Recitations

Recitation notes are available along with the in-class exercises that students attempted and discussed. Note that recitation 6 did not have notes; instead, the class worked on the two exercises.

REC # TOPICS EXERCISES EXERCISE SOLUTIONS
1 Supply, Demand, and Equilibrium (PDF)

Applications of Supply/Demand: Shocks, Minimum Wage, Rent Control, Policy Evaluation
2 Behind the Demand and Supply Curves (PDF)

Monopoly
3 Monopolistic Competition (PDF)

Game Theory and Strategic Interaction
4 Externalities: Theory and Pollution Exercise (PDF)
5 Uncertainty and Asset Prices (PDF)

Informational Efficiency: Rational Expectations, Random Walks

Asymmetric Information: Lemons, Moral Hazard
Adverse Selection Exercise (PDF)

Moral Hazard Exercise (PDF)
Adverse Selection Solutions (PDF)

Moral Hazard Solutions (PDF)
6 Double Marginalization

Specific Investment
Double Marginalization Exercise (PDF)

Specific Investment Exercise (PDF)
Double Marginalization Solutions (PDF)

Specific Investment Solutions (PDF)
7 Course Summary (PDF)

Review for Final Exam (see practice test on the exams page)