Institute for Advanced Studies

Department of Economics and Finance

Introductory Mathematics

September 2006

Thomas Hintermaier

(hinterma@ihs.ac.at)

The purpose of this course is to maintain or develop familiarity with some mathematical concepts used in economics. Emphasis will be mostly on conceptual understanding and applications of standard tools used in core graduate courses (for example, Microeconomics, Macroeconomics, Econometrics).

The textbook for this class is Mathematics for Economists by Simon and Blume (1994).

Course Outline

1. Linear Algebra

1.1 Linear Equation Systems

1.2 Matrix Algebra

1.3 Linear Independence

1.4 Eigenvalues, Eigenvectors and Dynamics

2. Optimization

2.1 Quadratic Forms and Definite Matrices

2.2 Unconstrained Optimization

2.3 Constrained Optimization

2.4 Concave Programming

Links: Math dictionary (German - English), “pivot” is from French, sufficient and necessary conditions.