Economics, Industrial Organisation, Advanced Course, 7.5 credits

Aims and objectives

General aims for first cycle education

First-cycle courses and study programmes shall develop:

• the ability of students to make independent and critical assessments
• the ability of students to identify, formulate and solve problems autonomously, and
• the preparedness of students to deal with changes in working life.

In addition to knowledge and skills in their field of study, students shall develop the ability to:

• gather and interpret information at a scholarly level
• stay abreast of the development of knowledge, and
• communicate their knowledge to others, including those who lack specialist knowledge in the field.

(Higher Education Act, Chapter 1, Section 8)

Course objectives

Knowledge and understanding

On successful completion of the course, students are expected to

• demonstrate broad knowledge of Industrial Organization within the main topics of the course.
• demonstrate a deeper understanding about market structures and how these markets work under different assumptions about the kind of information available for the agents.

Competence and skills

On successful completion of the course, students are expected to

• demonstrate deeper skills in picking a relevant theoretical model to analyse different firm strategies under the assumptions of strategic and non-strategic interaction among agents.
• demonstrate deeper ability to analyse and discuss effects on effectivity and welfare from different firm strategies.
• in a broader sense demonstrate an ability to analyse the role of the social planner, problems to regulate markets and with enforcing competition policy.

Judgement and approach

On successful completion of the course, students are expected to

• demonstrate an ability to discuss research questions within the field of industrial organization with a scientific approach.

Main content of the course

The focus will be on industrial organization. This microeconomic theory is useful in the analysis of firm behaviour during imperfect competition and with different degree of strategic interaction among firms. The course deals with issues in information economics and game theory. Example of topics in the course includes monopoly pricing, oligopoly pricing, advertising and asymmetric information, cartels and market regulations.

Teaching methods

Teaching is done in the form of lectures.

Students who have been admitted to and registered on a course have the right to receive tuition and/or supervision for the duration of the time period specified for the particular course to which they were accepted (see, the university's admission regulations (in Swedish)). After that, the right to receive tuition and/or supervision expires.

Examination methods

Written Examination, 2.5 credits (Code: B004)
Individual written examination.

Assignment, 5 credits (Code: B003)
The reports must be written and presented individually. Thereafter you should review and discuss another students report.

For students with a documented disability, the university may approve applications for adapted or other forms of examinations.

For further information, see the university's local examination regulations (in Swedish).

Grades

According to the Higher Education Ordinance, Chapter 6, Section 18, a grade is to be awarded on the completion of a course, unless otherwise prescribed by the university. The university may prescribe which grading system shall apply. The grade is to be determined by a teacher specifically appointed by the university (an examiner).

In accordance with university regulations regarding grading systems for first and second-cycle courses (Vice-Chancellor’s decision ORU 2018/00929), one of the following grades shall be used: Fail (U), Pass (G) or Pass with Distinction (VG). For courses that are included in an international Master’s programme (60 or 120 credits) or offered to the university’s incoming exchange students, the grading scale of A-F shall be used. The vice-chancellor, or a person appointed by the vice-chancellor, may decide on exceptions from this provision for a specific course, if there are special grounds.

Grades used on course are Fail (F), Sufficient (E), Satisfactory (D), Good (C), Very Good (B) or Excellent (A).

Written Examination
Grades used are Fail (F), Sufficient (E), Satisfactory (D), Good (C), Very Good (B) or Excellent (A).

Assignment
Grades used are Fail (F), Sufficient (E), Satisfactory (D), Good (C), Very Good (B) or Excellent (A).

For further information, see the university's local examination regulations (in Swedish).

Comments on grades

To obtain a passing grade for the course as a whole, a minimum of grade E is required for all components on the course. To arrive at a course grade, the grades awarded for each examination assignment, grades A-E, are first converted to the numerical values 5-1. An average value is then calculated, also taking into account the number of credits for each examination assignment in relation to the total number of credits for the course. The course grade is thus awarded by means of a weighted average of the examination assignments included on the course.

Specific entry requirements

Economics, basic course, 30 credits and successful completion of 15 credits from Economics, intermediate course, 30 credits. In addition, successful completion of 22 credits in statistics at basic level, which includes Regression Analysis, basic course, 7.5 credits.

For further information, see the university's admission regulations (in Swedish).

Transfer of credits for previous studies

Students who have previously completed higher education or other activities are, in accordance with the Higher Education Ordinance, entitled to have these credited towards the current programme, providing that the previous studies or activities meet certain criteria.

For further information, see the university's local credit transfer regulations (in Swedish).

Reading list and other teaching materials

Required Reading

Luis M B Cabral (Second Edition)
Introduction to Industrial Organization
MIT Press, ISBN: 9780262035941

Additions and Comments
In addition to the main text book, papers and other material will be covered during the course. A list of this additional compulsory literature is specified further in the instructions compiled for the course.