Contents & Objectives:
Students which complete this class will acquire a working knowledge of theoretical models of competition in oligopoly markets as well as sophisticated pricing techniques in monopoly markets. They will learn the conditions under which the predictions of these models are valid. They will become familiar with applications of advanced game theoretic Tools, such as dynamic competition models and auction theory for studying interactions between firms in markets. By means of comprehensive exercises they will apply the methods they learn in class to practically relevant problems. They will be in a position to read academic papers on related topics, assess the strengths and weaknesses of approach, summarize and comment on these papers and suggest possible extensions.
More information in the Syllabus.
Students taking this class should be familiar with basic concepts in Microeconomics and Game Theory. This background is provided in the courses Strategie und Wettbewerb I as well as in Mikroökonomik I and II. It would be ideal if they have also taken a class in Industrial Organization.