of such models is not possible without a clear understanding of the mathematical concepts that underpin the modeling. This course introduces students to a range of optimisation concepts and techniques for economics and financial economics that form the basis of advanced economic theory courses. The introduced optimisation concepts and techniques will be derived from basic principles and assumptions as thoroughly as possible, and will be illustrated using standard applications from economics.

Learning Outcomes

Upon successful completion, students will have the knowledge and skills to:

1. Understand the mathematical methods that are most widely used in economics, both from a formal, abstract perspective, and an intuitive perspective.
2. Know how to read, understand, and construct mathematical proofs, and appreciate their role in the derivation of mathematical concepts and structures.
3. Apply mathematical methods and techniques that are formulated in abstract settings to concrete economic applications.

Research-Led Teaching

Classical as well as frontier research topics, methodologies, and outcomes in health economics will be introduced along the way. Students will be able to see how results from the models can be applied to analyse real world questions, and what questions remain to answer. The lecturer will present his own research in health economics, and also discuss with students their questions and thoughts that arise from their experience, observation, and study of this course.

Examination Material or equipment

non programmable calculator.

Required Resources

Carl Simon and Lawrence Blume (1994), “Mathematics for Economists". New York: W.W. Norton & Company. The textbook will be available for purchase in the University bookshop, and on short loan in the Chifley Library.

Staff Feedback

The lecturer will pay close attention to students’ learning. Following interactions with students during lectures, tutorials, and consultations, the lecturer will provide to students, individually or as a group, timely feedback that improve their learning experience. Assignments will be returned with comments that will also provide feedback on student progress.

Student Feedback

ANU is committed to the demonstration of educational excellence and regularly seeks feedback from students. Students are encouraged to offer feedback directly to their Course Convener or through their College and Course representatives (if applicable). The feedback given in these surveys is anonymous and provides the Colleges, University Education Committee and Academic Board with opportunities to recognise excellent teaching, and opportunities for improvement. The Surveys and Evaluation website provides more information on student surveys at ANU and reports on the feedback provided on ANU courses.

Class Schedule

Week/Session	Summary of Activities	Assessment
1	Sequences, limits
2	Multivariate Calculus
3	Multivariate Calculus. The implicit function theorem. Comparative statics
4	Unconstrained Optimization. The envelope theorem	Assignment 1 Due
5	Convex functions. Concave functions. Quasi-concave functions	Assignment 2 Due
6	Economic applications: profit function; relationship between average cost and marginal cost. Long-run marginal costs and short-run marginal costs.	Possible mid-semester exam
7	Constrained Optimization: equality constraints. The envelope theorem	possible mid-semester exam
8	Constrained Optimization: inequality constraints
9	Homogeneous functions. Homethetic functions	Assignment 3 Due
10	Further economic applications; expenditure functions, cost functions, duality.	Assignment 4 Due
11	Applications: principle-amen models, with moral hazard and adverse selection.
12	Applications: theory of elevation; interval delegation.
13	Examination period	Final Exam

Tutorial Registration

via wattle.

Assessment Summary

Assessment task	Value	Due Date	Return of assessment	Learning Outcomes
Assignments	20 %	19/03/2019	06/06/2019	1,2,3
Mid-semester exam.	30 %	01/04/2019	17/05/2019	1,2,3
Final Examination	50 %	06/06/2019	04/07/2019	1,2,3

* If the Due Date and Return of Assessment date are blank, see the Assessment Tab for specific Assessment Task details

Policies

ANU has educational policies, procedures and guidelines, which are designed to ensure that staff and students are aware of the University’s academic standards, and implement them. Students are expected to have read the Academic Misconduct Rule before the commencement of their course. Other key policies and guidelines include:

• Student Assessment (Coursework) Policy and Procedure
• Special Assessment Consideration Policy and General Information 
• Student Surveys and Evaluations
• Deferred Examinations
• Student Complaint Resolution Policy and Procedure

Assessment Requirements

The ANU is using Turnitin to enhance student citation and referencing techniques, and to assess assignment submissions as a component of the University's approach to managing Academic Integrity. For additional information regarding Turnitin please visit the ANU Online website. Students may choose not to submit assessment items through Turnitin. In this instance you will be required to submit, alongside the assessment item itself, hard copies of all references included in the assessment item.

Moderation of Assessment

Marks that are allocated during Semester are to be considered provisional until formalised by the College examiners meeting at the end of each Semester. If appropriate, some moderation of marks might be applied prior to final results being released.

Examination(s)

See Assessment Tasks 2 and 3.

Assessment Task 1

Assignments

There will be four assignments throughout the semester. Students are to solve problems using theory and techniques covered in the lectures. Assignments will be available on wattle 10 days prior to their due date and will be returned within 1 week of submission.

Assignment 1 is due 19th March

Assignment 2 is due 26th March

Assignment 3 is due 7th May

Assignment 4 is due 14th May

Each assignment is worth 5%. Assignments are to be handed in via Turnitin.

Assessment Task 2

Mid-semester exam.

The mid-semester exam will be optional. If a student does not sit the exam their final exam will be re-weighted to 80%.

The exam will be for 2hours and will be held during week 6 or 7 as determined by central examinations. Details will be provided on wattle during week 5.

Assessment Task 3

Final Examination

The final examination will be held during the exam block. It will cover material from the entire semester and will be of a 2hour duration. Details will be provided on Wattle by week 11.

Academic Integrity

Academic integrity is a core part of our culture as a community of scholars. At its heart, academic integrity is about behaving ethically. This means that all members of the community commit to honest and responsible scholarly practice and to upholding these values with respect and fairness. The Australian National University commits to embedding the values of academic integrity in our teaching and learning. We ensure that all members of our community understand how to engage in academic work in ways that are consistent with, and actively support academic integrity. The ANU expects staff and students to uphold high standards of academic integrity and act ethically and honestly, to ensure the quality and value of the qualification that you will graduate with. The University has policies and procedures in place to promote academic integrity and manage academic misconduct. Visit the following Academic honesty & plagiarism website for more information about academic integrity and what the ANU considers academic misconduct. The ANU offers a number of services to assist students with their assignments, examinations, and other learning activities. The Academic Skills and Learning Centre offers a number of workshops and seminars that you may find useful for your studies.

Online Submission

You will be required to electronically sign a declaration as part of the submission of your assignment. Please keep a copy of the assignment for your records. Unless an exemption has been approved by the Associate Dean (Education) as submission must be through Turnitin.

Hardcopy Submission

For some forms of assessment (hand written assignments, art works, laboratory notes, etc.) hard copy submission is appropriate when approved by the Associate Dean (Education). Hard copy submissions must utilise the Assignment Cover Sheet. Please keep a copy of tasks completed for your records.

Late Submission

Late submission of assessment tasks without an extension are penalised at the rate of 5% of the possible marks available per working day or part thereof. Late submission of assessment tasks is not accepted after 10 working days after the due date, or on or after the date specified in the course outline for the return of the assessment item. Late submission is not accepted for take-home examinations.

Referencing Requirements

Accepted academic practice for referencing sources that you use in presentations can be found via the links on the Wattle site, under the file named “ANU and College Policies, Program Information, Student Support Services and Assessment”. Alternatively, you can seek help through the Students Learning Development website.

Extensions and Penalties

Extensions and late submission of assessment pieces are covered by the Student Assessment (Coursework) Policy and Procedure. The Course Convener may grant extensions for assessment pieces that are not examinations or take-home examinations. If you need an extension, you must request an extension in writing on or before the due date. If you have documented and appropriate medical evidence that demonstrates you were not able to request an extension on or before the due date, you may be able to request it after the due date.

Privacy Notice

The ANU has made a number of third party, online, databases available for students to use. Use of each online database is conditional on student end users first agreeing to the database licensor’s terms of service and/or privacy policy. Students should read these carefully. In some cases student end users will be required to register an account with the database licensor and submit personal information, including their: first name; last name; ANU email address; and other information.
In cases where student end users are asked to submit ‘content’ to a database, such as an assignment or short answers, the database licensor may only use the student’s ‘content’ in accordance with the terms of service – including any (copyright) licence the student grants to the database licensor. Any personal information or content a student submits may be stored by the licensor, potentially offshore, and will be used to process the database service in accordance with the licensors terms of service and/or privacy policy.
If any student chooses not to agree to the database licensor’s terms of service or privacy policy, the student will not be able to access and use the database. In these circumstances students should contact their lecturer to enquire about alternative arrangements that are available.

Distribution of grades policy

Academic Quality Assurance Committee monitors the performance of students, including attrition, further study and employment rates and grade distribution, and College reports on quality assurance processes for assessment activities, including alignment with national and international disciplinary and interdisciplinary standards, as well as qualification type learning outcomes.

Since first semester 1994, ANU uses a grading scale for all courses. This grading scale is used by all academic areas of the University.

Support for students

The University offers students support through several different services. You may contact the services listed below directly or seek advice from your Course Convener, Student Administrators, or your College and Course representatives (if applicable).

• ANU Health, safety & wellbeing for medical services, counselling, mental health and spiritual support
• ANU Diversity and inclusion for students with a disability or ongoing or chronic illness
• ANU Dean of Students for confidential, impartial advice and help to resolve problems between students and the academic or administrative areas of the University
• ANU Academic Skills and Learning Centre supports you make your own decisions about how you learn and manage your workload.
• ANU Counselling Centre promotes, supports and enhances mental health and wellbeing within the University student community.
• ANUSA supports and represents undergraduate and ANU College students
• PARSA supports and represents postgraduate and research students