Spring 2018 - 60952 - PA 393K – Applied Microeconomics for Policy Analysis | LBJ School of Public Affairs | The University of Texas at Austin

Spring 2018 - 60952 - PA 393K – Applied Microeconomics for Policy Analysis

Applied Microeconomics for Policy Analysis, Using Python


In this class, key microeconomic concepts will be demonstrated with applications to real policy issues. The course will teach these concepts by developing practical analytical and empirical computer skills, using real data sets, and empirical data analysis based on Python platform software. Lectures will be based on interactive Python notebooks (aka Jupyter notebooks). Students will follow along class lectures using open source data analytic software installed on a personal laptop computer (Windows, Mac, or Linux).

Course outline (illustrative):

  • 2 weeks: intro to Python ecosystem data analysis software on a laptop PC (PC, Mac, or Linux)
  • 10 weeks: substantive micro concept demos, each with a real world empirical application, using Python
    • Intro, consumers and market demand
    • Basic micro concepts, elasticity, measures of concentration and distribution
    • The firm, market supply
    • Strategies and game theory
    • Monopoly and regulation
    • Perfect competition as a benchmark
    • Oligopoly and competition
    • Collusion and antitrust policy
    • R&D and innovation policy
    • Externalities, cost‐benefit analysis
  • 2 weeks: empirical policy presentations
  • Textbook: Cabral, Introduction to Industrial Organization (2nd Edition, 2017) + assigned readings
  • Grading: Problem Sets (30%), 2 presentations (30%), Mid‐term (20%), Final project (20%)


SRH 3.216/3.219