ECON 475 - Market Power and Response

5 credit hours

Discusses market definition, measurements and determinants of market structure, and the relationship between market structure and market power. Discusses how a single firm can gain and exploit market power. Analyzes rivals’ strategic reactions to market power using game theoretic concepts and tools. Studies roles of information and commitment in reacting to competitive threats or in exploiting competitive opportunities. Considers government response to private market power through economic analysis of antitrust and competition policies. Prerequisites: ECON 271 and 272.