Using applied microeconomic theory and case studies, this course examines the impact of digital communications technology (DCT) on markets. DCT has enabled connections between markets, so that information is instantly, continuously and ubiquitously available. We will study the economics of networked markets, whose drivers are connectivity and big data. Is the Internet eliminating intermediaries? Is there more granularity of economic agents? Has the concept of time changed? Topics will include social networks, privacy, security and innovation.
Economics of the Internet: The Digital Revolution
Instructors: Swati Bhatt
Economics of the Labor Market
To provide a general overview of labor markets. Covering labor force participation, the allocation of time to market work, migration, labor demand, investment in human capital (education, on-the-job training, man-power training), discrimination, unions and unemployment. The course will also examine the impact of government programs (such as unemployment insurance, minimum wages, or a negative income tax) on the labor market.
Course introduces use of economics in understanding both the sources of and the remedies to environmental and resource allocation problems. It emphasizes the reoccurrence of economic phenomena like public goods, externalities, market failure and imperfect information. Students learn about the design and evaluation of environmental policy instruments, the political economy of environmental policy, and the valuation of environmental and natural resource services. The concepts are illustrated in a variety of applications from domestic pollution of air, water and land to international issues such as global warming and sustainable development.
Instructors: Smita Bhatnagar Brunnermeier
This course surveys the field of investments with special emphasis on the valuation of financial assets. Issues studied include how portfolios of assets should be formed, how to measure and control risk, how to evaluate investment performance and how to test alternative investment strategies and asset pricing models.
Instructors: Martin Cherkes
Fixed Income: Models and Applications
This course will deal with no-arbitrage models of contracts based on interest rates including bonds, forward and future contracts, swaps, options and other derivatives. We will develop the theory of arbitrage-free pricing of financial assets in discrete and continuous time, as well as many special models that can be used to price and hedge fixed income securities.
This course will provide a broad treatment of game theory and its applications, particularly in economics. Coverage will include such topics as: common knowledge and rationality, refinements of Nash equilibrium, auctions, bargaining, mechanism design, dynamic games, and reputation. This follows up on the introduction to game theory provided in the microeconomic sequence.
Instructors: Leeat Yariv
Health Economics I
Examines health issues in both developed and developing countries. Specific topics include the evolution of health over the life course; the fetal origins hypothesis; the two-way links between socioeconomic status and health; the impact of social safety nets on health outcomes; environmental threats to children's health and development; health insurance and its effects on health; the industrial organization of health care delivery; and the relationship between health and economic growth.
Instructors: Janet Marion Currie, Tom Saul Vogl
This course studies firms, markets and competition. We will study the theory of industrial organization, focusing on analyzing the way firms make decisions, as well as the impact of those decisions on market outcomes such as market prices, quantities, the type of products offered and social welfare. The goals of the course include the development of intuition for firm strategic behavior, such as pricing, as well as the development of skills for the analysis of formal models.
Instructors: Nicholas Wyeth Buchholz
Industrial Organization and Public Policy
Methods for empirical and theoretical analysis of markets composed of productive enterprises and their customers are studied. Analyses are applied to modern market structures and practices, and public policy towards them. Topics include the roles of technology and information, the structure of firms, modes of interfirm competition, determination of price, quality, and R & D investment, and criteria for government intervention.
Industrial Organization Workshop
Drafts of papers, articles, and chapters of dissertations or books, prepared by graduate students, faculty members, or visiting scholars, are exposed to critical analysis by a series of seminars organized by field. The chief objectives are for the writers to receive the benefit of critical suggestions, for all participants to gain experience in criticism and uninhibited oral discussion, and for students and faculty members to become acquainted with the research work going on in the department. Third- and fourth-year graduate students are expected to attend; first-and second-year students and faculty members are invited to attend.