AØKA08020U Industrial Organization
Prroritized elective from 3. year BSc in Economics
Elective at MSc in economics
MSc programme in mathematics-economics
The course covers the basic theory of industrial organization.
In particular, the following areas are treated:
- Monopoly
- Price Discrimination
- Vertical Control
- Short run price competition and Cournot oligopoly
- Dynamic price competition and tacit collusion, cartels
- Empirical tests of oligopoly
- Product differentiation
- Entry and Exit Decisions
- Limit pricing and predation
This course is an introduction to modern industrial organization based on game-theoretic analysis. Industrial organization concerns how markets work and firms compete, especially when there are a limited number of firms in the market. The goal of the course is that the students after having successfully participated in the course are able to:
- Describe the main theories of monopoly behavior and of oligopoly competition and to compare them in terms of central features such as prices and welfare.
- Describe the different kinds of price discrimination, the ways in which price discrimination can be implemented, and how price discrimination affects the different economic agents involved.
- Describe how vertical restraints work and what their effects are in terms of profits and welfare.
- Describe the main theories of collusion and to identify factors that hinder and facilitate collusion.
- Describe the main theories of entry, accommodation, and exit and to relate them to firms’ business strategies.
- Solve formal models using tools from mathematical optimization theory and game theory.
- Analyze formal models that are variations of the models and theories covered in the course and to provide economic intuition for the results obtained.
Syllabus
Please note that details of the syllabus and the course content may
change.
Main textbook:
- Belleflamme, Paul and Martin Peitz (2010), Industrial Organization: Markets and Strategies, Cambridge University Press.
- Selected chapters.
Other texts:
- Church and R. Ware (2000), Industrial Organization: A Strategic Approach, McGraw-Hill (pdf version available for free on the web: http://homepages.ucalgary.ca/~jrchurch/page4/page4.html)
- (Parts of) Chapter 8 (Section 8.5) and Chapter 12, covering empirical tests of oligopoly.
Time and room:
For time and classroom please press the link under "Se skema"(See schedule) at the right side of this page (15E means Autumn 2015, 16F means Spring 2016).
Normally the exercise classes begin in the second week of the semester.
You can find the similar information partly in English at
https://skema.ku.dk/ku1516/uk/module.htm
-Select Department: “2200-Økonomisk Institut” (and wait for respond)
-Select Module:: “2200-F16;Industrial Organization ”
-Select Period: “Forår/Spring – Weeks 4-29”
-Press: “ View Timetable”
- Category
- Hours
- Class Exercises
- 28
- Exam
- 3
- Lectures
- 28
- Preparation
- 147
- Total
- 206
for enrolled students. More information about registration, schedule, rules, courses etc. can be found at the student intranet (KUnet) for courses (MA-English) and student intranet (KUnet) for courses (KA-Danish) or student intranet (KUnet) for courses (BA- Danish).
Registration and information for prospective foreign speaking students please find more information at Study Economics.
For dansktalende enkelfagsstuderende se Åbent Universitet og Merit.
- Credit
- 7,5 ECTS
- Type of assessment
- Written examination, 3 hours under invigilationA 3 hours written examination taking place at Peter Bangs Vej 36.
- Aid
- Without aids
- Marking scale
- 7-point grading scale
- Censorship form
- External censorship
100 % censurship
- Exam period
The exam takes place June 6, 2016 at Peter Bangs Vej 36. 2000 Frederiksberg http://pc-eksamen.ku.dk/pc_exam
The exact time of the exam will be informed in the Self-Service at KUnet mid-April.
For enrolled students more information about examination, exam/re-sit, rules etc. is available at the student intranet for Examination (English) , student intranet for Examination (KA-Danish) and student intranet for Examination (BA-Danish).
- Re-exam
The re-exam takes place August 11, 2016 at Peter Bangs Vej 36. 2000 Frederiksberg http://pc-eksamen.ku.dk/pc_exam
If only a few students have registered for the re-exam, the exam might change to an oral exam including the date for the exam, which will be informed by the Examination Office mid-July.
Criteria for exam assesment
The student must in a satisfactory way demonstrate that he/she has mastered the learning outcome of the course.
Course information
- Language
- English
- Course code
- AØKA08020U
- Credit
- 7,5 ECTS
- Level
- Full Degree MasterBachelor
- Duration
- 1 semester
- Placement
- Spring
- Schedule
- Spring semester is week 6-35
Period of
-teaching: Week 6-21
-exam: Week 21-26
-re-sit: Week 31-36 - Course capacity
- No limits
- Continuing and further education
- Price
320 DKK per ECTS
- Study board
- Department of Economics, Study Council
Contracting department
- Department of Economics
Course responsibles
- Johan Lagerlöf (14-6d726b6471316f646a68756f72694368667271316e7831676e)
Lecturers
Johan Lagerlöf
Exercise class teacher:
Class 1: Ben Jørgensen
Class 2: Ben Jørgensen