ECON 505 QUANTITATIVE METHODS

1. Matrix algebra

• Special types of matrices

• Transpose of a matrix

• Partitioned matrix

• Inverse of a matrix

• Applications of matrix algebra in economics

• Eigenvalues and eigenvectors

• The trace of a matrix

2. Derivatives and partial differentiation

• Jacobian matrices

• Maxima and minima

• Constrained maxima and minima

3. Integral calculus and its applications to economic models

4. Difference equations

• Linear first-order difference equations

• Applications of first-order difference equations in economic models

• Linear second-order difference equations

• Applications of second-order difference equations in economic models

5. Differential equations

• First and second order differential equations and applications to economics

• Simultaneous differential equations

• Phase diagram

6. Dynamic optimization

• Calculus of variations

• Optimal control and maximum principle

• Transversality conditions