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AI1107 Economics 7.5 credits

Course offering missing for current semester as well as for previous and coming semesters
Headings with content from the Course syllabus AI1107 (Spring 2011–) are denoted with an asterisk ( )

Content and learning outcomes

Course contents

The course covers the following areas:

1. Cost calculations, investment calculations and how these can be used for analysis of projects and valuation of properties.

2. Microeconomics: price formation on competitive markets and monopoly markets, different regulations and their effects with a special focus on the housing market.

3. Macroeconomics with a focus on property cycles and how these are related to the general business cycle and macroeconomic policies.

Intended learning outcomes

After the course the student should be able to:

  • make simple cost and investment calculations
  • critically analyze assumptions in calculations mentioned above
  • analyze the effects on prices and quantities produced of various changes on a market
  • critically evaluate arguments for and against various regulations on a market
  • understand why certain macroeconomic policies are introduced, e.g. when the central bank changes the interest rate
  • evaluate the general effects of different macroeconomic changes on the real estate and construction market
  • understand the mechanisms that can lead to changes in construcion volumes and property prices.

Course disposition

Lectures, exercises and a termpaper.

Literature and preparations

Specific prerequisites

Introduction to the Planning and Building Process (AI1137) or equivalent course.

Recommended prerequisites

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1. Compendium "Samhällsekonomi"

2. Axelsson, R, mfl "Mikroekonomi", or equivalent

Minor changes regarding course litterature will be reported at the Course hompage four weeks prior to course start.

Examination and completion

If the course is discontinued, students may request to be examined during the following two academic years.

Grading scale

A, B, C, D, E, FX, F


  • PROA - Project, 1,5 hp, betygsskala: P, F
  • TENA - Examination, 6,0 hp, betygsskala: A, B, C, D, E, FX, F

Based on recommendation from KTH’s coordinator for disabilities, the examiner will decide how to adapt an examination for students with documented disability.

The examiner may apply another examination format when re-examining individual students.

Allowed during the exam: minicalculator and Swedish-XXX dictionary.

Other requirements for final grade

Approved written exam and approved coursework. A good term paper and active participation in the exercises give bonus points that together with the number of points in the written exam determines the grade in the course.

Opportunity to complete the requirements via supplementary examination

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Opportunity to raise an approved grade via renewed examination

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Profile picture Hans Lind

Ethical approach

  • All members of a group are responsible for the group's work.
  • In any assessment, every student shall honestly disclose any help received and sources used.
  • In an oral assessment, every student shall be able to present and answer questions about the entire assignment and solution.

Further information

Course web

Further information about the course can be found on the Course web at the link below. Information on the Course web will later be moved to this site.

Course web AI1107

Offered by

ABE/Real Estate Economics and Finance

Main field of study


Education cycle

First cycle

Add-on studies

No information inserted


Hans Lind, tel: 08-790 7365, e-post: