731111 Fundamentals of economics I

Semester hours
Lecturer (assistant)
Salhofer, Klaus
Offered in
Wintersemester 2022/23
Languages of instruction


- Economic process (Resource, Production, goods and services, economic key problems, actors, types of markets, income flows and identities, System of National Accounts)

- Resources and Output (Production possibility frontier, efficiency, tradeoffs, opportunity cost, optimal allocation, comparative advantage, transaction cost, distributional and stability aspects, coordinating principles)

- Trade (motives for trade, absolute vs. comparative advantage, distributions of gains from trade, practical aspects of trade, trade without comparative advantage)

- Firm and Household (basic elements of production theory and cost theory, profit maximization, competition vs. monopoly, consumption and budgets, utility maximization, selected policy instruments, ...)

- Price System (basic determinants of supply and demand, functional forms, aggregation problems, market equilibrium, competition, price system, elasticities, selected case studies)

Previous knowledge expected

Objective (expected results of study and acquired competences)

The lecture series aims to give the students a concrete understanding of the basic principles and relationships within micro- and macroeconomics, or at least those elements likely to be relevant to students of LWME. The student should then be able to apply this knowledge to key economic problems (both practical and poitical) in an appropriate and logical manner.
You can find more details like the schedule or information about exams on the course-page in BOKUonline.