ECON4240 – Equilibrium, Welfare and Information
Schedule, syllabus and examination date
- General equilibrium analysis including the main welfare theorems.
- An introduction to the economics of information, presenting models of moral hazard, adverse selection, and signalling.
In the first part of the course students are expected to obtain knowledge of the result that a general equilibrium exists, and an understanding of the intuition underlying the main welfare theorems both in general and partial equilibrium analysis. In the second part of the course students are expected to learn the basic concepts and results of the economics of information. This part considers models of asymmetric information, and introduces the concepts of moral hazard, adverse selection, and signaling.
The students should be able to do do welfare economics without use of marginal conditions. The students should realize that many forms of economic interaction involve problems of asymmetric information, and be able to differentiate between problems of moral hazard, adverse selection, and signaling. The students should be able to handle simple models that capture various kinds of informational asymmetry.
Students who are admitted to study programmes at UiO must each semester register which courses and exams they wish to sign up for in Studentweb.
If you are not already enrolled as a student at UiO, please see our information about admission requirements and procedures.
Apply for guest student status if you are admitted to another Master's programme, or have completed a master in Economics at UiO or another Norwegian University.
Formal prerequisite knowledge
- Bachelor's degree in Economics, or equivalent.
- ECON3200 – Microeconomics and Game Theory / ECON4200 – Microeconomics and Game Theory
- Students on the master’s programme in Economic Theory and Econometrics (the 5-year programme) also need ECON3010 – Anvendt økonomisk analyse.
Recommended previous knowledge
Lectures: 2 hours per week throughout the semester.
Seminars: 2 hours per week through parts of the semester.
Compulsory tuition activities:
- A compulsory term paper.
If the compulsory term paper is not approved, you may be given a second attempt to hand in a new term paper/improve the term paper within a short deadline.
When the compulsory term paper is approved, the result will be registered. The term paper will be valid for 8 consecutive semesters.
Candidates who have passed the course before autumn 2016 and wish to re-take the exam need to get the term paper approved before they can re-take the exam.
Absence from compulsory tuition activities
If you are ill or have another valid reason for being absent from compulsory tuition activities, your absence may be approved or the compulsory activity may be postponed.
A 3-hour written school exam.
You must have passed the mandatory activities in order to sit for the exam.
Examination support material
Students may use dictionaries at this exam. Dictionaries must be handed in before the examination. Please read regulations for dictionaries permitted at the examination.
Language of examination
The examination text is given in English.You may submit your response in Norwegian, Swedish, Danish or English.
Grades are awarded on a scale from A to F, where A is the best grade and F is a fail. Read more about the grading system.
Explanations and appeals
It is recommended to request an explanation of your grade before you decide to appeal.
The deadline to request an explanation is one week after the grade is published. For oral and practical examinations, the deadline is immediately after you have received your grade.
The explanation should normally be given within two weeks after you have asked for it. The examiner decides whether the explanation is to be given in writing or verbally.
Resit an examination
If you are sick or have another valid reason for not attending the regular exam, we offer a postponed exam later in the same semester.
See also our information about resitting an exam.
Withdrawal from an examination
It is possible to take the exam up to 3 times. If you withdraw from the exam after the deadline or during the exam, this will be counted as an examination attempt.
Special examination arrangements
Application form, deadline and requirements for special examination arrangements.