Course overview
This course in applied microeconomics is concerned with the behaviour and performance of firms in markets, with a particular focus on strategic interactions. It goes beyond the perfectly competitive model by considering the nature of market power and how that affects firm behaviour and subsequently consumers and policy-makers. Topics covered may include theories of monopoly, price discrimination, oligopoly, auctions, vertical and horizontal integration, economies of scale and scope, network externalities, and regulation.
Course learning outcomes
- Explain how price and non-price competition among firms affect economic welfare.
- Explain how market structure affects behaviour and vice versa.
- Analyse and evaluate models of monopoly, oligopoly and competitive markets.
- Analyse basic antitrust and regulatory policy issues.