Study-unit INDUSTRIAL ECONOMICS
| Course name | Engineering management |
|---|---|
| Study-unit Code | A002972 |
| Curriculum | Comune a tutti i curricula |
| Lecturer | Fabrizio Pompei |
| Lecturers |
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| Hours |
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| CFU | 6 |
| Course Regulation | Coorte 2022 |
| Supplied | 2024/25 |
| Learning activities | Affine/integrativa |
| Area | Attività formative affini o integrative |
| Sector | SECS-P/06 |
| Type of study-unit | Opzionale (Optional) |
| Type of learning activities | Attività formativa monodisciplinare |
| Language of instruction | Italian |
| Contents | This course equips you with the necessary skills to analyze the behaviour and performance of firms within various industries. This module will cover some fundamental principles of microeconomics and subsequently delve into their application to study what happens in specific industries and markets. To clarify, the main topics that will be discussed in more detail are 1) Monopoly, antitrust and regulation of natural monopolies; 2) Oligopoly, Bertrand model and relaxation of its main hypotheses: a) capacity constraints; b) asymmetric costs; 3) Oligopoly, Cournot Model, Bertrand vs Cournot models: a discussion; 4) Collusion and Price Wars; 5) Market structure 6) Product Differentiation; 7) Innovation. Some of these topics will have a practical-application part consisting of exercises with data on the Italian manufacturing industry. |
| Reference texts | Cabral L. (2017) Introduction to Industrial Organization, MIT Press. |
| Educational objectives | Students can interpret industry functioning with microeconomic concepts through the Industrial Organization module. Upon finishing this module, students should possess: 1) Knowledge of the functioning of the main imperfect markets (monopolies and oligopolies) and their negative externalities in terms of erosion of social welfare and any positive externalities in terms of incentives for research and development; 2) Knowledge of the main antitrust systems and regulation. The main skills to apply the acquired knowledge effectively are : 1) Know how to interpret the main facts of the industrial world (dominant positions of large companies, market concentration, entry of competitors) according to the conceptual categories acquired in class; 2) Be able to read and interpret reports on industrial economy at regional, national and international level; 3) Provide opinions and make qualitative forecasts of the effects that industrial policies may have on the size growth of firms and on the concentration of markets. |
| Prerequisites | Students must have basic knowledge of microeconomics, specifically related to demand function, marginal revenue, costs, and profit maximization. The course will make use of simple mathematical notions, such as the study of functions and derivatives. |
| Teaching methods | The course consists of lectures, class discussion, exercises, and on group-works that will be presented in class. |
| Other information | Please, find more detailed information and teaching materials FOR INDUSTRIAL ECONOMICS at the following website: https://www.unistudium.unipg.it/unistudium/ |
| Learning verification modality | Written exam (1 hour and half): 3 open questions requiring a brief discussion. The questions must be answered by developing a written report that is concise and precise. For information on support services for students with disabilities and/or DSA visit http://www.unipg.it/disab-e-dsa |
| Extended program | The course aims to provide a conceptual framework for analyzing the behaviour and performance of companies within industries and imperfect markets. The slides provide the main course topic guide, while the book chapters serve as supplementary material. 1. Introduction to industrial economics (Slides & Chap.1) 2. Microeconomic foundations (Slides&Chap.2-3-4) 3. Market Failure and Public policy (Slides & Chap.5) 4. Oligopoly: Bertrand and Cournot models (Slides &Chap.8, Chap.7 facultative) 5. Collusion and price wars (Slides&Chap.9) 6. Market Structure (Slides&Chap.10) 7. Product differentiation (Slides&Chap.14) 8. Innovation (Slides&Chap.15) These subjects refer to the chapters of: Cabral L. (2017) Introduction to Industrial Organization, MIT Press |
| Obiettivi Agenda 2030 per lo sviluppo sostenibile | During this class the following points of Agenda 2030 will be touched: 8. Decent work and economic growth 9. Industry, innovation and infrastructure 10. Reduced inequalities |