| CODE | ECN5214 | ||||||||
| TITLE | Applied Mathematics for Micro and Macro Economics | ||||||||
| UM LEVEL | 05 - Postgraduate Modular Diploma or Degree Course | ||||||||
| MQF LEVEL | 7 | ||||||||
| ECTS CREDITS | 5 | ||||||||
| DEPARTMENT | Economics | ||||||||
| DESCRIPTION | This study-unit develops the students' understanding of mathematical techniques and methods required for economic application and analysis. More specifically students will learn how to read and understand arguments in textbooks and journal articles that use mathematical techniques in modern economic analysis; grasp the relevance and use of modern mathematical techniques in their applications in theoretical and applied economics; apply standard quantitative techniques to the analysis of economic phenomena and to conduct empirical research; develop models in theoretical or applied work, and; understand the theoretical foundations of quantitative techniques. The topic covered includes: - Basic notions, concept of sets and operations on sets, types of functions (constant functions, polynomial functions and rational functions exponential and logarithmic functions), quadratic formula, the concept of limits, basic inequalities; - Matrices covering operations on matrices and vectors, matrix algebra, Markov chains, determinants and non-singularity; - Calculus covering derivatives and rules of differentiation, optimisation and first and second derivatives, concavity and convexity, partial differentiation, Lagrange multiplier and optimisation, non-linear programming and Kuhn-Tucker conditions,differential equations, difference equations, the notion of comparative statics, phase diagrams, basic integration and Hamiltonians. Study-unit Aims: The aim of this study-unit is to introduce and enhance mathematical methods and techniques required for economic modelling and analysis. Learning Outcomes: 1. Knowledge & Understanding: By the end of the study-unit the student will be able to: - Consolidate their knowledge of a wide array of mathematical techniques which economists need to be familiar with, such as linear algebra, differential and integral calculus, nonlinear programming, differential and difference equations, optimisation and statics; - Apply the mathematical knowledge they have gained to the economic context in further units they will be studying; - Appreciate the importance of the language and use of mathematics in economic modelling and analysis. 2. Skills: By the end of the study-unit the student will be able to: - Use mathematical notations, such as equations and inequalities, to express economic issues and applications; - Interpret, manipulate and solve mathematical equations, including matrix, differential and difference equations; - Apply the analytical skills acquired to economic problems and applications throughout their course of studies and in their dissertation. Main Text/s and any supplementary readings: - Chiang, A.C. and Wainwright, K., 2005. Fundamental Methods of Mathematical Economics. McGraw-Hill, New York. - Simon, C.P. and Blume, L., 1994. Mathematics for Economists (Vol. 7). New York: Norton. |
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| STUDY-UNIT TYPE | Lecture and Tutorial | ||||||||
| METHOD OF ASSESSMENT |
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| LECTURER/S | Ian P. Cassar |
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The University makes every effort to ensure that the published Courses Plans, Programmes of Study and Study-Unit information are complete and up-to-date at the time of publication. The University reserves the right to make changes in case errors are detected after publication.
The availability of optional units may be subject to timetabling constraints. Units not attracting a sufficient number of registrations may be withdrawn without notice. It should be noted that all the information in the description above applies to study-units available during the academic year 2024/5. It may be subject to change in subsequent years. |
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