## Advanced Microeconomic TheoryProvides extra instruction in the mathematics of modern microeconomics, enabling students to gain a sophisticated command of the material. Content includes chapters on information economics, integrated with material on game theory and classical theory. The text emphasizes the role of information in market performance, with many examples and exercises. |

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### Contents

CALCULUS AND OPTIMIZATION | 53 |

CONSUMER THEORY | 109 |

TOPICS IN CONSUMER THEORY | 173 |

Copyright | |

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allocation assumption Axiom behavior budget balancedness bundle choice choose concave function Consequently consider constraint consumer's continuous convex combination convex set defined definition demand functions denote differentiable domain economy equal equation example expected utility expenditure function extensive form game Figure finite firm first-order conditions Hicksian demand homogeneous of degree implies indifference curve indirect utility function inequality information set input insurance company Lagrangian level set Marshallian demand matrix maximization maximum Nash equilibrium negative semidefinite node nonnegative objective function open set optimal outcome output Pareto-efficient partial derivatives payoff player preference relation problem production function proof properties Prove pure strategy quasiconcave quasiconvex real-valued function requires risk aversion satisfy simple gamble Slutsky solution solve strictly concave strictly increasing strictly positive subgame perfect subgame perfect equilibrium subset substitution suppose Theorem tion variable vector VNM utility function Walrasian equilibrium x1 and x2 zero