Assignment 1
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, October 9, 2012
Recommended Readings: Notes for Lectures 1-3; MWG Chapters 1,2,3,6,20.
1. (An Example of Discontinuous Representable Preference, 6 pts) Let X = R. 8x; y 2 X,
de

Assignment 2
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, November 6, 2012
Recommended Readings: Notes for Lectures 4-7; MWG Chapters 3-5.
1. (Homothetic Preference, 10 pts) Consider U (x) =
T
0 and w > 0.
1 + 2 = 1, p = (p1 ; p2 )
1

Suggested Solution to Assignment 1
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, October 9, 2012
Recommended Readings: Notes for Lectures 1-3; MWG Chapters 1,2,3,6,20.
1. (An Example of Discontinuous Representable Preference, 6 pts) Le

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 3, October 8
1
Preference, Utility, and Choice III (Oct. 8; Ch.
1-3)
Consumer Choice
Denition of commodity :
factors to consider: time, location, the goods and services not in the
market
co

Rational Expectations Equilibrium: Generic Existence and the Information Revealed by Prices
Author(s): Roy Radner
Reviewed work(s):
Source: Econometrica, Vol. 47, No. 3 (May, 1979), pp. 655-678
Published by: The Econometric Society
Stable URL: http:/www.j

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 9, November 19
1
General Setup II
Practice 1 (The Shape of the Utility Possibilities Set): Consider an exchange
economy with I consumers and L commodities. Let the consumption set of each
L
c

Suggested Solution toAssignment 3
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, December 4, 2012
Recommended Readings: Notes for Lectures 7-11; MWG Chapters 10, 15-18.
1. (Production Sets, 10 pts) Consider a standard production economy

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 14, December 24
1
Social Welfare [Ch. 22]
The set of feasible allocations:
(
T = FA =
x = (x1 ;
; xI ) j
I
X
xi =
i=1
I
X
i=1
L
! i , x i 2 R+
)
or
T = FA =
(
; xI ) j
x = (x1 ;
I
X
i=1
xi =

Assignment 3
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, December 10, 2013
Recommended Readings: Notes for Lectures 7-11; MWG Chapters 5, 10, 15.
1. (Production Sets, 10 pts) Consider a standard production economy with two producers

Asset Prices in an Exchange Economy with Habit Formation
Author(s): Jerome B. Detemple and Fernando Zapatero
Reviewed work(s):
Source: Econometrica, Vol. 59, No. 6 (Nov., 1991), pp. 1633-1657
Published by: The Econometric Society
Stable URL: http:/www.jst

Assignment 4
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, December 25, 2012
Recommended Readings: Notes for Lectures 12-14; MWG Chapters 10, 17, 18,
21, 22.
1. (First Welfare Theorem, 10 pts) Prove the following version
n of First Fun

Chapter Five
Choice
Statement of Rights
The following content is based on the slides
provided by Norton Publishers for Hal Varian:
Intermediate Microeconomics 4th edition and
modified by Professor David Daokui Li for the
purpose of teaching Intermediate
M

Chapter Four
Utility
Statement of Rights
The following content is based on the slides
provided by Norton Publishers for Hal Varian:
Intermediate Microeconomics 4th edition and
modified by Professor David Daokui Li for the
purpose of teaching Intermediate

I NTRODUCTORY E CONOMETRICS
Lecture 10
Spring 2015, Tsinghua University
Shengjie Hong (SEM, Tsinghua)
[email protected]
Lecture 10
1 / 54
Other Tests and Instrumental Variables
Shengjie Hong (SEM, Tsinghua)
[email protected]
Lecture 10

Problem Set 3
Due on 05/11/2015, BEFORE 7:20pm1
You are required to write your solutions in English. Please show your work. You do not need to copy the
questions.
1. Wooldridge (4th Ed) Ex 3.4. The following model is a simplified version of the multiple r

Problem Set 4
Due on 05/25/2015, BEFORE 7:20pm1
You are required to write your solutions in English. Please show your work. You do not need to copy the
questions.
The optional question(s) are not mandatory and will not be graded, they are just for fun!
1.

Problem Set 2
Due on 04/07/2015, BEFORE 7:20pm1
You are required to write your solutions in English. Please show your work. You do not need to copy the
questions.
N
1. Given an random sample cfw_(xi , yi )i=1 and a simple linear regression model
y = 0 + 1

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 5, October 22
1
Competitive Demand II (Oct. 18; Ch. 3)
Relationships between UMP and EMP (3.F; 3.G)
h (p; u) = x (p; e (p; u)
x (p; w) = h (p; v (p; w)
v (p; e (p; u) = u
e (p; v (p; w) = w

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 11, December 3
1
General Equilibrium II (Ch. 15)
Examples and Exercises for 2-Consumer 2-Commodity Exchange Economies:
(2) The Edgeworth Box: Quasi-Linear Utilities
Two consumers: Chunming a

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 12, December 10
1
Welfare Theorems (Ch. 16)
First Fundamental Theorem of Welfare Economics
Theorem 1 First Fundamental Theorem of Welfare Economics:
Both for Exchange Economies and for Produ

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 13, December 17
1
The Positive Theory of General Equilibrium (Ch.
17)
Excess Demand for Exchange Economies
Denitions:
Individual excess demand function: zi (p) = xi (p; p ! i ) ! i , i =
L
1

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 1, September 17
1
Introduction (Sep. 17)
Course Preview (Syllabus)
The Nature of Economic Theory
An economic system is the set of decision-making institutions that determine
the allocation a

Assignment 3
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, December 4, 2012
Recommended Readings: Notes for Lectures 8-11; MWG Chapters 5, 10, 15.
1. (Production Sets, 10 pts) Consider a standard production economy with two producers
A

Assignment 4
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, December 25, 2012
Recommended Readings: Notes for Lectures 12-14; MWG Chapters 10, 17, 18,
21, 22.
1. (First Welfare Theorem, 10 pts) Prove the following version
n of First Fun

Assignment 1
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, October 15, 2013
Recommended Readings: Notes for Lectures 1-3; MWG Chapters 1,2,3,6,20.
1. (An Example of Discontinuous Representable Preference, 6 pts) Let X = R. 8x; y 2 X,
d

Assignment 2
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, November 12, 2013
Recommended Readings: Notes for Lectures 4-7; MWG Chapters 3-5.
1. (Homothetic Preferences, 10 pts) Consider U (x) =
T
0 and w > 0.
1 + 2 = 1, p = (p1 ; p2 )

Assignment 4
Advanced Microeconomics (I)
Instructor: Jie Zheng
Due on Tuesday, December 31, 2013
Recommended Readings: Notes for Lectures 12-14; MWG Chapters 10, 17, 18,
21, 22.
1. (First Welfare Theorem, 10 pts) Prove the following version of First
n Fun

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 2, September 24
1
Preference, Utility, and Choice II (Sep. 18; Ch.
1-3)
Practice:
Convexity+Nonsatiation9 LN S (why?)
Strict Convexity+ Nonsatiation! LN S (why?)
Monotonicity =) LN S (why?)
T

Course Syllabus
Course Number: 90510053
Course Name (CH): I
Course Name (EN): Advanced Microeconomics (I)
Credits: 3
Prerequisites: Intermediate Microeconomics, Calculus, Linear Algebra
Teaching Language: CH
CH+EN (EN 50%)
Courseware Language: CH
EN
EN
Te

Advanced Microeconomics I
Fall 2013
Jie Zheng
Notes for Lecture 10, November 26
1
General Equilibrium I (Ch. 15)
Graphs (The Edgeworth Box):
2-Consumer 2-Commodity Exchange Economy [15.B]
2 goods: 1 and 2
2 consumers: A and B
Nonwasteful Assumption: xA +