LOJA10279U Industrial Organization

Volume 2013/2014
Education
MSc Programme in Agricultural Economics
MSc Programme in Agricultural Development
Content
The course will introduce students to the main results and models of modern industrial economics. It is a standard course focusing on theoretical as well as applied aspects of industrial organization. Main topics covered are:
- Market structure and market power
- Cost and technology
- Monopoly power
- Oligopoly and strategic interaction
- Anticompetitive strategies
- Contractual relations between firms
Learning Outcome
The objective of this course is to learn concepts and techniques of analysis in Industrial Economics and to apply this knowledge to problems faced by decision makers in the agri-food industry and business organizations, as well as policy analysts.

After completing the course the student should be able to:

Knowledge:
Students are expected to
- Know basic theoretical modeling and results concerning different market forms; quantity, pricing and bundling, product variety and quality.
- Know basic modeling and results concerning firms’ strategic interaction; Cournot, Bertrand and Stackelberg models.
- Know basic modeling and result concerning anticompetitive strategies; limit pricing and entry deterrence, predatory pricing, cartels and collusion.
- Know basic modeling and results concerning contractual relations between firms; horizontal and vertical mergers.

Skills:
Students are expected to
- Understand and practice various results and techniques related to market forms, organization and firms’ strategic interaction.
- Reflect on particular cases using the models and analytical tools of industrial economics

Competences:
Students should be able to
- Identify and analyze basic industrial organization issues.
- Analyze particular issues related to firms strategies and market forms within the agribusiness industry.
Literature
Standard introductory textbook in Industrial Economics e.g. Pepall, Richards and Norman, Industrial Organization: Contemporary Theory and Empirical Application, Blackwell (4’th Ed.).
course in intermediate microeconomics
The instruction consists of a combination of lectures (which review the basic theories and models) exercises, case studies, text reading and discussion. In addition each student will have to write an individual essay.
  • Category
  • Hours
  • Exam
  • 3
  • Lectures
  • 32
  • Preparation
  • 123
  • Project work
  • 20
  • Theory exercises
  • 28
  • Total
  • 206
Credit
7,5 ECTS
Type of assessment
Written examination, 3 hours under invigilation
Written assignment
Description of Examination: 3-hour written examination in course curriculum. During the course the student has to hand in an essay which will be part of the overall assesment.
Weight: Written examination 75 %, essay 25 %.

Weight: Written examination= 75% Written essay= 25%
Aid
All aids allowed
Marking scale
7-point grading scale
Censorship form
No external censorship
One internal examiner
Re-exam
If 10 or fewer register for the reexamination the examination form will be oral.
Criteria for exam assesment
To obtain the grade 12 the student has to fullfil the Learning Outcome