Eco 550 Week 1 Maths Term Paper

MATHEMATICS 1
Albert P.M. Wagelmans Week 1

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Why this course?
• Mathematics has played an important role in economics for almost a century • Role has been increasing in importance, particularly in recent years, also in business economics • Similar remarks hold for statistics
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Prize Winners in Economics
1969 – R. Frisch, Jan Tinbergen 1975 – L.V. Kantorovich, Tjalling C. Koopmans 1990 – Harry M. Markowitz, M.H. Miller, W.F. Sharpe 1994 – J.C. Harsanyi, John F. Nash Jr., R. Selten 1997 – R.C. Merton, Myron S. Scholes 2003 – R.F. Engle III, Clive W.J. Granger
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Mathematics and statistics are essential tools for analysis in modern economics

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Aims…show more content…
Sydsaeter & P. Hammond, Essential Mathematics for Economic Analysis, (3rd edition), ISBN 978-0-273-71324-1 Book webpage • http://wps.pearsoned.co.uk/ema_uk_he_sydsaeter_essmath_3 • Student resources • Student’s manual Blackboard Slides of lectures • • Detailed answers to selected problems • Model exams
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Global schedule
• 7 weeks of classes (see course information on BB for detailed overview) • Written exam: Friday 29 October 2010, 9:3012:30 hrs. • Resit: Monday 11 July 2011, 9:30-12:30 hrs.…show more content…
  ab   b m 2  m 1 1          m  m(m 1)...(m  k 1) where   k! k
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Newton's binomial formula in summation notation :  m  mk k (a  b) m    a b k 0 k  m m m   a   0

 m  m 1  m  m  m  m 1   a b  ...   ab   b    m 1    m 1  

m where  1 0
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Fractions remark: dividing is multiplication by the inverse
1 1 b

a  a 1 b b

b common denominator

a c ad  bc   b d bd

ab a b b    1 a a a a but 23

a a  1 ab b
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Fractional powers of a ≥ 0 a 1/ 2

 a

41/ 2  4  2

a

1/ p

 a p 81/ 3  3 8  2

ab  a  b a a  b b

95  9  5  3 5

9 9 3   25 25 5

ab  a  b
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22  2  2 