The course aims to familiarize students with the basic principles and the intuition behind of modern microeconomic theory. We start with fundamental concepts of economics: demand, supply and market equilibrium. We study consumer and producer behavior, their decision making. Then we consider major types of industry organization and, finally, main markets for the factors of production of goods and services. During the course students learn to understand functioning of the economy, to use basic tools for microeconomics analysis, and develop their analytical thinking skills.

Learning outcomes:

Student is able to describe the subject of economics, to explain the essentials of the economic efficiency and market failures, to describe the alternate mechanisms of economic coordination and to explain their functions. Student is further able to define the market, market supply and demand, and to draw them. Student is also able to describe factors influencing the market changes and their impact on the market subjects behaviour.

Skills:

Student is able to consider the probable impact of government policy, international conflicts and other phenomenons on the consumers´ and firms´ behaviour. Student is able to apply the theory in the firm´s reality.

General capability:

Student is able to work and to make decisions on his/her own, he/she is able to create and interpret his/her own opinions.