Mathematics for Economists (MSc; Winter 2014/15)

Prof. Dr. Florian Englmaier, Dr. Matthias Fahn

1 Introduction

Introduction

The course is one of the compulsory modules in the M.Sc.

Programme in Economics.
The module presents the mathematical methods underlying economic
theories and applications. The aim is to provide students with the
mathematical background for their subsequent study of economics.
It comprises of a lecture (2 SWS) and an accompanying problem
solving class (2 SWS).

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Mathematics for Economists (MSc; Winter 2014/15)

Prof. Dr. Florian Englmaier, Dr. Matthias Fahn

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1 Introduction

Reading List

Most of the core material is covered in the math appendix

of the excellent Jehle/Reny book, but any good math for econ
book does the job.
M. Hoy, J. Livernois, C.J. McKenna, R. Rees, and T. Stengos.
Mathematics for Economics. MIT Press. 2nd edition (2001)
G. Jehle and P.J. Reny. Advanced Microeconomic Theory.
Prentice Hall. 3rd edition (2011)
C.P. Simon and L.E. Blume. Mathematics for Economists. W.
W. Norton & Company (1994)
K. Wainwright and A. Chiang. Fundamental Methods of
Mathematical Economics. McGraw-Hill/Irwin. 4th edition (2004)

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Mathematics for Economists (MSc; Winter 2014/15)

Prof. Dr. Florian Englmaier, Dr. Matthias Fahn

1.2

1 Introduction

Syllabus

1. Introduction
2. Methods of Proof
3. Matrix Algebra
4. Sets and Mappings
5. Functions
6. Optimization
7. Integration
8. Basics in Probability Theory

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Mathematics for Economists (MSc; Winter 2014/15)

Prof. Dr. Florian Englmaier, Dr. Matthias Fahn

1.3

1 Introduction

Prerequisites

Abiturwissen mathematics
basic knowledge of linear algebra and multivariable calculus
open for a rigorous approach - theorems stated carefully and
some proofs given

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Course Structure

Lecture: concepts and underlying theory; Proofs are good

practice
Problem Solving Class: practice, practice, practice

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Mathematics for Economists (MSc; Winter 2014/15)

Prof. Dr. Florian Englmaier, Dr. Matthias Fahn

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1 Introduction

Goals of the Course

reduce heterogeneity of math backgrounds

present particular concepts and results used in MSc economics
courses
challenge everyone - so not everyone will understand everything
develop basic math skills and knowledge needed to work as a
professional economist and read academic economics
develop ability to read and evaluate proofs - essential for reading
and working in all branches of economics - theoretical, empirical,
experimental
develop ability to compose simple proofs - essential to working in
all branches of economics - theoretical, empirical, experimental
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Mathematics for Economists (MSc; Winter 2014/15)

Prof. Dr. Florian Englmaier, Dr. Matthias Fahn

1.6

1 Introduction

How to Prepare

do more than just read the notes and listen to lectures

active reading: working through each line and know how to get
from one line to the next
solve problems: the most valuable part of the class - working in
groups is strongly encouraged
best test of understanding: can you explain it to others

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Please direct comments/corrections to: hiwi.orgec@gmail.com

Mathematics for Economists (MSc; Winter 2014/15)

Prof. Dr. Florian Englmaier, Dr. Matthias Fahn

1.7

1 Introduction

Ill need your assistance . . .

. . . for the lectures and classes:

stop me when I am too fast/slow/confusing!
ask when something is unclear!
. . . for the course material:
This is a rather new course. It is unfortunate, but very likely
there are typos, inconsistencies in notation, etc.
If you find anything, please direct comments/corrections to:
hiwi.orgec@gmail.com

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Please direct comments/corrections to: hiwi.orgec@gmail.com