This course introduces students to the latest developments in the economic analysis of the inside workings of firms. The course is centered on the concept of organizational structure, which is made up of three variables: allocation of decision rights, performance evaluation and performance incentives. The course tries to explain the diversity of economic organizations, and more generally, why economic activity is sometimes carried out through firms and sometimes through markets.
By the end of the course, the learner should be able to:
- Solve various optimization problems;
- Make quantitative predictions;
- Demonstrate and interpret various economic models;
- Apply the course materials to historical and current managerial problems;
- Analyze equilibrium models; and
- Apply the supply and demand framework to various markets, the theory of the firm and the theory of the consumer.
- Production and Cost
- Market Structure
- Pricing with Market Power
- Economics of Strategy
- Organizational Architecture
- Corporate Governance
- Vertical Integration and Outsourcing
Prerequisite(s): ECON*2310. Students must have completed a minimum of 12 credits.
|Term Paper 1||10%|
|Term Paper 2||20%|
|Take Home Final Exam||40%|
*Course details are subject to change.