Course 2014-2015 a.y.

20464 - INDUSTRIAL ORGANIZATION


CLMG - M - IM - MM - AFC - CLAPI - CLEFIN-FINANCE - CLELI - ACME - DES-ESS

Department of Economics

Course taught in English

Go to class group/s: 31
CLMG (6 credits - I sem. - OP  |  SECS-P/06) - M (6 credits - I sem. - OP  |  SECS-P/06) - IM (6 credits - I sem. - OP  |  SECS-P/06) - MM (6 credits - I sem. - OP  |  SECS-P/06) - AFC (6 credits - I sem. - OP  |  SECS-P/06) - CLAPI (6 credits - I sem. - OP  |  SECS-P/06) - CLEFIN-FINANCE (6 credits - I sem. - OP  |  SECS-P/06) - CLELI (6 credits - I sem. - OP  |  SECS-P/06) - ACME (6 credits - I sem. - OP  |  SECS-P/06) - DES-ESS (6 credits - I sem. - OP  |  SECS-P/06)
Course Director:
MICHELE POLO

Classes: 31 (I sem.)
Instructors:
Class 31: MICHELE POLO



Course Objectives

The course reviews the modern theory of Industrial Organization with reference to oligopoly markets. The first part of the course analyzes the main forms of oligopolistic competition (price vs quantity, product differentiation, collusion) and entry dynamics (long run equilibria and foreclosure), while the second part addresses advanced topics as two sided markets, the effects of vertical and financial contracts on competition and the optimal design of antitrust intervention.


Course Content Summary

First part:
  • price competition and the Bertrand model.
  • Quantity competition and the Cournot model.
  • Product differentiation.
  • Collusion.
  • Long run equilibria.
  • Foreclosure: predatory pricing, bundling, refusal to deal, exclusive dealing.

Second part:

  • two sided markets within applications to media markets.
  • Vertical contracts, financial contracts and oligopolistic competition: managerial contracts, forward contracts, minority shareholdings.
  • Optimal enforcement of antitrust law: leniency programs, legal standards.

Detailed Description of Assessment Methods

Written exam.


Textbooks

  • J. TIROLE, The Theory of Industrial Organization, MIT Press, lastest edition.
  • M. MOTTA, Competition Policy, Theory and Practice, Cambridge, Cambridge University Press, lastest edition.
  • A reading list is provided.
Exam textbooks & Online Articles (check availability at the Library)
Last change 20/06/2014 11:00