Course aims:

This course is designed to introduce students to various topics in mathematics and uncertainty that they will encounter in economics sciences. Exercises are designed to encourage the student to begin thinking about applied mathematics within a theoretical context.
Today, the theory of applied mathematics has found many applications in economics. In this course, the students will learn the basic terminology and concepts of applied mathematics in economics.
Mathematics is increasingly important in terms of the expression and communication of ideas in economics. A thorough knowledge of mathematics is indispensable for understanding almost all fields of economics, including both applied and theoretical fields.
. Especially understanding of elements of calculus and linear algebra are crucial to the study of economics. This class is designed to provide the appropriate mathematical tools for students who are interested in economics with policy concentration.
Economic concepts and models can often be easily and precisely described in terms of mathematical notation when words and graphs would fail or mislead us so the intent of this course is to teach you the language of mathematics and how to use it to better understand economics.

Course Entry Requirements:

-

Course contents:

Chapter 1. Linear Programming 1.1. Solving a linear programming problem 1.2. Duality. Dual simplex algorithm 1.3. Reoptimization of linear programming problems 1.4. Parametric linear programming 1.5. Transportation problems 1.6. Reoptimization of transportation problems 1.7. Parametric transportation problems 1.8. Special types of transportation problems Chapter 2. Elements of financial mathematics 2.1. Simple interest 2.2. Compound interest 2.3. Annual installment payments (annuities) 2.4. Repayment of loans and borrowings

Teaching methods:

Lecture, conversation, exemplification.

Learning outcomes:

Modelling and solving some medium complexity level problems, using the mathematical and computer sciences knoweledges

Learning outcomes verification and assessment criteria:

Written paper 50%; mid-term test 30%; seminar activities 20%.

Recommended reading:

Dixit, A.K., Optimization in economics theory, Oxford University Press, 1990
Simon, C.P., Blume, L., Mathematics for economists, W.W Norton, 1994
Carter, M., Mathematical Economics, MIT, Cambridge, 2001
• Nering, E. D., Tucker, A. W., Linear Programs and Related Problems, Academic Press, Boston, 1993