Customer Reviews

Topics in Microeconomics: Industrial Organization, Auctions, and Incentives

5 star:		(3)
4 star:		(0)
3 star:		(0)
2 star:		(0)
1 star:		(1)

 

 

Wolfstetter has given us a book that is very much focused on modern microeconomic theory. It is indeed, as the title suggests, a "topics" book, not a universal micro theory textbook. For instance, he does not cover general equilibrium theory at all. But by concentrating on the fascinating newer insights of information economics and industrial economics, he is able to go deeper than most other textbooks, see for instance the outstanding chapter on auction theory. There is even a chapter on matching theory, a topic not usually covered in textbooks at all.

The reader from Pasadena is right when he says that this is a book for academics. This is the audience the book was written for. But this reader is highly unfair for blaming the book for the fact that he is not an academic. In fact, for academics, this is an excellent book, and clearly deserves 5 stars!

note on the 1 star review:

Coase [1972] put forward an important conjecture on the time inconsistency problem in durable good monopoly. Readers who like to know if (a form of) this conjecture is correct can examine the careful thinking of Bulow [1982] and Bagnoli, Salant, and Swierzbinski [1989] as presented in section 1.6 of Topics in Microeconomics. (Yes, you'll need some background in mathematics.)

This book provides an extremely thorough and comprehensive treatment of important topics in microeconomics. This work manages to be both rigorous and pleasant to read.

I believe it was George Bernard Shaw who said "every profession is a conspiracy against the laity." Topics in Microeconomics by Elmar Wolfstetter would fit this quotation. In between the very well written prose are scads of algebraic equations and supply and demand charts that only confuse most readers. This books is written for academics. On the back cover are kudos from other academics who are members of the self-congratulations society. I'm sorry I bought the book. Read Ronald Coase if you want to read an economist who avoids unnecessary abstractions.