Theory of Industrial Organization
(Market Structure)
ECO 7341
Fall, 2021.
Instructor: Santanu Roy
Professor of Economics, SMU.
Office: 301-NA Umphrey Lee Building, SMU.
Tel:
214 768 2714
Fax:
214 768 1821
E-mail: sroy@smu.edu
Office Hours: Monday & Wednesday,
10 – 11.30 AM & by appointment.
Lectures: Tuesday and Thursday, 2 – 3.20 PM, Umphrey Lee 301-S.
Introduction.
Industrial Organization (I.O) is primarily concerned with the causes and
consequences of market power, the strategic behavior of firms in markets and
the links between firm behavior, market structure and the economic performance
of markets. This course is directed towards Ph.D. students in economics who
have completed their core requirements for candidacy. The course will focus on
a few important topics in I.O. theory and introduce students to the various
research questions, modeling approaches, basic results as well as exciting new
developments in these areas.
Textbooks:
Required: The Theory of
Industrial Organization by Jean Tirole, MIT
Press, 1988.
Supplementary Text:
Industrial Organization: Markets and Strategies by Paul Belleflamme and Martin Peitz, Cambridge University Press, 2010
Tentative List of Topics
1. Durable goods monopoly, Coase conjecture
2. Competition: Pre-commitment, Product Differentiation; Collusion
3. Informative Advertising, Consumer Search, Switching Cost & Competition.
4. Markets with Asymmetric Information about product quality: Competition, Signaling and Disclosure; Advertising; Certification; Adverse Selection in Secondary Durable Good Markets: Leasing, Dynamic Trading.
5. Technological Change: Innovation and R&D Activity, Patent Races, Adoption of New Technology, Cooperative and Non-cooperative R&D; Research Joint Ventures.
6. Industry Dynamics.