Biggs Norman

Mathematics has become indispensable in the modelling of economics, finance, business and management. Without expecting any particular background of the reader, this book covers the following mathematical topics, with frequent reference to applications in economics and finance: functions, graphs and equations, recurrences (difference equations), differentiation, exponentials and logarithms, optimisation, partial differentiation, optimisation in several variables, vectors and matrices, linear equations, Lagrange multipliers, integration, first-order and second-order differential equations. The stress is on the relation of maths to economics, and this is illustrated with copious examples and exercises to foster depth of understanding. Each chapter has three parts: the main text, a section of further worked examples and a summary of the chapter together with a selection of problems for the reader to attempt. For students of economics, mathematics, or both, this book provides an introduction to mathematical methods in economics and finance that will be welcomed for its clarity and breadth.

This is a substantial revision of a much-quoted monograph, first published in 1974. The structure is unchanged, but the text has been clarified and the notation brought into line with current practice. A large number of ‘Additional Results’ are included at the end of each chapter, thereby covering most of the major advances in the last twenty years. Professor Biggs’ basic aim remains to express properties of graphs in algebraic terms, then to deduce theorems about them. In the first part, he tackles the applications of linear algebra and matrix theory to the study of graphs; algebraic constructions such as adjacency matrix and the incidence matrix and their applications are discussed in depth. There follows an extensive account of the theory of chromatic polynomials, a subject which has strong links with the ‘interaction models’ studied in theoretical physics, and the theory of knots. The last part deals with symmetry and regularity properties. Here there are important connections with other branches of algebraic combinatorics and group theory. This new and enlarged edition this will be essential reading for a wide range of mathematicians, computer scientists and theoretical physicists.