Industrial Organization
Code
1112
Academic unit
null
Department
null
Credits
7,5
Teacher in charge
Vasco Santos
Teaching language
English
Objectives
To teach Industrial Organization.
A. Acquired Knowledge
Knowledge of Industrial Economics.
B. Specific Competences
Know how to analyze the performance of a market.
C. General Competencies
Develop analytical skills.
Prerequisites
Mandatory Precedence:
- 1100. Introduction to Microeconomics
Subject matter
Market structure: extent of a market, concentration and volatility measures. Oligopoly models: dominant firm and monopolistic competition; Bertrand, Cournot and Stackelberg; dynamic models. Market power: collusion (static and dynamic analyses). Barriers to entry: scale economies, strategic behavior; entry and welfare. Mergers and acquisitions: horizontal mergers, vertical integration. Price discrimination: definitions and examples.
Bibliography
Cabral, Luís, 1994, Economia Industrial, Lisbon: McGraw-Hill. Barros, Pedro Pita, 1998, Exercícios de Economia Industrial, Lisbon: McGraw-Hill. Cabral, Luís, 2000, Introduction to Industrial Organization, Boston, MA: The MIT Press. Carlton, Dennis and Jeffrey Perloff, 2003, Modern Industrial Organization, 4th. edition, London: Addison-Wesley has many case studies, which are lacking in Economia Industrial. However, its reading is not required. Belleflamme, Paul and Martin Peitz, 2010, Industrial Organization: Markets and Strategies, Cambridge, UK: Cambridge University Press is a recent textbook that you may find useful to clarify some points of the material. However, its reading is not required either.
Teaching method
Lectures and practical classes.
Evaluation method
The final grade will equal the weighted average of the grades obtained in the midterm and final exams according to the following weights:
- Midterm- 40%
- Final- 60%