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%)