Advanced Microeconomics 2 (5 cr)

Research Master's students PhD students
Aalto University
Juuso Välimäki
Period 2
Contact teaching
Economicum building

In case of conflicting information consider the Sisu/MyCourses pages the primary source of information.

Part II of the Ph.D. and research master sequence in microeconomic theory is an introduction to collective decisions and market institutions. The emphasis in the course is on analytical concepts used in assessing societal decisions. Efficiency and stability are key ideas that recur during the course. Different economic institutions in diverse economic models are analyzed using these concepts and stability. The course builds directly on Microeconomic Theory I and it is essential that the students have a good understanding of decision theory and classical consumer theory. Some connections to strategic decision making covered in Microeconomic Theory III are mentioned, but the course does not assume any prior knowledge of game theory.

The central topics in the course include: Social Choice Theory, Assignment Models, Matching Models, and General Equilibrium Theory.

  • Completion method: contact teaching
    • Streaming will be only available to the FDPE students, for more infromation please contact Jenni Rytkonen, jenni.rytkonen [at]
  • Schedule: can be found in Aalto's Sisu
  • Study materials: can be found in MyCourses
    • To access the course workspace, use all the features and participate in the activities (assignments, discussions), you must have successfully registered for the course in Aalto's Sisu and logged in as an Aalto user with your Aalto IT account (which is generated after you have been granted study rights).
    • Workspaces for some courses are open access, but please note the above.
    • For more tips on how to register for a MyCourses course area, click here.

Please register for the course in the Aalto Sisu with your Aalto username, further instructions can be found here.

Aalto University Students
  • Code: ECON-L2200
  • Target groups: PhD / rMSc
  • Credit points: 5
Hanken Students
  • Code: 26046
  • Target groups: PhD / rMSc
  • Credit points: 5
  • Credit transfer: apply for substitution in Sisu
University of Helsinki Students
  • Code: ECOM-R311
  • Target groups: PhD / rMSc
  • Credit points: 5
  • Credit transfer: apply for substitution in Sisu
FDPE Students Students
  • Target groups: PhD
  • Credit points: please check your curriculum
  • Credit transfer: please apply for credit transfer according to your home university's procedures

After completing Microeconomic Theory II, the student should understand the connections between individual preferences and societal outcomes in the case of centralized mechanisms such as the Gale-Shapley algorithm in matching markets and the decentralized price mechanism in competitive markets. The student should also be able to construct and analyze different models of collective choice and market behavior and relate the stylized models covered in the course to more complex real life economic settings.