UNIVERSITY RYERSON DEPARTMENT OF ECONOMICS
FACULTY OF ARTS WINTER 2008
ECN230-MATHEMATICS FOR ECONOMICS (Required Course) Prof. C. Angyridis Department of Economics Office: JOR 214 Office Hours: Monday, 3 5 pm Tel: [phone], ext. 7725 Email: [e-mail] Blackboard: http://my.ryerson.ca Course Description: This course introduces the students to mathematical topics beyond the high school calculus. It reviews differential calculus, then introduces topics such as basic matrix algebra, constrained optimization, comparative statics for general function models, and their application in economics. Corequisite: ECN204. Prerequisite: ECN104. Required Textbook: A. C. Chiang and K. Waiwright, Fundamental Methods of Mathematical Economics, Fourth Edition (2005), McGraw-Hill, Inc. Course Evaluation: Term Test 1: 30% - February 4th (in class) Term Test 2: 30% - March 17th (in class) Final Exam: 40% (April 14th 26th) Students missing one of the midterm tests will receive a grade of zero if satisfactory documentation is not provided. With proper documentation, you will be eligible to take a Make-Up Midterm Test. Although active participation during the lectures and tutorials is not a part of the marking scheme, it will be acknowledged and may help you if you are in a marginal situation. Problem Sets: Problem Sets will be distributed in class on a regular basis. Although these problem sets will not be graded, they be should a major component of your preparation for the upcoming examinations in the course. Solutions will be posted on Blackboard.
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Topics and Reading List: I. Static (or Equilibrium) Analysis (Chapter 3) The Meaning of Equilibrium Partial Equilibrium General Market Equilibrium II. Linear Models and Matrix Algebra (Chapters 4 and 5) Matrices and Vectors Matrix and Vector Operations Commutative, Associative and Distributive Laws Identity Matrices and Null Matrices Transposes and Inverses Nonsingularity of a Matrix The Determinant: Basic properties and uses The Inverse of a Matrix Cramer's Rule III. Comparative-Static Analysis (Chapters 6, 7 and 8) The Derivative Continuity and Differentiability of a Function Rules of Differentiation Partial Differentiation Total Differentials and their Rules Total Derivatives Derivatives of Implicit Functions Comparative Statics of General-Function Models IV. Optimization Problems (Chapters 9, 10, 11, 12 and 13) The First-Derivative Test The Second-Derivative Test Maclaurin and Taylor Series Exponential and Logarithmic Functions Extreme Values of a Function of Two Variables Objective Functions with More than Two Variables Second-Order Conditions in Relation to Concavity and Convexity Optimization with Equality Constraints Further Topics in Optimization V. Integral Calculus (Chapter 14) Indefinite and Definite Integrals Improper Integrals Economic Applications of Integrals
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