MPE_AINE Industrial Economics

Faculty of Economics and Administration
Autumn 2011
Extent and Intensity
2/2. 8 credit(s). Type of Completion: zk (examination).
Teacher(s)
Georgi Burlakov (lecturer)
Guaranteed by
prof. Ing. Antonín Slaný, CSc.
Department of Economics – Faculty of Economics and Administration
Contact Person: Mgr. Jana Nesvadbová
Timetable
Mon 12:50–14:30 S307
  • Timetable of Seminar Groups:
MPE_AINE/01: Mon 14:35–16:15 S307
Prerequisites
Calculus, Microeconomics I
Course Enrolment Limitations
The course is offered to students of any study field.
The capacity limit for the course is 24 student(s).
Current registration and enrolment status: enrolled: 0/24, only registered: 0/24, only registered with preference (fields directly associated with the programme): 0/24
Course objectives
During the lectures students get familiar with unified methodology for rigorous analysis of market structures, strategic conflict and industrial development. It aims to help them describe, interpret and predict firms’ competitive behavior and its business outcomes. In addition, the course also considers tools for normative analysis of the markets’ social efficiency. Respectively, some of the topics include possible competition policy implications towards promotion of competition through market regulation and anti-trust action. To pass successfully, during the course students should develop and demonstrate ability to identify the key characteristics of a particular market situation, to relate it to one of the main standard models studied in class and to apply that model to find the correct market equilibrium solution according to the theory.
Syllabus
  • The course presents key topics and applications of the Industrial Organization as a major field of the modern Microeconomics.
  • Course outline:
  • Lecture 1: 1.1. The Firm and Costs (Carlton&Perloff, Ch. 2)
  • Tutorial Session 1: 1.2. Economic Application: The Baking Industry
  • Lecture 2: 2.1. Competition (Carlton&Perloff, Ch. 3)
  • Tutorial Session 2: 2.2. Economic Application: Food Fights, Congestion
  • Lecture 3: 3.1 Monopoly (Shy, Ch. 5; Tirole, Ch. 1)
  • Tutorial Session 3: 3.2. Economic Application: Monopoly Newspaper Ad Prices
  • Lecture 4: 4.1. Oligopoly: Cartels and Non-cooperative Markets (Shy, Ch. 6)
  • Tutorial Session 4: 4.2. Economic Application: Car Wars; Copying Pricing
  • Lecture 5: 5.1. Monopolistic Competition: Product Differentiation (Tirole, Ch.2, 7; Shy, Ch. 12)
  • Tutorial Session 5: 5.2. Economic Application: The Jeans Market
  • Lecture 6: 6.1. Information, Advertising and Disclosure (Carlton&Perloff, Ch. 13, 14; Shy, Ch. 11)
  • Tutorial Session 6: 6.2. Economic Application: Predatory Pricing in Tobacco; Branding as Advertising
  • Lecture 7: 7.1. Strategic Behavior (Tirole, Ch. 6, 9)
  • Tutorial Session 7: 7.2. Economic Application: Predatory Pricing in Tobacco
  • Lecture 8: 8.1. Research and Development (Tirole, Ch. 10; Shy, Ch. 9, 10)
  • Tutorial Session 8: 8.2. Economic Application: European Patents; International Licenses
  • Lecture 9: 9.1. Pricing Tactics (Shy, Ch. 13)
  • Tutorial Session 9: 9.2. Economic Application: Football Tariffs
  • Lecture 10: 10.1. Marketing Tactics (Shy, Ch. 14)
  • Tutorial Session 10: 10.2. Economic Application: Outsourcing; The Microsoft Case
  • Lecture 11: 11.1. Management and Compensation (Shy, Ch. 15)
  • Tutorial Session 11: 11.2. Economic Application: Insurance Market
  • Lecture 12: 12.1. Antitrust Laws: Mergers and Entry Barriers (Tirole, Ch. 8; Shy, Ch. 8)
  • Tutorial session 12: 12.2. Economic Application: Colleges and Antitrust
  • Lecture 13: 13.1. Regulation and Deregulation
  • Tutorial session 13: 13.2. Economic Application: Deregulating Electricity
Literature
    required literature
  • Belleflamme, P. and M. Peitz, Industrial Organization. Markets and Strategies, Cambridge University Press, 2010.
  • CARLTON, Dennis W. and Jeffrey M. PERLOFF. Modern industrial organization. 4th ed. Boston: Pearson/Addison Wesley, 2005, 822 s. ISBN 0321180232. info
  • SHY, Oz. Industrial organization : theory and applications. Cambridge, Mass.: MIT Press, 1995, xxii, 466. ISBN 9780262691796. info
  • TIROLE, Jean. The theory of industrial organization. Cambridge, Mass.: MIT Press, 1988, xii, 479. ISBN 0262200716. info
Teaching methods
The course is taught in English and is set on specialized foreign literature sources which might not be generally available in the university bookstore or library. However, students are not required to use the original textbooks to prepare for the course. Instead, after each lecture they will be provided with handouts and slide presentations containing all the basic knowledge which needs to be mastered for successful performance on the homework assignments and the exam.
Assessment methods
Grading: The overall course grade will be computed by converting into a grade-point score the total number of points gained from participation in class (10%), doing two homework assignments (10%), midterm (30%) written exam and final (50%) written exam.
Language of instruction
English
Further comments (probably available only in Czech)
Study Materials
The course is taught only once.
The course is also listed under the following terms Autumn 2012, Autumn 2013.
  • Enrolment Statistics (Autumn 2011, recent)
  • Permalink: https://is.muni.cz/course/econ/autumn2011/MPE_AINE