Product Description

This textbook aims to provide a comprehensive overview of the essentials of microeconomics. It offers unprecedented depth of coverage, whilst allowing lecturers to 'tailor-make' their courses to suit personal priorities. Covering topics such as noncooperative game theory, information economics, mechanism design and general equilibrium under uncertainty, it is written in a clear, accessible and engaging style and provides practice exercises and a full appendix of terminology.

Product Details

• Amazon Sales Rank: #59271 in Books
• Published on: 1995-09-07
• Number of items: 1
• Binding: Paperback
• 998 pages

Review
26/09/19953

Customer Reviews

"The" book for microeconomic theory
This book can be used as a reference, as a textbook and also for self-instruction. The coverage of material is exaustive, and examples and exercises abound. Typos are relatively few. It is more complete and rigorous than Kreps' and Varian's textbooks. The mathematical level required is, really, only calculus and linear algebra, with some elementary probability. No functional analysis, stochastic processes or topology. This work is "as easy as it gets" for a microeconomic theorist, but not easier. It is an exceptional achievement.

Classic
First, I cannot believe people are still using Varian. MWG has far more exercises, far more challenging exercises and doing those exercises will help you prepare for your final exams/prelims. I find that too many of the questions in Varian are too easy and not probing enough. Some are harder, but generally the level of questions that is set on exams that I have taken in my graduate program is considerably more sophisticated than Varian. Generally, I'd say you need to get at least 65 percent of the "B" questions in MWG right to do well in a major graduate program.

Second, MWG does not require much math. Really only calculus and a teeny bit of linear algebra. The style is mathematical, however. If you think axiomatically, in terms of proofs, of suppositions and contradictions, you will love this book. Yet it also develops your economic intuition quite well. The questions at the back do not test your mathematical ability; quite often, a clever verbal argument or graphical exposition will do. But yes the style is highly logical. But that's what I like about microeconomics.

Macro is a different matter, since there is just so much "mess". I think Sargent and Ljungqvist is perhaps as close as they come in developing a tools-based approach to Macro. I hate Macro.

Third, I'd say that in the summer before your first year, and then over winter break and before the prelims (if you're in the states) or in the review period leading up to finals (for those in England) if you obtain the solutions manual and then just proceed to do as many problems as you possibly can from MWG, even on a bad day you can do quite reasonably on your exam/prelim. Most professors seem to filch questions from the book!

There are some flaws. The game theory section is presented a bit too formally (!) and you'd be better using Gibbons to develop your intuition and just trying some of the exercises in MWG after that. And the section on production, the firm's problem, profit maximisation- it's too esoteric.

Primarily I am basing my assessment on (a) pedagogical approach, (b) relevance to exams and problem sets. MWG generally hits the mark except for the minor defects noted above.

Compare it with other GRADUATE texts
I did so, considering Varian's Microeconomic Analysis and Kreps' A Course In Microeconomic Theory as alternatives. The level (and coverage) of math is the same, but if you're looking for some economic meaning beyond this it's the only place where you can find it. The other two give you no chance.

You should keep in mind that the target audience of this book is first year GRADUATE courses, and this is very clearly stated by the authors, but as an undergrad I found it a lot more readable than the other two. Although, if you want an introductory text, it's not the best address.

I used to think that courses taught at famous universities can't be a lot better than courses taught elsewhere. But with this book I could make the difference.