The final problem set of the semester, this time on auctions.
In this lecture we examine different types of auctions, considerations in optimal auction design, and some examples of real world auctions.
In this problem set we look at the issues that arise from asymmetric information.
In this lecture we examine the problems caused by moral hazard in insurance and health markets, and we also examine principal-agent problems.
The third problem set, on the VCG mechanism, intertemporal choice and adverse selection.
In this lecture, we look at the problems caused by adverse selection, first in product markets, then in insurance markets, then in labour markets.
In this lecture we look at net present values, and choices across time.
The second problem set, on welfare, externalities and public goods.
In this lecture we introduce public goods, describe the conditions for their optimal provision, and show how we may discover the strength of people’s preferences for them.